Industrial production index maintains high growth

According to the provincial Statistics Department, the index of industrial production (IIP) in April maintains high growth rate which is estimated at 107.78 percent compared to last month, up 123.18 percent against the same period. The reason for increasing IIP comes from stable production and business activities of FDI companies such as Luxshare ICT, HonHai Group, Vinasolar and development of new companies like Fukang and Hanamicron Vina.

IIP is estimated to increase by 23.96 percent in the first 4 months in all of the 1^st-level industries. Of which, manufacturing industry maintains its leading role with 24.14 percent of growth rate followed by mining industry with an increase of 15.64 percent, electricity production and supply with 18.15 percent and water supply and waste water treatment with an increase of 5.85 percent. Apart from high-growth industries like electronic manufacturing and food processing, many industries face difficulties including beverage production, leather production and related products, printing and electric equipment production because they are small-scale industries making small contribution to growth rate of this index.

Regarding investment attraction, Bac Giang continues to be the first-choice for domestic and foreign investors thanks to strong development in infrastructure of the industrial parks and clusters in line with improved investment and business climate. The province attracted 110.8 million USD of investment capital in April, 1.7 times higher than the same period in 2023 including 7 FDI projects with the registered capital of 24.25 million USD and 2 domestic projects with the registered capital of 837.7 billion VND (32.9 million USD). In the first 4 months, the province attracted 780 million USD of investment capital, equivalent to 77 percent compared to the same period, of which the province gave a nod to 13 new domestic projects with 9.245,7 trillion VND of registered capital and 22 FDI projects with the registered capital of 128.8 million USD. Besides, 206 new businesses were established in April while the figure is 524 new businesses established in the first 4 months with the total registered capital of 2.598 trillion VND (102 million USD).

Regarding agricultural production, the localities in the province completed planting the spring crop which is estimated at 65,905 hectares, decreased by 1.6 percent against the same period. The citrus tree growing area continues decreasing due to low economic efficiency when the trees become degenerated yielding low productivity. In addition, lychee tree faces low flowering percentage while the fruiting rate is estimated at only 40 percent posing risk of a lost season.

Livestock enjoys favorable development without arising epidemic. However, the herds of buffalos and cows continue decreasing due to low economic efficiency, reduced feeding area and animal traction while the herds of pigs and poultry flocks are kept stable.

Commercial and service activities were maintained high growth. The total retail sales of goods in April is estimated at 3.890.8 trillion VND, up 1 percent compared to previous month and 18.1 percent over the same period thanks to good economic growth and increased people’s income that helped to increase the consumers’ demand. The total export and import turnover in the first 4 months reached 14.9 billion USD, an increase of 15.9 percent against the same period.

Transportation activities see a light increase over the previous month and continue jumping thanks to high demand for transportation of goods to serve industrial production and construction. Revenues from transportation activities in April is estimated at 1.170.1 trillion VND, 2.5 percent increase against last month and 21.08 percent higher than the same period. The total revenues from transportation is estimated at 4.765.8 trillion VND in the first 4 months, up 19.34 percent over the same period.

Consumer price index (CPI) in April increased by 0.18 percent over the previous month and 4 percent over the same period. The average cPI in the first 4 months increased by 2.76 percent against the same period.

Implementing solutions to boost socio-economic development

Some electronic component producers especially small and medium enterprises known as Samsung’s vendors face difficulties in seeking for orders. Besides, state budget revenue faces difficulties especially revenues from land use which only met 22.6 percent of the estimation. The disbursement rate of public investment capital is lower than the same period. The number of suspended enterprises increased by 21.2 percent while the number of newly established businesses declined 11.9 percent compared to the same period.

In order to maintain the growth momentum, Bac Giang province will continue promoting industrial production especially major key projects. Besides, the province will grasp the situation to timely support businesses to remove obstacles, foster production and business, create new production capacity and new jobs for labourers. It is also necessary to support businesses in labour recruitment.

It is necessary to speed up procedures related to investment, land and construction to soon bring the items of the electricity projects into use to ensure safe and stable power supply for production, business and people’s living.

The province will also promote application of agricultural production following VietGAP, GlobalGAP and high-tech standards into production. They will instruct local people to care lychee and other fruit trees meeting requirements and standards of the export markets.

It is necessary to monitor the supply and demand, prices and market developments to have plans and solutions for market stabilization. Besides, it is essential to diversify methods of promoting consumption of farm produce especially lychee to take initiative in any situation.

The province needs to implement synchronous and drastic measures in tax management while enhancing efficiency of collection, management and use of land-based revenues. It is necessary to concentrate on land clearance to timely handover land to investors and implement auction of land use rights.

The province will speed up land clearance of the remaining area of expanded Yen Lu and Hoa Phu industrial parks and new industrial parks of Phuc Son and expanded Vietnam-Korea. It is necessary to boost investors to complete building technical infrastructure the industrial parks as planed to give clear land for investment attraction.

Besides, Bac Giang province will pay continuous attention to cultural comprehensive development, improving education and medical quality to secure national defense, security and social order and safety.

Ngoc Quyen