Vietnam, Cambodia join to enhance trade promotion

The Vietnam Trade Fair, hosting more than 40 stalls from Vietnamese and Cambodian businesses, opened in Cambodia’s Ratanakiri province on October 26.

The three-day event in Ratanakiri province is being jointly hosted by Gia Lai province’s department of Industry and Trade, Ratanakiri province’s department of commerce and the Trade Counsellor at the Vietnamese Embassy in Cambodia.

Products from both Gia Lai and Ratanakiri provinces have been on display during the fair such as coffee, garments textiles, fertilizers, consumer goods, machinery and other equipment.

In addition to the stalls, a wide range of cultural and entertainment activities have also been organized during the event.

Addressing the opening ceremony, director of Gia Lai province’s Trade and Industry Promotion Centre Nguyen Thi Bich Thu emphasized that the organization of the event has offered a venue to businesses of both countries to expand their markets and introduce their products, thus promoting both business cooperation and cultural exchanges between Vietnam and Cambodia, particularly the people of Gia Lai and Ratanakira provinces.

Rubber industry needs better adaptation to market

The rubber industry of Vietnam is facing a dire need to better adapt itself to the market situation as it is likely to be affected by the US-China trade tension that is forecast to not end soon.

Vietnam is the world’s third biggest natural rubber producer. In 2017, the nationwide rubber farming area reached 969,700ha, generating nearly 1.1 million tonnes of latex.

About 1.06 million tonnes of rubber worth 1.45 billion USD were exported in the first nine months of this year, up 19.9 percent in volume but down 10 percent in value from 2017, according to the Ministry of Agriculture and Rural Development.

China is the largest consumer of Vietnamese natural rubber, purchasing more than 60 percent of the total natural rubber export volume. The export volume and value to China are still on the rise, showing the industry’s dependence on this market.

To Xuan Phuc, a specialist from the US-based Forest Trends organisation, said the US-China trade war will surely affect Vietnam’s rubber industry.

He elaborated that China is the main importer of material rubber from Vietnam to use for tyre manufacturing. Meanwhile, the US has imposed high tariffs on Chinese auto components shipped to this country. As a result, Vietnam’s rubber exports to China will be influenced.

Additionally, many studies predict that natural rubber prices in the world market until 2030 are unlikely to bounce back to the level in 2011.

Managerial agencies and the Vietnam Rubber Association have warned against production expansion. However, this warning has just been applicable to businesses and large-scale rubber plantations.

In the meantime, more than 60 percent of the total natural rubber output in the country comes from small farms, whose adaptation to the market demand remains limited. Therefore, the sector will still have to face numerous difficulties in the time ahead, insiders said.

Central Da Nang city eyes hi-tech farms

The central city of Da Nang plans to prioritise a hi-tech agricultural zone in Hoa Vang district to attract more investment in modern farming.

This is one of the key tasks for the last quarter of this year to develop technical infrastructure to attract investment for sustainable economic development associated with the transformation of the city’s growth model.

According to Nguyen Do Tam, Deputy Director of the municipal Department of Agriculture and Rural Development, developing hi-tech and clean agricultural production was critical to ensuring economic efficiency and sustainable agricultural development, given the city’s limited farm land.

The hi-tech agricultural zone will cover 117 hectares in Hoa Ninh commune, and is awaiting approval.

The city said that to date, seven investors has planned to invest in the zone, including national dairy firm Vinamilk’s 700 billion VND (29.94 million USD) cattle farm project, Hapras’s 60 billion VND safe vegetable farming project and Greentech’s 52 billion VND fruit and vegetable hydroponics project.

The city previously approved seven zones for investment in hi-tech agriculture with a total area of 500 hectares.

According to Dang Phu Hanh, Vice Chairman of the Hoa Vang District People’s Committee, after two years of applying high technologies in agricultural production, more than 20 hi-tech agricultural projects had been developed in the district, bringing significant benefits to farmers.

Recently, Da Nang invested 10 billion VND for the district to expand hi-tech agricultural production in Hoa Ninh commune in 2019.

Dang Van Hong, Director of the Da Nang Agricultural-Fishery-Forestry Extension Centre, said the focus would be placed on land planning for hi-tech agriculture investment and providing support for clean farming production and developing value chains.

Tien Giang develops saltwater, brackish-water aquaculture

Saltwater and brackish-water aquaculture production in coastal areas in the Mekong Delta province of Tien Giang has improved farmers’ incomes in the last 10 years under a national marine strategy.

With its 32km of coast, the province has 9,750ha of saltwater and brackish water aquaculture, mostly in Go Cong town, Go Cong Dong, Go Cong Tay and Tan Phu Dong districts, according to the province’s Department of Agriculture and Rural Development.

Nguyen Van Danh, Secretary of the province’s Party Committee, said the area of saltwater and brackish water aquaculture in coastal areas had increased by 2.7 times compared to 2008.

The annual output of saltwater and brackish water aquaculture -- mostly shrimps and clams -- reaches over 43,000 tonnes.

After 10 years of implementing the Vietnam marine strategy towards 2020 in the province, Tien Giang has developed infrastructure to serve aquaculture production in Go Cong town, Go Cong Dong, Go Cong Tay and Tan Phu Dong districts.       

The province’s agriculture department has improved fishery extension activities and provided advanced technologies to farmers, including techniques to produce shrimp and clams.

The department’s Agriculture Extension Centre has set up breeding models for clean black-tiger shrimp, white-legged shrimp, tilapia and other aquatic species for farmers to visit and learn.

Tran Quang Thanh in Go Cong Dong district’s Kieng Phuoc commune has turned his two hectares of low-yielding paddy field into a coastal area for breeding black-tiger shrimp and white-legged shrimp.

He harvests an average of 10 tonnes of shrimp a year and earns a profit of about 700 million VND (30,000 USD).

Go Cong Dong district authorities have encouraged farmers to breed shrimp in areas which are near river mouths, and inside sea dykes and saltwater-affected areas.

The district has zoned nearly 2,000 alluvial grounds for breeding clams, with annual output of 20,000 tonnes. The clams are either sold domestically or processed for export.

Nguyen Van Ba, who has three hectares of black-tiger shrimp in Tan Phu Dong district’s Phú Tân Commune, said he had switched from breeding black-tiger shrimp to an industrial farming model and was now breeding white-legged shrimp.

“The profits from breeding shrimp have been stable in recent years because of the use of advanced farming techniques,” he said.

Tran Cong Danh, Deputy Chairman of the Phu Tan commune People’s Committee, said farmers could earn a profit of 20 million VND (850 USD) per ha per crop from extensive shrimp farming and 200 million VND (8,500 USD) per ha per crop from industrial farming.

Besides expanding aquaculture areas, the province has also developed a fleet of 1,400 fishing boats with more than 9,800 fishermen, according to its agriculture department.

The Vam Lang seafood processing industrial cluster and logistics services have both contributed to the development of the sea-based economy.

More than 300 vessels provide logistics services for vessels operating offshore.

Also, Tien Giang has invested in a system of My Tho and Vam Lang ports, to handle the catches.

It has also built a storm shelter at the mouth of the Soai Rap River that can accommodate 350 fishing vessels.

In the first nine months of the year, the province exported more than 250 million USD of seafood. Its seafood is exported to more than 100 countries and territories, including the US, Spain and China.

Timber farmers should think big to boost growth

Household-owned timber plantations must be substantially reformed in order to yield sustainable profits for their owners.

Plantations owned by households account for 38 percent of the total area of timber plantations in the country, according to the Ministry of Agriculture and Rural Development.

The case of Ho Da The, a farmer in a mountainous commune in Phu Loc district in the central province of Thua Thien-Hue, shows that forestation on barren hills could be profitable for the growers.

“I have earned around 200 million VND (8,800 USD) on one hectare of the plantation since 2015,” he said. The added he started his planting in 2007 thanks to a funding programme by World Bank.

According to a report by the Vietnam Academy for Forest Sciences, the total area of plantations in Vietnam grew from one million hectares in 1990 to 2.7 million hectares in 2005. The increase meant that the country’s plantation area is among the largest in the world.

The report also said the area has grown gradually since 2005 thanks to innovation in policies for forestry development, including granting forest land to locals.

The country’s turnover from timber exports has enjoyed year-on-year increases since 2008, with timber exploited from localities of HCM City, Binh Duong and Dong Nai in the south; Binh Dinh, Quang Tri and the Central Highlands in the central region; as well as Phu Tho, Tuyen Quang and Yen Bai in the north.

The localities consumed timber from plantations around the country to serve the production of woodchips, wood materials for mining, carpenter and construction industries.

Dr Vu Tan Phuong of the Academy for Forest Sciences said Vietnam is the biggest exporter of woodchips in the world, but to maintain the position, the timber sector needs to ensure the sustainability and profit growth of the plantations.

“The Government should have policies to foster the large timber plantations, using preferential loans, as well as facilitate the collaboration between households owning forest land and businesses working in timber processing and export,” he said.

“The sector also needs to give proper incentives to those households and encourage them to stop harvesting early from the plantation,” said Phuong, adding that experts believe families should focus on growing large timber that can sell at a higher price but requires more time.  

Experts at a workshop on the topic held in Hue city of Thua Thien-Hue recently agreed that large-timber cultivation is a key component for the sustainable and profitable growth for household-owned plantations.

Dr Bui Chinh Nghia of the Vietnam Administration of Forestry said one of the keys was to educate farmers working in household-owned plantations about the benefits of growing large timber. Preferential investment as well as technical support would also be useful, he added.

Experts also suggested the formation of cooperatives involving households owning the plantations to assist them in the business.

Currently, the plantation sector is well supported with expertise from international organisations including FAO and Food and Forest Development Finland as well as local agencies of the Academy for Forest Sciences and Vietnam Cooperatives Alliance.

Ha Nam to become resort centre by 2030

The northern province of Ha Nam will be developed into a resort centre in the Red River Delta region by 2030, according to the locality’s master plan for tourism development for 2030, with a vision to 2050. 

The master plan was announced at a conference held by the provincial People’s Committee recently. 

The Tam Chuc National Tourism Site in Kim Bang district will be at the centre of the plan.

Ha Nam will focus on developing tours from resorts to historical and cultural sites, while also promoting the various forms of spiritual and festival tourism. 

The provincial tourism sector has set to receive 2.5-3 million tourists by 2020, and 7.6 million visitors by 2030, earning 2 trillion VND and 10.3 trillion VND (440.3 million USD), respectively, reaching an average annual growth of 10-15 percent and creating jobs for about 21,000 labourers. 

The implementation of the master plan will be consistent with the relevant strategies and plans approved by local authorities, on the basis of exploiting and preserving specific values and strengths of natural resources and tourism, as well as protecting natural resources and improving the livelihood of locals. 

The master plan will create momentum for Ha Nam's tourism industry to develop into an important economic sector that contributes about 10 percent of the locality’s GRDP, said Director of the provincial Department of Culture, Sports, and Tourism Le Xuan Huy.

It is also expected to promote the development of industry, commerce, health care, science, education, high-quality agriculture, and manufacturing industries in the province. 

The department itself will focus on promoting Ha Nam's image and tourism products; whilst coordinating with other departments, investors, and enterprises towards organising conferences to introduce the locality’s strengths and potential. 

Attention will also be paid to training human resources for tourism, Huy added. 

Tourists to Ninh Binh up 4.9 percent

The number of tourist arrivals to the northern province of Ninh Binh hit 6.3 million in the first nine months of this year, up 4.9 percent compared to the same period last year.

Of the total visitors, 647,000 were foreign holidaymakers while domestic visitors accounted for 5.7 million, representing an increase of 1.4 percent and 5.7 percent against the same period of 2017, respectively, according to the latest statistics released by the provincial Tourism Department.

The province’s tourism sector earned 2.4 trillion VND (102 million USD) in total revenue in the reviewed period, a year-on-year increase of 18.9 percent.

The achievements are attributed to the provincial tourism sector’s efforts to strengthen management of tourism, promote tourism activities at home and abroad, diversify tourist products, upgrade infrastructure, improve foreign language skills for its staff, and perfect service quality.

In the remaining months of the year, the tourism sector has set to welcome more 950,000 visitors, and earn 400 billion VND in turnover (17 million USD).

Ninh Binh has been listed as one of the 50 best spots to visit in 2018 by US travel site Insider.

The province is striving to become one of the tourism hubs of Vietnam by 2020 and to turn tourism into a spearhead industry of the local economy by 2030. This is the goal of the province’s master plan on tourism development until 2025, with a vision to 2030.

Ninh Binh looks to attract 1 million foreign arrivals and 7 million domestic visitors by 2020, 1.5 million and 9 million by 2025, and 2.1 million and 11.2 million by 2030. Meanwhile, tourism revenue is expected at over 4.2 trillion VND (179.7 million USD), 11.8 trillion VND (504.8 million USD), and 27 trillion VND (1.15 billion USD), respectively.

The province welcomed more than 7 million visitors and earned over 2.5 trillion VND (107 million USD) from this industry in 2017, respectively rising by 9.5 percent and 43 percent year on year.

Quang Ninh accelerates construction of Ha Long - Van Don expressway

Chairman of the Quang Ninh provincial People’s Committee Nguyen Duc Long has asked contractors to quicken the construction of Ha Long - Van Don expressway, enabling it to connect with the Ha Long - Hai Phong - Hanoi expressway and the Van Don International Airport. 

He also asked contractors to mobilise equipment and manpower to completely fix erosion areas on the whole route, including Km26 400, Km27 950 and Km51.

The 60-km-Ha Long-Van Don expressway project is implemented with total investment of about 12 trillion VND (over 511.9 million USD) by the BOT Bien Cuong Joint Stock Company. Its construction started in September 2015.

Once completed, the project is hoped to create traffic connections in the economic triangle axis of Hanoi-Hai Phong-Quang Ninh and form the Ha Noi-Hai Phong-Ha Long-Van Don-Mong Cai expressway route, contributing to easing traffic flow on the National Highway 18. 

It will also help shorten travel time from Hanoi to Ha Long and the Van Don economic zone, thus attracting more investment and boosting the socio-economic development of Quang Ninh province and the northern key economic region.

The Ha Long-Van Don expressway passes through the cities of Ha Long and Cam Pha, and the districts of Van Don and Hoanh Bo. To speed up the construction progress and ensure the completion of the route by the end of December 2018, the Chairman of the provincial People’s Committee has requested localities to cooperate with the investor to roll out plans and measures to solve all difficulties facing the construction. 

Over 60 billion VND sourced from the provincial budget will be spent on the settlement of difficulties related to land clearance.

Previously, on September 1, the Ha Long-Hai Phong expressway was put into operation, connecting directly to the Ha Noi-Hai Phong expressway, contributing to reducing travel time from Hanoi to Ha Long to only 1.5 hours. 

Playing an important role in the Hanoi-Hai Phong-Quang Ninh economic triangle and serving as a gateway for trade between Vietnam and the Association of Southeast Asian Nations (ASEAN) and China, the northern coastal province of Quang Ninh has been making several breakthroughs to develop local transport infrastructure and meet the burgeoning economic growth.

According to Long, it would take the province 10 years to complete its comprehensive, modern transport infrastructure if it only relied on State allocation and local budget. However, Quang Ninh has made a quantum leap with various measures taken to lure private investment.

Thanks to concerted efforts to improve the business climate, within three years, the locality secured 36 trillion VND (1.53 billion USD) in transport projects, three quarters of which were mobilised from the private sector. A line-up of investors have come to the province to branch out key transport projects under build-transfer (BT), build-operate-transfer (BOT), and public-private partnership (PPP) contracts.

Together with other local transport projects such as the Hai Phong-Ha Long and Ha Long-Van Don highways, as well as upgrades to National Highway 18, key projects are hoped to improve the province’s transport infrastructure system, thus contributing to local socio-economic development and promoting local tourism and increasing the potential of border and marine economies. 

In addition, the Bach Dang bridge connecting the northern port city of Hai Phong and Quang Ninh was put into operation in early September. It helps shorten the distance from Hanoi to Quang Ninh from 175km to 125km, thus cutting the travel time between the two localities.

Furthermore, the Van Don International Airport, invested at a total cost of nearly 7.5 trillion VND (319.47 million USD), has stayed in the limelight of the local infrastructure system. This is the very first airport project in Vietnam to apply the BOT investment model.

Vice Director of the provincial Department of Transport Bui Hong Minh said that the BOT projects have created momentum to develop tourism, enhance trade exchange, while also improving its competitive capacity and bettering the quality of life for local people.

BOT and PPP investment models should be applied in a flexible manner and local authorities should create a friendly business environment to make Quang Ninh a more attractive destination to powerful investors.

Viettel, TH Milk win international awards

Viettel Group’s online charging service called vOCS 3.0 won the gold winner for best new product or service of the year in telecommunications.

The award was granted by International Business Stevie Awards in London on October 21.

vOCS 3.0 was the only Vietnamese winner of the award, which was also bestowed upon Ooredoo (Qatar) for fastest 5G service in the world, Singtel (Singapore) for the Singtel Shop Comcentre flagship store transformation and Telkom (Indonesia) for the Vessel Information System Mobile App.

The Viettel product was praised for its creativity and impact on a large number of users as it can be individualised for each customer.

Currently, vOCS 3.0 is used in 11 countries in which Viettel is operating.

The most distinctive feature of vOCS 3.0 is the ability to design for each customer a tariff package, which no other online charging service in the world can do.

Clara Im, Communications Manager – Asia, The Stevie Awards, said the vOCS 3.0 shows the insight of researchers and product developers, and the ability to address the reservations of data service providers to integrate voice and data on a real-time billing system.

For the next version of the service, Viettel plans to support Mobile Virtual Network Operator, Network Slicing and be ready to bill tariffs for Internet of Things and 5G subscribers.

With the 4.0 version, Vietnam would become one of few OCS producing countries supporting virtualisation technology, helping save costs and opening new business opportunities.

Meanwhile, TH Milk Joint Stock Company gained three awards at the International Business Stevie Awards.

They included Thai Huong, founder of TH Milk, winning Entrepreneur of the Year – Food & Beverage, while TH Milk won bronze in the Customer Service Department of the Year – All Other Industries and its TH true NUT, a milk product, won the bronze for Best New Product or Service of the Year – Consumer Products.

The annual International Business Stevie Awards have been held since 2003, aiming to the achievements of businesses and individuals worldwide to the community including ICT and telecom sectors.

This year’s event attracted more than 3,900 nominations from 74 countries.

Ninh Binh targets higher tourism quality

The northern province of Ninh Binh has employed an array of synchronous measures in an effort to improve the quality of tourism services, especially at the Tam Coc – Bich Dong tourism site in Ninh Hai commune, Hoa Lu district. 

The provincial Tourism Department has closely coordinated with relevant departments and agencies, the People’s Committees of Hoa Lu district and Ninh Hai commune, and the management board of the Tam Coc - Bich Dong tourism site to encourage organisations and individuals to observe regulations in the sector. 

Besides, communication work has been stepped up to raise public awareness of preserving and promoting values of the Trang An Landscape Complex, a UNESCO-recognised Cultural and Natural Heritage Site. 

Regulations of the Tam Coc – Bich Dong tourism site have also been popularised among tourism service providers and visitors. 

The management board of the Tam Coc – Bich Dong tourism site has promptly planted boards of regulations in both English and Vietnamese at the Dong Gung parking area, the Dinh Cac Wharf and the Hang Ba (Ba Cave) area. 

Apart from increasing security guards and inspectors of tourism activities from the Dinh Cac Wharf to the Hang Ba area, the board has set up a hotline to receive and handle feedback of tourists. 

The provincial Tourism Department has assigned the tourist support centre to team up with relevant units to assist vacationers, especially during holidays and weekends. 

In the first nine months of this year, the centre has provided help for 76,559 visitors, including 25,305 in the Tam Coc - Bich Dong tourism site. 

According to the department, between January and September, Ninh Binh welcomed more than 6.3 million tourists, completing 88.5 percent of the yearly target and up 4.9 percent year-on-year. During the period, the province earned some 2.4 trillion VND (103.2 million USD) from the sector, representing a year-on-year rise of 18.9 percent. 

Ninh Binh served more than 7 million visitors and pocketed over 2.5 trillion VND (107 million USD) from this industry in 2017, respectively rising by 9.5 percent and 43 percent year-on-year. 

The locality is striving to become one of the tourism hubs of Vietnam by 2020 and to turn tourism into a spearhead industry of the local economy by 2030.

It looks to attract 1 million foreign arrivals and 7 million domestic visitors by 2020, 1.5 million and 9 million by 2025, and 2.1 million and 11.2 million by 2030. Meanwhile, tourism revenue is expected at over 4.2 trillion VND (179.7 million USD), 11.8 trillion VND (504.8 million USD), and 27 trillion VND (1.15 billion USD), respectively.

The Trang An Landscape Complex was recognised by UNESCO as the world’s mixed cultural and natural heritage, the first of its kind in Southeast Asia.

In UNESCO's words, "Trang An is a resplendent complex of limestone karst peaks which are permeated with valleys, including submerged ones, and surrounded by steep, almost vertical cliffs," nestling on the southern shore of the Red River Delta.

Archaeological traces of human activity dating back thousands of years have been found within the complex.

The 12,250-hectare complex boasts several nationally recognised sites like the Trang An ecotourism site and Hoa Lu, Vietnam's capital in the 10th and 11th centuries. The area also has many temples, pagodas, paddy fields, villages and other sacred sites.

It is home to about 500 flora species, 73 species of birds and 41 species of other animals and has a diverse ecosystem.

Together with other famous sites in the province such as Tam Coc Grottos and Van Long Lagoon, the Trang An Landscape Complex was also used as a location for the movie Kong: Skull Island, one of the biggest Hollywood blockbusters of 2017.

The locations opened to tourists last April.

Ninh Binh province has been listed as one of the 50 best spots to visit in 2018 by US travel site Insider. 

Strong FDI flows poured into Hai Phong, Hai Duong

Northern Hai Phong city and Hai Duong province have welcomed big high-tech foreign direct investment (FDI) projects this month, with a combined investment of over 850 million USD.

The Hai Phong People’s Committee recently licensed a 500 million USD increase in FDI into an organic light emitting diode (OLED) display production and outsourcing project by the Republic of Korea’s (RoK) LG Display Co. Ltd.

The project, which was initially worth 1.59 billion USD, received approval to be built on a 54ha site at the Trang Due Industrial Zone in Hai Phong in April, 2016. It included the construction of a factory producing OLED panels for TVs, mobile phones, smart watches, and tablets; as well as 13 residential buildings that can accommodate up to 12,000 workers at the industrial park.

Put into operation last year, the project is LG Display’s first OLED display production site situated outside the RoK territory. Most of its products are targeted towards the world market, with around 20 percent of output serving domestic consumption.

Similarly, 312 million USD was also added to the production of robotics, automatic parts, and controlling devices by Japan’s Rorze Robotech Co., Ltd. at the Nomura Industrial Park in the northern port city. The extra funding brought the total FDI injection into the project to 738 million USD. The factory has a designed capacity of 210,000 robotic parts and 30,500 controlling devices per year.

So far, a total of more than 800 million USD in FDI landed in Hai Phong this October. During the first nine months of 2018, the city’s FDI attraction exceeded 1.45 billion USD, almost doubling the figure year-on-year.

The injected FDI was not only used towards developing projects, but also as a huge boom to domestic investment, fostering the expansion of investment in infrastructure, services, support industries, and logistics; as well as the effective use of local resources like land, factories, and machines, said Pham Van Moi, head of the Hai Phong Economic Zone Authority (HEZA).

According to Moi, Hai Phong has attracted a number of big international corporations such as Bridgestone, LG, Kyocera, Fuji Xerox, Nippon Pharma, and GE.

The remaining FDI has gone into projects in manufacturing, infrastructure, real estate, trade, and services. General Director of Dinh Vu Indistrial Zone JSC in Hai Phong Frank Wouters said that improved infrastructure – what with the expansion of Cat Bi International Airport and the launch of the Lach Huyen International Gateway Port, the Hanoi-Hai Phong Expressway, and the Tan Vu-Lach Huyen Highway and Bridge – has been a major magnet to woo more foreign investors and bigger projects to the port city.

Previously, annual FDI injection into Hai Phong stood below 500 million USD. However, in recent years, the city has seen stronger FDI inflows, hitting approximately 3 billion USD in 2016, said Moi. The city expects to welcome over 2 billion USD in FDI this year, he added.

Meanwhile, in Hai Duong, Japan’s Hitachi Cable Vietnam has invested an extra 900 billion VND (38.4 million USD) into expanding its cable production facility at the Tan Truong Industrial Park. The 10ha project started in 2008 with an initial funding of more than 435 billion VND (18.56 million USD). To date, its total investment has been raised to over 1.78 trillion VND (76 million USD).

Several other FDI projects in Hai Duong have also received additional funding. They include a factory manufacturing automobile intelligent electronic components by Kefico Vietnam Co., Ltd., a member of the RoK’s Hyundai Group, which received an extra 120 million USD in FDI; and the production base of Sumidenso Vietnam, a subsidiary of Sumitomo Wiring Systems Japan, which engages in producing wire harnesses and electric wires used for the electronics and automotive industry.

In the first three quarters of this year, the province has raked in 522 million USD in FDI.

Khanh Hoa focuses on maritime economic development

The central coastal province of Khanh Hoa has seen considerable development in recent times, which is partly attributable to the three sea bays - Nha Trang, Cam Ranh, and Van Phong. 

Nha Trang Bay has made the city of the same name famous for tourism and as such, become the centre of Khanh Hoa province. 

Meanwhile, Cam Ranh Bay plays an important role in terms of national defence and security. Furthermore, the northern Cam Ranh peninsula tourism area is also making strides towards becoming a national tourism site. 

Located in the north of Khanh Hoa, Van Phong Bay has become a key economic zone of the locality. However, its impact on local economic development remains limited. 

Hoang Dinh Phi, head of the management board of the Van Phong economic zone, said the area has attracted more than 150 investment projects with total registered capital exceeding 4 billion USD. 

Of them, 42 projects have specialised in shipbuilding, seaport construction, aquaculture, and tourism services. 

The zone contributes about 4.8 trillion VND (206.4 million USD) to the State budget each year, generating stable jobs for over 6,000 labourers, Phi said, citing several outstanding projects such as Hyundai Vinashin and the Ninh Thuy industrial park. 

However, most of the projects are located in the south of Van Phong Bay, leaving room for potential as the strength of the bay’s northern side remains untapped. 

With 46,000ha of water surface area and an average depth of 20-30m, Van Phong Bay boasts several favourable conditions for the development of international seaports, logistics services, as well as tourism and maritime urban areas of international standards. 

Hon Gom peninsula and the islands of Hon Lon and Diep Son have the potential to house large-scale leisure and entertainment projects.

The Bac Van Phong (Northern Van Phong) area sits near the intersection of major maritime routes – such as Europe-North Asia, Australia-Northeast Asia, and Southeast Asia-Northeast Asia – and serves as a gateway to the East Sea of the Central Highlands in particular and the Indochinese Peninsula in general. 

For this reason, the Van Phong economic zone was targeted to become a gateway to the sea and part of cooperation along the East-West and North-South economic corridors under Decision No.1353/QD-TTg, dated September 23, 2008.

Acknowledging the favourable infrastructure of the Bac Van Phong area in terms of transport, water, electricity, and telecommunications, foreign investors have proposed developing the area into a special administrative-economic zone. 

During its regular meeting in November 2016, the Government agreed on the principles for the establishment of three special administrative-economic zones, namely in Van Don in the northern province of Quang Ninh, Bac Van Phong in Khanh Hoa, and Phu Quoc in the Mekong Delta province of Kien Giang. 

The opinions of voters, the general public, various organisations, experts, and scientists are being collected for the draft Law on Special Administrative-Economic Zone. 

During its fifth meeting, the sixth People’s Council of Khanh Hoa province approved a resolution on a project for the establishment of the Bac Van Phong special administrative-economic zone, which covers the entire Van Ninh district with an area of 111,000ha and a population of over 128,000 people. 

The zone prioritises sectors such as IT, electronics, and precision mechanics; seaports; tourism and hotels; and commercial and financial centres. 

Chairman of the provincial People’s Committee Le Duc Vinh said the zone will require an estimated 53 trillion VND (2.2 billion USD) by 2025 for technical infrastructure, 46.5 trillion VND (1.9 billion USD) for social infrastructure, 15 trillion VND (645 million USD) for land clearance, and 80 billion VND (3.4 million USD) for planning.

The zone is hoped to create breakthroughs in Khanh Hoa’s development.

Intensive processing helps Vietnamese shrimp gain competitive edge

Intensive processing has served as an effective tool for Vietnamese shrimp exporters to improve their competitive capacity in the context of a steep increase in the global supply which brought down the price and demand for shrimp in major markets.

According to Ho Quoc Luc, former Chairman of the Vietnam Association of Seafood Exporters and Producers (VASEP) and Chairman of Sao Ta Foods JSC, Vietnamese firms are capitalising on their processing strengths to increase the added-value of their products.

Currently, Vietnam houses 100 processing plants with total average capacity of some 500,000-700,000 tonnes of shrimp each year, which are able to double their scale in just a short period of time. Meanwhile, large-scale plants like Minh Phu, Vinh Hoan, and Hung Vuong equipped with state-of-the-art technologies can satisfy the demands of giant distributors, he said.

Thanks to the well-developed processing industry, Vietnamese shrimp has been favoured by foreign purveyors, said Tran Van Linh, Chairman of Thuan Phuoc Seafoods and Trading Corporation. He added that more foreign customers are buying Vietnamese processed shrimp as several free trade deals come into force, helping the products take full advantage of tax preferences in foreign markets.

VASEP statistics have shown that this year to the end of September, total shrimp export value was estimated at more than 2.7 billion USD, a fall of 3 percent year-on-year. However, the turnover from white-leg shrimp, which accounted for 68 percent of the country’s total shrimp export, rose by 2 percent.

Last year, white-leg shrimp earned the country 2.5 billion USD in export revenue, 50 percent of which was through value-added products.

Although the processing industry brings lucrative business to local firms, they could earn more if their shrimp materials were sold as cheap in that in India, Ecuador, and Indonesia. 

To compensate for high material costs and lower production costs, many leading seafood firms are investing heavily in advanced technologies and equipment. Thuan Phuoc and Minh Phu seafood corporations have made their processing line automated to cut labour costs and increase productivity.

Experts said that the Government should take suitable measures to assist the shrimp industry in planning, infrastructure investment, and control of the trading of antibiotics and other harmful chemicals in the market towards sustainable shrimp development in the future.

Vietnam Int’l Bicycle Exhibition to take place in Hanoi

The Vietnam International Bicycle Exhibition (Vietnam Cycle) 2018 is scheduled to take place at the Hanoi International Exhibition Centre from November 15-18.

The Vietnam International Bicycle Exhibition (Vietnam Cycle) 2018 is scheduled to take place from November 15-18 (Photo: Vinexad)

The event, jointly organised by the Vietnam National Trade Fair & Advertising Company (Vinexad) and the Vietnam Auto Motorcycle and Bicycle Association (Vamoba), will run alongside the Vietnam Sport Show 2018.

A representative of Vinexad said this year’s exhibition will introduce more than 100 products from domestic firms and imported components from Germany, Italy, Malaysia, Thailand, Taiwan, and the Republic of Korea.

At the Vietnam Cycle 2018, a pavilion will be set up to honour Thong Nhat, a bicycle brand that has been operating for nearly 60 years. Thong Nhat is also the first Vietnamese firm to export bicycles to the US and European countries including Spain and Germany.

According to statistics from the Department of Market Surveillance under the Ministry of Industry and Trade, about 3 million bicycles are currently in use across the country. 

Meanwhile, statistics from Vamoba showed that the total number of electric scooters and bicycles sold nationwide hit 500,000 in 2017, a rise of 30 percent year-on-year and higher than other types of vehicles.

To raise the efficiency of the exhibition, the organisers will arrange business-to-business (B2B) transactions between manufacturers and distributors, as well as between retailers in the northern region and leading importers in Ho Chi Minh City.

Furthermore, visitors to the event will be able to experience new products and receive gifts from key bicycle-building brands.

Can Tho city strives hard to make tourism key industry

Can Tho has exerted great efforts to reach its goal of making tourism a spearhead industry for the Mekong Delta city.

According to Director of the municipal Department of Culture, Sports, and Tourism Tran Viet Phuong, Can Tho has posted a growth rate of 20 percent in tourist arrivals and 28 percent in tourism revenue each year over the last three consecutive years. 

The city is expected to welcome around 8 million visitors this year, up 70.2 percent from 4.7 million from 2015. Revenue from tourism is estimated to reach 3.5 trillion VND (151 million USD).

The city has diversified its tours, tourism products, and services, as well as improved its infrastructure for the industry. 

The city had an additional 26 hotels this year compared to 2016, including eight rated from four- to five-stars. A variety of national and international cultural events and festivals have been organised in the city, attracting large numbers of visitors. 

Furthermore, the city has put more focus on enhancing the quality of local tourism workers, with some 20 training courses opened for over 800 people in the industry, bringing its proportion of trained workers up to 52 percent.

Phuong also outlined several problems with the local tourism sector that have hindered the city’s efforts to bring its potential into full play. He believed that local tourism products have lacked originality and do not offer the same attraction, making them less competitive compared to those of other regional provinces. Meanwhile the city also has a lack of capable personnel and effective cooperation to carry out tourism promotion activities.

To solve these issues, Can Tho should give priority to developing signature tourism products, such as meetings, incentives, conferences, and exhibitions (MICE) tours; community-based tours; and tours to explore local cultural and historical heritages.

The city plans to build and renovate more hotels, restaurants, shopping malls, supermarkets, and other features to better serve MICE tours and at the same time, expand the annual southern traditional cake festival.

It is also inviting investment in eight key tourism projects and developing more river tours that connect to Ho Chi Minh City, Phu Quoc, Con Dao, Ca Mau, and Cambodia.

Can Tho expects that airlines will soon launch new services connecting the city with Hai Phong, Vinh cities and Thailand’s Bangkok in the near future.

At the heart of the Mekong Delta, Can Tho is designed to be one of seven tourism hubs of Vietnam under the national master plan for tourism development until 2020 with a vision to 2030.

Major tourist destinations of Can Tho include Cai Rang floating market, Ninh Kieu bridge, Ninh Kieu port, Truc Lam Zen Pagoda, My Khanh eco-tourism village, Lung Cot Cau and Lung Tram tourist areas, and Mien Tay bird park.