According to an estimate, the global handicraft market will reach 1.007 billion USD in 2023. Moreover, these values will target to 1.107 billion USD in 2024 and 2.394 billion USD in 2032. Vietnam’s handicraft export has huge potential due to its diverse industries and rich resources.
Currently, Vietnam has more than 5,400 traditional craft villages with many different product models. Namely, they are bamboo and rattan products, ceramics, embroidery, bronze casting, wood carving, jewelry, and gemstones. The revenue of these craft villages is more than 75 trillion Vietnamese dongs.
Vietnam’s handicraft export
The scale of the Vietnam’s handicraft export is predicted to have a growth rate of about 8.70% in the period 2024 – 2032. This figure is lower than the global industry growth rate. This shows that the Vietnamese handicraft industry still has much room for development.
In recent years, Vietnam’s handicraft export has always been in the top 10 export items with the largest turnover. Vietnamese hand-made products have many high added value and larger profit margins than many other export items. According to statistics, every one million USD of exporting handicrafts brings in 5-10 times more profit than many other export items. In addition, the actual value from exporting these items are very high.
Vietnam’s handicraft export: lampshade
Handicraft production in Vietnam mainly relies on the potential of thousands of craft villages across the country. These craft villages have created jobs for over five million rural workers. Although the export turnover is not high compared to some other industries, handicrafts bring the country foreign currency with a high proportion in export turnover.
Developing the handicraft industry is the right direction in the process of global economic integration. These days, the growth rate of the handicraft industry has been stable. Moreover, the implementation of free trade agreements is opening up many export opportunities for handicraft products.
Vietnam’s handicraft export: basket
To date, Vietnamese handicraft products have been present in 163 countries and territories, . They account for nearly 10% of global market demand. Vietnam’s handicraft export turnover in the period 2015-2019 increased by an average of 9.5% per year. It increased from $1.62 billion (2015) to $2.23 billion (2019), and striving to reach $4 billion by 2025.
Development drivers:
Rich cultural heritage: Vietnam’s vast cultural heritage significantly contributes to the growth of traditional crafts. The nation’s cultural diversity fosters variety in traditional industries.
Skilled workforce: With a long-standing history, Vietnam’s handicraft sector boasts a skilled and abundant workforce, preserving cultural traditions.
Vietnam’s handicraft trade fair
Tourism boosting handicraft products: Post-crisis, international tourism has shown signs of recovery and growth. Tourism drives the handicraft sector, as these products are popular souvenirs and effective promotional tools.
Rising demand and export opportunities: The COVID-19 era increased demand for home-related activities, boosting interest in home decor and utensils. Additionally, the trend toward using natural materials supports the growth of related handicraft sectors.
Vietnam’s handicraft villages
Challenges of the handicraft industry:
Production difficulties: Most handicraft industries originate from small-scale family operations, gradually developing into village-scale models. Handicraft brands often form spontaneously within regions, such as Bat Trang pottery, Ha Dong silk. These lack systematic processes, making it challenging to protect and develop the brands effectively.
Market access difficulties: The value of these brands is insufficient to penetrate demanding international markets, limiting product prices. Businesses have limited capacity for marketing activities. Online channels are underutilized, and product sales depend heavily on intermediaries.
Vietnamese sources: https://langngheviet.com.vn/thuc-trang-xuat-khau-thu-cong-my-nghe-o-viet-nam-31348.html