In January 2023, the trade surplus is estimated at 3.6 billion USD

January 2023 is a month with a long New Year and Lunar New Year, so the number of working days is fewer than the previous month and January 2022, so data from the General Statistics Office shows that the total export and import turnover Goods in January 2023 are estimated to reach 46.56 billion USD, down 17.3% compared to the previous month and down 25% over the same period last year. Of which, the export turnover of goods in January 2023 is estimated at 25.08 billion USD, down 13.6% over the previous month and down 21.3% over the same period last year; Import turnover of goods in January 2023 is estimated at 21.48 billion USD, down 21.3% over the previous month and down 28.9% over the same period last year.

Regarding the structure of export goods, the group of processed industrial goods accounts for 89%; The group of capital goods accounts for 93% of the structure of the imported goods group in January 2023. Notably, in terms of import and export markets, the United States is Vietnam's largest export market with an estimated turnover of 7.6 billion USD; China is Vietnam's largest import market with an estimated turnover of 8.1 billion USD. Thus, the trade balance of goods in January 2023 is estimated to be a trade surplus of 3.6 billion USD. Of which, the domestic economic sector had a trade deficit of 1.04 billion USD; The foreign invested sector (including crude oil) had a trade surplus of 4.64 billion USD.

Although the import-export results in the first month of the year decreased somewhat compared to the previous month and the same period due to the impact of the long Tet holiday, there were signs of improvement at the beginning of the year from China opening its borders or other changes. The positive impact from the deep and wide implementation of Free Trade Agreements will be the driving force for import and export activities to continue their growth momentum last year.

For example, right from the beginning of 2023, there are signs that the rice export market is improving, export businesses have signed many new orders, creating expectations for the new crop. According to data compiled by the Vietnam Food Association (VFA), rice exports from January 1 to January 15, 2023 reached more than 226 thousand tons, worth nearly 115 million USD, compared to the same period in terms of quantity. quantity increased by 41.04% and value increased by 41.29%.

Expand the market through brand building

Agricultural businesses have been effectively taking advantage of Free Trade Agreements to expand markets and enhance brand value. General Director of Trung An High-Tech Agriculture Joint Stock Company (Can Tho) Pham Thai Binh said: previously, when the EVFTA Agreement had not taken effect, Vietnamese rice had already entered Europe but with very high tax rates from 5% to 45% depending on the country. Accordingly, it is very difficult for Vietnamese rice to compete with rice in countries such as Cambodia, Myanmar... because these countries, although not participating in the Agreement like Vietnam, are exempted from import tax by the European Union, meaning they are given special status. With Thai rice, although it is also taxed on import, this country's rice has a strong and long-standing brand. Therefore, with EVFTA, Vietnamese businesses, especially in the rice industry, have a great opportunity to compete fairly with the above countries.

According to the company's leader, Trung An Hi-Tech Agriculture Joint Stock Company, in the past, when the company exported rice to Europe, it had to pay quite high taxes, sometimes rice importers had to pay taxes of up to 200 Euro/ton. But now, with no more import taxes, importers get very competitive prices. Furthermore, in the past few years, Vietnamese rice has had very good quality thanks to the restructuring of the agricultural sector, including the rice industry. With policies from the Government and the Ministry of Agriculture and Rural Development, businesses and farmers in the rice industry have actively changed the farming and production process, improving the quality of rice and rice, replacing traditional thinking. improving productivity, therefore the quality and value of Vietnamese rice grains are significantly improved.

"Currently, Vietnamese rice has entered the European market in a legitimate way, especially the value of rice has been enhanced, European consumers have not only accepted it but also trusted it," General Director of the Company. Trung An High-tech Agriculture Joint Stock Company said.

According to the Ministry of Industry and Trade, total export turnover in 2023 is targeted to increase by about 6% compared to 2022, so with businesses in export fields trying to find new partners, diversify products. export, the Ministry will also support localities, associations, and businesses to effectively exploit signed free trade agreements, support localities and businesses to strongly shift to official export associated with export. Brand building, sustainable export.

Solutions set by the Ministry of Industry and Trade to promote import and export activities focus on regularly updating commodity price situations, supply and demand fluctuations in the world market, and information on measures management of import partners to proactively plan production and business. It is recommended that businesses research and increase purchasing output from domestic sources for goods with high import prices and have appropriate market alternatives.

At the same time, increasingly take advantage of opportunities from new generation FTAs to diversify export and import markets; continue to promote trade promotion activities to expand markets by prioritizing the implementation of export promotion projects and activities in markets that will soon recover in the post-Covid-19 period.

Minh Toan