The National Innovation Centre (NIC), in collaboration with the Ministry of Planning and Investment and Google, organised a seminar on November 15 to explore the potential of artificial intelligence (AI) and discuss policies and mechanisms for its development in Vietnam.

In his opening remarks, Deputy Minister Do Thanh Trung said that the ministry has submitted the human resources development programme for the semiconductor industry until 2030 with a vision to 2050 to the Prime Minister for approval. The programme aims to train at least 5,000 AI engineers and specialists by 2030, supporting Vietnam's growing semiconductor industry.

The ministry has tasked the NIC with collaborating with domestic and international partners to establish a centre for AI training, research, and application. This centre will support AI startups, research, and specialised AI training, with a target of training 7,000 AI experts to international standards and nurturing around 500 AI startups by 2030.

At the event, Google presented its economic impact report themed "Driving digital growth in Vietnam with Google", which highlighted the significant economic potential of AI. According to Google’s research, AI could contribute an estimated 1.89 trillion VND (79.3 billion USD) to the country's economy by 2030, or nearly 12% of its GDP.

To fully harness the potential of AI, Google’s AI Opportunity Agenda for Vietnam report suggests the country strengthen its innovation infrastructure, build a workforce ready to optimise AI, and increase AI accessibility across the economy. The report also provides detailed strategies to bridge the digital and AI knowledge gaps, helping Vietnam's workforce leverage AI effectively to spur economic growth. It stresses the importance of retaining and developing local talents by expanding access to digital education and increasing business training programmes.

The report concludes that to maximise AI's economic benefits, Vietnam must focus on developing a skilled digital workforce. Addressing the digital skills gap through specialised training and technology application will unlock significant economic opportunities for the country.

In addition, Google outlined its current contributions to Vietnam's businesses, households, and workforce through AI-powered products and services such as Google Search, Google Ads, Google Play, YouTube, Google Cloud, and Google Workspace.

Andrew Ure, Managing Director of Government Affairs and Public Policy for Southeast Asia at Google, highlighted that with its young, tech-savvy population and dynamic digital landscape, Vietnam is well-positioned to seize the opportunities AI offers. He said that his company is eager to partner with NIC to introduce the first-ever “AI Policy & Skilling Lab” in Vietnam, and look forward to collaborating with the government, ministries, and research organisations to build an AI-driven future that benefits everyone.

The seminar also featured discussions from experts across government agencies, research institutions, and businesses, who proposed specific solutions to encourage investment in AI research and development. These included building a high-quality AI workforce, developing an AI innovation ecosystem, and fostering an environment where AI ideas can be nurtured and realised.

Another key topic discussed was the need for a comprehensive legal framework for AI to ensure its safe, responsible, and ethical development and application in Vietnam./.

Bird nest production in central province aims at sustainability

More efforts should be put into developing a sustainable model for the swallow nest industry of the Central Highlands province of Đắk Lắk, industry insiders have urged. 

According to the provincial Department of Agriculture and Rural Development, swallow nest farming took root in the province in 2009 and every year since has seen significant growth. The province is now home to nearly 1,750 swallow habitats, with the majority of them in the districts of Ea Kar, Ea Súp, Krông Pắc and Buôn Ma Thuột City. Of these, 70-80 per cent have been built recently by local residents.

Bird nests have put the Central Highlands province on the business map with 15 products rated as One Commune One Product (OCOP) 3-star and eight with 4-stars. 

The province has also experienced one of the fastest growth in the number of swallow habitats and production of nests, at over ten tonnes per year. It has been a popular destination among investors who are looking to build a supply chain network to export the nests.

In January this year, Thành Dung Swallow Nest Import-Export JSC, in Krông Pắc District, exported its first batch of products to China. Meanwhile, other companies have established partnerships to bring the nests to consumers in the US, Australia and Japan.

The provincial authority said the export of swallow nest products presents a great opportunity for the industry to develop and contribute to the local economy and social development. The industry, however, must address current difficulties and challenges in building breeding grounds, processing, production, quality control and brand development. 

Industry insiders voiced concerns over a lack of cohesion among swallow farms and other players in the supply chains, along with efforts to build strong brands.

The department recommended the provincial authority and the business community start by collecting and building a database for nest production, which can serve as a cornerstone for future development. 

Seminar seeks to boost Vietnam – US energy, industry, trade cooperation

A seminar discussing solutions to energy, industry, and trade between Vietnam and the US was held in Washington on November 15 by the Ministry of Industry and Trade (MoIT) in collaboration with the Vietnamese Embassy in the US, attracting crowds of overseas Vietnamese entrepreneurs, intellectuals, and scientists working in the areas.

In his opening speech, Deputy Minister of Industry and Trade Nguyen Hoang Long highlighted the role and significant contributions by the Vietnamese community in the US to activities to further develop the bilateral relations between the two countries.

He urged participants to share their proposals and opinions, especially those on how to create breakthroughs and identify areas where breakthroughs can be made in energy, trade, and investment cooperation between Vietnam and the US.

Delegates, who have contributed to the development of trade, renewable energy, industrial building materials, solar and wind energy, and infrastructure construction, pointed out challenges and obstacles related to unstable legal frameworks and certain issues related to human resources and opportunity costs that Vietnam needs to address swiftly to attract US investors.

Norman Van Toai, a businessman involved in numerous energy collaboration projects between Vietnam and the US for several decades, said that the energy sector is a key advantage for Vietnam in the context that US investors are shifting production from China to some countries in Asia and Southeast Asia, including Vietnam.

Delegates expressed their hope that the Vietnamese Government will provide policy advice on energy and support for the sector’s supply chain, especially in solar energy, in preparation for this industry’s boom in the US in the coming years.

The MoIT will collaborate with relevant agencies to regularly organise working programmes with the Vietnamese community abroad, aiming to update information, policies, opportunities, and potential for investment and trade cooperation in Vietnam, the official said.

He added that consultation sessions with Vietnamese entrepreneurs, researchers, and scientists abroad on policies in energy, industry, and trade will be also arranged, thus providing recommendations for policy-making and building efficient trade and industry development orientations; and promoting opportunities for cooperation between Vietnamese organisations and businesses with those of the Vietnamese diaspora in the USS, as well as US partners.

Long said similar initiatives will be implemented to strengthen the connection between ministries and sector in the homeland and the Vietnamese community in the US, towards realising trade and investment cooperation aspects in the comprehensive strategic partnership between the two countries./.

Switzerland aids over 3.34 million USD to develop circular economy in Vietnam

Deputy Minister of Planning and Investment Do Thanh Trung has announced that his ministry received over 3.34 million USD funded by Switzerland’s State Secretariat for Economic Affairs (SECO) to promote circular economy and mitigate climate change impacts in industrial zones in Vietnam.

Speaking at the recent signing ceremony of the project document on replicating the eco-industrial park approach to promote circular economy in Vietnam, Trung said that this funding will facilitate the replication of the eco-industrial park (EIP) model nationwide based on successes in the 2014-2024 period, promote circular economy in the industrial sector and in IPs, minimise the impact of production activities on the environment, and support IPs in responding to climate change.

The signing ceremony marks an important step forward for Vietnam in promoting and replicating approaches to EIPs, contributing to enhancing the position and sustainable development of this model nationwide, he affirmed.

The project will help expand the implementation of eco-industrial zones, focusing on improving the efficiency of resource use, minimising waste, promoting recycling, improving the socio-economic, and environmental efficiency of enterprises, thereby contributing to sustainable and comprehensive industrial development, added the official.

The deputy minister appreciated Switzerland's contributions to Vietnam in terms of official development assistance (ODA) and foreign investment. Regarding ODA, since 1992, through SECO, Switzerland has supported Vietnam with nearly 630 million CHF (709 million USD). In the cooperation programme between Switzerland and Vietnam for the 2021-2024 period, Switzerland committed to providing about 70 million CHF, with two major orientations of promoting the formation of a healthy economic framework and market orientation, and enhancing the competitiveness and market access of the private sector./.

Industrial production increases strongly thanks to support policies

Thanks to the government's support and incentive policies, HCM City's industrial production index in the first ten months of 2024 increased sharply compared to the same period last year, according to the city's Department of Industry and Trade.

Specifically, the production index of four key industries including machines, electronics - information technology, pharmaceuticals - rubber and plastic, and food processing increased by 4.7 per cent over the same period a year ago.

Wood processing and production of products from wood, bamboo and rattan surged by 35.6 per cent; production of rubber and plastic products increased by 30 per cent; production of electronic products, computers and optical products rose by 22.5 per cent; production of chemicals and chemical products 17.7 per cent; production of beds, wardrobes, tables and chairs 16 per cent and production of products from other non-metallic minerals 15.7 per cent.

In addition, the consumption index of processing and manufacturing industries increased by 9.8 per cent over the same period a year ago.

Nguyễn Thị Kim Ngọc, deputy director of the city Department of Industry and Trade, said that the city has promoted a number of support policy mechanisms and enhanced competitiveness of key industries to support industries and logistics.

Many supporting industrial sectors are prioritised for interest rate support loans, including the mechanical automation industry; rubber, plastics, pharmaceuticals; food processing industry; electronics and information technology industry; and the textile and footwear industry.

The industrial production sector has always been a focus of the Department of Industry and Trade in terms of both policy mechanisms and solutions for effective development in line with the reality of the business community, she added.

The city has directed relevant agencies in disseminating policy mechanisms so that businesses can access the diverse capital resources of the city.

Deputy Chairman of the HCM City People's Committee Võ Văn Hoan emphasised that, in addition to the policy mechanism to create a favourable investment and production environment for the business community, the city has also been organising seminars and forums to share knowledge about the latest trends in the industry. These are essential preparations for Việt Nam and HCM City to not only become an attractive destination for investors, but also to raise their position on the regional and international industrial map.

However, although the city's supporting industry has made positive progress in recent years, the localisation rate has not met expectations. Meanwhile, the demand of multinational corporations for domestic supply sources is increasing, requiring both local authorities and enterprises to accelerate the improvement of capacity and technology.

As the economic, industrial, commercial and investment centre of the country, the city is striving to create a favourable investment and business environment to promote the development of key industries.

VCCI Deputy General Secretary and head of the chamber's Legal Department Đậu Anh Tuấn said that for rapidly developing fields that have a great impact on the economy such as green transformation, digital transformation and digital technology industry, legal regulations and policy mechanisms are also being urgently developed by ministries and sectors.

For example, the draft law on digital technology industry has regulations on products applying artificial intelligence (AI); regulations on testing mechanisms for digital technology products and services, and regulations on promoting the semiconductor microchip industry.

In addition, the Government also enacted the Extended Producer Responsibility (EPR) regulation this year, which is a new policy approach to deal with waste, promote recycling and help the Government achieve its environmental goals. It is expected to ensure the circulation of input resources in the production process and help achieve the goal of zero emissions.

This is the first year of EPR implementation in Việt Nam, and it is expected to create a change in the process of promoting the circular economy. 

Doors open wider for rice exports to the UK

Experts have said there remains scope for Vietnamese rice suppliers to boost exports to the UK market thanks to the UK-Việt Nam Free Trade Agreement (UKVFTA) and a Vietnamese community of more than 100,000 people.

The UKVFTA took effect on May 1, 2021, with a preferential tariff quota granted to Việt Nam at a tax rate of zero per cent, enabling UK buyers to have more choices of rice varieties from Việt Nam.

Within the framework of the UKVFTA, the UK committed to providing Việt Nam with a tariff quota of nearly 14,000 tonnes of rice, baodautu.vn reported.

According to the Ministry of Industry and Trade (MoIT), Việt Nam is one of the world's leading rice exporters, with an output of over eight million tonnes each year.

However, Việt Nam only ranks 20th among countries exporting rice to the UK, making up a modest 0.2 per cent of the total import turnover to the country, the ministry said, adding that the door is wide open for Vietnamese rice in the market, which has a large demand for rice imports at over 700,000 tonnes annually.

In 2021, the UK imported nearly 652,000 tonnes of rice worth US$575 million. The country's rice imports hit over 678,000 tonnes valued at $603 million in 2022, up 4.1 per cent in volume and 7 per cent in value, the Việt Nam Trade Office in the UK said.

The office suggested that to increase the presence of Vietnamese rice in the UK market, the MoIT should encourage rice exporters to sign long-term contracts with UK partners based on balancing domestic food security with export demand. It petitioned the State Bank of Vietnam to consider creating favourable conditions for enterprises to access credit for rice purchases.

At the same time, the Ministry of Agriculture and Rural Development should support farmers in expanding rice-growing areas which apply Global GAP to produce high-quality fragrant rice, according to the office.

According to other trade experts, to create a larger market breakthroughs and strengthen a sustainable position for Vietnamese rice in the UK and other major markets, the Vietnamese rice industry should implement a branding strategy suitable for each market.

The national brand programme needed to select high-quality and high-yield rice varieties and name them in a simple, easy-to-remember, easy-to-pronounce way along with the place where the rice is grown (Sóc Trăng Việt Nam rice, for instance) or the name of the creator of that rice variety, so that they can register for brand protection abroad easily.

Currently, Vietnamese rice is competing with leading competitors in rice exports to the UK including India which accounts for 22 per cent of the total import turnover to the country, Pakistan (18 per cent), Spain (11 per cent), Italy (10.9 per cent), Thailand (9.2 per cent), baodautu.vn reported. 

Tra fish export could hit 2 billion USD in 2024: Workshop

Vietnam’s tra fish export could reach the set target of 2 billion USD this year driven by industry improvements, heard a workshop held in Cao Lanh city, the Mekong Delta province of Dong Thap, on November 17.

A report from the Ministry of Agriculture and Rural Development’s Directorate of Fisheries said the total tra fish farming area is estimated at 5,370 hectares in 2024, with an expected harvest of 1.67 million tonnes. As of October, Vietnam shipped 1.56 billion USD worth of tra fish abroad, a year-on-year increase of 8.9%.

Deputy General Secretary of the Vietnam Association of Seafood Exporters and Producers To Thi Tuong Lan said limited supply of raw materials that may extend to the first quarter of 2025 could present an opportunity for businesses to improve export prices during the year-end peak season.

She said robust signs for the industry include a reduction in inventory in key markets, the US’s economic recovery, and growth opportunities in traditional and smaller markets.

As the fisheries sector aims to produce some 1.65 million tonnes of tra fish and gain 2 billion USD in export revenue next year, it will continue to improve the quality of fries, better disease resistance, and reduce dependency on fishmeal by using plant-based and alternative feed ingredients. Additionally, the pilot of the recirculation aquaculture system and development of the Vietnamese tra fish brand through advanced technology, quality control and certifications related to food safety, environmental safety, and Halal standards will be given due attention.

Deputy Minister of Agriculture and Rural Development Phung Duc Tien urged ministries, sectors, and localities to develop industrial-scale farming with a focus on biosafety, tight control over antibiotic use, green production, the formation of a supply chain, and the development of potential markets./.

Vietnam attends exhibition, distribution event in Laos

A large number of Vietnamese, Lao, and Thai enterprises and visitors joined a food festival, product exhibition, and distribution event in Laos’s Khammouane from November 13-17.

It drew Lao Prime Minister Sonexay Siphandone, representatives from the Vietnamese Consulate in Savannakhet, and Khammouane provincial authorities.

The Lao leader said the event aims at promoting investment and showcasing local products to both domestic and international audiences.

Its goal is to provide small- and medium-sized enterprises with opportunities to exchange goods and gain a greater access to domestic and international markets, he stated.

This year’s event attracted 171 enterprises from the three countries, with a total of 210 booths showcasing goods valued at around 10 billion LAK (453,779 USD). Among the participants, 146 businesses were from Khammouane, 13 from other parts of Laos, two from Vietnam, and five from Thailand.

The exhibition focused on various sectors including food, handicrafts, agriculture, industrial products, processed goods, banking, and tourism. It provided a platform for businesses from all three countries to meet, exchange ideas, and share experiences on production and distribution, while seeking new partners and markets./.

Việt Nam needs to build a strategy for disaster risk financing and insurance

Expers have called for the Government to issue a comprehensive planning for disaster risk financing and insurance as natural disasters and the damage they cause are increasingly becoming more severe in Việt Nam and worldwide.

The United Nations Climate Change Summit in Baku, Azerbaijan (COP29) reported that the total cost of damages caused by extreme weather from 2014 to 2023 amounted to US$2 trillion, which is equivalent to the economic losses from the 2008 global financial crisis.

Recent examples of this increasing damage are Hurricane Helene and Hurricane Milton, both of which hit the United States in October 2024. Each caused damages of up to $50 billion, making them two of the eight most destructive storms the country has seen in the last 45 years.

Natural disasters have also caused significant damage in Việt Nam in recent years, reducing GDP by up to 1.5 per cent each year. Direct losses from typhoons and floods in Việt Nam rank third in Southeast Asia, after Myanmar and the Philippines.

Typhoon Yagi, which struck the country in September 2024, was one of the strongest storms to come out of the East Sea (internationally known as South China Sea) in 30 years, and one of the strongest that made landfall in 70 years.

According to 2018 forecasts from the World Bank, there is a 40 per cent chance that Việt Nam will lose $67 billion in the next 50 years due to damage caused by natural disasters, if the country doesn’t have proper prevention and insurance strategies in place.

Lê Thị Thùy Vân, deputy director of the National Institute for Finance (NIF) under the Ministry of Finance, said that in Việt Nam, the Government has mobilised various financial resources to help businesses and people recover after each disaster.

These include the State reserves, financial reserve funds, agricultural insurance, bank credit, disaster prevention funds, and voluntary contributions from domestic and international organisations and individuals.

However, significant challenges remain at the grassroots level. “Local government budgets are often insufficient during disasters and require supplementary funding from the central Government,” Vân said.

“We also lack comprehensive data and information on disaster risk financing. The country’s financial capacity covers only about 21 per cent of the need for reconstruction and emergency relief after disasters.

"In this context, it is of utmost importance to adopt a comprehensive approach to financial resources and disaster risk insurance.”

“Learning from international experiences will help us find effective solutions," she added.

According to Dr Nguyễn Thị Hải Đường from the Department of Insurance at the National Economics University, the Indonesian government adopted the national Disaster Risk Financing and Insurance (DRFI) Strategy in October 2018 with support from the World Bank.

Under this framework, in 2019 Indonesia began piloting insurance for government assets against disaster risks.

"Disaster risk insurance has been recognised as an important tool for managing climate risks. It is also a tool to increase the resilience of insured entities after a disaster," said Dr Đường.

"Research is being conducted by the international community to find effective models and tools to aid recovery after disasters, especially for developing countries." 

Central bank issues new decisions on deposit interest rates

The State Bank of Vietnam (SBV) has issued two new decisions on deposit interest rates, effectively from November 20 this year.

Under one, the interest rate applied for US dollar-denominated deposits of organisations and individuals at credit institutions and foreign bank branches is zero per cent per year.

The other holds that the maximum interest rate for Vietnamese đồng-denominated deposits with terms of less than one month of organisations and individuals at credit institutions and foreign bank branches is 0.5 per cent per year. Additionally the maximum interest rate applied to deposits with terms from one month to less than six months is 4.75 per cent per year.

According to the SBV, the two decisions aim to ensure consistency on a legal basis with other issued circulars on deposit interest rates.

At people's credit funds and microfinance institutions, the maximum interest rate for đồng-denominated deposits with terms from one month to less than six months is 5.25 per cent per year.

For deposits with terms of more than six months, the interest rated are determined by credit institutions and foreign bank branches based on the supply and demand of capital in the market.

Currently, some banks are listing interest rates for deposits with term of 12 months or more from 6 per cent to 6.3 per cent per year, such as ABBank (6.2-6.3 per cent per year), IVB (6.1-6.3 per cent per year), Bắc Á Bank (6.15 per cent per year), Đông Á Bank, OceanBank, SHB and HDBank (6.1 per cent per year) and Việt Á Bank, Bảo Việt Bank and BVBank (6 per cent per year).

According to statistics, eight banks have increased deposit interest rates since the beginning of this month, including IVB, Việt Á Bank, VIB, MB, Agribank, Techcombank, ABBank and VietBank.

SBV’s reports show that the rising rate of credit has been much higher than that of deposits. While credit surged by 10.08 per cent in the first ten months of this year, deposits increased by only 4.79 per cent.

The large gap between the credit and deposit growth has created a liquidity pressure for the banking system. The deposit interest rate is also greatly affected by the gap. When credit growth is significantly higher than that of capital raising, the deposit interest rate will tend to increase to attract more deposits to have enough capital for lending. Therefore, it is highly likely that the interest rate level will move sideways and in an upward trend in the near future.

According to experts, to increase the capital source, banks are also increasing the issuance of bonds to meet the SBV’s regulation on short-term capital for medium and long-term loans. Though the bond issuance has also contributed to supplementing lending capital, but in the long term, deposits remain the major capital source. 

Central bank issues new decisions on deposit interest rates

The State Bank of Vietnam (SBV) has issued two new decisions on deposit interest rates, effectively from November 20 this year.

Under one, the interest rate applied for US dollar-denominated deposits of organisations and individuals at credit institutions and foreign bank branches is 0% per year.

The other holds that the maximum interest rate for Vietnamese dong-denominated deposits with terms of less than one month of organisations and individuals at credit institutions and foreign bank branches is 0.5% per year. Additionally, the maximum interest rate applied to deposits with terms from one month to less than six months is 4.75% per year.

According to the SBV, the two decisions aim to ensure consistency on a legal basis with other issued circulars on deposit interest rates.

At people's credit funds and microfinance institutions, the maximum interest rate for VND-denominated deposits with terms from one month to less than six months is 5.25% per year.

For deposits with terms of more than six months, the interest rated are determined by credit institutions and foreign bank branches based on the supply and demand of capital in the market.

Currently, some banks are listing interest rates for deposits with term of 12 months or more from 6% to 6.3% per year, such as ABBank (6.2-6.3% per year), IVB (6.1-6.3% per year), Bac A Bank (6.15% per year), Dong A Bank, OceanBank, SHB and HDBank (6.1% per year) and Viet A Bank, Bao Viet Bank and BVBank (6% per year).

According to statistics, eight banks have increased deposit interest rates since the beginning of this month, including IVB, Viet A Bank, VIB, MB, Agribank, Techcombank, ABBank and VietBank.

The SBV’s reports show that the rising rate of credit has been much higher than that of deposits. While credit surged by 10.08% in the first ten months of this year, deposits increased by only 4.79%.

The large gap between the credit and deposit growth has created a liquidity pressure for the banking system. The deposit interest rate is also greatly affected by the gap. When credit growth is significantly higher than that of capital raising, the deposit interest rate will tend to increase to attract more deposits to have enough capital for lending. Therefore, it is highly likely that the interest rate level will move sideways and in an upward trend in the near future.

According to experts, to increase the capital source, banks are also increasing the issuance of bonds to meet the SBV’s regulation on short-term capital for medium and long-term loans. Though the bond issuance has also contributed to supplementing lending capital, but in the long term, deposits remain the major capital source./.

Bac Ninh, East Kazakhstan boost cooperation

A delegation from the northern province of Bac Ninh led by member of the Party Central Committee and Secretary of the provincial Party Committee Nguyen Anh Tuan met with leaders of East Kazakhstan region, Kazakhstan, on November 15 to promote cooperation between the two localities.

The meeting was part of the working trip to to Kazakhstan from November 13-16 by a delegation of the Communist Party of Vietnam led by Nguyen Xuan Thang, Politburo member, Chairman of the Central Theory Council and President of the Ho Chi Minh National Academy of Politics (HCMA).

At the meeting, a memorandum of understanding on establishing a twinning relationship between the two localities was signed by Vice Chairman of the Bac Ninh provincial People's Committee Le Xuan Loi and Governor of East Kazakhstan region Yermek Kosherbayev.

At the meeting, Tuan highlighted a new step of development in the Vietnam-Kazakhstan relations following the official visit to Vietnam by Kazakh President Kassym-Jomart Tokayev in August last year, during which the President visited Bac Ninh province and highly valued potential for bilateral cooperation. After that, the two sides discussed, and reached agreement on relevant contents, and completed the content of the MoU for signing at this time.

Tuan said that he believes the signing of the MoU will open up cooperation in various fields, and contribute to the development of both countries.

With advantages on industrial zones, industrial production, agriculture, foreign investment attraction and Vietnam – Kazakhstan direct flights, the two localities will further promote cultural and tourism exchanges, carry out local promotional activities, thereby luring more tourists from the East Kazakhstan region in particular and Kazakhstan in general to Bac Ninh and Vietnam, and vice versa, Tuan said.

For his part, Governor Kosherbayev agreed with the necessity to realise the policy of expanding and strengthening bilateral cooperation agreed during the Kazakh President's Vietnam visit, matching the sound political relations between the two countries.

Education, culture, trade, investment and tourism are first areas that the two countries eyes to promote cooperation, he said.

The governor showed his interest in cooperation in high technology, saying that it is possible to consider the establishment of industrial zones for processing products and exporting them to third countries, as well as launching a joint venture for wool processing.

Earlier, while staying in Astana capital, the Bac Ninh delegation attended working sessions with presentatives of Kazakhstan’s ruling party Amanat, a workshop on bilateral relations on the occasion of 65 years of President Ho Chi Minh's visit to Kazakhstan (July 1959) held at the Kazakhstan Institute for Strategic Studies under the President of Kazakhstan (KISI). The delegation presented the institute with a bronze bust of President Ho Chi Minh./.

Disbursement of public investment must be accelerated: Deputy PM

Deputy Prime Minister Ho Duc Phoc has called on ministries, agencies, and localities to accelerate the disbursement of public investment from now until the year-end and further tighten investment management.

Phoc made the call while chairing a meeting on November 15 with working groups No. 4 and No. 7, focused on addressing challenges and expediting public investment disbursement in 2024, with the attendance of representatives from 26 relevant ministries, agencies, and localities.

The Deputy PM underscored that the most critical risks are violations concerning project quantity and quality, which are primary contributors to capital losses.

With only 45 days remaining until the end of 2024, he emphasised that meeting the committed 95% disbursement rate will require extraordinary efforts. He urged swift actions to overcome obstacles, directing ministries and sectors to respond promptly to local needs, ensuring that workloads of the projects are completed by December 31, 2024.

Specifically, he asked the Ministry of Planning and Investment (MoPI) to review provinces' proposals to adjust total investment levels, simplify investment procedures, reallocate resources, address procedural bottlenecks, and allocate additional capital to ensure projects are completed as scheduled and with optimal effectiveness.

Meanwhile, the Ministry of Finance was assigned to resolve issues related to official development assistance (ODA) capital, adjust investments, and coordinate resource allocations in alignment with the MoPI's suggestions.

According to the MoPI, the disbursement rate of public investment in the first 10 months of 2024 of 10 central ministries and agencies, and 11 localities reached 58.9% of the target assigned by the Prime Minister, surpassing the national average. Four central agencies and eight localities reported rates above the national average, while five ministries and three localities lagged behind.

The MoPI attributed the slower-than-expected progress to challenges stemming from legal regulations, land clearance, and procedural hurdles in implementing national target programmes.

Pham Duc Toan, Permanent Vice Chairman of the Dien Bien Provincial People’s Committee, reported that only 58.4% of its allocated investment had been disbursed as of October. He cited lower-than-expected revenue from land use fees due to broader economic difficulties, adverse weather conditions, and material shortages - particularly in sand supply - as contributing factors. Capacity and management of consulting and project management teams were also a problem.

A representative from Cao Bang province pointed to its 48.1% disbursement rate, primarily due to difficulties in funding for the Dong Dang - Tra Linh expressway project. Prolonged heavy rains and flash floods have slowed the project's progress. The province is accelerating construction during the dry season and is committed to reaching a 95% disbursement rate by year-end, the representative said./.

IHG plans to expand hotel portfolio in Việt Nam from 16 to 40 properties

IHG Hotels & Resorts, a global leader in the hospitality industry, has unveiled ambitious plans to expand its presence in Việt Nam by increasing its portfolio from 16 hotels to more than 40 properties, bringing its room count from approximately 4,800 to 12,000.

This significant growth will include the addition of six new hotels by the end of next year, introducing two new brands to the market, and increasing its brand offerings in Việt Nam from seven to nine.

Rajit Sukumaran, IHG's Senior Vice President & Managing Director for East Asia & Pacific, revealed on Thursday during a media briefing the company’s expansion plans, adding that Việt Nam is experiencing a surge in international travel, driven by new air routes connecting it with various cities across Asia.

Việt Nam welcomed nearly 14 million visitors in the first ten months of 2024, with projections to reach 18 million by year-end, a remarkable 41 per cent increase from the previous year.

He emphasised the company’s commitment to Việt Nam’s tourism growth.

Sukumaran said: “We are thrilled to see travel fully returning to Việt Nam, a country rich in beautiful destinations. IHG is dedicated to growing alongside this market through strong partnerships and leveraging the expertise of our regional and global teams.”

IHG has steadily grown its presence in Việt Nam’s luxury hotel sector over the past 17 years, beginning with the opening of the InterContinental Hanoi Westlake in 2007. Currently, IHG operates 10 luxury properties in eight destinations under its Six Senses, Regent Hotels & Resorts, and InterContinental Hotels & Resorts brands. The company plans to further expand its Luxury & Lifestyle portfolio, with the debut of Vignette Collection in Hội An and Hotel Indigo in HCM City.

The company’s leaders reaffirmed their commitment to maintaining its position as a leader in Việt Nam’s luxury hotel sector, offering world-class tourism concepts and experiences.

Vivek Bhalla, Managing Director for South East Asia & Korea at IHG, highlighted the growing demand for lifestyle and luxury brands in Việt Nam and the Vietnamese Government is working to attract wealthier tourists. Especially, the Hanoi Department of Tourism is focused on expanding four- and five-star luxury hotels to meet this need.

He said: “There is significant long-term potential for Việt Nam to attract high-end tourists seeking unique, personalised experiences, and the country is well-positioned to offer that. Local governments are also progressive in their efforts to target this consumer base.”

To appeal to this market, the Government should prioritise upgrading tourist attractions, developing a skilled workforce, and accelerating digital transformation, Bhalla added.

Besides its luxury & lifestyle segment, IHG is also expanding its premium and mainstream hotel brands. The company has five Crowne Plaza properties in the pipeline, alongside rapid growth for its premium voco brand, with Quảng Bình Resort set to open soon. The Holiday Inn family continues to drive growth for IHG, with plans for nine additional properties in Việt Nam, adding to its existing locations in Sài Gòn and Hồ Tràm.

The representative from IHG Hotels & Resorts shared that they see significant potential to introduce more midscale brands to the Vietnamese market, including new names such as Garner, Staybridge Suites, and Holiday Inn Express. This confirms that Việt Nam is a strategic market for IHG.

“We are committed to supporting Việt Nam ambition to be one of the top travel destinations globally,” Sukumaran added. 

FPT Techday 2024 brings new perspectives on technology trends

FPT Techday 2024, an international technology forum on groundbreaking technology solutions aimed at transforming businesses and enhancing modern life, brought significant attention to the evolving role of humans amid the explosive growth of AI.

This year's forum, with the theme 'Future Now', attracted 30 famous speakers and 2,500 global leaders of ministries, sectors and businesses.

In a notable presentation, Hoàng Nam Tiến, Vice Chairman of FPT University, said that "AI does not take our jobs, only those who are good at AI will take our jobs." He emphasised the need for Gen Z to adapt, embracing creative and systematic thinking, self-learning, and proficiency in technologies like AI and Big Data. His remarks underlined the importance of turning AI into a tool to be mastered rather than feared.

The event wasn't just about tech talk; it also featured a performance by rapper Low G to engage attendees. eSports also took centre stage, with insights into the future of gaming and an exhilarating match between top Vietnamese League of Legends teams, GAM eSports and Team Flash.

The forum's second day focused on 'Transform now,' a call to action for businesses to embrace tech-driven transformation. With thousands of international business guests, the forum continued to foster cross-sector innovation and networking. This annual gathering, a tradition since 2013, remains a key event for tech enthusiasts, industry leaders and enterprises.

FPT Techday 2024 embraced the futuristic theme by showcasing 25 booths across six key sub-areas including AI, semiconductors, automotive technology, digital transformation, green transformation and digital citizenship.

Each year, FPT selects a distinct theme to guide the conference's discussions and exhibits, highlighting cutting-edge innovations that drive technological advancement in various fields.

Nguyễn Văn Khoa, General Director of FPT, emphasised the company's strategic direction for the new era, focusing on three key pillars: high-quality workforce training, data sovereignty and protection, and harnessing the 'oil' of data. Khoa said that FPT is committed to growing its workforce, aiming for one million employees by 2035. The company also integrates STEM, AI and robotics into training programmes to build a skilled workforce.

Data, described as the 'oil' of the economy in the new era, plays a critical role in FPT's strategy. The company is collaborating with the Vietnamese government on Project 06, which focuses on the national digital transformation, leveraging data applications for population, identification and electronic authentication systems. FPT aims to support both government and businesses by enhancing digital management capabilities and integrating AI across operations to create competitive advantages.

Vũ Anh Tú, FPT Technology Director, discussed the evolution of FPT's product ecosystem, which has progressed from digitalisation and automation to AI transformation. FPT is leading the AI trend in Việt Nam, with 15 years of experience and products integrated with GenAI technology to enhance data processing and real-time decision making for businesses. This push for AI integration into products helps solve data challenges comprehensively.

The forum also featured discussions on data exploitation for national growth, improving governance and socio-economic development.

Speakers emphasised that data-driven strategies will enable businesses and government agencies to foster socio-economic progress. Moreover, key discussions on multi-industry cooperation and the application of AI in businesses provided a glimpse into Vietnam's role in the global green transformation game.

This year's FPT Techday highlighted the essential role of technology, AI and data in shaping a prosperous digital future for Việt Nam, as well as its expanding role in global technological innovation.

Project launched to advance energy transition in Việt Nam

The GE Vernova Foundation in collaboration with Asia Society for Social Improvement and Sustainable Transformation (ASSIST) and Electric Power University have announced a US$750,000 investment in the workforce supporting Việt Nam’s energy sector. 

The RENEW Skills grant, which was awarded to ASSIST, will create a three-year skilling and upskilling programme focused on university and college students and current technicians with the goal of addressing the skilled labour needs across Việt Nam’s renewable energy industry.

"Skills-based training is essential for driving the energy transition and advancing the technologies of the future," said Ramesh Singaram, Board Director, GE Vernova Foundation and President & CEO, Gas Power Asia, GE Vernova.

"We are proud to collaborate with ASSIST on this important initiative in Việt Nam. A skilled workforce is fundamental to a nation's economic growth and social progress. Through this programme, we are excited to create new opportunities for economically disadvantaged communities, offering pathways to well-paying jobs that promote financial independence and support the well-being of workers, their families, and our world," he added.

The RENEW Skills Development Programme will focus on both the current workforce and the future generations of university and technical vocational college students, by providing access to new curricula and practical training focused on wind energy technology operations and maintenance, grid integration, and workplace safety.

Five learning labs, including two Centers of Excellence, will be established with educational partners and equipped with modern renewable energy technology training equipment, which will serve as hubs for course development, teacher capacity building and student training. The programme anticipates reaching over 4,000 students and current technical workers over the next three years. 

Assoc. Prof. Đinh Văn Châu, President of Electric Power University, said: "Electric Power University is honored to collaborate with the GE Vernova Foundation and the Asia Society for Social Improvement and Sustainable Transformation in supporting the energy transition process in Việt Nam. The RENEW Skills project provides significant opportunities for students, creating pathways to well-paying employment, particularly within Việt Nam's energy sector.” 

PM urges IMF to continue supporting Việt Nam's macroeconomic development

Prime Minister Phạm Minh Chính received a delegation of the International Monetary Fund (IMF)'s 2024 Article IV Mission to Việt Nam led by its head Paulo Medas in Hà Nội on November 15.

The government leader highly appreciated the IMF's valuable assessments, forecasts and recommendations regarding Việt Nam's economic situation for 2024, as well as the prospects and risks for 2025. He affirmed that the IMF's views are critical for Việt Nam in formulating macroeconomic management policies.

According to the PM, despite substantial external pressures, Việt Nam has achieved significant socio-economic results, especially in public investment, foreign direct investment (FDI), state budget revenue, monetary and fiscal policies, and foreign trade.

The Vietnamese Government is taking suitable policy response, prioritising growth, and boosting production, and business activities, he said, adding efforts are also being made to reduce lending interest rates, issue bonds for strategic infrastructure projects, and provide tax and fee reductions for businesses, as well as well managing exchange rates, controlling inflation, ensuring food and energy supply, diversifying markets, and building financial centres.

The leader reaffirmed Việt Nam’s commitment to restructuring the economy with a focus on rapid and sustainable growth driven by science, technology, and innovation. The Vietnamese Government aims to enhance labour productivity, pursue three key breakthroughs in institutions, infrastructure, and human resources; remove institutional barriers to mobilise development resources; renew traditional growth drivers and promote new ones for higher growth targets in the coming decades.

Appreciating the practical and effective cooperation between Việt Nam and the IMF, including the valuable recommendations from the IMF’s Article IV Mission, PM Chính called on the organisation to continue macroeconomic policy advice for and dialogues with Việt Nam in the coming time.

For his part, Medas stressed that the IMF recognises Việt Nam’s impressive development achievements over the past years, despite various global shocks. He commended Việt Nam for its strong performance in 2024, noting that the country is among the fastest-growing economies in the world, with robust exports and strong foreign investment inflows.

He highlighted the effectiveness of Việt Nam's macroeconomic management, especially in keeping inflation within targeted levels, which has contributed to Việt Nam’s impressive growth compared to the rest of the world.

However, the official noted that Việt Nam still faces significant external challenges, such as the rising trend of protectionism which could negatively affect the global economy, and various uncertainties in financial markets that may expose emerging economies to greater risks.

Medas further said that investors are very interested in Việt Nam, particularly the country’s bond market. He suggested Việt Nam has considerable fiscal space to support economic growth and recommended the country to continue to proactively manage external risks, strengthen the capacity, stability and soundness of its banking system and capital markets.

Việt Nam should continue economic reforms to boost productivity, ensure long-term, sustainable growth, and well control risks, he said, stressed the importance of creating a favourable environment for investors. He also assured that the IMF would continue to assist Việt Nam in its economic development efforts.

HCM City aims to become Southeast Asian logistics hub

HCM City is set to enhance its logistics sector to become a key logistics hub in Southeast Asia by 2030, leveraging global supply chain opportunities.

Speaking at the HCM City Logistics conference organised by the HCM City Logistics Association on Friday, Võ Văn Hoan, deputy chairman of the People’s Committee said the city aims to position itself as a key logistics service centre in global supply chains.

The city aims to develop logistics into a pioneering and sustainable economic sector, with a goal to become a logistics service hub not only for Asia but also on a global scale by 2045.

Logistics is one of Việt Nam’s rapidly expanding sectors, boasting an annual growth rate of 16 per cent, he said.

The city has recently unveiled a plan to enhance logistics infrastructure by improving port capacity and expanding warehousing.

Investment projects will be executed transparently and equitably, with support for private sector involvement through favourable tax policies and streamlined processes.

A priority is the transition to green logistics to reduce emissions and promote sustainability, which is vital for competitiveness and growth.

Projects incorporating Industry 4.0 technologies, digital transformations, and environmental protection will be prioritised.

The goal is to develop modern logistics infrastructure and improve connectivity in the southeastern region and the Southern Key Economic Zone.

The global logistics sector is currently grappling with challenges such as economic uncertainty, geopolitical tensions, supply chain disruptions, and natural disasters, which have adversely affected Việt Nam's logistics industry.

Phạm Thanh Sơn, director of Tân Cảng Hiệp Phước Joint Stock Company, said that Việt Nam’s logistics industry must leverage more than its current advantages to thrive.

Việt Nam ranked 43rd in the Logistics Performance Index (LPI) in 2023.

The country’s logistics infrastructure investment has reached 5.7 per cent of GDP, the highest in Southeast Asia, contributing 4-5 per cent to national GDP and employing over one million people.

With around 9,600 registered logistics enterprises, accounting for 36.7 per cent of the national total, opportunities exist in areas like Hiệp Phước and Nhà Bè ports.

The upcoming Ring Road 3 is expected to enhance transport and reduce logistics costs.

However, public investment in infrastructure has only reached 22 per cent of planned disbursement, leaving unresolved traffic bottlenecks that hinder logistics development.

Sơn recommended improving infrastructure through accelerated road projects, railway connections, and developing waterway ports.

Vietnamese logistics firms, mostly small to medium-sized, need to optimise operations, embrace digital transformation, and invest in new technologies to enhance competitiveness.

The sector faces challenges from fragmented policies and limited infrastructure, yet the market, valued at around $40 billion in 2023, is projected to grow by 14-15 per cent by 2025, driven by free trade agreements and a favourable investment climate.

The global logistics market is expected to reach $21.91 trillion by 2033, growing at 9.35 per cent annually. 

PM receives leaders of major enterprises in Brazil

Prime Minister Phạm Minh Chính received leaders of four Brazilian corporations in Rio de Janeiro on November 17 (local time) as part of his trip to Brazil for participation in the G20 Summit and bilateral activities.

The firms are aerospace company Embraer, meat producer JBS, Oceanside One Trading, and smart card solution supplier Alterosa.

At the meetings, Chính highlighted the strong and growing Việt Nam-Brazil relationship, underscored by mutual political trust and complementary economic strengths.

Bilateral trade reached over US$7.1 billion in 2023 and $6.58 billion in the first 10 months of 2024, he noted.

The Vietnamese leader highlighted Việt Nam and Brazil's similarities and shared aspirations for peace and development, as well as great potential for cooperation.

He called on Brazilian firms to promote investment in Việt Nam, and pledged that the Vietnamese Government will continue improving the country's business and investment environment, speeding up administrative reform and providing optimal conditions for Brazilian investors to effectively and sustainably operate in Việt Nam.

Jose Serrador, Global Vice President of Embraer, the world’s third-largest manufacturer of commercial aircraft, affirmed the company's wish to continue promoting comprehensive collaboration with Việt Nam.

He committed to expanding cooperation with Vietnam, particularly in exploiting routes such as Hà Nội - HCM City and Hà Nội - Côn Đảo, and in defence trade.

Chính said Việt Nam is focusing on developing maritime space, underground space, and aerospace, and that the country aims to establish an aviation transit centre. 

Pointing to Việt Nam's potential in aviation development and rising demands, he encouraged Embraer to support Việt Nam's ambition to become a global aviation hub through sustainable fleet development, pilot training, technology transfer, and airport construction, while cooperating with Việt Nam in other fields such as defence trade, search and rescue.

Meanwhile, Celso Nunes, Innovation Director at Alterosa, presented plans to enhance partnership with Việt Nam in smart card solutions.

Chính welcomed Alterosa's activities in Việt Nam and urged the firm to expand its partnerships in Việt Nam, both in scope and scale, particularly in digital security authentication solutions and smart card technology, helping to build the country’s digital infrastructure, digital economy, and digital society, digital government, and citizenship.

He welcomed the firm to explore opportunities in emerging fields such as artificial intelligence, cloud computing, and the Internet of Things. The PM encouraged Alterosa to collaborate with Việt Nam's National Innovation Centre to drive innovation and develop financial hubs, advancing the country’s technological and economic transformation.

Marcio Rodrigues, CEO of JBS, the world’s largest meat producer, proposed making Việt Nam a strategic hub for the Asian market. PM Chính welcomed this idea and invited JBS to expand investments in Việt Nam, including facilities for livestock processing, food security, and leather production. He also encouraged the further integration of Vietnamese agricultural products into global supply chains.

Last year, the firm earned $8.3 billion in revenue with more than 65,000 labourers worldwide. 

Chính expressed his hope for JBS to establish a greater, deeper, and broader presence in Việt Nam in the coming years. He encouraged the company's leaders to visit Việt Nam soon to explore further cooperation opportunities, enhance supply chain expansion, and bring Việt Nam's diverse agricultural products to Brazil and global markets. Additionally, he urged JBS to invest in factories in Việt Nam, focusing on leather production, manufacturing, processing, and exporting livestock and poultry meat.

At the meeting with the Vietnamese leader, Roger Zen, Chairman and CEO of Oceanside One Trading, briefed him on the group’s operations and touched upon opportunities to expand business and investment collaboration with Việt Nam.

Oceanside One Trading is a leading American trading conglomerate headquartered in the US, with subsidiaries in Brazil. The group specialises in trading commodities such as chemicals, oil and gas, tires, fertilizers, and urea. In 2023, its revenue exceeded $500 million, with a commercial presence in over 50 countries and territories.

In Việt Nam, the group has signed an export agreement for automotive tire products with a subsidiary of the State-managed Việt Nam National Chemical Group (Vinachem) for the Brazilian market, valued at $120 million. Oceanside One Trading aims to increase its export volume to the US and Brazilian markets from $70 million to $150 million annually in the near future.

Roger Zen praised the potential for collaboration with Việt Nam, highlighting the strong friendship between the two countries, their cultural similarities, and the complementary strengths of their economies. He noted the group’s desire to continue purchasing goods from Việt Nam and increasing exports to the country, targeting annual trade growth of 15–20 per cent.

Welcoming Oceanside One Trading’s ideas and plans for cooperation, the PM encouraged the group to provide input to help Việt Nam improve its institutional framework.

He suggested the group enhance trade collaboration, explore investment opportunities, introduce more Vietnamese products to global consumers, and help the country integrate more deeply into the global supply chain.

Highlighting Việt Nam as a promising consumer market with over 100 million people and a growing middle class, the leader said the country has signed 17 free trade agreements (FTAs) with over 60 major economies. He called on Oceanside One Trading and JBS to support negotiations for a new-generation FTA between Việt Nam and the Southern Common Market (MERCOSUR), as well as Brazil, and to advocate for investment protection agreements. 

Market rocked by pressure from exchange rates and interest rates

Việt Nam’s stock market experienced a turbulent week as heavy selling pressure, particularly in the final sessions, drove indices lower.

Experts attributed the decline to rising exchange rate pressures, high interbank interest rates and persistent net selling by foreign investors.

Throughout the week, the market continued its downward trajectory amid unfavourable macro-economic conditions. The VN-Index lost a significant support level and appeared to be heading towards deeper support zones. This volatility raised concerns among investors about the market's short-term prospects.

By the close of the week’s last trading session, the VN-Index had fallen by 33.99 points, or 2.7 per cent, ending at 1,218.57 points. Meanwhile, the HNX-Index dropped by 5.35 points, or 2.35 per cent, to 221.53 points.

Despite a rise in market liquidity, the trend reflected negative sentiment, with trading volume on the HoSE surging by 26.8 per cent, driven by overwhelming selling pressure.

Analysts noted that market breadth was largely unfavourable, with most sectors facing correction risks.

Foreign investors continued their relentless net selling, offloading hundreds of billions of đồng daily, with figures occasionally reaching trillions.

Notably, prominent stocks such as VHM and MSN saw foreign outflows exceeding VNĐ3 trillion in the first half of November alone.

On the HoSE, foreign investors extended their net selling streak to five consecutive sessions, unloading a total of 126.7 million shares worth VNĐ4.03 trillion. Similarly, on the HNX, they sold over 4.6 million shares valued at VNĐ114.93 billion across the week.

Phan Tấn Nhật, head of Analysis at Saigon-Hanoi Securities (SHS), noted that the VN-Index remains in a short-term downtrend below the 1,250-point resistance.

He identified a strong support zone between 1,200-1,210 points, aligning with the peak levels of 2018 and the trendline connecting the market’s lowest points from April and August 2024. He also highlighted that the medium-term trend has shifted to an accumulation phase, requiring a breakout above the 1,250-point resistance to signal improvement.

According to Nhật, the broad-based selling pressure was partly due to foreign outflows, stop-loss activity, and margin reduction by leveraged investors. He projected that deleveraging could persist for another 3-4 sessions, given that margin debt at the end of Q2 stood at VNĐ240 trillion.

However, he noted that the market appeared being oversold in the short term, with the VN30 expected to rebound around 1,260 points, correlating to a recovery of the VN-Index in the 1,200-1,210 range.

Despite challenges, Nhật highlighted that the market's current capitalisation of approximately US$287 billion – around 62 per cent of 2024 GDP – remains attractive relative to the economy’s scale.

With GDP growth expected to remain robust at 6.5-7 per cent in 2025, he advised investors to consider deploying capital into fundamentally sound stocks with strong Q3 earnings and promising growth prospects.

Amid rising short-term risks, experts urged investors to prioritise portfolio risk management. Those holding high allocations or using leverage were advised to reduce their positions during technical rebounds.

Conversely, investors with lower exposure or short-term strategies should refrain from “bottom fishing” until clear signs of a market reversal emerge.

Exports of bamboo, rattan, sedge, carpet products reach 594.8 million USD

Vietnam's exports of rattan, bamboo, sedge and carpet products totalled 50.43 million USD in September, a 4.5% decrease compared to last year, according to the General Department of Customs.

Cumulatively, exports of these products reached 594.8 million USD in the first nine months of 2024, a year-on-year increase of 10.3%.

Regarding markets, the US remained Vietnam's largest export destination for these products in the first nine months. Exports of these items to this country reached over 247 million USD, up 21.4% year-on-year and accounting for 41.6% of total exports.

In September alone, it generated nearly 20 million USD, an increase of 12% compared to last year.

Japan ranked second, with 45.4 million USD in exports, a decrease of 11% year-on-year, representing 7.6% of the total.

The UK was the third-largest market for Vietnamese exports in this category, generating 31.6 million USD in the first nine months, up 8.9% year-on-year and representing a 5.3% share.

The UK is among the most crucial export markets for Vietnamese products and serves as their gateway to Europe.

The UK-Vietnam Free Trade Agreement signed in May 2021 is an important continuation of trade facilitation between the two countries after the UK exited the EU.

The agreement has enhanced opportunities to export Vietnamese products through increased access to the UK market.

Positive signals from major markets including the US and the UK indicate that Vietnam’s rattan, bamboo, sedge and carpet export industry is experiencing strong growth.

This development enhances economic value and contributes to promoting the country's image and strengthening the position of Vietnamese handicraft products on the international market.

Currently, Vietnam is among the leading exporters of these type of products. Experts suggest that it is entirely feasible for Vietnam to capture 10-15% of the global market share in this field, with the country having an extensive bamboo area of up to 1.5 million hectares, spread across most provinces.

Out of 63 provinces, 37 have over 10,000 hectares dedicated to bamboo.

Vietnam's bamboo resources are abundant and diverse, with hundreds of species, including economically valuable types.

The country is also home to over 1,000 traditional craft villages specialising in rattan and bamboo weaving, accounting for 24% of the total craft villages.

According to the Forestry General Department, rattan and bamboo weaving represents the highest export value among non-timber forest products in Vietnam./.

Lang Son, Guangxi set sights on pilot smart border gate

Authorities of the northern border province of Lang Son and Guangxi Zhuang Autonomous Region of China held an online signing ceremony for a Memorandum of Understanding (MoU) to jointly develop a pilot smart border gate.

The MoU is a crucial step to realise the Framework Agreement signed on June 26, 2023, outlining a robust mechanism for regular meetings and exchanges to drive the pilot project forward.

Under the MoU, the two sides agreed to conduct quarterly meetings, alternately hosted by each side, with urgent sessions to address pressing issues. A hotline and designated contact points will ensure swift communications and settlement of complex matters during the pilot construction phase.

Yang Chunting, Director of the Department of Commerce of Guangxi Zhuang Autonomous Region, expressed his optimism about the project, saying that the construction of the pilot smart border gate is expected to boost the two countries' trade.

Vu Quang Khanh, Deputy Head of the Dong Dang - Lang Son border gate economic zone management board, said Lang Son has been actively developing essential infrastructure to support transportation and border gate facilities for the project./.

Vietnam to set new record in rice exports in 2024

Despite challenges in the global rice market, Vietnam's is still on a right track to a new export volume record of over 8 million tonnes in 2024, surpassing last year’s result, according to insiders.

Do Ha Nam, Vice President of the Vietnam Food Association and CEO of Intimex Group, said that 2024 will be another record-breaking year for rice exports, with the total to exceed 8 million tonnes and a value of over 5 billion USD, the highest ever. Furthermore, the average export price could also reach a record, potentially topping 600 USD per tonne. This has helped keep rice prices within the domestic market high and stable.

According to the Ministry of Agriculture and Rural Development, Vietnam’s rice exports for the first 10 months of 2024 totalled nearly 7.8 million tonnes, valued at 4.86 billion USD, representing a 10.2% increase in volume and a 23.4% rise in value compared to the same period in 2023. The average price during this period was over 626 USD per tonne, marking a 12% increase year-on-year.

The Philippines, with a strong demand, remains Vietnam's largest export market, accounting for over 45% of the total exports. By the end of October 2024, it had imported 2.91 million tonnes from Vietnam, representing more than 79% of its total rice imports of 3.68 million tonnes. Other key markets include Indonesia and Malaysia, with Malaysia experiencing the strongest growth in value among Vietnam's top 15 export destinations, seeing a 2.3-fold increase.

The Vietnam Trade Office in the Philippines anticipates that rice imports will continue to rise in the final months of 2024, driven by increasing domestic consumption and damage to the harvest caused by natural disasters. It is projected that the total volume of the grain imported by the Philippines in 2024 could exceed 4 million tonnes.

Although rice export prices in Vietnam have fluctuated recently, Nam said he believes that domestic prices could increase towards the end of the year due to limited supply and the impact of storms and floods. He noted that the Philippines, Vietnam's major importer, prefers fragrant rice which keeps a high demand despite increased global supply from India.

In a significant development, Vietnamese companies recently secured 83,500 tonnes of rice in a tender for 500,000 tonnes held by Indonesia in October. Despite the influx of Indian rice, Indonesian buyers were willing to pay more for Vietnamese due to its superior quality.

Nam said that Vietnamese companies have secured substantial orders for the rest of the year, which will help stabilise rice prices.

While India has resumed exporting rice, Nam does not foresee significant impact on prices for Vietnamese, as the Indian grain is generally of lower quality and primarily exported to Africa. In contrast, Vietnamese farmers have shifted to cultivating higher-quality rice varieties.

Vietnam’s agriculture sector is optimistic about the future, with the Ministry of Agriculture and Rural Development projecting that this year’s rice production may reach 43 million tonnes, ensuring a steady supply for both domestic consumption and export./.

VNA/VNN/VNS/VOV