Vietnam’s economy in July and 7 months of 2005

1. Output of agriculture, forestry and fishery

a. Agriculture:

As of 15 July 2005 the country cultivated 1,012,400 ha of winter rice crop, equaling 99% of last year’s same period. Provinces in the North planted 881.7 thousand ha, approximately equaling same period last year; Provinces in the South planted 130.7 thousand ha, equaling 88.8 % of last year’ same period. There were 2,040 thousand ha of summer-spring crop cultivated in southern provinces, equaling 98% of lasy year’ same period; The cultivation progress in provinces of the southern coastal Center and South-East was slower and below the plan due to long and large-scale drought.

Up to now, about 736,000 ha of summer-spring crop were reaped, accounting for 40 % of the cultivated area. According to local preliminary reporting, rice productivity in reaped area was estimated higher than same period last year from 100-300 kg/ha since most of provinces used high quality seeds for 80% of cultivated areas.

Other crops: As of 15 July, in the whole country there were 817.1 thousand ha of maize under cultivation, equaling 106.4% of last year’ same period, sweet potato- 141.4 thousand ha and 90.5%; cassava- 312.6 thousand ha and 110.1%; peanut – 271.1 thousand ha and 134.2%; soya- 149.4 thousand ha and 112.8%; newly planted sugarcane- 43,600 ha and 107.4%…

b. Forestry

Many rains in July took a part in speeding up forestation in the North. Newly planted areas in the month were estimated at 20,000 ha and increased by 1% over last year’ same period; wood cut production rised by 0.6%, of which wood from planted areas increased by about 0.7% mainly due to high wood cut production in provinces of the South (Gia Lai only quintupled its volume of cutting wood as compared with same period last year due to demands from the MDF factory and other provinces).

There were 1,022 ha of forest destryed in the month, of which fired areas were 861 ha (Binh Phuoc- 121 ha, Hoa Binh- 140 ha, Son La- 135 ha, Ha Giang 93 ha); most destroyed provinces were Lam Dong (50 ha), Ha Giang (30 ha) and Gia Lai (21 ha).

Fishery

Generally for 7 months, production of fishery was estimated at 1,841.3 thousand tons, increasing  by 7.7 % as compared with last year’ same period., of which farmed products were 654.3 thousand tons, increasing by 17.5%, caught products- 1,187  thousand tons, increasing by 3%.

2. Industrial output

Industrial production value in July continued to increase, estimating at 17.4% higher than same period last year.

Operations of power plants in July were rather stable, providing enough power to the economy. Water level in reservoirs of hydroelectric plans in Hoa Binh, the South and the Center was better than previous months but much lower than last year’ same period. Power generated in July was estimated at 4,743 million kwh, 153 million kwh per day on average.

Generally for 7 months, the industrial production value was estimated increasing by 16% over last year’ same period, of which state owned enterprises increased by 10% (centrally managed enterprises- 14.3%, locally managed enterprises- 0.9%); non-state sector- 23.4%; FDI sector- 15.9%.

3. Investment

Capital construction investment under the concentrated State budget in 7 months in 2005 was estimated at 31,686.8 billion VND, accounting for 61% of the year plan. Central investment gained 12,859.1 billion VND, accounting for 64.6%% of the year plan, of which the Ministry of Transportation gained 3,928.3 billion VND, equaling 68.2% of the year plan; the Ministry of Agriculture and Rural Development- 1,246.2 billion VND, equaling 68.2%…

Foreign direct investment: from 1^st January to 20 July 2005 there have been 419 newly granted licence projects with a total capital registered 2,099.9 million USD, increasing by 16.7% in number of projects and 118.2% in capital registered over last year’ same period (last year’ 7 months: 359 projects with total capital registered 962.5 million USD). On average a project licensed achieved 5 million USD, increasing 185.2% over last year’ same period.

4. Trade, prices and services

Consumer prices in July raised 0.4% against last month. Among 10 groups of goods and services, prices for groups of food & foodstuff and culture, sports and entertainments were not higher than previous month, however, prices for 8 other groups rised with different rates, of which prices for means of transport and communication had highest rate (+2%) (Although prices for telecommunication decreased by 0.3%), and prices for housing and construction materials increased by 1.7%. Prices of food and foodstuff did not rise since prices for food decreased while prices for foodstuff increased. Prices for education increased 0.6%; medical products 0.4%; family appliances, clothing, hats and footgears 0.3%.

As compared with December 2004, consumer prices in July 2005 increased by 5.6%, of which prices for all commodities and services increased: high prices for some groups took a major part in the increased rate, for example, food & foodstuff increased by 7.7%, means of transport and communication 4.9%, housing and construction materials 4.8%…

Gold prices in July 2005 increased 1.2% over previous month, decreased by 3.3% over December 2004 and increased by 8.7% over July last year while prices for USD were considerably stable. USD prices in July 2005 increased slightly only: 0.2% over previous month, 0.5% over December last year and 0.8% over July 2004.

The value of export turnovers in July 2005 was higher than previous months, estimating at 2.75 billion USD. The value for seven months was estimated at 17.38 billion USD, increasing by 18.1% over last year’ same period.

On average, export turnovers per month were about 2.48 billion USD only. Crude oil exportation in 7 months valued at 4.02 billion USD, increasing by 34.4% and contributing 38.6% to the export increase. The rate excluding crude oil was estimated at 13.36 billion USD, increasing by 13.9%, of which domestic sector gained 7.44 billion USD, rising by 9% and foreign invested sector- 5.92 billion USD, increasing by 20.9%.

There was an increase in Vietnam’s big export markets in 6 months of 2005: United States 15% increased compared with same period last year, with turnovers of over 2.5 billion USD mainly due to an increase in export of footwears (43.6%), wood products (125.6%, which made up to a decrease in textiles (4.5%) and seafood (16%). Exports to Japan increased by 35.6% with turnovers of about 2 billion USD: seafood 18.3%, textiles 15.2%, and crude oil 150%…Exports to Australia increased by 56.2%: crude oil 60.6% and seafood 39.5%.

The value of import turnovers for the 7months was estimated at 21.11 billion USD, increasing by 20.5% against last year’ same period: domestic sector 13.57 billion USD, 19.1% increased; foreign invested sector 7.54 billion USD and 23.2%. Importation of machinery and equipment, tools and spare parts, raw materials for domestic production also increased over  last year’ same period.

The importation of Vietnam from continents over the world in 6 months 2005 increased, of which increased import values were 2.5 billion USD from Asia, 377 million USD from Europe, 240 million USD from America. Among Asian, importation from China increased by 39%, equaling 760 million USD; Main imported items were steel, petroleum, fabrics and meterials; The increased import values were 406 million USD from Singapore, 336 million USD from Japan, 353 million USD from Taiwan and 260 million USD from Republic of Korea…

International visitors to Viet Nam for the 7months were estimated at 2,048.2 thousand arrivals, increasing by 23.8% over last year’ same period, of which arrivals for tourism were 1,213.8  thousand, increasing by 38.4%; for business: 264 thousand, decreasing by 9.3%; for visiting relatives 324.8 thousand, increasing by 13.7% and for other purposes 245,600, increasing by 21.3%.

Tags: Vietnam economic 2005, Vietnam economic statistics, Vietnam's economy situation