Positive recognition from adaptation and international economic integration

In the face of the inevitable trend of the market economy, international economic integration (IEC) activities are being strongly oriented and supported by Thanh Hoa province. The participation of state agencies as well as the efforts and experience of enterprises have brought about quite positive results. Along with the improvement in attracting foreign direct investment (FDI), Thanh Hoa's import-export activities are also proving their competitiveness in the context of a constantly fluctuating market.

Production of export goods at Thanh Hoa Seafood Import-Export Joint Stock Company (Le Mon Industrial Park).

Since the beginning of 2024, Thanh Hoa import-export enterprises have faced new challenges when sea freight rates have increased many times compared to the end of last year. For the European market, the prolonged war tension in the Red Sea has caused sea freight rates to increase by 80%, even up to 300% compared to December 2023. Affected by the general market, freight rates to Asia have also increased due to slow container movement and congestion at some regional ports. In this context, many enterprises have proactively adapted with many specific solutions, suitable for the production, business goals and market orientation of each enterprise.

At Thanh Hoa Seafood Import-Export Joint Stock Company, on average, the company exports about 50 containers of seafood products each month, mainly to the European market under CIF contracts (the seller pays the freight). Along with negotiating, sharing, and supporting transportation costs, the company has simultaneously exploited some nearby markets and domestic markets to reduce costs. Fluctuations in market structure, prices, and transportation conditions are continuous movements of the market that the company must always be proactive in adapting to. Sharing difficulties with customers will inevitably affect the company's profits; but that is a necessary solution when the company wants to retain traditional customers as well as create prestige to develop new customers.

According to the Department of Industry and Trade - the standing agency of the International Economic Integration Board and the Export Program Steering Committee, since the beginning of the year, international economic integration activities have been carried out in a variety of ways. Along with the topics of propaganda, dissemination of information on international integration and implementation of legal regulations related to integration that have been regularly implemented, the Department of Industry and Trade has coordinated with the departments and offices of the Ministry of Industry and Trade to organize conferences to disseminate and raise awareness of international economic integration, especially information on markets that have signed Free Trade Agreements (FTAs) and measures to prevent disputes and fraud in international trade for state management officials and enterprises in the province. In particular, in-depth training courses on new-generation Free Trade Agreements (EVFTA, CPTPP, RCEP, UKVFTA), directly connecting businesses with Vietnamese trade offices in charge in countries, have been effective in supporting businesses to find the "right" and "hit" suitable markets to boost exports.

With those efforts, in the first 8 months of 2024, the export of goods of enterprises in the province still achieved good growth, with a turnover value of more than 3.9 billion USD, an increase of 20.7% over the same period and reaching 65.9% compared to the annual plan. Some items with high export output include: garments, footwear, cement, post-petrochemical products... Also in the past 8 months, FDI attraction continued to flourish with 17 projects, total registered capital reaching 367.8 million USD, 1.76 times higher in number of projects and 26.9% higher in registered capital.

Investment attraction and attraction of capital sources for official development assistance (ODA) projects have been strongly promoted. In addition to the 2 ODA projects being implemented, since the beginning of the year, the Provincial People's Committee has received 18 new programs, projects, and non-projects with a total committed aid capital of more than 9 million USD. To date, there are 56 foreign non-governmental organizations in the province; of which 40 programs and projects are being implemented with an estimated disbursement value of about 2.7 million USD in the first 6 months of 2024.

According to the assessment of the Steering Committee for International Economic Integration and the Steering Committee for the Export Program, in the coming time, a number of more specific solutions will continue to be strongly implemented, aiming to overcome some limitations in awareness and integration capacity of enterprises in the province. Accordingly, Thanh Hoa will continue to consolidate and strengthen cooperative relations with provinces and cities with traditional relationships, embassies, development agencies, and major international organizations; effectively implement the contents of cooperation agreements signed between Thanh Hoa province and localities and foreign partners; research, select, and establish cooperative relations with potential new localities and partners in countries and territories with advantages in production and application of clean technology and high technology such as Europe and North America.

Along with that, Thanh Hoa province will seriously and effectively implement the Central Government's directive documents on international economic integration, especially propaganda and training on new-generation Free Trade Agreements that Vietnam has signed such as: CPTPP, EVFTA, EAEU FTA, UKVFTA to provide information to enterprises, organizations and individuals on import-export standards, quality of imported goods, trade barriers, goods and trade defense of partner countries in the agreements, helping enterprises better understand and promote import-export activities.

Along with that, State agencies will implement national trade promotion programs, local trade promotion, e-commerce development to increase the trading capacity, search and expand the market of enterprises in the area; proactively approach large and potential corporations to mobilize and call for investment, especially investors in logistics and ICD dry ports; focus on attracting domestic and foreign investors with potential and strong brands to invest in projects with modern technology, high technology content, environmentally friendly, efficient use of resources, and products with competitive advantages in the 6 development pillars of the province; at the same time, focus on the group of small and medium-sized investors with high and clean technology from Japan, Korea, the United States, and Western European countries.

Article and photos: Tung Lam

Source: https://baothanhhoa.vn/ghi-nhan-tich-cuc-tu-thich-ung-va-hoi-nhap-kinh-te-quoc-te-223368.htm