Work in progress at the Bao Long Limited Company in Lang Son Province, which makes water pumps. The inventory index of the manufacturing and processing industry in February rose 1.8 per cent over last month and 12.7 per cent year-on-year. — VNA/VNS Photo

HA NOI  (Biz Hub) — The inventory index of the manufacturing and processing industry in February rose 1.8 per cent over last month and 12.7 per cent year-on-year increase, stated the Industry and Trade Ministry.

According to figures released by the ministry, the inventory indices of the pharmaceutical, milk processing, steel, and footwear sectors were at high level of 25 to 104 per cent.

The Index of Industrial Production (IIP) during February saw a 15 per cent increase as compared to the same month last year.

Viet Nam's IIP in the first two months of this year rose 5.4 per cent against the corresponding period last year, while the industrial consumption reduced 2.8 per cent.

The ministry has noted that the high inventory was due to low consumption. For instance, steel consumption in the two-month period was only 300,000 tonnes, reducing 30 per cent over the same period last year. Its inventory was up 40 per cent during the same period.

The ministry emphasized that it has taken steps such as providing support to businesses and farmers to sell their products and resolve difficulties related to production.

In addition, it urged the enterprises to adopt measures to promote sales.

It added that inventory has always been a matter of concern. The government has made it mandatory for the ministries and localities to reduce inventory to the targeted level, while the ministry has promulgated a plan to save businesses and promote exports. — VNS