Exported stone tiles are difficult to sell, many businesses operate at a standstill

Stone processing facilities in Dong Hop commune, Quy Hop are operating at a low level. Photo: Van Truong

In the small-scale industrial zone of Dong Hop commune, Quy Hop district, some mineral processing facilities have resumed operations after the Tet holiday. However, most of them are operating on a small scale, and the atmosphere is not as bustling as before.

The owner of a stone processing facility in Dong Hop commune said: In previous years, this product was very easy to consume, mainly exported to West Asia. But in recent years, purchasing power has decreased significantly, orders have been few and far between, especially in the period before Tet, about 3 months before Tet, products could not be sold. After Tet, we hoped to find new orders but there were none, currently we still have to operate at a low level to retain workers.

There is a lot of unsold stone in Quy Hop district. Photo: Van Truong

Currently, the facility has about 700,000-800,000 m2 of stone cladding in stock. Many stone cladding products have no place to be stored so they have to be gathered outdoors, affecting product quality.

Along the industrial park of Tho Hop commune, Quy Hop, it can be seen that many establishments are operating at a low level. Mr. Nguyen Van Xuan - the owner of a mineral processing facility in Tho Hop confided: After Tet, the market for stone cladding and stone powder consumption is still gloomy, the facility still has to operate to maintain machinery and maintain production, because if workers quit, it will be very difficult to find workers when there are orders. Currently, the unit has 3 trucks transporting goods, but all have to temporarily stop because they cannot sell their goods.

Stone tiles are packed in boxes but no one has asked to buy them. Photo: Van Truong

It is known that 2023 is too difficult, many mineral processing facilities in Quy Hop district have had to cut down on labor, thousands of workers in the mineral processing industry have become unemployed and switched to other industries. The system of machinery and equipment that has been out of operation for a long time is also rusted and damaged; hundreds of transport vehicles are "covered"...

According to the explanation of mineral processing enterprises in Quy Hop district, the reason for the difficulty in selling products is partly due to the impact of the world economic recession, partly because Middle Eastern countries have long imported a lot of stone tiles, now the demand of these countries is sufficient, so they buy very little.

Many stone products in stock are overflowing outside. Photo: Van Truong

To cope with the above difficulties, some units have had to seek domestic markets such as in Hanoi and Ho Chi Minh City and Southeast Asian countries.

In addition to the export stone market, the tin market also decreased sharply, causing tin mining units in Quy Hop district to operate at a low level, some units had to temporarily stop production.

Mr. Nguyen Xuan Hue - Head of the Phu Quy I Tax Department said: Quy Hop district has about 20 enterprises exporting mineral products to other countries. Due to difficulties in selling products, about 17 enterprises have had to temporarily suspend operations, and 3 enterprises are operating at a low level. Currently, there are almost no new export orders until 2024. Every year, Quy Hop district collects about 100 billion VND in resource tax, but in 2023, the whole district only collected 65 billion VND (a decrease of 35 billion VND). With the current situation, it is forecasted that in 2024, revenue from resource tax will be even more difficult.

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