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Ceramics, furniture, handicrafts

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Export handicraft industry: Focus on trade promotion

( Update: 12/08/2019 )

At present, the Vietnamese handicraft industry still retains its traditional values ​​and is highly appreciated by foreign markets.However, with the current development trend, especially the competition from countries with developed science, the industry should have in-depth investment strategies on technology, design innovation, brand development and promotion. trade promotion for sustainable development.

According to the Vietnam Craft Village Association, the whole country has 5,411 craft villages and handicraft villages, of which 1,864 trade villages, traditional villages and 115 traditional trades have been recognized. This is a great advantage in the export of these potential handicraft items. But according to some experts, now many Vietnamese craft village products have been lost or failed to maintain the inherent brand and stolen brand ...

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Besides, weaknesses in awareness and awareness of branding; link production and brand promotion associated with trade promotion, tourism and intellectual property protection ... has made export handicrafts difficult.

In 2017, Vietnamese handicraft products have been slumping in strong orders in big markets like the US, Europe and Japan ... then in emerging countries like Thailand, Philippines, Indonesia, export volume handicrafts are increasing by nearly 15%. This is a big challenge for managers as well as enterprises exporting Vietnamese handicrafts.

Although it was at the end of the year, but according to the reflection of enterprises exporting handicrafts, the orders did not have a sharp increase. According to preliminary statistics from the General Department of Vietnam Customs, by the end of November 2017, the export turnover of handicraft products in the category of rattan, bamboo, rush and carpet reached 25.3 million USD, increasing turnover. 11 months of 2017 to USD 242.9 million, up 2.64% compared to May 11, 2016.

Among the export markets of Vietnam rattan and bamboo products, the US is the main market, accounting for 20.1% of the total turnover, however, compared to the same period in 2016, the turnover decreased by 13.44%. The second largest market is Japan, an increase of 23.05% to 47.9 million USD, followed by Germany down 9.59%, equivalent to 25.6 million USD. In general, in the first 11 months of 2017, export turnover to markets has reached 61.9% and the market with a decline in turnover accounted for 38%.

It can be seen that the Vietnamese handicraft export industry in the past has not created a great competitiveness compared to some countries such as China and regional countries. The reason is pointed out that enterprises are less invested in production technology. In the past few years Vietnamese handicrafts have also reduced their competitiveness because of the lack of creative designs.

Therefore, improving and innovating product designs is an urgent requirement to increase competitiveness for Vietnamese handicrafts. In addition, trade promotion should also be promoted to expand and seek markets, increasing opportunities for Vietnamese businesses to meet foreign partners ...

Ms. Ha Thi Vinh, Vice Chairman of Vietnam Craft Village Association said that in the context of our economy is deeply integrated with the international economy by a series of bilateral and multilateral trade agreements. Having been signed, the trade promotion will help businesses to develop production and business sustainably and have many conditions to expand the market and seek orders.

According to Ms. Vinh, handicrafts are an advantage of Vietnam because of abundant domestic materials, a large labor force, low labor costs, traditions and long-term job experience. But it will be very difficult to "go to the big sea", if not participating in international fairs to learn, find information and strategic direction for sustainable production. Therefore, this is an important channel to help businesses orient their strategies and develop investment plans for development.

However, the manufacturing enterprises in the craft villages are mainly SMEs, even extremely small, so in addition to the state funding support for booth rentals, the remaining costs such as: food, living, transporting goods and traveling are all self-sufficient, this is also a big expense for enterprises in craft villages, so many businesses are not eligible to participate in fair programs. , promotion.

According to Ms. Ha Thi Vinh, for the handicraft industry to increase its competitiveness with other countries, there is a great need for change, design improvement, promotion of brand promotion and development, positive contact trade, seek and expand export markets ...

In addition, it is necessary to create "leading birds" in the industry with sufficient production scale, high quality labor force, producing international standard products to help small and small enterprises in craft villages develop together.