|A mechanics tool is produced for export at Ha Noi Export Mechanical Tool Joint Stock Company. The country's Index of Industrial Production saw a record three-year low in this year's first quarter. — VNA/VNS Photo Ngoc Ha
HA NOI (VNS)— The country's Index of Industrial Production (IIP) increased 4.9 per cent over the first quarter last year, a record three-year low.
General Statistics Office (GSO) experts attributed the low increase to declined production in the processing and manufacturing industry, which accounts for nearly 71 per cent of the country's total industrial production.
The production of televisions decreased more than that of any other product, dropping 12.1 per cent to 504,000 units. Textile industry output reached only 190.1 million square metres, down 11.3 per cent, while seasoning powder decreased 6.5 per cent to 58,900 tonnes.
However, production enjoyed strong growth in several sectors: urea fertilizer, which grew 94.2 per cent, mobile phones, which went up by 20.6 per cent, and motorbikes, which rose 13.7 per cent.
The industrial sector's inventory index stood at 16.5 per cent, down 3.5 per cent from the previous month.
However, the GSO said that the slowdown was not because of increased consumption but rather because industrial producers turned to other sectors or sold off products to retrieve capital.
To overcome these difficulties, experts recommended industrial producers restructure production so they could churn out high-quality products and sell them to a wider market.
They also suggested the Government provide firms with easier access to capital and improve tariffs and the business environment. — VNS