Vietnam’s economy, two beginning months of 2008

1. Outputs of agriculture, forestry and fishery

Agriculture:

In February, the agriculture focused mainly on the tasks of preparing soils, planting winter-spring rice in the North and caring and harvesting winter-spring rice in the South. As of 15/2/2008, the country had 2,224.2 thousand ha of winter-spring rice cultivated, equaling 81.7% of same period last year. Of which, provinces in the North had 424.2 thousand ha under cultivation, equaling 44.8%, provinces in the South had 1,800 thousand ha under rice sowing, equaling 99.6%, of which the Mekong River Delta achieved 1,506.4 thousand ha, equaling 100.2%.

According to local reports, the last very damaging cold period destroyed 148 thousand ha of planted rice and made 9.6 thousand ha of rise seeding die, accounting for over 30% of sowed area.

The progress of cultivating spring-crops is also slower than same period last year, due to the affect of the bad weather: Maize gained 281.6 thousand ha, equaling 100.5%; sweet potato: 92 thousand ha; equaling 95.4%; cassava: 43.4 thousand ha, equaling 95.6%; peanut: 94.3 thousand ha; equaling 85.7%; soy-bean: 71.4 thousand ha, equaling 101.1% and vegetables: 293.7 thousand ha, equaling 101.8%.

Animal husbandry: As of 21/2/2008, there had 65,803 heads of buffalo and cattle died of cold weather, of which about 70% of calves and 30% of old buffalo and cattle. As of 24/2/2008, there were 7 provinces happening poultries plague not over 21 days: Thai Nguyen, Long An, Quang Ninh, Hai Duong, Nam Dinh, Tuyen Quang and Ninh Binh.

Forestry:

Generally for 2 beginning months of 2008, the concentrated forest areas gained 24.8 thousand ha, increasing by 0.8% over same period last year; the separated trees: 39.8 million, decreasing by 1.7%; the exploited wood production: 374.2 thousand m³, increasing by 0.7%; the exploited firewood production: 4.5 million stere, rising by 1.2%. According to preliminary report of the localities, in 2 months there were 9 cases of forest fire, destroying 55.81 ha.

Fishery:

Total production of fishery for 2 beginning months was estimated at 657.2 thousand tons, increasing by 11.4% against same period last year, of which the aquaculture was 270.6 thousand tons, rising by 28.2%; the caught products: 386.6 thousand tons, growing by 2%.

2. Industrial output

Generally for 2 months, the industrial production value was estimated at constant prices raising by 16.3% against same period last year, of which the state sector rose by 7.1% (enterprises under central management rose by 10.5%, and under local management fell by 0.2%); the non-state sector by 21.9%; the FDI sector by 16.7% (petroleum and gas fell by 2.1%, others rose by 19%).

In 2 beginning months, some main industrial items had higher growth rates than the general rate: assembled lorry rose by 98.8%; assembled coach by 71.6%; cotton fabric by 38.4%; processed seafood by 34.8%; television by 33%; air conditioner by 31.7%; ceramic tile by 30%; chemical paint by 28.7%; washing machine by 22.1%; cement by 21.9%; electricity by 20.8%. Beside that, other items had low growth or decreased rates: assembled motorbike rose by 10.7%; round steel by 9%; pure coal by 7.3% and crude oil fell by 2.2%.

3. Investment

Capital investments under the state budget in 2 beginning months of 2008 were estimated achieving VND 13.18 trillion, accounting for 13.4% of the whole year plan. Of which, central investment was VND 4.03 trillion, equaling 12.2%; local investments achieved VND 9.15 trillion, equaling 14.1%.

From 1/1/2008 to 22/2/2008, there were 72 granted license projects with a total capital registered US$ 2.53 billion. As compared with same period last year, the number of projects fell by 42% but the total registered capital grew by 56%. This is mainly due to 3 huge projects with total capitla registered over 2.21 billion US$. If 122.6 million US$ funding additionally for 17 licensed projects of the previous years were added, the total funds gained 2.65 billion US$, rising by 39.2%. Foreign investment was estimated at 1.08 billion US$.

4. Trade, prices and services

Total retail sales of consumer goods and services

Domestic market in 2 months is quite animated, specially in February, happening Mau Ty traditional Tet holidays. Total retail sales of consumer goods and services  in 2 months were estimated at current prices gaining 152.8 trillion VND, rising by 31.8% against same period last year, of which the private and individual sectors grew at highest rates of 38-39%; the FDI sector rose by 29.4%; but the state sector reduced by 1.1%. Of the total above, the trade accounted for 82.5% and rose by 31.6%; hotel and restaurant for 11.3% and by 33.5%; tourism for 1.3% and by 34.3% and services for 4.9% and by 30.2% respectively.

Consumer prices

Consumer prices in February 2008 rose by 3.56% against last month, which is higher than the rate 2.38% of January 2008 against December 2007. Among consumer goods and services, restaurant and catering services grew at highest rate of 6.18% that has been the highest level for recent months. The price of foodstuff rose by 7.53%; catering outside by 5.7%; food by 3.25%. Other groups increased slightly, from 0.1% to 2.34%. Particularly the price of post and telecommunication continuously fell by 0.22% over last month.

As compared with December 2007, consumer prices in February rose by 6.02% and average consumer prices of 2 beginning months grew by 14.89% against same period last year, of which restaurant and catering services increased at highest rate (foodstuff rising by 26.82%; catering outside by 22.03%; food by 17.43%).

Exports and Imports

The export value in 2 months of 2008 was estimated at over US$ 8.7 billion, increasing by 29.2% against same period last year, of which the value of exportation in January 2008 gained US$ 4.9 billion, US$ 400 million higher than the estimated level of over US$ 4.5 billion at end of January. Of the total export value for two months, the domestic economic sector gained nearly US$ 3.6 billion, growing by 21.5%; the FDI sector (excluding crude oil) more than US$ 3.4 billion, rising by 30.5%; crude oil: nearly US$ 1.7 billion  and 46% respectively.

To end of February, there were 2 items achiving export value of more than US$ 1 billion: crude oil: nearly US$ 1.7 billion, increasing by 46% and textile: nearly US$ 1.5 billion and rising by 41.8% against same period last year. Items with export value over US$ 500 million were: footgear: US$ 769 million, increasing by 25.3%; fishing: US$ 511  million and 19.1%; coffee: US$ 508 million, reducing by 5.3%.

The import value in 2 months of 2008 was estimated at nearly US$ 13 billion, growing by 63.7% over same period last year, of which export value in January was US$ 7.2 billion, US$ 1.7 billion higher than the estimation at end of January. Of the total import value in 2 months, the domestic economic sector gained nearly US$ 9 billion, increasing by 73%; the FDI sector by 46.1%.

Some items with big import value had high growth rates: Machine, equipment, tools and spare parts achieved nearly 2.2 billion USD, increasing by 32.6%; petroluem: 1.6 billion USD, by 71%; steel: nearly 1.5 billion USD, by 160.5% (rough steel increasing by 182.9%); electronic, computer and spare parts: 639 million USD, by 62.9%; fabric: 490 million USD, by 8.3%; plastic: 485 million USD, by 49.7% respectively. Notably, in 2 beginning months, some items had specially high growth rate over same period last year like: automobile rising by 356.1% (only complete automobile rising by 328.4%); fertilizer by 116.7%; animal fats and vegetable oils by 156.9%; milk and diary products by 121.1%; insecticide by 68%; wood and supplies by 54.5%; paper of all kinds by 53.2%.

The “phenomenon”  rapidly increase in trade deficit in 2007 continuously occurred in 2 beginning months of 2008 with the rate of 4.3 billion USD, equaling 49.2% of total export value and much higher than the rate of 15.9% of 2 beginning months of 2007.

International visitors to Viet Nam

International visitors to Viet Nam in 2 beginnings months of 2008 were estimated at 861 thousand persons, rising by 15% over same period of 2007. Of which, visistors for tourism were 517 thousand, rising by 13.5%; for business: 159.2 thousand, by 57.4%; for visiting relatives: 133.1 thousand, by 4.9%.

Visitors coming from China were estimated at 145.2 thousand persons, rising by 52.2%; from Thailand: 35.2 thousand, by 34.2%; from Australia: 53.5 thousand, by 10.9%; from America: 89 thousand, by 8%; from Taiwan: 53.9 thousan, by 3.6%; from Korea: 94.7 thousand, by 1.6%; only from Japan: 73 thousand, reducing by 8.7%. Some countries with small amount of visitors but high spending rates gained rather high growth rates: Sweden: 60.8%; Finland: 46.2%; Norway: 15.7%; Germany: 13.8%; England: 12.5%.

Transport

Passenger carriage in 2 beginning months of 2008 was estimated at 269.2 million persons and 11.4 billion passengers.kilometers, increasing by 12% in passengers carried and by 10.3% in passengers.kilometers over same period last year. Of which, domestic passenger carriage achieved 268.6 million persons, rising by 12.1% and 9,506.4 million passengers.kilometers, rising by 12%. Of transport ranges, passenger carriage by land accounted for 87.7% of the total passengers and 65% of total passengers.kilometers, had higher growth rate than the general rate, rising by 13.5% and 13.1% respectively.

Cargo carriage in 2 beginning months was estimated at 64.9 million tons and 22.2 billion tons.kilometers, increasing by 10% in cargo carried and by 28.5% in tons.kilometers. Of which, cargo carriage under central management rose by 19.3% in volume carried and 44.4% in tons.kilometers. Of transport ranges, cargo carriage by sea increased rapidly in both 2 indexes: Volume carriage was not much but increased by 21% against 2 beginning months of 2007, specially tons.kilometers accounted for 82.6% of the total in 2 months, rising by 33.7%.

Government revenues and expenditures

Total government revenues from 1/1/2008 to 15/2/2008 was estimated at 12.7% of the yearly estimate, of which domestic revenue was 12.1%; revenue from crude oil: 12.6%; trade balance revenue: 15.1%. Of domestic revenues, state economy: 14.3%; FDI sector (excluding crude oil): 8.7%; taxes on non-state sector: 12.1%; on high income persons: 10.1%; petroleum fee: 10%; other fees: 11.6%.

Total government spending from 1/1/2008 to 15/2/2008 was estimated at 11.3% of the yearly estimate, of which spending for investment and development was 9.8% (only for capital construction was 9.7%); for public services sector, Party, associations, defense (including spending for salary reform): 11.8%; debt and aid payments: 14.7%.

Tags: Vietnam economic 2008, Vietnam economic statistics, Vietnam's economy situation