Retail sales increase 24 percent

First-quarter retail sales and services revenue surged about 24.1 per cent against the same three months of last year to almost VND364.5 trillion (US$19.2 billion), General Statistics Office figures show

The rise was 14.4 per cent allowing for inflation.

Private business with revenue of VND121.2 trillion ($6.4 billion) – a rise of 34.8 per cent – contributed most to the surge.

The figures for the first three months of 2008 and 2009 illustrate the of the jump.

First-quarter sales and service revenue for 2008 increased 11 per cent against the first three months of 2007; the figure for 2009 was 6.5 per cent.

The GSO attributes the jump to the economic rebound that lifted domestic consumption, especially during Tet (Lunar New Year).

Trade industries contributed most to the surge with revenue of VND287.3 trillion ($15.1 billion), up 24.7 per cent; hotels and restaurants followed with 40.3 trillion ($2.1 billion).

Services-industry revenue was VND32.9 trillion and tourist industry revenue, VND3.9 trillion.

The Viet Nam Retailers Association reports that retail sales and services revenue surged 18.6 per cent last year from the previous year to about $63 billion.

Excluding 6.9 per cent for inflation, retail sales grew about 11 per cent year-on-year.

Domestic consumption rescued production last year when export revenue fell 9.7 per cent from the previous year.

The healthy domestic retail market helped attract many of the world’s most famous trademarks including Naf Naf, Morgan de Toi, Mexx, Aldo, Hard Rock Cafe and Debenhams to Viet Nam despite the global economic contraction.

CB Richard Ellis Viet Nam director Richard Leech forecasts that more international retailers will enter Viet Nam this year to tap a market where consumers often spend 70 per cent of their incomes shopping.

The Ministry of Industry and Trade has forecast retail sales and services revenue to increase 22 per cent to roughly $74 billion this year.

Vietnam News

Tags: Vietnam retail market, Vietnam Retail Sales