An Giang lures 4.7 trillion VND worth of investment in 6 months

In the first half of 2017, the Mekong Delta province of An Giang attracted 4.7 trillion VND (206.8 million USD) worth of investment in 44 projects, of which 42 were owned by domestic investors.

The provincial Department of Planning and Investment said the numbers represented a 36.3-percent increase in project number and a 36.7-percent drop in the amount of registered capital in comparison with the same period last year.

The reduction was caused by an annual fall in the average capital registered per project, which ranged between 100 and 110 billion VND (4.4 – 4.84 million USD). The figure for last year was between 200 and 225 billion VND (8.8 – 9.9 million USD).

Large projects recorded during the period included a 1.45 trillion VND (63.8 million USD) industrial cluster for farm produce processing, the 283.3 billion VND (12.4 million USD) expansion of Ba Chua Xu spiritual-cultural tourism site, and a 150 billion VND (6.6 million USD) tourism site in Tra Su mountain.   

Regarding foreign direct investment, the province has to date recorded 37 valid projects with registered value reaching more than 219.8 million USD.

Vietnam, Malaysia enjoy thriving trade

Vietnam and Malaysia recorded a two-way trade value of over 3.97 billion USD in the first five months of 2017, an increase of 27.9 percent year-on-year, according to the Vietnamese Trade Office in Malaysia.

Of the sum, Vietnam’s exports hit 1.73 billion USD, up 57.2 percent while its imports were worth 2.23 billion USD, rising 11.8 percent.

Malaysia is the eighth largest trade partner of Vietnam, accounting for 2.4 percent of the market share, after China, the Republic of Korea, the US, the European Union, Japan, Taiwan (China) and Thailand.

Bilateral trade turnover is projected at about 9.5 billion USD this year.

The Malaysian Department of Statistics said the country’s gross domestic product (GDP) was at 5.6 percent in the first quarter, the highest growth recorded in recent two years.

Malaysia’s economy is expected to continue recovering in the next six months and its GDP in 2017 will grow at 4.5 - 4.8 percent.

Imports from South Korea shoot up

Việt Nam imported goods worth US$22.5 billion from South Korea in the first half of this year, up 51 per cent year-on-year, the General Statistics Office reported.

With these figures, South Korea emerged as the second largest provider of goods for Việt Nam in the reviewed period. Việt Nam’s major imports from South Korea included machinery and equipment, up 120 per cent; electronics, computer and components, up 46 per cent; and telephones and parts, up 38 per cent.

China remained Việt Nam’s leading source of imported goods in the six-month period. Việt Nam’s imports from this neighbouring country saw a yearly import rise of 17 per cent to $27.1 billion, with key items including machines and equipment, and electronics and components.

From January to June, Việt Nam’s import turnovers from some other markets also recorded significant increases, such as ASEAN countries with $13.6 billion, up 18 per cent; Japan with $7.7 billion, up 11 per cent; the EU with $5.8 billion, up 16 per cent; and the US with $4.8 billion, up 27 per cent.

KVFTA has Korean firms targeting fresh sectors

The Korea-Vietnam Free Trade Agreement has been the key driver in Korea’s soaring exports and investment into Vietnam, especially in the foodstuffs and consumer foods sector.

Hong Sun, vice chairman of the Korea Chamber of Business in Vietnam, said that since taking effect in late 2015, the reduced tariffs of the Korea-Vietnam Free Trade Agreement (KVFTA) have been among major propellants in the skyrocketing rise of Korean investment and exports into Vietnam.

“Thanks to KVFTA, Korea’s investments and exports to Vietnam have and will continue rising because many Korean firms are seeking to invest and expand their business so as to meet conglomerates’ demands in Vietnam, like Samsung, and LG,” Sun said.

The General Statistics Office last week reported that in this year’s first six months, Korea was Vietnam’s second-largest import market (after China), with turnover of $22.5 billion, up 51.2 per cent year-on-year. Vietnam suffered from a trade deficit of $15.9 billion from Korea.

Meanwhile, in last year’s corresponding period, Korea was also Vietnam’s second-largest import market (after China), with turnover of $14.9 billion, up 8 per cent year-on-year. Vietnam suffered from a trade deficit of $9.8 billion from Korea.

According to statistics from the Ministry of Planning and Investment, Korea is Vietnam’s largest foreign investor. As of June 2016, the number of Korean investment projects in Vietnam was  5,364, registered at $48.5 billion. By May 20, 2017, the number had increased to nearly 6,100 projects, clocking in at $54.54 billion.

Over the 15-year period following the implementation of KVFTA, Vietnam will completely remove import duties on 89.9 per cent of all products from Korea.

For example, Vietnam will remove its 30 and 20 per cent tariffs imposed on Korean air conditioners and rice cookers, respectively, over the next 10 years. The average tariffs for foodstuffs and consumer goods will gradually be reduced from the existing 16-17 per cent to 0 per cent over the next five years.

In this year’s first six months, Vietnam has removed tariffs on 16 lines of products shipped from Korea. Items subject to the next round of tariff cuts include two-litre and larger engines for vehicles, auto parts, steel, and petrochemical products.

Over the past few years, Korean investments in Vietnam have been largely focused on the property, industrial, and textile and garment sectors.

But Sun also stressed an increase in Korean investment in Vietnam’s foodstuff and consumer goods sector, thanks to KVFTA.

“Not only Korean firms but also foreign ones in general are seeing Vietnam’s foodstuff and consumer foods sector as a new investment attractor,” Sun said.

“This has strongly spurred the development of the foodstuff and consumer foods sector. Then Korean firms will benefit from this via their growing investment.”

In a specific case, Chang Bok Sang, president and CEO of CJ Group Vietnam under the listed Korean conglomerate CJ Group, told VIR that CJ will continue expanding its operations in Vietnam, a country which is “very important” to the group.

“We are trying to create a new culture by [combining] what we have done best in Korea and what we see best for the Vietnamese people. CJ’s vision in Vietnam is making the food industry a basic business to create a new culture, [one] which would serve best for Vietnamese people’s lives,” Sang said.

“We are finding the best ways to connect with Vietnamese consumers and the market in long-term investment. Mergers and acquisitions are a way to reach it.”

Having been in Vietnam for over 20 years, CJ is acquiring a 65 per cent stake in Vietnam-based Minh Dat Food for VND294.8 billion ($13.4 million). Prior to Minh Dat, CJ acquired a 47.3 per cent stake in Cau Tre, another Ho Chi Minh City-based food producer.

Last month, Lotte Duty Free established a joint venture in Vietnam with a local partner. The first duty-free store has been opened on a pilot basis – a 1,000 square metres at Danang International Airport. The official opening is expected for August.

It is expected that Lotte Duty Free will continue opening more stores in major cities throughout Vietnam.              

In another case, Ourhome, one of the top food catering service firms in Korea, last month expanded its business operations in Vietnam, where it provides meals for workers at LG Innotek’s production facility. Ourhome, owned by LG Group, serves an average of 500 meals per day, and expects to expand the number to 1,000 by the end of 2017.

Other top food catering companies, such as Samsung Welstory, Hyundai Green Food, CJ Freshway, and Shinsegae Food, and retailers like Emart are also expanding into Vietnam.

Lee Hyuk,  Korean Ambassador  to Vietnam, told VIR that there are already many companies in Korea well-equipped with capital, state-of-the art technology, and strong management abilities that are paying special attention to Vietnam in their search for new markets.

“Therefore, with KVFTA in full swing, I am certain that Korean companies’ investments will grow both in quantity and quality in the years ahead,” Hyuk said.

According to him, KVFTA is also having a positive effect on investment. Compared to the Korea-ASEAN FTA or the Korea-Vietnam Bilateral Investment Treaty, KVFTA provides a higher level of investment liberalisation and investor protection.

“This creates a favourable business environment for Korean companies, thereby making Vietnam an even more attractive investment destination,” Hyuk said.

Mexico pitches Latin American free trade deal with Vietnam

Mexico Secretary of Economy Ildefonso Guajardo on July 3 suggested that Vietnam join the Pacific Alliance as an alternative to the now largely defunct Trans Pacific Partnership, reported Mexico News.

 Mr Guajardo also asserted that the integration of Australia, New Zealand, Singapore and Canada as Associated States to the Pacific Alliance is a very clear message of the will to accelerate integration of Latin America with the Asia Pacific basin.

With the election of US President Donald Trump, the US made the decision to leave the TPP.

Faced with this, Mexican President Enrique Peña Nieto, along with his counterparts Michelle Bachelet of Chile; Juan Manuel Santos of Colombia, and Pedro Pablo Kuczynski of Peru, promoted the creation of Associated States within the framework of the Pacific Alliance.

The four countries of New Zealand, Australia, Canada and Singapore have already agreed to join the Pacific Alliance as Associated States within the next couple of months, said Mexico News.

Mexican President Peña Nieto is hoping to use the latter agreement with the four Associated States as leverage in its current renegotiations of the of the Free Trade Agreement of America (NAFTA) with the US, noted Mexico News.

According to the Secretary of Economy, added Mexico News, the Pacific Alliance may be an alternative to the TPP.

Mexico already has pulled trade agreements with seven out of the 11 original members of the TPP.

The additional four countries that could also be integrated as Associated States to the Pacific Alliance are Vietnam, Malaysia, Brunei and Japan.

We must remain proactive in pursuit of free trade, said Mexican President Peña Nieto, according to Mexico News, we cannot afford to sit back and not act post haste to continue to expand our trading area.

Twelve countries that border the Pacific Ocean – the US, Japan, Malaysia, Vietnam, Singapore, Brunei, Australia, New Zealand, Canada, Mexico, Chile and Peru – signed up to the TPP in February 2016.

The agreement, representing roughly 40% of the world's economic output, would have been the largest free trade agreement in history, but it fell through when President Trump withdrew the US after his inauguration.

The Pacific Alliance is a free trade initiative of Latin American regional integration comprised of the four countries of Chile, Colombia, Mexico and Peru, officially established on April 28, 2011.

Jetstar Pacific takes delivery of 1st Airbus aircraft

Ho Chi Minh City based Jetstar Pacific Airlines has just taken delivery of the first of 10 A320ceo aircraft ordered directly from Airbus, the AERO News Network reported on July 3.

The aircraft was handed over to the airline in Toulouse, France and will join an existing fleet of 12 leased A320s already flying with Jetstar Pacific.

Jetstar Pacific is a joint venture between Vietnam Airlines (70%) and the Qantas Group (30%).

It currently operates a total of 36 domestic and international routes. It is part of the larger Jetstar Group that connects more than 80 destinations in 17 countries. Other carriers in the Jetstar Group are Jetstar Airways (Australia), Jetstar Japan (Japan), Jetstar Asia (Singapore).

To date, the A320 Family has won over 13,000 orders and more than 7,600 aircraft have been delivered to some 400 customers and operators worldwide, reported the AERO News Network.

With one aircraft in four sizes (A318, A319, A320 and A321), the A320 Family seats from 100 to 240 passengers. The Family features the widest cabin in the single aisle market with 18” wide seats in Economy as standard.

AirAsia offers discount tickets to Malaysia, Thailand

AirASia has offered discount tickets for flights from Ho Chi Minh City, Hanoi and Danang to Malaysia and Thailand to mark its winning of SKyTrax awards.

With around US$35 (VND780,000), including taxes and fees, you can get a single ticket to fly from HCM City, Hanoi, Danang, and Nha Trang to Bangkok, Kuala Lumpur, Johor Bahru, and Penang.

The discount tickets are booked on July 3-9 for flights departing from January 15 to August 28, 2018.

AirAsia Group CEO, Tony Fernades hopes that AirAsia will be a real community airlines in Southeast Asia in the coming 15 years.

AirAsia is a low-cost airlines in Asia with more than 120 destinations in the world.

CAAV receives int’l certificate

The Civil Aviation Authority of Việt Nam received the Council President Certificate from Council of the International Civil Aviation Organisation (ICAO) in Hà Nội on Thursday.

The certificate recognises Việt Nam’s significant progress in resolving safety oversight deficiencies and improving implementation of ICAO Standards and Recommended Practices.

ICAO’s delegation is visiting Việt Nam from July 5-10. As part of their visit, the delegation met with high-ranking dignities of the Vietnamese Government and the Ministry of Transport on the same day.

During the trip to Vietjet’s office in HCM City on Wednesday, ICAO president Olumuyiwa Benard Aliu praised the airline’s efforts and achievements in operations, services and management.

The ICAO president also focused on the airline’s comprehensive investment in building human resources and training highly skilled experts to meet internationally standardised safety requirements for operation and management, which greatly contributed not only to the airline’s success but also to the growth of the aviation industry in Việt Nam and the region.

Vietjet managing director Lưu Đức Khánh said the airline has given top priority to adhering to safety requirements, which has been the guideline for the airline in all operation and policy decisions it has made.

“Our technical reliability rate stood at 99.59 per cent in the first quarter of the year, and flight operation, ground operation and engineering safety indicators were also listed in the group of highest-quality airlines in the Asia Pacific region,” he said. 

Winter-spring crop yields over 19 million tonnes of rice

Vietnam’s rice output during the winter-spring crop was estimated at 19.1 million tonnes, a year-on-year decrease of 1.5 percent, according to the Ministry of Agriculture and Rural Development.

Northern localities cultivated rice in an area of more than 1.1 million hectares during the crop, down 1 percent from the same time last year. Rice farming land was reduced 10,600 hectares in red river delta region due to land accumulation and change in purpose of land use.

Rice output in the northern region was estimated at 7.11 million tonnes, declining 2 percent year-on-year. The productivity fall was spurred by widespread diseases, the ministry said.

Meanwhile, total rice farming land for this crop in the southern region was 1.93 million hectares. The region produced nearly 12 million tonnes during the winter-spring crop, dwindling 149,700 tonnes against last year crop. Saline intrusion, diseases and unseasonal rain affected the rice productivity.

Farmers across the country have planted 2.07 million hectares of the summer-autumn crop. The cultivation is blessed by favourable weather conditions. 

Some localities in the Mekong Delta region are getting in the harvest of the early summer-autumn crop with 463,700 hectares, accounting for 25 percent of the total farming land. Rice yield is forecast at 604 kilogrammes per hectare.

Seminar seeks to promote technology transfer

Measures to help Vietnam solve challenges in applying foreign technologies in domestic production and build relevant policies were discussed at a workshop in Hanoi on July 6. 

Jointly held by the State Agency for Technology Innovation (SATI) under the Ministry of Science and Technology (MoST), and the Office of the National Science and Technology Policy Council, the event also aims to share international experience in technology transfer.

Ta Viet Dung, Director of the SATI, mentioned the fact that technology transfer in Vietnam is yet to achieve desired results, reflected by the limited application of study findings in reality and the small number of technology transfer contracts.

Enterprises have not paid due attention to investing in research and technology transfer activities, he said, underlining the responsibility of management agencies for establishing a legal foundation to support technology transfer, thus promoting the process in the coming time. 

Do Hoai Nam, Director of the MoST’s  Department of Technology Appraisal, Examination and Assessment, briefed participants on Vietnam’s technology transfer policy, and introduced new contents in the revised Law on Technology Transfer approved on June 19. 

The law and relevant laws and decrees are hoped to contribute to strongly boosting technology transfer activities in the coming time, he said. 

Michael Braun, a German science and technology expert, said Vietnam needs to have appropriate strategies to catch up with technological trends in the world. 

Local experts and those from France and Germany, and representatives from enterprises also shared experience in how to make technology transfer more effective.

Firms urged to assume social responsibility

Intensive training on environment management designed for Vietnamese firms is needed as part of efforts to uphold their social responsibility. 

Nguyen Ngoc Ly, Director of the Centre for Environment and Community Research, said corporate social responsibility should be initially reflected by abiding by the current laws such as the Enterprise Law, Labour Law, Law on Environment Protection and Law on Inspection.

She added that complying with environment laws will help enterprises avoid legal risks, inspection and fines as well as reap economic gains. 

Deputy Director of the General Department of Environment Hoang Van Thuc said the Law on Environment Protection 2014 stipulates incentives for small and medium-sized enterprises (SMEs) engaging in pollution control and environment protection, including loans sourced from the Environment Protection Fund for those operating in concentrated wastewater treatment, environment monitor and manufacturing of eco-friendly products. 

Though the Ministry of Natural Resources and Environment has directed its departments to hold training courses on environment laws, SMEs still find it hard to access them. 

Training courses only popularise laws and are yet to offer directions guiding the enforcement of environment laws. Meanwhile, there remains overlapping in legal regulations in the Law on Environment Protection 2014, the Law on Water Resources 2012, the Law on Inspection, the Law on Environment Protection Tax, and a number of other decrees and circulars. 

Apart from guiding firms how to outline appropriate environment management plans, it is also necessary to multiply successful examples of doing business in tandem with environmental protection.

Da Nang woos 15 projects in industrial, high-tech parks

The central city of Da Nang attracted 13 domestic and foreign-invested projects worth more than 277 billion VND (12.04 million USD) in industrial parks and two others in high-tech parks with a total registered capital of 366 billion VND (15.9 million USD) in the first half

The city has so far lured seven projects valued at 158 million USD in high-tech parks, granted licenses to five projects worth 7.050 trillion VND (306.5 million USD) and recorded additional capital of over 1.4 trillion VND (60.86 million USD). 

During the past six months, Da Nang licensed 36 foreign-invested projects worth a total of 32 million USD, up 20 percent in volume and 269.5 percent in value annually. 

Since early this year, the city has granted licensed to 2,177 enterprises, branches and representative offices with aggregate registered capital of nearly 13 trillion VND, marking a 44.8 percent increase in value year-on-year. 

The city has so far recorded 19,778 businesses, branches and representative offices with a registered capital of over 97 trillion VND. 

In order to attract more capital at home and abroad, it will add industrial parks Hoa Nhon, Hoa Cam (the second stage) and Hoa Ninh into the master plan on industrial parks, and soon inaugurate Cam Le, Hoa Nhon and Hoa Khanh Nam industrial complexes. 

In agriculture, the city has issued a plan to implement Resolution 03-NQ/TU on developing Hoa Vang district, built mechanisms and policies to attract investment in hi-tech farming, approved seven high-tech agriculture zones, and built a scheme to open a high-tech agricultural area. 

During the period, Da Nang earned 696.4 million USD from exports, up 11.3 percent. Of them, exports of rubber surged 90 percent to 22 million USD, mostly to Brazil, Myanmar, Malaysia and Thailand, not to mention garment (up 15.5 percent), electrical equipment and electronics (14.4 percent), handicraft and wooden furniture (12.9 percent), and toys (11.7 percent). 

Fisheries export was estimated at 90 million USD, up 8.4 percent but will still face difficulties regarding material prices and trade barriers in several markets.

Vietnam, India look to boost tourism links

India will continue boosting cooperation in tourism with Vietnam, including the promotion of spiritual and health tourism links, said Indian Consul General in Ho Chi Minh City Smita Pant.

Addressing a tourism promotion seminar in HCM City on July 6, Smita Pant said the Indian Government will continue implementing projects introducing spiritual and healthcare tourism between the two countries while supporting Vietnamese nationals with short-term tourism visa.

Besides, the launch of a direct air route between Vietnam and India by Vietjet Air and Air India will contribute to making it easier for holiday-makers of the two nations to visit each other.

According to the consul general, about 85,000 Indian tourists visited Vietnam in 2016, while Vietnamese visitors to India reached about 20,000.  

The figures are moderate compared to the two countries’ tourism development potential, she said. 

Nguyen Huu Y Yen, Deputy General Director of Saigon Tourist, Vietnamese tourists have been interested in India  after the film “the Ganges River's Mystery” was screened in Vietnam in 2007.

However, the number of Vietnamese tourist arrivals to India still remains low, he said. 

The opening of direct air routes between Vietnam and India will help enhance links between Vietnamese and Indian tour operators as well as boost tourism promotion between the two nations, he added.

Financial sector urged to restructure state budget, public debts

Deputy Prime Minister Vuong Dinh Hue has urged the financial sector to take measures on restructuring the state budget and public debt management to ensure the nation’s safe and sustainable finance.

During a conference on July 5 reviewing the performance of the financial sector in the first six months of this year and set out tasks for the second half, Deputy PM Hue hailed the sector’s efforts to complete the state budget collection targets assigned by the National Assembly.

However, he pointed out the sector’s shortcomings, including slow progress in equitisation, divestment, reforming State-owned enterprises (SOEs), disbursing public investment, among others.

The Deputy PM called on the sector to make great efforts to accomplish the state budget collection and spending targets in 2017, in which the collection targets should be exceeded by 5-8 percent.

Ministries, sectors and localities that fail to complete their state budget collection targets will have to either find alternative sources to offset their deficits or cut down their expenditures accordingly, Hue said.

The Deputy PM requested the Finance Ministry to accelerate the restructuring of SOEs, securities and insurance while completing legal documents on equitisation and divestment.

At the conference, Deputy Minister of Finance Huynh Quang Hai underlined the challenges facing the sector in the period, saying that the country’s economic growth rate stood at 5.73 percent, lower than the target of 6.7 percent, with slight increases in industrial production, animal livestock and disbursement.

In the first half this year, the total state budget collection reached 563.5 trillion VND (around 24.8 billion USD), equivalent to 46.5 percent of the estimates, up 13.9 percent year-on-year, Hai noted.

Fifty four localities collected higher amounts as compared to the same period last year. But, 18 of them failed to meet their targets (under 48 percent) while nine others collected less than the same period last year due to low growth in a number of key sectors, including mining, hydropower, automobile production and assembling, mobile phone production, food production and processing.

The budget spending was estimated at 582.9 trillion VND (25.6 billion USD), equivalent to 41.9 percent of the estimates, up 8.3 percent from the same period last year.

Hai suggested the financial sector better institutions and accelerate administrative reform focusing on taxation, customs, thus improving the country’s business environment.

Taxation and customs agencies should devise drastic and continuous measures to well manage tax payers and tax sources, in order to surpass the state budget collection targets in 2017.

Tay Ninh lures over 5 bln USD in first half of 2017

The southern province of Tay Ninh attracted 298 domestic and foreign-invested projects worth over 5 billion USD as of the late June. 

Of them, 200 foreign-invested projects were worth 4.449 billion USD and others were valued at nearly 638 million USD. Up to 208 projects are underway, generating jobs to 103,000 local workers. 

In order to lure more capital, the province established a working team to devise breakthrough steps for the 2017-2021 socio-economic development, with a focus on transport infrastructure, personnel training, industry, tourism and high-tech agriculture. 

It has also stepped up administrative reform by simplifying procedures and creating a transparent and pro-business environment while strengthening inspection and seriously dealing with negative phenomena. 

The provincial authorities met consulate generals and businesses from the US, Japan and the Republic of Korea (RoK) to introduce local potential and pitch for investment. 

In collaboration with the Vietnam Organic Agricultural Economic Institute, they hosted an international seminar on developing farming value chain amid global integration and piloted a relevant model in the locality, 

A conference discussing cooperation between Hanoi and Tay Ninh for 2017-2020 was also held. 

In the first half of this year, local industrial and economic zones licensed 15 domestic and foreign-invested projects with a total registered capital of 663 million USD, up 29.3 percent year-on-year. 

Exports in industrial and economic zones hit 1.3 billion USD, marking a 27 percent increase annually, contributing 300 billion VND (13.04 million USD) to the State budget. 

Nguyen Thanh Ngoc, Vice Chairman of the provincial People’s Committee, said the province still meets difficulties regarding infrastructure, especially in industrial and economic zones, the shortage of skilled workforce, and consumption.

Petrol prices drop by over 400 VND per litre

The price of RON 92 decreased by 435 VND per litre from 5:00pm on July 5, according to the latest adjustment of the Ministry of Industry and Trade and the Ministry of Finance the same day.

The price of E5 bio-petrol was also cut by 431 VND per litre while that of diesel oil 0.05S and kerosene were up by 122 VND and 285 VND per litre.

Accordingly, RON 92 and E5 bio-petrol are sold at no more than 16,069 VND (0.706 USD) and 15,918 VND (0.7 USD) per litre, respectively, while the new ceiling prices of diesel oil 0.05S and kerosene are 12,957 VND (0.56 USD) and 11,665 VND (0.51 USD) per litre. 

The average global price of petrol products during the last 15 days to July 5 was at 55.959 USD a barrel for RON 92, down 3.7 percent, and 57.599 USD for diesel, down 0.2 percent compared to the previous price adjustment. 

The prices of petrol and oil are adjusted every 15 days by the two ministries depending on changes in the world market.-

Control of seafood exports to Japan must keep strict: experts

Though Vietnam’s seafood exports to Japan grew strongly in the first half of 2017, businesses must not neglect product quality control since this market has great influence on the prestige of Vietnam’s aquatic products in the world.

The recommendation was made by many experts at a workshop on food safety regulations on seafood exports to Japan held in Ho Chi Minh City on July 5.

Nguyen Hoai Nam, Vice Secretary General of the Vietnam Association of Seafood Exporters and Producers (VASEP), said Japan is one of the three biggest export markets of Vietnamese aquatic products, following the US and the EU. Aquatic shipments to this market were estimated at 590 million USD in the first six months of 2017, up 31 percent year on year.

The appreciation of the Japanese Yen, stronger demand for aquatic products in Japan and improved quality of Vietnamese products were the main reasons for the export growth.

Japan has replaced the US to become the leading market of some aquatic products, especially shrimp, Nam said.

However, despite quality control efforts, some batches of aquatic products were still warned about the excess of antibiotic and chemical residues by Japan.

Le Anh Ngoc, an official of the National Agro-Forestry-Fisheries Quality Assurance Department (NAFIQAD), said Japan is examining all batches of some aquatic products from Vietnam. 

He said exporters should thoroughly learn about Japan’s regulations, especially those on antibiotics and examination at border gates. They need to tighten the control of quality at material supply facilities while promptly conducting investigations and remedies if their goods batches are warned.

Prof. Fumio Sakamoto from Kagoshima University, a member of Japan’s committee for food quality inspection, said the management of the aquaculture environment and the social responsibility of processing businesses need to be enhanced to improve material quality and product prices, thereby sustainably developing Vietnam’s fishery sector.

Hanoi youth join hands to promote capital tourism

Two-hundred students have taken part in a communications campaign to promote Hanoi cultural and historical values, which was launched by the municipal Tourism Department on July 5.

The students come from the Hanoi Open University, University of Social Sciences and Humanities, Vietnam National University Hanoi, University of Languages and International Studies, and Hanoi Metropolitan University.

As part of the campaign, they are divided into support teams in charge of providing guidance for tourists and helping management activities at a number of popular destinations – the Thang Long Imperial Citadel, Temple of Literature, and downtown old quarter.

Before beginning their tasks, these groups will be trained by the department on communication skills and historical knowledge related to their target destinations.

Each group member is set to receive documents, uniform, and necessary allowance. 

BCG signs with Unisun and Coara for solar energy project

Bamboo Capital has signed a cooperation agreement with Unisun Energy Group (Hong Kong) and Coara Solar (Germany) for a 40 megawatt solar energy project in the southern province of Long An.

This $40-million project will be the second solar power plant of BCG in Long An. Similar to the first 100MW plant owned by Hanwha-BCG Bang Duong Joint Venture, this 40MW plant will start construction in the first quarter of 2018 and is expected to generate power already in the second quarter of 2019.

At the moment, Long An has approved the allocation of 175 hectares of land for BCG to start implementing these two projects.

With vast experience in the development and construction of renewable energy projects, Coara Solar will be involved as an EPC contractor providing technology, engineering, and installation consultancy. Unisun Energy Group will invest and finance the entire project. Meanwhile, BCG will take care of the paperwork, investment licence, and negotiate on the Power Purchase Agreement (PPA) with EVN.

“Partnerships with globally well-known corporations like Unisun Energy (Hong Kong), Coara Solar (Germany), and Hanwha (Korea) will support BCG's continuous and rapid growth in the renewable energy sector, which is currently a dynamic and attractive sector in Vietnam,” Nguyen Ho Nam, chairman of BCG, said. “The cooperation reflects investors’ confidence in BCG’s capability to meet international standards as well as the ability to execute business plans that deliver long-term value for the company’s partners, shareholders, and the society as a whole.”

Having set the goal of becoming one of the leading companies in the field of renewable energy in Vietnam, apart from the two solar projects in Long An, BCG also plans to launch and implement other solar projects in Quang Nam and Gia Lai provinces.

Vietnam’s economic growth to out-tiger China by 2018: UBS report

Swiss investment bank UBS has forecast that Vietnam will marginally outpace China’s economic growth for the first time in 2018.

For the past 30 years, China has been the world's fastest growing major economy, emerging as the star of Asia.

However, last year China's economy grew by 6.7% compared with 6.9% in 2015, according to official data, marking its slowest growth since 1990.

UBS predicts Vietnam's economic growth will expand by 6.5% in 2017, slightly lower than the 6.7% target set by the government, but still above 6% for the fourth consecutive year, defying the Asian slowdown.

Vietnam’s economy expanded by 5.73% on-year in the first half of 2017, official data showed, mainly fueled by foreign direct investment (FDI), according to the UBS report.

Vietnam’s FDI disbursement has grown at a compound annual rate of over 10% in the last five years, and actual disbursement reached a record US$15.8 billion last year.

During the first half of 2017, the country also welcomed over US$19 billion in investment pledges, leaping 55% from a year earlier, mostly from North Asia’s technology powerhouses.

The increased FDI flowing into Vietnam has resulted in a hike to the average income. The average monthly salary witnessed an increase of 88% from 2010-2015, according to UBS.

By the end of this decade, Vietnamese urbanites are expected to earn an average US$714 per month. 

Vietnam's emerging consumer class, according to the report, will pave the way for investment growth in the country's promising retail sector, especially with investment from overseas.

However, UBS warned of the risk of trade protectionism following U.S. President Trump's decision to ditch the Trans-Pacific Partnership this year. 

"Vietnam remains largely dependent on foreign capital and foreign technology. An FDI-led economic model is vulnerable and instable," said Professor Pietro Masina of the University of Naples, who has spent years studying Vietnam's economy.

AIA Vietnam and Shinhan Bank continue digital partnership

AIA Vietnam and Shinhan Bank continue their teamwork on digital services, aiming to bring a new series of innovations to consumers.

As part of the ongoing collaboration, AIA Vietnam provides the latest technologies to Shinhan Bank’s consumers in Vietnam. The goal is to create a seamless customer experience by leveraging technological innovations.

“By working with AIA, a leading insurer but also a customer experience innovator with digital services capabilities, we hope to bring to Shinhan’s customers an even more complete innovative experience with insurance products and services,” said CEO of Shinhan Bank Vietnam Shin Don Min on July 4, at the launching ceremony for new digital services in Ho Chi Minh City.

Similarly, Wayne Besant, CEO of AIA Vietnam, said that the insurer wants to create a smooth and seamless journey for customers before, during, and after buying their insurance products and services.

“Innovation driven by technology is core to our efforts, a passion shared by Shinhan Bank. We will complement Shinhan by bringing our innovations to all Shinhan branches, providing customers with utmost convenience and a fantastic experience,” said Besant.

On the same day, the two partners have unveiled a series of new services. Innovations include IPoS (Interactive Point of Sale system), an interactive consultancy system enabling speedy financial health checks, paperless product illustrations, and customised solutions. All of these activities are carried out via one single point-of-entry on the iPad.

Meanwhile, My Portal and My GPS are web-based platforms that closely track customers’ policy status and fee payments. They can also check the status of their claims, which is available 24/7.

These digital services ensure that customers are always served quickly, efficiently, and safely, according to the representatives.

At the event, AIA Vietnam also launched AIA Vitality, a unique wellness programme, and the AIA Vitality app, which helps customers develop healthy habits with attractive incentives. 

Vietnam Airlines goes digital with customer satisfaction survey

Vietnam Airlines has unveiled that it has officially replaced it antiquated manual online survey scheme with the launch of an all-new online digital survey program aimed at improving customer service.

The Vietnam News Agency reported on July 5 that the new system is up and running. Customers can now log on to the survey website to provide their comments and feedback at http://www.questionpro.com/a/TakeSurvey?id=235527.

As an added incentive for customers to provide their feedback, Vietnam Airlines also announced it would randomly award six customers that provide feedback any time this year free roundtrip tickets for a domestic flight of their choice.

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