Illustrative image (Photo: VNA) Hanoi (VNS/VNA) - The leather andfootwear industry is finding new supply and demand sources to overcomedifficulties due to the impact of the COVID-19 pandemic.
Seventy percent of raw materials for domesticleather and footwear production are imported from China, according to PhanThi Thanh Xuan, general secretary of the Vietnam Leather, Footwear and HandbagAssociation (Lefaso).
Therefore, the pandemic has causeddifficulties for domestic leather and footwear enterprises.
Many businesses have sought material sourcesfrom other markets such as India, Europe, Singapore, and Japan to maintainproduction.
Along with the diversification of rawmaterial sources, leather and footwear companies have been more active infinding partners.
Many businesses shared that some markets inEurope and Japan had shown signs of recovery with the disease better controlled.
The Vietnam - EU free trade agreement(EVFTA), which took effect from the beginning of this month, also helpedleather and footwear businesses expand markets and get more orders, said Xuan.
The pandemic was still complicated, but ifenterprises worked hard to find partners and improved their competitiveness,the opportunities would still be great, said experts.
Businesses and experts said that tradepromotion activities, as well as support from management agencies, shouldbe further promoted.
The Lefaso general secretary said the leatherand footwear industry needed to overcome weaknesses in chain linkage.
She also recommended a separate decree forthe leather, footwear, textile and garment industry to develop the fashionindustry in the country.
The report on industrial production and tradeactivities in the first seven months of this year of the Ministry of Industryand Trade found the production of leather and related products increased by 7.6percent last month compared to the previous month but was down 4.4 percent overthe same period last year.
It decreased by 4.2 percent in the firstseven months of the year compared to the same period last year.
Footwear export turnover of all kinds wasestimated at US$9.53 billion in the seven months, a year-on-year drop of nearly8 percent.
Imports of raw materials for the industryalso reduced by 14.1 percent in the first six months./.
Seventy percent of raw materials for domesticleather and footwear production are imported from China, according to PhanThi Thanh Xuan, general secretary of the Vietnam Leather, Footwear and HandbagAssociation (Lefaso).
Therefore, the pandemic has causeddifficulties for domestic leather and footwear enterprises.
Many businesses have sought material sourcesfrom other markets such as India, Europe, Singapore, and Japan to maintainproduction.
Along with the diversification of rawmaterial sources, leather and footwear companies have been more active infinding partners.
Many businesses shared that some markets inEurope and Japan had shown signs of recovery with the disease better controlled.
The Vietnam - EU free trade agreement(EVFTA), which took effect from the beginning of this month, also helpedleather and footwear businesses expand markets and get more orders, said Xuan.
The pandemic was still complicated, but ifenterprises worked hard to find partners and improved their competitiveness,the opportunities would still be great, said experts.
Businesses and experts said that tradepromotion activities, as well as support from management agencies, shouldbe further promoted.
The Lefaso general secretary said the leatherand footwear industry needed to overcome weaknesses in chain linkage.
She also recommended a separate decree forthe leather, footwear, textile and garment industry to develop the fashionindustry in the country.
The report on industrial production and tradeactivities in the first seven months of this year of the Ministry of Industryand Trade found the production of leather and related products increased by 7.6percent last month compared to the previous month but was down 4.4 percent overthe same period last year.
It decreased by 4.2 percent in the firstseven months of the year compared to the same period last year.
Footwear export turnover of all kinds wasestimated at US$9.53 billion in the seven months, a year-on-year drop of nearly8 percent.
Imports of raw materials for the industryalso reduced by 14.1 percent in the first six months./.
VNA
