Vietnam’s economy situation in April and 4 beginning months of 2005

1. Output of agriculture, forestry and fishery.

a. Agriculture:

As of 15^th April 2005, in northern provinces  there have planted 1134.7 thousand ha of winter-spring paddy, accounting for 98.6% of last year’ same period, of which the cultivation in the Red River Delta is basically completed and  the work now is to care and prevent the crop from insects.

For southern provinces: 1617.6 thousand ha harvested, equaling 90% of planted areas and 96.3% of last year’ same period. Provinces in the Mekong Delta alone already completed their harvest, achieving 1468.4 thousand ha, equaling 100.4%. Together with winter-spring crop harvest, 759.5 thousand ha of summer-autumn paddy are under sowing, equaling 108.3% of last year’ same period. However, long lasting drought has severely effected on the sowing process in  South East provinces and the Central Highland; Tay Ninh, Binh Duong and Dong Nai planted only 50%  of last year’ same period.

To mid April, over the country there planted 466.4 thousand ha of maize, equaling 107.3% of last year’ same period, sweet potato: 118.7 thousand ha and 85.9%; peanut: 173.5 thousand ha and 97.7%; soybean: 93 thousand ha and 115.4%; tobacco: 14.6 thousand ha and 90.7%; sugar cane: 28.6 thousand ha and 132.4%.

b. Forestry

In April provinces over the country continue their care of new planted areas and focus on preventing forests from fire. Generally in the 4 beginning months, concentrated planted areas are 99% of last year’ same period, reforested areas: 99.3%; scattered planted areas: 99.6%. There were 324 fire cases, destroying 1504 ha: 200 ha of 2-year-old cajuput in Kien Giang and 200 ha of protection forest in Nghe An.

c. Fishery

Production of fishery in 4 beginning months of 2005 is estimated at 1062.4 thousand tons, increases by 5.8 % as compared with last year’ same period., of which production of farmed products achieves 348.5 thousand tons, increases by 12.1%, production of caught products 713.9   thousand tons, increases by 2.9% (sea catching achieves 644.6 thousand tons and increases by 3.5%).
2. Industrial output

Many main industrial products in April have higher growth  than that of the first quarter so that generally for 4 beginning months industrial output value increases by 15.1% over last year’ same period, achieves 138.5 trillion VND ( at constant 1994 prices); of which state-owned enterprises achieve 45.66 trillion VND, increase by 9.9% (central state-owned enterprises achieve 31.75 trillion VND, increase by 11.8% and local state-owned ones by 5.8%); non-state sector increases  by 24.2% and foreign invested sector by 13.1% (crude oil and gas decrease by 9.2%; others increases by 21.1%).

3. Investment and construction

Capital construction investment under the concentrated State budget of 4 early months in 2005 is estimated at 15365.9 billion VND, accounting for 29.6% of yearly plan. Central investment carried out 6400.3 billion VND, achieves 32.2% of which Ministry of transportation: 21.1.8 billion VND, equaling 36.5%; Ministry of Agriculture and Rural Development: 611.4 billion VND, equaling 33.5% of yearly plan and local investment 8965.6 billion VND, equaling 28% of yearly plan.

Foreign direct investment: from 1^st January to 22^nd April 2005 there have been 177 new projects licensed with total capital registered 1449.8 million USD, the number of projects increases by 25.5% and the capital registered increases by 205.8% over of last year’ same period (there were 141 projects with total capital registered 474.1 million USD in the 4 beginning months of 2004). Average scale on a project licensed achieves 8.2 million USD that is twice as much as the rate 3.4 million USD of last year’s same period’s project. Of total, industry and construction occupy 73.5% of projects and 37.3% of capital; similarly agriculture, forestry and fishery occupy 9% and 2.1%; services: 17.5% and 60.6%.

4. Transportation

Passenger carriage in 4 early months of 2005 is estimated at 317.3 million people, increases by 6.6% mil persons and 14.7 billion passengers-kilometres, by 11% mil passengers-kilometres as compared with last year’ same period.

Freight carriage is estimated at over 86.1 million tons, increases by 5.8%, and 18.1 bill. tons-km, increases by 7.2% against last year’s same period.

5. Trade, price and tourism

Total retail sales of goods and services in the 4 beginning months is estimated at 139.8 trillion VND, increases by 18.7% against last year’ same period (if the raising price factor is excluded, the rate is over 9%) of which the state sector gains 19 trillion VND, decreases by 0.8%; the collective sector: 1.6 trillion VND, increasing by 45.6%; the private sector: 87.8 trillion VND and by 17.9%…

Consumer price in April raises 0.6% against last month: food and foodstuff  0.5%; medical products and health care service 0.6%; housing and building materials 1.1%; means of transport and communication 1.5%; culture, sports and entertainment reduce 0.1%…Consumer price started to reflect the effect of the raising cost of domestic production and business and import price of goods relating directly or indirectly to consuming such as steel, iron, petroleum and medical products…Therefore, not only food, foodstuff but also housing, building materials, means of transport and telecommunication increase that contributes mainly raising prices in April  over last month.

As compared with last December, consumer price increases by 4.3%, of which price of all commodities and service both rise particularly food and foodstuff grow at a high speed (+6.6%).

Gold price in April decreases by 0.8% against last month and by 2.7% against last December 2004. USD price raises 0.1% over last month and 0.2% over last December.

For 4 beginning months of 2005, export turnover is estimated at 9.65 billion USD, increases by 23.2% as compared with last year’ same period. This rate excluding crude oil is estimated to achieve 7.36 billion USD, increases by 17.6% (9.4 point % higher than the rate 8.2% of last year’s same period) of which domestic sector achieves 4.19 billion USD, raise 13.4% and foreign invested sector 3.17 billion USD, increases by 23.8%.

Import turnover is estimated at 11.43 billion USD, increases by 22.4% against last year’ same period for the first 4 months of 2005: domestic sector 7.38 billion USD, by 21.95; foreign invested sector 4.05 billion USD, by 23.3%. Importation of machinery and equipment, tools and spare parts, raw materials for domestic production also increase over  last year’ same period.

International visitors to Viet Nam are estimated at 1128.8 thousand, increase by 20.1% over last year’ same period (7.6%) of which for tourism: 675.5 thousand, increase by 35.5%; for business: 132.2 thousand, decrease by 18.6%…

6. State Budget

Total government revenue in the first 4 months is estimated at 35% of the yearly budget estimation. Domestic receipts achieve 34.8% of which main receipts are relatively high: foreign invested enterprises (excluding crude oil) achieve 35.4%; commerce, industry and non-state service tax: 35.8%; personal income tax applied for high income persons: 39.7%; housing tax and land tax: 42.2 %…

Total government expenditure in the first 4 months is estimated at 31.3% of the yearly budget estimation: current expenditures achieves 33.8%; developing and investment spending: 28.4% (expenditure for capital construction: 28.5%). Big and significant spending under current expenditures generally achieve relative ratio over yearly estimation.