Vietnam’s trade deficit this year will widen to between $14 billion and $14.5 billion, up more than 10 percent from 2010, despite stronger-than-expected growth in export revenues, the government said.
Exports would jump 17-18.4 percent from last year to between $84.5 billion and $85.5 billion, following strong growth in the first half of the year, the government said in a statement issued late on Monday.
Imports for the whole of 2011 could reach an estimated $99 billion, leaving the annual trade deficit at around 16 percent of the country’s exports, in line with a government target for 2011 approved by the National Assembly, the statement said.
Exports in the first six months jumped 30.3 percent from a year ago to $42.3 billion, while January-June imports rose 25.8 percent to $48.99 billion, the government said last month. The government released the revised annual trade projections after a trade ministry meeting on Monday to review performance in the first half of 2011.
Vietnam had previously projected the annual trade deficit for 2011 at $14 billion, with exports and imports both rising 10 percent. Vietnam has been facing a trade deficit every month since April 2009, after recording monthly trade surplus each month in the first quarter of 2009.
The trade gap last month estimated at $400 million is the smallest since March 2009′s surplus, government data show.
Vietnam’s economy is expected to quicken its growth next year to 6.5 percent from a projected 6 percent in 2011, with exports rising to between $95.2 billion to $97 billion, the Planning and Investment Ministry said in a report last month.
Vietnam is the world’s second-largest producer of coffee after Brazil. It also ranks the second-biggest exporter of rice after Thailand.
Rice exports this year are expected to rise to 7 million tonnes, a Vietnam Food Association representative was quoted by Tuesday’s official Vietnam Economic Times newspaper as speaking at the trade ministry meeting on Monday. Last year Vietnam exported a record high of 6.83 million tonnes of rice.