Industry sector urged to lead in combating recession

Hanoi (VNA) - The industry and trade sector should pioneer preventing the economic
slowdown, with focus placed on supporting businesses to step up production and
exports, said Prime Minister Nguyen Tan Dung.

At a conference hosted by the Ministry of Industry and Trade in Hanoi on Dec.
31, PM Dung praised the sector's huge contributions to the country's achievements
this year, including a 14.6 percent rise in industrial production and a 29.5 percent
increase in export turnover.

Despite a wide range of difficulties, industry and trade enterprises have operated
effectively to meet integration requirements, ensuring a sufficient supply of
commodities for the domestic market, with prices being driven by the market rules,
he said.

However, the PM pointed out the sector's shortcomings in managing import-export
activities, forecasting and controlling prices and the domestic market, especially
its failure to fulfill the yearly growth target.

While emphasising economic decline prevention as the most important goal in 2009, PM
Dung asked the sector to focus on removing obstacles hindering production and
exports.

In addition to the government's solutions, the ministry needs to work out its own
mechanisms and policies to facilitate enterprises' efforts to run at their full
production capacity and meet domestic and export demands, with priority given to the
supporting industries to reduce imports, he stressed.

According to the PM, the sector should increase consumer goods production to meet
the domestic demand and assist those industries that produce commodities to replace
imports, employ a large number of workers and use materials available in the
country.

He urged the sector to coordinate closely with banks to provide soft loans for
enterprises to help them promote sales and make the most of the local market in a
bid to maintain production and employment.

The government leader proposed the ministry accelerate trade promotion activities
and administrative reform, curb the import growth at below 27 percent, intensify the
fight against smuggling, and ensure a sufficient supply of goods, particularly
essential commodities.

Regarding its subordinate groups and corporations, PM Dung ordered the ministry to
speed up the restructuring of the targeted firms to improve their competitiveness.

Minister of Industry and Trade Vu Huy Hoang pledged to closely follow the
government's solutions, strive for year-on-year increases of 16 percent and 13
percent in industrial production and export earnings, respectively, and ensure
enough goods for the domestic market.-Enditem