The competition between natural rubber producing and exporting countries will become more intense. — VNA/VNS Photo

As the COVID-19 pandemic recedes, Viet Nam's rubber industry faces challenges from both the world market and internal factors that hinder the industry’s competitiveness. Finicky global markets are extremely competitive and well down the development road, meaning Viet Nam needs to catch up to keep pace.

Tran Ngoc Thuan, chairman of the Vietnam Rubber Association (VRA), said the competition between natural rubber-producing and exporting countries would become more intense regarding price, product quality, commercial reputation and the ability to meet increasingly stringent sustainability standards on demanding markets.

On the other hand, the structure and types of natural rubber in Viet Nam still heavily rely on the Chinese market and only partially meet the needs of other, more finicky markets. This makes it difficult for market penetration in major markets such as the US and Japan.

In addition, a disjointed national management system and policy mechanisms such as tax declaration, value-added tax, and high-income taxation has caused industry and business growth difficulties.

Meanwhile, according to free trade agreements, natural rubber imported into Viet Nam currently enjoys a tax rate of 0 per cent, which will encourage businesses to prioritise choosing import products from Thailand, Malaysia, and Indonesia. This will create competitive pressure on domestic rubber businesses.

The rubber product processing industry still faces difficulties in competing with imported products. There is still a lack of technical barriers in trade to prevent poor-quality goods from being imported from other countries, causing losses to consumers and unfair competition with domestic goods.

Despite many difficulties and challenges, the VRA leaders said the industry would also have many advantages in the future.

The association forecast that the world's natural rubber demand will continuously increase. The gap between supply and demand will be a great opportunity for Viet Nam to increase natural rubber production and export turnover and create jobs for rural areas and related industries.

Tran Thanh Nam, deputy minister of Agriculture and Rural Development, said that, in general, there are still many difficulties and challenges; the association needs to continue promoting its representative role while considering supporting members and businesses as an important factor contributing to promoting sustainable development of the industry in the coming time.

According to the official, sustainable development has become stronger, and Viet Nam's rubber industry must focus on improving competitiveness in the world market based on quality assurance following international standards.

Viet Nam's rubber industry requires uniform quality management nationwide while increasing the application of advanced techniques, restructuring products according to market requirements, and expanding investment in processing.

The formation of auxiliary industries is important, and at the same time, the sector must continue to promote the reorganisation of the industry according to the production value chain to improve competitiveness in the international market. 

Indonesian tourism promoted at Vietnam Int’l Travel Mart 2023

Dozens of Indonesian and Vietnamese travel agencies met in an exchange on April 12 to create more tourism products for Vietnamese and Indonesian people.

Titled “Sales Mission Wonderful Indonesia”, the event is the first activity in the framework of the Vietnam International Travel Mart 2023 (VITM).

Addressing the event, Indonesian Ambassador Denny Abdi said: “After the pandemic, we learned of the new tourism trends, and policies and strategies were quickly applied to adjust to the changes in tourist behaviour.

Making the most use of five top priority destinations (Borobudur, Mandalika, Labuan Bajo, Toba Lake, and Likupang) are among Indonesia’s ways to promote this new trend.

In 2022, Indonesia welcomed nearly 5.5 million international tourist arrivals, surging 251% year on year and surpassing the target of 3.6 million.
 
Indonesia’s target this year is to attract 7.6 million foreign tourists.

There are direct flights to Bali, and more rewards can be offered to more destinations in Indonesia, particularly Jakarta. According to the ambassador, Indonesia will also host many international events which will boost demand for trips.

I Ketut Susana, Operation Director of Bali Sinar Mentari Tour & Travel, told Vietnam News that the company has joined the VITM twice so far.

Susana said his company received Vietnamese guests before the pandemic and has started to receive Vietnamese tourists again.

The company this time introduces many new tours to various destinations in Indonesia to Vietnamese people for individuals, and big and small groups.

According to Ha Van Sieu, Deputy General Director of Vietnam National Tourism Administration, in 2022, Vietnam received 26,000 tourists from Indonesia, an increase of 5,000 people against that in 2021. Yet in 2019, the number was 106,000.

In the meantime, Vietnam is the country with the fourth-largest number of tourists to Indonesia with over 62,000 in 2022, after Malaysia (over 1 million), Singapore (over 666,000), and the Philippines (over 65,000).

VinES, Li-Cycle plug in to battery recycling in Vietnam

VinES Energy Solutions (VinES), a member of Vietnamese private conglomerate Vingroup and Li-Cycle Holdings Corp. (Li-Cycle), an industry leader in lithium-ion battery resource recovery and a leading lithium-ion battery recycler in North America, have signed an agreement for a long-term recycling relationship.

Under the terms of the agreement, from 2024, Li-Cycle will become VinES' strategic and preferred recycling partner for VinES' Vietnamese-sourced battery materials.

The company is considering the possibility of constructing a specialised battery recycling factory (Spoke) located close to VinES' manufacturing site in central Ha Tinh province.

The potential Spoke has the opportunity to benefit from the growing local demand for lithium-ion battery recycling solutions, driven by strong economic growth and an increasing manufacturing presence in Vietnam.

An investment decision regarding the dedicated Spoke facility is expected to be made in 2025. In the meantime, Li-Cycle will facilitate the processing of VinES' material utilising Li-Cycle's North American Spoke network.

Pham Thuy Linh, CEO of VinES, said that recycling battery production scrap and used batteries into the global mobility and energy storage industries can contribute to the building of a sustainable supply chain while reducing environmental impact.

Tim Johnston, Co-founder and Executive Chair of Li-Cycle, said that the agreement supports the firms’ shared goals of creating a sustainable and a closed-loop battery supply chain.

To build on a partnership first announced in October 2022, VinES and Li-Cycle will also continue to explore global recycling solutions for VinFast, the first global electric vehicle (EV) manufacturer in Vietnam and Southeast Asia.

Earlier, VinES has recently commissioned a lithium-ion battery cell manufacturing facility in Hai Phong, Vietnam, and expects to further expand its production capacity in the country.

Li-Cycle opened an office in Singapore in December 2022 to support its connectivity to the Asia market and its efforts to continue building and expanding its commercial relationships with Asia-based manufacturers.

EC monitors residues of 2-chloroethanol in dried noodles imported from Vietnam

The European Commission (EC) has been compiling a dossier to monitor the level of 2-chloroethanol residues in rice paper products, phở (dried noddles), and bún (vermicelli noodles) imported from the Vietnamese market, according to the Vietnamese Trade Office in Belgium and the EU.

The trade office released the warning, saying if Vietnamese firms fail to tighten control over the residue, then the EC is likely to introduce these products to the list of items subject to food safety control measures, as in the instant noodles case.

This is anticipated to have a significant impact on the country’s processed food exports as the EU is a major market for these products.

Furthermore, instant noodle exporters are required to tighten management over food safety and hygiene in order to allow the country to provide the basis for future discussions with the EC about the removal of the certificate on quality control moving forward.

Vo Thi Ngoc Diep, Vietnamese Trade Counselor in the Netherlands, said the EU has recently issued new regulations No 2023/465 and No 2023/466 relating to the Maximum Residue Level (MRL) in certain food products, including those made from rice, with these rules due to take effect from March 26 and September 29, respectively.

Diep recommended that local agricultural firms regularly monitor the new EU regulations on MRL, promptly supervise and make suitable adjustments for export items in line with the new rules in order to secure a firm foothold in the market.

Vietnam to boost export of food ingredients to Swedish market

The Open Trade Gate Sweden (OTGS) is scheduled to host a webinar on April 20 to provide Vietnamese businesses with relevant information about opportunities to boost the export of food ingredients to the Swedish market, according to the Vietnamese Trade Office in Sweden.      

The trade office pointed out that Sweden is a potential market for food ingredients from developing countries, including Vietnam, adding that although Swedish food processors and importers tend to seek supply sources of food ingredients through other European countries, some ingredients are imported directly.

The move is therefore expected to create a wealth of opportunities for Vietnamese businesses to gain further entry into the market.

In particular, with the enforcement of the EU-Vietnam Free Trade Agreement (EVFTA), local businesses are anticipated to enjoy a number of tax incentives when exporting their products to Sweden.

Live hog prices fall sharply, retail pork price still high

Domestic live hog prices have fallen sharply while the price of pork at markets and supermarkets is 1.5 to five times higher.

From the beginning of March until now, live hog prices have dropped sharply, causing heavy losses to farmers.

Current live hog prices across the country are below VND47,000 (US$2) per kilo, down more than 10 per cent compared to early this year.

Meanwhile, the price of live hog at companies such as C.P. Viet Nam Livestock Company is currently around VND48,000-51,000 per kilo.

With the current price, pig farmers are taking heavy losses. Currently, the cost to raise a pig is VND60,000 per kilo. Thus, when selling at VND47,000 per kilo, the farmer loses VND13,000 per kg of live hog.

With the current prices, farmers and small-scale farms do not dare to re-herd. In the long term, the farmers still have to follow the production chain to bring production costs down.

The price of live pigs went down, but the retail price of pork at traditional markets and supermarkets is still high.

The current selling price of pork is around VND90,000-VND170,000 per kilo.

Compared to the price of live pigs, these items at traditional markets are 1.5-3.5 times higher.

Meanwhile, in the supermarket system, the retail price of pork is higher than the traditional market by VND30,000-40,000 per kilo. For example, the price of pork neck bone is VND70,000 per kilo, pork leg is VND110,000-130,000 per kilo, and pork belly, young ribs, and lean pork belly are VND190,000-240,000 per kilo, unchanged from early this year.

These prices are two to five times higher than the price of live pigs.

Explaining that the price of pork at markets and supermarkets is still high despite the sharp decrease in live pig prices, Tran Ngoc Hieu, a small trader at Hoc Mon Wholesale Market, said that the cost of transportation and rental stalls recently increased sharply by 20-40 per cent.

Therefore, after adding these costs, the price of meat can't be adjusted down. 

Long-stalled Quang Tri thermal power plant to be stopped 

Local authorities and EGAT International Co. Ltd., the project’s investor, have agreed on a plan to stop a long-stalled thermal power plant project in the north-central province of Quang Tri.

Ha Sy Dong, standing vice chairman of the provincial People’s Committee, advised EGAT International to carry out relevant procedures and minimize potential costs.

The firm is a member of EGAT Group, the sole power transmission service provider in Thailand.

In October 2022, the Thai Ministry of Energy endorsed the province’s recommendation on the cessation of the Quang Tri thermal power plant project, said Vo Van Hung, chairman of the provincial People’s Committee.

The decision came due to the project’s prolonged financial constraints and the net-zero commitments by 2050 jointly made by the Vietnamese and Thai governments, he added.

The 1,200MW-thermal power plant cost is VND55,000 billion, and covers 450 hectares in Quang Tri Province.

The project, approved in 2013, has yet to be launched although local authorities and the investor already held a groundbreaking ceremony in 2019.

According to local officials, the province will stick with the goal of being an energy powerhouse in central Vietnam, but it will prioritize more sustainable projects.

Hanoi housing prices will continue to rise

According to an annual report published on April 12 by the Vietnam Institute of Real Estate Research, the price of apartments in the middle and upper price ranges will see a marginal increase this year, with the supply of residences for the entire Hanoi market to reach 14,000 to 15,000 units.
 
According to the report, sales are expected to hit between 10,000 and 12,000 units with just under 58 per cent of foreign investors most interested in purchasing apartments in the middle and upper price ranges while 37 per cent are fuelling rental demand. Interest in tourism and resort real estate sits at over 26 per cent, while rental for tourism and resort real estate is around 32 per cent.

The demand for leasing industrial real estate, purchasing industrial real estate, and renting commercial offices accounts for approximately 5 per cent of the market.

Regarding the length of investment, 63 per cent of investors stated that they would invest in the longer term depending on certain legal and financial conditions, with around 16 per cent of investors willing to invest long term at a moderate level, and over 10 per cent stating they would make significant investments in the long term.

In the medium and long term, it is anticipated that the real estate market as a whole, and Hanoi's middle to high-end condo segments in particular, will benefit from four considerations; a comprehensive legal framework; the continued rebound of the property market; the rapid growth of an affluent middle class; and the country's ongoing vigorous urbanisation and infrastructure projects.

VAT refund delays cause business stagnation even bankruptcy

Many businesses in Ho Chi Minh City have been waiting for value-added tax (VAT) refunds for years. VAT refund delays caused business stagnation and even bankruptcy.

Although according to regulations, only 40 days from the date of submission of complete dossiers is VAT refund, many businesses in the southern largest city have had to wait for more than 2 years and still have not been refunded. This causes many businesses to struggle because capital flows are congested, production and business stagnation, even standing on the brink of bankruptcy.

For nearly a year now, Hoa Thuan Trading Company in District 1 specializing in rubber export saw no employees in the office but the director comes to the company to receive customers every day. Company director Dinh Thi Thanh Tam said that from 11-2021 until now, the company has not been refunded VAT so there is no working capital for production.

By the second quarter of 2022, the tax refund amount had increased to more than VND 50 billion, so Hoa Thuan Trading Company was forced to stop exporting because there was no capital to do business. In previous years, on average, the company yearly exported more than 60,000 tons of fresh rubber to the US, Korean, and Chinese markets, earning about US$70 million a year.

But now, the company's capital for operations has been exhausted, the company has no choice but to cut costs, pay just over 50 percent of salaries, and lay off employees.

Mr. Nguyen Quang Vinh, Director of Hoang Dung Trading Company in District 10, has been waiting for a VAT refund of nearly VND40 billion. He was frustrated adding that the company has sent many documents to the tax department of Ho Chi Minh City to propose a settlement but he has so far received no reply.

Suffering the same fate, Mr. Nguyen Tien Vu, General Director of Van Xuan Industry Company Limited in District 1, said that from November 2021, the company is still waiting for the tax agency in Ho Chi Minh City to refund VND58 billion of VAT. Because the tax refund has not been finalized, the company is forced to reduce its export sales by 80 percent this year.

As noted, the delay in VAT refund is happening in many various fields of production and business. Mr. Do Phuoc Tong, Chairman of the Ho Chi Minh City Mechanical and Electrical Enterprise Association, disclosed that many businesses in the association have been also waiting for a tax refund for years. He said the delay of VND10 billion -VND15 billion in refund has greatly affected manufacturing enterprises’ capital flow. Many businesses have to borrow money to maintain production, while interest lending rates are high.

G-bond coupon rates for all tenors slide further in March

Given the downtrend in January and February, the coupon rates of government bonds (G-bonds) in March continued to drop by 40 to 76 basic points in all tenors against the last G-bond auction held in early March.

At the auction session in late March, the G-bond coupon rates for the five-year, seven-year, 10-year, 15-year, 20-year, and 30-year tenors were at 2.93%, 3.8%, 3.45%, 3.6%, 3.75% and 3.8%, respectively, according to the Hanoi Stock Exchange (HNX).

HNX held 19 auction sessions in March for G-bonds issued by the Vietnam State Treasury (VST), with a total value of winning bids reaching nearly VND35.45 trillion, equivalent to a bid-to-cover ratio of 69.50%.

VST has raised a little more than VND104.87 trillion from G-bond issues in the first three months of 2023, achieving 97.1% of the first-quarter target and 26.22% of the full-year plan.

VST re-issued G-bonds for five-year and seven-year tenors along with tenors of 10 years, 15 years, 20 years and 30 years.

Among those, the G-bonds with 10-year and 15-year tenors had the highest winning bids, with bid-to-cover ratios of 32.99% and 41.88%, respectively.

On the secondary market, G-bond transactions in February surged 10.46% month-on-month to VND123.149 trillion, with an average of over VND5.354 trillion per session. Outrights accounted for 68.94% of the total transaction value.

The total value of G-bond transactions reached VND291.43 trillion in the first three months of 2023, with an average value of VND4.94 trillion each session, up 40.5% compared to the fourth quarter of 2022.

The average Government bond yield increased the most in the 10-15 year and 25-30 year tenors, rising by 17.45% and 13.54%, respectively, compared to last month.

Bonds with 10-year, 15-year and 7-year terms were the most traded on the market, accounting for 23.96%, 18.38%, and 12.26% of the total trading value, respectively.

Vietnam’s automobile market continues growing in March

Members of the Vietnam Automobile Manufacturers Association (VAMA) sold over 30,038 vehicles in March, up 30% from the previous month, after recording growth of 33% in February, VAMA announced on April 13.

Of the sold vehicles, there were 21,696 passenger cars, up 28%; 7,990 commercial vehicles, up 39%; and 352 special-use vehicles, an increase of 17% compared to the previous month.

In terms of vehicle origin, the sales of domestically-assembled cars reached 16,174 units, up 30%, while the number of imported completely built-up (CBU) cars were 13,864 units, up 31% from the previous month.

 In the first three months of 2023, VAMA members sold a total of 70,392 units. (Photo: THACO-Mazda)
In the first three months of 2023, VAMA members sold a total of 70,392 units, down 22% compared to the same period last year with the sales of passenger cars, commercial vehicles, and special-use vehicles dropping by 26%, 5%, and 48%, respectively.

By the end of March 2023, the sales of domestically-assembled cars decreased by 34% while the number of imported cars dropped by 4% compared to the same period last year.

According to experts, besides car sales of VAMA member units, the Vietnamese auto market also includes other automakers such as Audi, Jaguar Land Rover, Mercedes-Benz, Nissan, Subaru, Volkswagen, and Volvo but those automakers do not disclose business results.

Meanwhile, Thanh Cong Group (TC Group) announced its sales of 5,773 Hyundai automobiles in March. Besides, VinFast reported that it handed over 915 electric cars to customers.

After seeing a decline in sales of most car manufacturers in January, car manufacturers and dealers have continuously applied preferential and promotional policies, which focus on supporting registration fees or deducting cash for car buyers to stimulate demand, so that the auto market maintains its growth momentum.

Higher sales are expected in the second quarter of this year as the demand will increase thanks to the peak tourism season with greater travel demand, experts said.

Over 400 firms join Vietnam International Café Show in HCM City

Vietnam International Café Show 2023, a coffee, food and beverage exhibition, opened in Ho Chi Minh City on April 13, attracting more than 400 domestic and international exhibitors.

Organised by Exporum Vietnam Company, the event features famous international coffee machine brands such as La Marzocco, Victoria Arduino, Nuova Simonelli, Rocket, Sanremo, BFC, Breville, CIME, Lamvita and Giesen.

It also has the presence of leading Vietnamese coffee export companies such as Trung Nguyen, Simexco, Intimex, An Thai, Tin Nghia, and Vinh Hiep, who are displaying green and instant coffee products, along with many brands of raw materials and ingredients for bartending and baking such as Maulin (Great Eastern), Dalamilk, Vinamilk, Tan Nhat Huong, Barista Buddy, Trum Nguyen Lieu, Long Beach and Osterberg.

Also at the exhibition, there will be the Vietnam National Barista Championship and Vietnam National Latte Art Championship, which are the only two competitions in Vietnam certified by World Coffee Events.

The competitions aim to find the best baristas representing the Vietnamese barista industry to compete in international contests.

This is an opportunity for young Vietnamese to have the opportunity to hone and show their skills, use many new products as well as listen to the opinions of leading experts in the world to improve their professional skill level.

The annual Vietnam International Café Show, which is part of a series of Cafe Show exhibitions in Seoul, Shanghai, Paris and Vietnam, will provide an opportunity for leading domestic and foreign managers and experts to meet and share orientations, strategies, solutions and practical management tools in the manufacturing, processing, and distribution of coffee, tea, food and beverage for restaurants, hotels and other food service businesses.

The event will conclude on April 15 at the Saigon Exhibition and Convention Centre in District 7.

Vietnam seeks to boost cooperation with Andhra Pradesh state of India

The Trade Office at the Vietnamese Embassy in India, in collaboration with the Andhra Pradesh Economic Development Board, held an online conference on April 12 on opportunities for business and investment cooperation between Vietnam and the Indian state.

Speaking at the event, Vietnamese Ambassador Nguyen Thanh Hai said that Vietnam’s total export revenue recorded a year-on-year increase of 9.5% to 732.5 billion USD last year. In addition, the country is considered an attractive destination for foreign investment thanks to its stable macro-economy and good inflation capacity.

The Indian Consul General in Ho Chi Minh City, Madan Mohan Sethi, assessed that Vietnamese regions and localities are developing and gaining many significant economic achievements.

According to him, there are currently about 300 Indian companies operating and doing business in Ho Chi Minh City - a strategic economic and financial centre of Vietnam.

Deputy Director of Can Tho’s Investment Promotion Centre Nguyen Kim Ngoc introduced participants to development potential of the city – the centre of the Mekong Delta region. She affirmed that Can Tho will be a safe destination for Indian investors.

Valarmathi Valaven, special chief secretary to the Government of Andhra Pradesh, said that the state government always creates favourable conditions for foreign investors and businessmen.

He proposed the two sides’ governments and people exert efforts to support enterprises in connectivity activities, thus helping generate more jobs and improve income for labourers.

Andhra Pradesh has been one of the most dynamic states in India over the past five years. It has potential to cooperate with Vietnam in the fields of fisheries, agricultural products, garment and textiles, information technology, as well as seaports and logistics.

Smart City Asia International Expo and Forum opens in HCM City

The Smart City Asia International Expo and Forum 2023 in Vietnam opened in Ho Chi Minh City on April 13, showcasing leading technologies and solutions for public lighting, smart cities and smart homes, urban planning and public administration, and others.

Smart City Asia has attracted nearly 300 local and foreign exhibitors, 70% international, from the Republic of Korea, Finland, the UAE, Singapore and other countries and territories.

Major Vietnamese telecommunications and technology corporations such as FPT, Viettel and VNPT are taking part.

There will be a Smart City Development Forum and seminars to share international experiences in developing smart cities and discuss smart city development suitable for Vietnam.

There will also be a business matching programme.

Speaking at the opening ceremony, Phan Van Mai, Chairman of the municipal People’s Committee, said the city is set to integrate globally and have a high profile in Southeast Asia.

To achieve the target, the city has identified science and technology and innovation as the main driving force, he said.

Smart City Asia would be a place for management agencies, domestic and foreign experts to meet and discuss strategies, solutions and practical management tools for smart city development, he added.

Nguyen Minh Hong, Chairman of the Vietnam Digital Communications Association, said the exhibition aims to promote public-private partnerships for building smart cities.

Organised by the Vietnam Digital Communications Association, Exporum Co., Ltd., Vietnam Institute of Digital Transformation and Innovation, and Vietnam Automation Association, Smart City Asia 2023 at the Saigon Exhibition and Convention Centre will go on until April 15 and expects to receive more than 10,000 visitors.

Deputy PM orders tightening discipline in public capital disbursement

Deputy Prime Minister Le Minh Khai on April 13 ordered tightening discipline in the disbursement of public investment capital, stating that it is the responsibility of ministries and agencies’ leaders.

Chairing a Hanoi meeting of the working group in charge of inspecting, solving difficulties to accelerate public capital disbursement, Deputy PM Khai, who is also its head, said the current disbursement progress is very slow.

Ministries and agencies must identify where the obstacles lie, which procedures are causing delay and which projects are behind schedule, and propose solutions to fix them, he said.

According to the Ministry of Planning and Investment (MPI), the Prime Minister has allocated over 38.3 trillion VND (1.66 billion USD) to 17 ministries and centrally-run agencies to perform 22 tasks and launch 80 projects, including 34 transferred and 46 new ones this year.  So far, they have allocated more than 34.9 trillion VND to tasks and projects, or 91.2% of the plan assigned by the PM.

However, the disbursement rate only met 0.04% of the PM’s plan, much lower than the national average of 10.35%. Up to 13 ministries and centrally-run agencies have yet to disburse while the remainder’s disbursement was below 2% of the assigned plan by the PM.

The State Bank of Vietnam was assigned to direct disbursement as much as possible in support of businesses and residents.

The Deputy PM urged ministries and agencies to work closely with localities to tackle difficulties in policies, site clearance and create favourable conditions for project implementation and payment.

Vietjet inaugurates routes connecting Vietnam with Australia

Vietjet officially welcomes passengers on direct flights connecting Vietnam with Australia's largest cities – Melbourne, Sydney and Brisbane.

Vietjet Chief Operations Officer Michael Hickey expected the routes will meet the demands of travel, tourism, business and visiting relatives of a large number of customers, and connect with the region through Vietjet's extensive flight network.

With only nearly nine hours of flying time with modern wide-body aircraft A330, flights from Melbourne to Ho Chi Minh City will depart on Sundays, Wednesdays and Fridays. Meanwhile, flights from Ho Chi Minh City to Melbourne will depart on every Tuesday, Thursday, and Saturday.

Right after Melbourne, Vietjet on April 13 opened routes connecting Sydney - Ho Chi Minh City with three flights per week on Mondays, Thursdays and Saturdays from Sydney to Ho Chi Minh City, and Wednesdays, Fridays and Sundays from Ho Chi Minh City to Sydney.

Earlier on April 8, Vietjet commenced its first service to Melbourne, followed by direct flights to Sydney and Brisbane.

Binh Phuoc seeks to beef up investment cooperation with Hong Kong

A delegation from the southern province of Binh Phuoc led by Secretary of the provincial Party Committee Nguyen Manh Cuong paid a working trip to Hong Kong from April 11-12 to seek stronger partnership with China’s special administrative region.

Receiving the delegation on April 11, Secretary for Commerce and Economic Development of Hong Kong Algernon Yau underlined his impression at the dynamic development of Vietnam during his visit to the country in January, and highly valued the partnership between Hong Kong and Vietnam.

He revealed that he will return to Vietnam during his trips to Southeast Asian countries in the time to come.

Cuong briefed the host on the socio-economic situation of Binh Phuoc and its orientations in attracting foreign investment. He said that Binh Phuoc is one of the localities with the highest GDP growth rate in the country.

He said that there are only a few projects invested by Hong Kong investors in the province, underlining that the with various policies to attract foreign investors and strong growth, Binh Phuoc offers great investment opportunities to foreign investors, including those from Hong Kong.

Later the same day, an investment promotion conference was held to introduce the potential of Binh Phuoc to Hong Kong investors and businesses.

With a population of about 100 million, Vietnam has good conditions to become an industrial country, he said, revealing that in late May and early June, the federation will send a delegation to Vietnam to seek investment opportunities.

Concluding the conference, Cuong said that the province plans to call for investment in areas of industrial park development, golf course, hotel and housing projects, and manufacturing-processing industry.

At a meeting with Deputy Executive Director of Hong Kong Trade Development Council (HKTDC) Patrick Lau on April 12, the Binh Phuoc leader introduced the locality’s strengths and plans to construct highways to promote transport development, serving economic growth.

Patrick Lau said that the HKTDC, which specialises in organising Hong Kong's trade fairs, is willing to support the connections between the two sides and create cooperation opportunities for Hong Kong firms and their Vietnamese partners.

Within the visit’s framework, Cuong also had meetings with Longboom and Swire financial groups of Hong Kong.

PM requests actions to ease difficulties for forestry-fishery sectors

Prime Minister Pham Minh Chinh on April 13 stressed the need to ease difficulties and remove obstacles, especially in terms of market, institutions, and credit capital, for the production, processing and export of forest and aquatic products.
 
Addressing a working session with representatives of the Vietnam Timber and Forest Product Association (VIFOREST) and the Vietnam Association of Seafood Exporters and Producers (VASEP), PM Chinh required more efforts to develop forestry and fishery production effectively and sustainably towards the improvement of added value and competitiveness associated with promoting the development of the processing industry, post-harvest work and market development both at home and abroad.

Attention must also be paid to ensuring food safety, protecting the ecological environment, developing green, organic and circular agriculture, and shift the way of thinking from agricultural production to agricultural economic development associated with market demand, he added.

The Government leader requested them to maintain the effective implementation of agreements between Vietnam and other countries to expand the market; negotiate and facilitate the expansion and development of export markets for timber and forest products; exert efforts towards the European Commission (EC)’s early removal of its ‘yellow card’ warning against Vietnamese seafood; strictly handle acts that damage the image and trademark of Vietnamese timber and aquatic products; and publicise information and policies related to the market situation of forest and aquatic products.

Associations and businesses should closely coordinate with ministries and sectors in easing difficulties in value-added tax refund, settle trade lawsuits, and ensure the good implementation of product traceability.

He directed the Ministry of Industry and Trade to review and amend legal regulations, mechanisms and policies related to trade, strictly address violations to prevent them from affecting the reputation of Vietnam’s forestry-fishery sector, while perfecting mechanisms and policies to develop domestic and export markets; stepping up trade promotion acitivities; and focusing attention on increasing the market shares of exports to such major markets as China and the Republic of Korea.

The Prime Minister assigned the Ministry of Planning and Investment to consider and prioritise the allocation of medium-term capital for ministries, sectors and localities to effectively implement the Government's Decree No. 57/2018-ND-CP on mechanisms and policies encouraging enterprises to invest in agriculture and rural areas; and research and propose policies to support the development of concentrated wood and forest product processing industrial parks, logistics services, and hi-tech forestry parks.

For provinces and cities, the Government leader ordered the prompt and effective implementation of the State’s policies, together with incentives to support and encourage investment in the development of aquatic, wood and forest product processing industries.

The export of timber and forest products was estimated at 17.1 billion USD in 2022, exceeding the yearly target by 3.8%. The industry is aiming at pushing the figure to 17.5 billion USD in 2023.

Meanwhile, the export revenue of aquatic products last year reached 11 billion USD, 23.8% higher than 2021 and 22.2% higher than the set target for 2022. The sector is eyeing 10 billion USD in export value this year.

However, in the early months of 2023, their growth tended to be slower. Between January and March, the accumulated export and import turnover of agro-forestry-fishery products was estimated at 20.63 billion USD, down 11.2% year-on-year.

Vietnam International Travel Mart kicks off in Hanoi

The Vietnam International Travel Mart (VITM), themed “Cultural tourism”, opened on April 13 in Hanoi, featuring 450 pavilions from 51 provinces and cities nationwide and 15 foreign countries and territories.

The four-day event is expected to attract over 60,000 visitors, and representatives from 3,000 businesses that are interested in seeking cooperation opportunities and partners.

A highlight of the fair will be a forum on Vietnamese cultural tourism development with the participation of local and international delegates.

A seminar on reducing plastic waste in the tourism industry will be also arranged within the event's framework, focusing on measures to promote sustainable tourism development associated with environmental protection.

Vietnam received more than 2.7 million foreign visitors and 28 million domestic tourists in the first quarter of this year. 

The country aims to welcome about 8 million foreign tourist arrivals from a total of 110 million, and earn about 650 trillion VND (USD27.5 billion) from tourism in 2023, according to the Vietnam National Administration of Tourism.

Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes