Viet Nam's rubber exports will rise by the end of this year due to a trend of economic recovery, experts have said.
HA NOI — Viet Nam's rubber exports will rise by the end of this year due to a trend of economic recovery, experts have said.
|Workers transport rubber latex for production at Dau Tieng Rubber Co Ltd in the southern province of Binh Duong. The global economic recovery will help increase Viet Nam's rubber export by the end of this year. — VNA/VNS Photo Dinh Hhue |
Tran Thi Thuy Hoa, general secretary of the Viet Nam Rubber Association, said the world economy had shown signs of recovery, therefore the demand on rubber would rise to increase rubber exports in the coming time.
The export price was forecast to be slightly down due to a high world supply of rubber, but Viet Nam's export volume was slated to increase sharply, making the export value of rubber in the second quarter of this year potentially higher than the first quarter, Hoa said.
However, according to the Ministry of Agriculture and Rural Development's statistics, in the first five months of this year, Viet Nam saw a 35.2 per cent increase in export volume of rubber to 317,000 tonnes, but a reduction in export value of 7.2 per cent to US$952 million.
The ministry said achievements of rubber exports in Viet Nam depended on volume, not value.
Hoa said rubber export in the first five months was difficult due to the remnants of an economic crisis causing low demand and reduced prices. Additionally, Viet Nam's export price for rubber was unstable because of low quality and missed delivery deadlines.
China was one of Viet Nam's key export markets for rubber, accounting for 60 per cent of the national total exports of rubber, which was 50 per cent lower than the first quarter last year, she said.
To solve the situation, Hoa said, Vietnamese rubber exporters had sought new markets, including India, Malaysia and Taiwan, so export value fell slightly due to high export volume.
Domestic exporters should ensure the quality of exported rubber products and deliver them as scheduled to keep up the reputation of Vietnamese rubber during the difficult period, Hoa said.
By the end of June, many customers from Shanghai, Tianjin and Liaoning of China are expected to sign import contracts with domestic rubber exporters, the ministry said. Export prices of Vietnamese rubber are also estimated to increase. — VNS