MoIT helps business enhance competitiveness

Tran Duy Dong, Director of the MoIT’s Domestic Market Department

The MoIT has participated actively in the Buy Vietnamese Goods campaign. Could you share the results achieved by the industry and trade sector in implementing this campaign?

The most outstanding result is reflected in the industry and trade sector’s contribution to stable growth of Vietnam’s gross domestic product (GDP). Total retail sales have grown more than 10 percent annually over the past three years. The sector is striving to achieve the 12 percent growth target set by the National Assembly and the government for 2019.

Another impressive result is the sector’s contribution to inflation control efforts. Over the past five years, the consumer price index (CPI) has been curbed at an average of below five percent. In 2019, the CPI is expected to peak at below four percent as in the past two years.

The campaign has also helped Vietnam reduce its trade deficit and record surpluses in recent years.

Vietnamese businesses have paid greater attention to domestic sales rather than focusing on exports. What do you think of these changes?

The campaign has changed business awareness of the potential of the domestic market with nearly 100 million consumers. Before conquering foreign markets, businesses should carve out their niches in the domestic market. Domestic trade contributes significantly to Vietnam’s GDP as well as the growth of businesses.

Aware of the importance of the domestic market, many companies have invested in technology to create products that meet consumer demand and can compete with imported goods. They have also paid greater attention to customer care and after-sales services. Many Vietnamese products have been firmly positioned in the domestic market and exported. Brands such as Vinamilk, Trung Nguyen and Agribank have become the pride of the Vietnamese people.

What will the MoIT do to further support business efforts to enhance competitiveness?

The MoIT has submitted to the government a strategy to develop the domestic market until 2025, with a vision towards 2035, proposing various projects and programs aimed at helping businesses enhance competitiveness.

The ministry has also proposed the extension and new implementation manner of the ongoing domestic market development project associated with the Buy Vietnamese Goods campaign in order to achieve higher effectiveness. Training programs will be developed to help businesses improve product quality and design as well as sales and after-sales services.