Finding ways to overcome difficulties for key industries

​(News Portal - Dong Nai) - Playing an important role in economic growth, the processing and manufacturing industry with key products is showing signs of improvement but the recovery speed is still slow.

Trade connection is a solution currently applied by many businesses. In the photo, Phuoc Hung Mechanical Production Trading Co., Ltd introduces products to visiting businesses. 

Difficulties and challenges due to market fluctuations still surround the business community, especially the problem of product consumption. It requires many solutions, including focusing on unlocking new resources and finding more sales channels.

Maintaining the production pace

In Dong Nai, production is gradually recovering, but at a slow pace. According to Dong Nai Statistics Department, in the 7 months of 2023, 23 out of 27 industrial manufacturers increased their production over the same period but most of them were low. Some key industries increased quite well over the same period, such as beverage production increased by 4.6%, food processing increased by 5.8%; garment 5%; chemical production 3.9%; production of drugs, pharmaceutical chemicals and medicinal herbs increased by 7%...

For enterprises, trying to keep the production rhythm for as long as possible is an important task. According to Mr. Pham Van Hao, Director of Viet Tin Thanh Co., Ltd. (Bien Hoa City), a company specializing in manufacturing and supplying construction products, compared to peak times, monthly orders decrease by 40-50%. Since the beginning of the year, the construction and real estate sectors have continued to slow down, leading to new difficulties, forcing the company to find ways to change production and business activities. "We are trying to stabilize, finding small orders is also a solution while the market is in decline and competition is higher because there are many competitors supplying," Mr. Hao shared.

Similarly, Ms. Pham Thi My Chau, Deputy Director of Phuoc Hung Mechanical Trading Manufacturing Co., Ltd (Bien Hoa City) shared that as well as other companies, since mid-2022, businesses have encountered many difficulties in selling high volume goods. The company's metal products, which are normally produced for export partners, have had their output shrink while directly exported products are also difficult to sell. Returning to the domestic market, businesses have conducted researches and joined the niche markets, producing mechanical products for civil use such as TV shelves, air conditioners, refrigerator bases... and considered this as a solution to maintain the production for their workers.

Looking for more sales channels

Wood is one of the key industries in production and export. Recently, 15 Dong Nai enterprises participated in a fair and exhibition on machinery and raw materials for the wood industry coordinated by the Vietnam Wood and Forest Products Association with member associations throughout the country. According to Mr. Pham Van Sinh, Vice President of Dong Nai Wood and Handicrafts Association, Director of LiDo Wood Joint Stock Company (Trang Bom district), through fairs, exhibitions and surrounding thematic seminars, businesses have received more useful information and connected with a number of domestic and foreign partners to look for sales opportunities.

According to Dong Nai Wood and Handicraft Association, next September, Dong Nai will continue to organize a furniture fair. Accordingly, this is an export wooden furniture fair for the domestic market, serving as a bridge for wood processing and manufacturing enterprises to get updates on the domestic market trends. At the same time, creating favorable conditions for Vietnamese consumers to access and enjoy quality furniture products that meet export standards made by Vietnamese themselves, promoting the synergy between the potential domestic market and the continuous growth of exports. It is expected that about 200 businesses will participate the exhibit, introduce and sell products activities.

Similarly, according to the Ministry of Industry and Trade, a series of international buyers will come to Vietnam to meet and seek business contracts with domestic enterprises. This series of events is expected to take place at the Saigon Exhibition and Convention Center (SECC) in Ho Chi Minh City from September 13^th to 15^th. The goal is to connect distribution channels, foreign importers with Vietnamese manufacturing and exporting enterprises, helping enterprises to participate more deeply in the global production and supply chain.

It is expected that about 200 international delegations from 30 countries and territories will participate to purchase, find trade partners, and new orders. The Ministry of Industry and Trade and localities will bring international purchasing delegations to directly survey manufacturing enterprises in the localities. Businesses said that the organization of trade connection programs is considered a very necessary solution today so that businesses can have more channels to expand product consumption. ​