Vietnam’s trade deficit is estimated to reach US$12 billion in 2010, equivalent to 16.9 percent of the country’s total export turnover, the Ministry of Industry and Trade has reported.

Workers at Vinamit Company make dried jackfruit for export (Photo: SGGP)

According to the Ministry, exports might reach US$70.8 billion and imports, US$82.8 billion.

The export turnover is an increase of 24 percent over the last year and 17 percent compared to the year’s target, while the import turnover is a rise of 18.4 percent, as compared with 2009.

The positive export turnover is mainly due to higher export prices and extra volume.

The average export price has surged sharply this year, pushing the export turnover by $3.4 billion.

Meanwhile, the rise in export volume has helped the turnover to increase by $10.3 billion.

Local enterprises have gradually switched from exporting raw materials to exporting industrial and processed products, which have a high added value.

The Ministry attributed the increase in import turnover to increasing import prices.

However, the ministry said import has slowed in the second half of the year, and it will continue to see a lower growth rate than export.

The ministry forecast that import and export turnovers will rise by over 10 percent in 2011, and the trade deficit will be about $14 billion.