Australian delegation to learn about Vietnamese shrimp production     

An Australian delegation will visit Viet Nam from February 26 to March 2 to learn about the processing chain for shrimps exported to Australia.

This was announced by the Viet Nam Association of Seafood Exporters and Producers (VASEP).

The delegation will focus on the main issues, including prevention and control of aquatic animal diseases and issuance of shrimp export quarantine certification. It will visit the laboratories where shrimps are tested for white spot syndrome and yellow head disease before being exported.

Delegation members will also visit other facilities related to the shrimp processing chain, including facilities that produce shrimp varieties, breed shrimps and process the exported shrimps, in Soc Trang, Bac Lieu, Kien Giang and Ca Mau provinces.

To ensure favourable conditions for the delegation to understand the process and to further the export of Vietnamese shrimps to the Australian market, the Department of Animal Health under the Ministry of Agriculture and Rural Development will coordinate with VASEP and local seafood firms exporting shrimps to Australia to support the exporters while working with the Australian delegation.

The department said local seafood exporters should actively review the processing chain for seafood exports to Australia, including infrastructure conditions, equipment, quality management system, records, data, processes relating to production chains and bio-safety conditions.

According to the Viet Nam Trade Office in Australia, seafood products have great potential of being exported to Australia because the market there needs some one million tonnes of seafood. Australia’s domestic production only meets 30 per cent of the demand, which is why the country needs to import 70 per cent of seafood, including canned fish, fillet fish, shrimp, squid and octopus. The demand continues to increase with population growth.

At present, Viet Nam is Australia’s fourth largest seafood supplier after Thailand, New Zealand and China, but Vietnamese seafood products account for just 11 per cent of the market share.

Viet Nam, however, is the largest shrimp supplier to Australia, with a market share of 35 per cent.

The Trade Office said Australia was a potential seafood export market for Viet Nam, but local businesses must strictly comply with Australian regulations on food hygiene and safety as well as bio-safety. There are still some cases of Vietnamese seafood failing to meet Australian food safety requirements. This has affected the reputation of Vietnamese seafood products, the office said.

Last year, Viet Nam’s seafood export value reached the highest at US$8.3 billion, an increase of $1 billion compared to 2016. Of this, $3.8 billion came from shrimp exports, with a year-on-year increase of 21 per cent. 

Viet Nam fruit exports skyrocket

Exports of vegetables and fruits in January this year soared 63.3 per cent year-on-year in turnover to reach US$383.7 million, statistics from the General Department of Customs showed.

Of these, export turnover of vegetables and fruits to the Chinese market hit $296.3 million, up 68.6 per cent compared to the same period last year, accounting for 77 per cent of the total export revenue of Viet Nam.

Exports to the Hong Kong market increased 105 per cent, hitting $1.85 million. Exports to Japan reached $10.6 million, soaring 77.5 per cent compared to the same period last year.

Despite the high growth rate of vegetables and fruit exports to the Japanese market, export turnover is still low compared to the current consumption demand in Japan.

According to experts, to boost exports of vegetables and fruits to Japan, Vietnamese enterprises should meet the demands of the market, such as sanitary and phytosanitary requirements.

Hoang Trung, head of the Plant Protection Department under the Ministry of Agriculture and Rural Development, told Thoi bao Kinh te Viet Nam (Viet Nam Economic Times) that there were big opportunities in the sector, however, to promote advantages in exports and access markets with high economic value, businesses and farmers should pay attention to the two issues of pest and food safety.

“To expand markets, two key barriers should be solved, which are phytosanitary and food safety, especially residues of plant protection substances on vegetable and fruit products,” said Trung.

A business in Tien Giang Province also told the newspaper that export turnover reflected the real situation as some vegetables had short growth periods and already had outputs so farmers had expanded planting areas to plentiful raw materials enterprises. Enterprises are increasing investment in high technology in processing and export markets, therefore the growth rate of the sector is positive.

The country’s vegetable and fruit sector is creating prestige in export markets. “It is too early to say that this year’s export turnover of vegetables and fruits will surpass last year’s goal, but with a favourable starting point besides market share growth in key markets, it can be said that the goal set by the Ministry of Industry and Trade is within reach,” the business said.

However, exports of vegetables and fruits dependent on the Chinese market may be risky.

Tran Hiep, a general director of a vegetable and fruit export business in Tien Giang Province, said that China was still a large market of Viet Nam as it was a neighbouring country which has significant demand towards Vietnamese vegetables and fruits. However, the market hides risks, but with high quality in production and process, along with export experiences of Vietnamese enterprises, the problem is not a big concern.

“China is a big market but if we have knowledge and experience, as well as having built trust among customers, we will gain other markets besides China,” he said. 

Reference exchange rate up 5 VND at week’s beginning

The State Bank of Vietnam set the daily reference exchange rate at 22,448 VND/USD on February 26, up 5 VND from the end of last week. 

With the current trading band of +/- 3 percent, the ceiling rate applied to commercial banks during the day is 23,121 VND/USD and the floor rate 21,777 VND/USD. 

The opening hour rates at major commercial banks continued the rising trend from last week. 

Vietcombank raised both rates by 15 VND compared to February 23, listing the buying rate at 22,700 VND/USD and the selling rate at 22,770 VND/USD. 

The rates at BIDV are the same as those listed by Vietcombank, also up 15 VND both. 

 Vietinbank listed the buying rate at 22,707 VND/USD and the selling rate at 22,777 VND/USD, both up 12 VND from February 23. 

Reduced Australian tariff to boost Vietnam exports

Australia will cut 90 percent of import tariff lines in 2018 and 100 percent of them in 2020 under the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) roadmap, said the Ministry of Industry and Trade (MoIT).

Pham Tuan Anh, deputy head of the Ministry of Finance’s Department of International Cooperation, said this was a good opportunity for Vietnamese businesses to promote the export of goods to the Australian market when those import tariff lines reduce to zero percent.

Vietnam has had many advantages in exporting agricultural products, consumer goods, textiles, footwear and wood products to Australia. These groups are eligible for many tariff preferences under AANZFTA.

Australia is now the eighth largest exporter to Vietnam, while Vietnam is the 14th largest exporter to Australia, according to the MoIT. 

Australia is a potential export market for Vietnamese goods, especially seafood as its consumption in that country has increased rapidly to some one million tonne per year.

The domestic output of seafood has reached 220,000 tonnes, so Australia needs to import more than 700,000 tonnes of seafood every year. Meanwhile, Vietnam is the third largest exporter of seafood in the world, after China and Thailand. 

Moreover, Australian consumers like Vietnamese seafood due to its reasonable pricing and the good taste of Vietnamese freshwater fish.

Vietnam’s cashew is also a promising commodity for Australian consumers. Vietnam is the largest exporter of cashew nuts to Australia, accounting for some 74 percent of cashew exports to the nation.

Some items such as wood and wood products, bags, suitcases, textiles, machinery and equipment are also considered potential commodities in the Australian market.

According to the MoIT, Vietnamese goods have appeared in a small volume in supermarkets in Australia, reflecting the great potential of the Vietnamese export goods as well as Australia’s high import demand.

However, it is difficult for the Vietnamese goods to join Australia’s retail distribution system directly, the MoIT said, because at present, Vietnamese enterprises do not have professional knowledge of the retail system, including measures on approaching the system as well as regulations on food hygiene and safety and technical standards. They have forgotten how to introduce and advertise Vietnamese products in supermarkets.

To provide the necessary information about the Australian distribution system to Vietnamese companies, the Vietnam Trade Office in Australia has introduced to local businesses the list of large retail groups in Australia with an annual revenue of 1 billion AUD (782 million USD) and their basic activities to help them market their products directly to the Australian distribution chain.

The retailers include Coles, Woolworths, Aldi, Woolworths Limited, Wesfarmers Limited, Harvey Norman Holdings Ltd, Metcash Limited and IGA. Currently, Vietnam’s food stalls are present at the Coles supermarket chain, paving the way for more Vietnamese goods to reach Australian consumers.

According to the MoIT, after more than six years of implementation of AANZFTA, the trade value between Vietnam and Australia is increasing by an average of 5 percent every year.

The General Department of Customs said in 2017, the bilateral trade value between Vietnam and Australia reached more than 6.46 billion USD, a year-on-year growth of 22.9 percent. 

Vietnam’s exports to Australia reached 3.23 billion USD, up 12.5 percent over 2016, while its import value from Australia stood at over 3.17 billion USD, up 29.7 percent against 2016. Vietnam gained a trade surplus of 480 million USD with Australia.

The bilateral trade value between the two countries in 2016 rose 6.5 percent year-on-year. 

Vietnam-Ukraine trade spurts

Trade between Vietnam and Ukraine was valued at 35.5 million USD last month, an increase of 22.2 percent year-on-year, according to the General Department of Customs.

Vietnam’s exports reached 24.6 million USD, which sent its trade surplus soaring to 13.8 million USD.

Vietnam exported 11 categories of products, with mobile phones and parts topping the list with a value of nearly 16 million USD, 76 percent higher than the same period last year.

Plastic products ranked second, following a five-fold increase, to 512,800 USD. Pepper, cashews, tea, rubber products, and iron and steel were the other major items.

Vietnam primarily imported machinery, equipment and parts.

Trade is a top priority in the comprehensive partnership between the two nations.

Last year, their trade was worth 355.5 million USD, a 34.5 percent increase.

Trade is again expected to grow this year, experts noted.

Foreign investors register to invest 1.25 billion USD in January

Foreign investors registered to invest nearly 1.25 billion USD in Vietnam in January, which will include funding for new projects, in addition to existing projects and buying stakes in projects, which will equal 75.9 percent, compared to the same period last year.

In January, the disbursement of foreign direct investment (FDI) saw a positive increase of 10.5 percent to 1.05 billion USD year on year, according to statistics from the Ministry of Planning and Investment’s Foreign Investment Agency.

A number of large projects were granted licences during the month, including Kefico Vietnam Company Ltd, which was allowed to add 120 million USD in investment capital; Vina Cell Technology Company Ltd, which added 100 million USD;  the Nam Dinh Ramatex Textile and Garment Factory project with total capital of 80 million USD in Nam Dinh province, funded by a Singapore investor; and Jotun Paint Company Ltd in HCM City, invested by a Norwegian investor with funds of 70 million USD.

Out of 125 countries and territories with FDI projects in Vietnam, the Republic of Korea was the most significant investor with 58.1 billion USD, accounting for 18.1 percent of total capital. Japan was in second place with 49.46 billion USD at 15.4 percent, followed by Singapore, Taiwan, Britishvirgin Island and Hong Kong.

In terms of investment in foreign countries, Vietnam granted licences for investments in foreign countries for six projects in January, with a total investment capital of 6.46 million USD.

Three of these projects were in retail and wholesale areas, while the remainders were in the fields of processing and manufacturing, residential services and science and technology.

The projects are being conducted in Canada, Campuchia, New Zealand, Germany, Belize and Myanmar.

Eight projects get investment licenses in Ba Ria-Vung Tau

The southern province of Ba Ria-Vung Tau presented investment licenses to eight projects worth over 8.3 trillion VND (366 million USD) at a meeting with businesses on February 23.

They comprise two solar power factories, two housing projects, one hospital project, one ceramic factory, one tourism project, and one steel project.

At the meeting, the provincial People’s Committee also signed a memorandum of understanding with the EVN Power Generation Corporation 3, the investor of the Long Son electricity centre in Long Son commune of Vung Tau city. With registered capital of 4.4 billion USD, the project will be powered by liquefied natural gas and have total capacity of 3,600 MW.

Secretary of the provincial Party Committee Nguyen Hong Linh affirmed that Ba Ria-Vung Tau always treasures the investments that investors pour into the province and considers these as a meter of their trust in the province’s investment attraction efforts. However, the province will also determinedly revoke sluggish projects so as to make room for new investments.

He asked businesses to ensure social responsibility, protect the environment, and care for employees, which is important to their sustainable development. 

Ba Ria-Vung Tau is focusing its investment attraction efforts on the five sectors that it has potential, namely industry, sea ports, port logistics services, tourism, and hi-tech agriculture, said Chairman of the provincial People’s Committee Nguyen Van Trinh.

In 2017, the province granted investment certificates to 69 projects, including 29 foreign invested projects worth 1.5 billion USD and 40 domestic projects worth over 29 trillion VND (1.28 billion USD).

Dong Nai draws almost 156 million USD in FDI in Jan-Feb

The southern province of Dong Nai has licensed eight foreign direct investment (FDI) projects worth 31.7 million USD and one domestic project worth 200 billion VND (8.8 million USD).

According to the management board of industrial parks, nine existing FDI projects were permitted to increase their capital by 115.4 million USD.

The newly-licensed projects included footwear projects invested by August Sport Co., Ltd. with total investment of 15 million USD and DY Boiler Vina Co., Ltd. with total investment of 7 million USD.

HENKEL Adhesive Technologies Co., Ltd. and Inzi Vina Co., Ltd registered to increase their capital by over 19 million USD and 18 million USD, respectively.

Newly-licensed and increased capital projects focus on mechanic industry, electronics, garment-textiles, and footwear.

So far, Dong Nai has been attracting nearly 32 billion USD in FDI with 1,300 valid projects invested by firms from 45 countries and territories. The top investors are the Republic of Korea, Taiwan and Japan.

Agro-forestry-fishery exports exceed 6 bln USD in first two months

Export turnover of agro-forestry-aquatic products in February 2018 was estimated at 2.6 billion USD, raising the total value in the first two months of 2018 to 6.1 billion USD, up 30.2 percent against the same period last year.

According to the Ministry of Agriculture and Rural Development, export value of key farm produce hit 3.3 billion USD, a year-on-year rise of 27.8 percent. 

Meanwhile, revenue from aquatic and forestry product shipments reached 1.2 billion USD and 1.43 billion USD, increases of 29.5 percent and 28.5 percent, respectively.

In February, Vietnam earned 179 million USD from export of about 369,000 tonnes of rice, raising the Jan-Feb rice exports to 861,000 tonnes, worth 419 million USD, up 17.2 percent in volume and 34 percent in value over the corresponding period in 2017.

Other products saw increases in both volume and value, including coffee, tea, cashew nuts, vegetable and fruits, cassava, and cassava products.

Cashew nut export topped the list in the Jan-Feb period, with 54,000 tonnes shipped abroad, worth 555 million USD, up over 73 percent and nearly 95 percent, year on year. It was followed by vegetables and fruit, worth 672 million USD, up 59.5 percent.

Export revenue of rubber and pepper increased 29.5 percent and 36.5 percent to 348 million USD and 121 million USD, respectively.

According to the Ministry, agro-forestry-fishery imports in February were estimated at 2.57 billion USD, raising the total value in the first two months to 5.29 billion USD, a year-on-year increase of 30.6 percent. 

Vietnam attends OECD ministerial conference on SMEs in Mexico

A Vietnamese delegation is taking part in the third Ministerial Conference on Small and Medium-sized Enterprises (SMEs) of the Organisation for Economic Cooperation and Development (OECD) in Mexico City, Mexico.

The event on February 22 and 23 features representatives of 56 countries and 12 international organisations.

Themed “Strengthening SMEs and entrepreneurship for productivity and inclusive growth”, the conference aims to build a common agenda for all countries in supporting and helping solve problems facing SMEs and start-ups as well as obstacles to development and growth.

Addressing the event, OECD Secretary-General José Ángel Gurría Treviño highlighted the role of SMEs in economies and societies, especially in OECD member countries. SMEs represents 90 percent of businesses and are companies that create the most jobs for society.

He also stressed the necessity to provide better conditions for SMEs and start-ups to develop and contribute to the development of each OECD economy.

For his part, Mexican Secretary of Economy Ildefonso Guajardo Villarreal underlined the role of the member countries’ governments in issuing public policies to support SMEs. He noted the event is a chance for the members to share experience and policies on SMEs, thus promoting economic growth amid globalization.

Panel discussions of the OECD ministerial conference focus on enabling SMEs to scale up, enhancing SME access to diversified financing instruments and fostering greater SME participation in a globally integrated economy.

Regarding the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the Mexican minister said after the trade pact is signed in Chile in March, Mexico will immediately submit the agreement to its parliament for ratification.

He added CPTPP will help his country bolster trade ties with 10 other member nations, including Vietnam.

Tra Vinh calls for investment in major projects

The Mekong Delta province of Tra Vinh has announced a list of major projects to call for investments in 2018, most of which are in high technology industry, organic agriculture, processing and technical infrastructure.

The projects include those on brackish water shrimp raising, coconut processing, cow breeding and beef processing, shipyard building and mechanic factory construction, and fruit and peanut processing factories.

In tourism, the province is calling for investment in developing a 65ha Ao Ba Om cultural and tourism site, and a 30ha Duyen Hai mineral spring tourist site.

At the same time, Tra Vinh encourages investors to engage in infrastructure projects in An Dinh economic zone, as well as technical infrastructure projects in Co Chien and Dinh An industrial parks, while building a 50ha Tra Vinh city industrial cluster in Sa Binh hamlet, Long Duc commune.

Chairman of the provincial People’s Committee Dong Van Lam said that the province will give support policies to the projects, including those in land use, site clearance, infrastructure, administrative procedure, recruitment and labour training, and trade promotion. 

Last year, Tra Vinh attracted 49 projects, including five FDI projects worth 143 million USD, and 44 domestic-funded projects with total capital of 3,500 billion VND.

Shadow economy measuring scheme to be proposed in Q1

The Ministry of Planning and Investment has been tasked with compiling a project on measuring Vietnam’s non-observed economy (NOE), to be submitted to the Government in the first quarter of 2018, according to Deputy Minister of Planning and Investment Nguyen The Phuong.

The Ministry of Planning and Investment has been seeking advices from relevant ministries and agencies on the statistical scheme, with one of the key issues being the definition of the unobserved economy that consists of five elements.

The first element comprises underground economic activities that are legal but deliberately concealed from the public authorities to avoid payment of taxes and social security contributions; or complying with certain legal standards, such as minimum wage, maximum working hours, and safety or health standards, and with administrative procedures, such as completing statistical reports.

The second comprises illegal economic activities that generate goods and services forbidden by law, for example, drug trafficking, prostitution, and human trafficking. Legal economic activities carried out by unauthorized producers also belong to this category.

The third one is the informal sector including productive activities conducted by households with the main objective to generate employment and income for the people involved. The production is operated on a small scale, at a low level of organization and generally based on casual employment, kinship or personal and social relations, and not on contractual agreements.

The fourth element is the household production for self-consumption including productive activities that result in goods or services consumed or accumulated by the households that produced them, for instance, producing crops and livestock, weaving cloth, and building one’s own house.

The last one comprises economic activities that are missed out by data collection programmes due to problems arising either from statistical coverage or statistical errors.

Vo Tri Thanh, former deputy director of the Central Institute for Economic Management (CIEM), said that since 1990, the GSO estimated the size of the underground economy to be more than 10 percent of GDP.

About 10 years ago, reports of evaluations conducted by other agencies and organisations measured the amount of cash outside official circulation. The results showed that the value of this area was about 30 to 35 percent of GDP.

Environment at Vinh Tan power complex under scrutiny

The People’s Committee of the central province of Binh Thuan is urging relevant agencies and investors to channel efforts to prevent environmental pollution caused by Vinh Tan Thermal Power Complex in the locality.

The complex consists of five thermo power projects: Vinh Tan 1,2,3,4 and expanded Vinh Tan 4. The Vinh Tan 2 and 4 power plants were put into use and the others are under construction. 

There has been an increasing amount of cinders and ash coming from both construction and operation sites, leaving critical impacts on local residents. Locals once blockaded the National Highway No 1 to stop traffic, asking for the settlement of coal dust and cinders from the complex.

Particularly, sewage from the plants contaminated water resources and killed many perennial trees and crops.

A working group was set up in September 2014 by the provincial People’s Committee as part of efforts to supervise environmental protection at the complex. From December 2017 to February 2018, the group conducted 11 supervisions on the plants.

Investors also proactively worked to address environmental pollution. They already completed the installation of automatic monitoring systems of air and water pollution as well as increased the capacity of storing cinders and ash left from burning coal to make power.

Wastewater and air treatment systems as well as electrostatic precipitators are among solutions to the environmental pollution. 

According to Vice Chairman of the provincial People’s Committee Pham Van Nam, the province has recommended a special supervision programme for the Vinh Tan Power Complex to ensure environment conditions in the locality.

The Ministry of Natural Resources and Environment should make regular reports on the environmental impacts of the thermal power projects to chalk out rational solutions, he said.

In the long term, relevant authorities should seek measures to ensure livelihoods for people in the affected areas.

Export turnover up 50 percent during Tet holiday

Total export revenue during the week-long Tet holiday, which lasted from February 14-20, reached 289 million USD, up nearly 50 percent against the same period last year. 

Meanwhile, import value during the Tet (Lunar New Year) holiday, the biggest festival in the year of Vietnamese, was 604 million USD, a year-on-year rise of 45.7 percent. 

According to the General Department of Customs, the export-import activities were handled at 108 customs departments, with nearly 5,100 declaration forms registered. 

The agency said that only a nine-seat auto worth 16,500 USD was imported from Australia in the week.  

Vietnam’s export turnover in January 2018 stood at 19 billion USD, a decrease of 3.3 percent against December 2017 but up 33.1 percent compared with the same period last year. 

China was Vietnam’s largest export market with a turnover of 4.5 billion USD, a 2.5-fold rise from the corresponding time last year, followed by the United States, the European Union, the Association of Southeast Asian Nations (ASEAN), Japan and the Republic of Korea. 

Meanwhile, Vietnam imported 19.3 billion USD worth of goods in January, down 3 percent against December 2017 but up 47.4 percent year-on-year.  

The numbers reflect a trade deficit of 300 million USD in January. The General Statistics Office explained that businesses are importing more goods to serve production and consumption during the upcoming Tet holiday. 

According to the Ministry of Industry and Trade, the country’s exports are set to face a range of difficulties in 2018 such as global economic uncertainties, impacts of sudden changes in economic and trade policies of major economies like the US and the EU, impacts of geo-political tensions on the global financial sector and increasing supply resources.

Vietcombank looks to earn 570-mln-USD profit in 2018

The largest local commercial bank, Vietcombank (VCB), has set to increase their profit to between 12.5 trillion VND (548.7 million USD) and 13 trillion VND (570.7 million USD) in 2018, up about 15 percent against 2017, said VCB Chairman Nghiem Xuan Thanh. 

Thanh told the press that with the bank’s strategic orientation and its business results in January 2018, the goal is completely within reach. 

According to him, VCB became the first bank in Vietnam to obtain the profit target of 10 trillion VND (439 million USD), and one of the banks with assets worth quadrillion VND in 2017. 

VCB’s profit in 2017 hit 11.3 trillion VND (over 496 million USD) and its total assets last year valued at over 1 quadrillion VND (43.9 billion USD), representing year-on-year increases of nearly 33 percent and 31 percent, respectively.

In 2017, the bank also worked hard to effectively resolve bad debts, keeping its bad debt at 1.1 percent – the lowest among Vietnam’s credit institutions. 

Thanh attributed the results to both effective credit and non-credit services of the bank. 

Under its development strategy to 2020, VCB’s credit services are expected to contribute 32-33 percent to its revenue, while non-credit services will contribute 50 percent. 

VCB is one of the first three banks in Vietnam that has had its restructuring plan until 2020 approved. It aims to become the largest bank in Vietnam as well as one of the top 100 banks in Asia and the 300 biggest financial corporations in the world.

Gold sold out on God of Wealth Day

Gold products were sold out at a number of stores amid a sharp increase in customers compared to previous days during the God of Wealth Day on February 25.

Legend has it that the God of Wealth returns to heaven on the 10th day of the Lunar New Year, and so Vietnamese have a tradition of buying gold on that day to hope for good luck and prosperity throughout the year.

In addition to traditional products such as figurines representing the God of Wealth and those inscribed with the words Phuc (Happiness), Loc (Prosperity), Tai (Wealth) and Tho (Longevity), gold companies have also launched a variety of other items featuring images of the dog to mark the Year of the Dog.

On Tran Nhan Tong in Hanoi, also known as Gold Street, the number of customers lining up in front of shops has kept increasing and products are in shot supply.

According to Le Thi Hien, deputy general director of Doji Jewellery JSC, the company had prepared a sufficient amount of gold products since the end of last year’s third quarter for the God of Wealth Day, especially those with symbols of dogs – the spiritual animal of the lunar new year – and others that represent happiness, prosperity, wealth and longevity for customers.

Golden dogs and other spiritual animal products proved popular and had sold out, especially those weighing one or two chi (3.75g each), she said.

“We have prepared around 250,000 products to serve customers during the God of Wealth Day, an increase of 30 percent compared to the same day last year,” Hien said.

By noon on February 25, Doji had sold two-thirds of the total products and some shops have run out of supply, she said, adding that the company may have to produce more and ship gold products from other localities to Hanoi to meet rising customers’ demand.

She said that the number of customers rose sharply as the God of Wealth Day took place during the three-day weekend this year, starting on February 23, and most customers were office employees, who would hope for a more prosperous and wealthier year.

Head of the business department at Bao Tin Minh Chau Gold and Jewellery JSC, Nguyen Thi Yen, said that the number of customers had rose 15-20 percent year on year by noon on February 25 and by six to seven times compared to normal trading days.

Vice chairman of Phu Quy Group, Pham Hai Au, said that the company had increased its supply for the day by 70 percent to meet the market demand and offered online and phone sales so that customers can easily purchase the company’s products.

High demand for gold products on the God of Wealth Day also pushed selling prices for gold upwards.

At Bao Tin Minh Chau Gold and Jewellery JSC, the selling price of SJC gold peaked at 37.7 million VND (1,675 USD) per tael (each tael is equal to 10 chi) early in the day, an increase of 40,000 VND compared to February 24, and concluded at 37.4 million VND per tael at the end of the day.

At SJC Jewellery Company, the selling price of SJC gold was set at 37.05 million VND per tael early on February 25 morning. At Doji, SJC gold was initially sold at 37.36 million VND per tael and increased to 37.6 million VND per tael later.

Delta jackfruit farmers earn big profits

Farmers in the Cửu Long (Mekong) Delta growing Thai jackfruit are earning big profits from exports because of the high demand for the fruit in overseas markets.

Huỳnh Thị Nương, who intercrops this and other fruits in her orchard in Tiền Giang Province’s Cai Lậy District, said she earned more than VNĐ8 million (US$350) from selling Thai jackfruit at VNĐ42,000 per kilogramme before Tết (the Lunar New Year).

“The price of jackfruit has increased sharply since the middle of last year.”

Dương Văn Hùng, who has dozens of Thai jackfruit trees in Cai Lậy District, said growing the tree does not require much tending, fertilisers or pesticides.

They begin to fruit in a little over two years and do so year round, meaning farmers have a steady income, he said.

An owner of a fruit trading business in Cai Lậy said he resumed buying jackfruits on Monday to sell to China after Tết.

Prices have fallen slightly now because China has not bought since Tết, he said but was hopeful they would increase by 20-30 per cent soon.

Trần Thị Nguyên, head of the Cai Lậy District Agriculture and Rural Development Bureau, said prices had risen to VNĐ50,000 – 52,000 a kilogramme before Tết and have since reduced gradually.

But even so their current prices match those of durian, which is considered a high-value fruit.

Jackfruit farmers said they earned profits of VNĐ500-700 million ($22,000 – 30,800) per hectare last year because of the high demand in export markets.

The country’s exports were worth US$28 million last year, a 193 per cent rise from 2016, according to the Việt Nam Fruits and Vegetables Association.

The shipments included both fresh and processed fruit.

The high price means many farmers in the delta are scrambling to plant the trees.

Lê Thị Thanh Hồng in Đồng Tháp Province’s Cao Lãnh Town said she had 2ha of farming land that grew rice and soursop but was not effective.

In recent months, many people had asked to rent her land to grow jackfruits but she had not agreed, Hồng said.

The rent for rice paddies is around VNĐ10 million per hectare per year, but this year she was offered VNĐ25 million by farmers seeking to grow jackfruit, she said.    

Jackfruit is one of 15 fruits grown most widely in the country, according to the Ministry of Agriculture and Rural Development. 

Good times for Kiên Giang farmers breeding fish in cages

The breeding of fish in coastal floating cages has been expanded in the Cửu Long (Mekong) Delta province of Kiên Giang.

Last year, there were 2,848 cages that yielded 2,720 tonnes of fish, up 21 per cent from 2016, according to the Department of Agriculture and Rural Development.

Kiên Hải, Phú Quốc and Kiên Lương districts, along with Hà Tiên Town, are the main breeding areas in Kiên Giang, which has the largest number of cages in the delta.

In Kiên Lương, which has the largest number of cages in the province, fish breeding has developed strongly in Hòn Nghệ and Sơn Hải communes, which account for more than 1,700 cages.

Farmers normally raise some 1,000 fish in each cage during an 8-10 month period.

A cage with cobia fish can earn a profit of VNĐ50-60 million (US$2,200 – 2,600) per harvest, according to farmers.

This high income has resulted in the expansion of breeding fish in areas along the coast in recent years.

For instance, in Hà Tiên’s Tiên Hải Commune, some 100 households now have more than 170 cages.

Phan Thanh Bình, deputy chairman of the commune People’s Committee, said many fishermen in the commune had switched to raising fish in cages in recent years because of the low income earned from fishing at sea.

Last year, many households with cages earned large profits because of favourable weather and efficient farming techniques, he said.

Hồng Xuân Thân, who raises cobia and grouper in 20 cages in Tiên Hải, said the price of fish was higher last year than in previous years, and he earned a profit of VNĐ20 million for every 100 fish he bred.

According to Thân, the prices of cobia and grouper are now VNĐ110,000-120,000 and VNĐ400,000-500,000 per kilogramme, respectively.

“The lives of most families breeding fish in cages here have improved in recent years, thanks to their high incomes,” he said.

Also, tourism revenues generated by people coming to see the fish cages meant extra income for their owners, he said.

Tourists like watching the fish and feeding them.

However, fish farmers in the commune face many difficulties, including a lack of money to make cages, a dearth of quality fish for breeding, and diseases.

A cage costs some VNĐ30-50 million ($1,300 – 2,000) to build.

This year, Tiên Hải Commune plans to increase the number of cages to 200, and output to 500 tonnes of fish.

To sustainably develop the industry, commune authorities, in co-operation with other agencies, plan to zone breeding areas for individuals and companies, Bình said.

It would also provide forecasts about the environment and outbreaks of diseases, he said.

With nearly 200 kilometres of coastline, the province seeks to increase the number of fish cages to 3,000 by 2020, and annual output to 6,000 tonnes of fish, according to the department.

Cobia, grouper, seabass, pomfret, and red snapper, along with lobster, are the favoured species.

HCM City looks to special financial tools

To achieve its economic growth target of 8.3 – 8.5 per cent this year, HCM City would strongly focus on utilising its financial special mechanism and mobilising resources, a senior city leader has said.

Speaking at a meeting between city leaders and the chairpersons of the city’s 322 communes on Thursday, People’s Committee chairman Nguyễn Thành Phong said: “Commune leaders should use solutions appropriate for local conditions, especially administrative reform and use of information technology in administration to reduce the time [needed to complete procedures] for local residents and enterprises.

“Local authorities should take care of and support families of people who have contributed to the revolutionary cause, mobilise resources to implement the city’s sustainable poverty reduction programme.”

Recently many localities have successfully implemented the city’s programmes to promote socio-economic development, persuaded people not to encroach on pavements, ensured security, and stepped up administrative reform.

Also at the meeting, issues like improving the quality of commune-level staff by organising more training courses to ensure they meet new development needs, increasing salaries to retain talent and achieving the city’s socio-economic targets were thoroughly discussed.

The National Assembly adopted resolution No 54 last November on piloting special mechanisms and policies for land administration, investment, and finances for HCM City.

It also covers the mechanism for delegating power among various levels of administration and the incomes of officials, public employees and civil servants.

These mechanisms and policies are applicable to State agencies, social, political and other organisations and individuals.

The resolution took effect on January 15 with the Government required to report on its implementation to the National Assembly in 2020 and 2022.

Under the special mechanisms HCM City authorities can make decisions on issues that are now done only by the Prime Minister.

Gemadept to pay 80 per cent dividend     

Logistics firm Gemadept Corporation plans to make an 80 per cent dividend payout rate, equal to VND8,000 (35 US cents) per share, if its plan gets approved by the HCM Stock Exchange on Monday.

Gemadept Corp general director Do Van Minh told local media that the dividend payout rate included a 15 per cent rate that was approved by the company shareholders at its general meeting in 2017.

The remaining part of the dividend payout rate is 65 per cent, which was generated from Gemadept’s selling of its stake in its two subsidiaries – Gemadept Shipping Holding Co LTd and Gemadept Logistics Holding Co Ltd – to the Korean business CJ Logistics, Minh said.

Gemadept Corporation had previously offloaded half of its ownership in those two sub-units to CJ Logistics Hong Kong, holding 51 per cent in the former company and 49.1 per cent in the latter one.

The two sub-units were re-named to CJ-Gemadept Shipping Holdings Co Ltd and CJ-Gemadept Logistics Holdings Co Ltd.

Gemadept Corporation is listed on the HCM Stock Exchange with code GMD, having increased by total 10.3 per cent since February 8 to close Friday at VND42,800 per share.