Agriculture continues to play a pivotal role in the economy. Import and export turnover in May achieved higher growth than April; Many export agricultural products have very good growth such as rice, vegetables, cashew nuts; The trade balance continued to have a trade surplus, reaching nearly USD 10 billion. Those are remarkable highlights in export activities in the first five months of 2023.

Forecasts show that export activity will gradually recover in the second half of the year. However, there are still many difficulties ahead for key export products, which require businesses and industries to pay special attention to be able to access markets in the near future.

Merchandise export turnover in May 2023 is estimated at more than USD 29.05 billion, an increase of 4.3% over the previous month. Accumulated over the first five months of 2023, export turnover of goods is estimated at USD 136.17 billion. The industrial processing group contributed over 88% to this result, and electronic products have regained momentum.

A number of agricultural products are exported with high added value. Notably, rice products have penetrated into many EU markets with high requirements on standards and quality, making good use of new-generation free trade agreements such as EVFTA, UKVFTA.

The trade balance continued to have a trade surplus, with a value of nearly USD 10 billion, which was a bright spot that Mr. Tran Thanh Hai - Deputy Director of the Import-Export Department, Ministry of Industry and Trade highlighted in export activities in the first five months of the year.

However, import and export turnover in the first five months of 2023 continued to fall deeply (with a 2-digit decrease compared to the same period last year - a decrease of more than 11%) and has clearly shown a decrease in both export and import. In which, the decrease in imports was larger, reflecting the continued difficult production situation, and the decreased demand for imported raw materials. This is most evident in the textile, footwear and furniture industries, which continue to face difficulties in finding orders.

Currently, inflation has declined in a number of markets, Deputy Director of the Import-Export Department Tran Thanh Hai forecast, the opportunity for export of consumer goods to recover in the coming months. And with the initiative and readiness of businesses, export orders will soon be met.

Kylie Nguyen