Increases in Rubber industry
Ha Noi, Feb. 4 (VNA) -- Viet Nam's yearly rubber production has soared by an average of between 10-12 percent but only 15-20 percent of it is used in the country, reports the Viet Nam Rubber Corporation (VRC).
VRC General Director Le Quang Thung says most of the country's latex is exported with almost 70 percent going to China. Last year, Viet Nam exported USD 170 million worth of latex.
In 2000, Viet Nam processed 225,640 tonnes of rubber - a year-on-year increase of 11.44 percent and 218,000 tonnes of dried latex, - an increase of 10.2 percent.
The VRC's turnover rose by VND 268.6 billion because its production costs dropped by 2.15 percent and its labour productivity and sale prices surged by more than 13 percent. This helped raise its yearly profit to 120 percent over 1999.
Thung says last year's success was made possible by the rise of product quality through complying with ISO 9002 as well as the expansion of overseas markets, including Russia and other Commonwealth of Independent States (CIS) countries, Japan, the Republic of Korea, China and the Middle-East.
The country plans to raise its output to 320,000 tonnes this year, with a rise of about 10 percent in exploitation output, 2.28 percent in labour productivity and 10 percent in profit compared with last year.
But, Thung says, it is crucial for the VRC to seek more product outlets, in addition to changing production structures to make its products more competitive overseas. The VRC must devise a strategy to increase domestic consumption by making rubber a source of raw materials for other industries, he adds.
The VRC will focus its investment in building facilities to produce low-grade products and latex processing factories making products ordered by foreign partners under long-term contracts between now and 2005.--VNA
