Vietnamese enterprises encouraged to focus on home market

Focusing on the home market is one of the important solutions that will help enterprises restore production and business after Covid-19 ends, experts say.

Having just launched smoked eggs, a new product, Vinh Thanh Dat now wants to increase the proportion of Vfood-brand processed food products sold in the market to 30 percent of total products by 2021, from less than 20 percent currently.

Vietnamese enterprises encouraged to focus on home market



Because of Covid-19, the sale of fresh eggs dropped sharply. Schools, catering companies and bakeries stopped ordering eggs. However, the sale of processed eggs remains strong because they can be preserved for a long time.

“The sale of fresh eggs has recovered by 70-80 percent. However, the epidemic helped us realize the high risk in relying on fresh eggs,” said Truong Chi Thien, Vinh Thanh Dat’s general director.

Thien said his company has spent VND10 billion to import processing and packaging equipment, and to upgrade the workshop for food processing. The machines that make smoked eggs are imported from South Korea.

Pham Chi Lan, a respected economist, advised enterprises to improve their strengths with the support of associations. The associations can spend money on market research to discover changes in consumers’ tastes and new consumption trends.

Thien said the three-month time of ‘living together with the epidemic’ was the time for Vinh Thanh Dat to design new products. Some of them will be marketed soon in a plan to develop the domestic market.

 


Pham Xuan Hong from Agtek said the textile and garment industry has been hit hard by Covid-19.

The epidemic has made enterprises rethink production and market structure. Some companies, living on exports, are step by step developing products for the domestic market.

“The domestic market is not the way out for textile and garment companies, but it is an important auxiliary market,” Hong said.

Because exports cannot return to normal because of the escalation of the epidemic in importing countries, developing the domestic market is the right choice.

Nguyen Thi Thu Trang from the Vietnam Chamber of Commerce and Industry (VCCI) thinks that enterprises should think of ‘standing on their own two feet’ – exporting products and selling products in the domestic market.

She believes that reconsidering demand and taking full advantage of low transportation costs are great opportunities for enterprises to develop the domestic market.

“While the export markets remain dim, the domestic market deserves consideration,” Trang said.

Pham Chi Lan, a respected economist, advised enterprises to improve their strengths with the support of associations. The associations can spend money on market research to discover changes in consumers’ tastes and new consumption trends. 

Mai Lan

Businesses can't access loans, banks see slow credit growth

Businesses can't access loans, banks see slow credit growth

Businesses are expecting interest rates to continue to fall, while banks’ credit growth continues to stand still or declines because of low credit demand.

Is an interest-rate cut enough to recover VN economy?

Is an interest-rate cut enough to recover VN economy?

Within two months, the State Bank of Vietnam (SBV) slashed interest rates twice to support the economy.

 
 

Other News

.
Moving from former adversaries to trusting and valued partners
Moving from former adversaries to trusting and valued partners
BUSINESSicon  07/07/2020 

Through candid dialogue, mutual respect, and a strong commitment to succeed by the leadership of both countries, Vietnam and the United States created a comprehensive partnership that identifies areas for both countries to work together.

EVFTA expected to give a lift to real estate sector
EVFTA expected to give a lift to real estate sector
BUSINESSicon  06/07/2020 

Many segments of the real estate market are soon expected to benefit from the EU-Vietnam Free Trade Agreement, which takes effect in August.

Whether Apple to build nest in Vietnam?
Whether Apple to build nest in Vietnam?
BUSINESSicon  07/07/2020 

Foxconn’s rush expansion in Vietnam raise nosy that whether Apple will choose the country as the place to build nest.

American groups make progress across Vietnam
American groups make progress across Vietnam
BUSINESSicon  06/07/2020 

Vietnam, as one of the fastest-growing economies in the ASEAN bloc, is becoming more appealing to American investors.

A dynamic and powerful ASEAN from the German perspective
A dynamic and powerful ASEAN from the German perspective
BUSINESSicon  06/07/2020 

Possessing key features that represent a snapshot of one of the most diverse, fastest-growing, and competitive regions, the ASEAN is an attractive economic region for not only German enterprises but also other European ones to invest in. 

Delving into specifics of amended business laws
Delving into specifics of amended business laws
BUSINESSicon  06/07/2020 

Businesses and investors are expected to access new positive changes when the amended Law on Investment and the amended Law on Enterprises take effect from January 1 next year.

Rays of sunshine in aviation clouds
Rays of sunshine in aviation clouds
BUSINESSicon  06/07/2020 

Amid serious impacts of COVID-19, there are hopeful points for the aviation sector on the back of the EU-Vietnam Free Trade Agreement.

Trade kickstart with distinctive solutions
Trade kickstart with distinctive solutions
BUSINESSicon  06/07/2020 

Vietnam is boosting its diplomatic activities in hope of attracting more investment and expanding its trade in the global market, with many of the country’s major partners about to open their doors to the world again.

EuroCham proposes Gov’t to cut 50 per cent of registration fee for imported cars
EuroCham proposes Gov’t to cut 50 per cent of registration fee for imported cars
BUSINESSicon  06/07/2020 

The European Chamber of Commerce in Vietnam (EuroCham) proposed the Government to apply the 50 percent registration fee reduction to all automotive assembly firms, importers and dealers of new vehicles.

Shares to correct amid lack of positive news
Shares to correct amid lack of positive news
BUSINESSicon  06/07/2020 

The benchmark VN-Index on the Ho Ch Minh Stock Exchange (HoSE) gained 0.62 per cent to close Friday at 847.61 points.

P2P firms in Vietnam waiting for a sandbox
P2P firms in Vietnam waiting for a sandbox
BUSINESSicon  06/07/2020 

Peer-to-peer (P2P) lending companies expect that the sandbox for fintech would eliminate unscrupulous businesses and help the market grow significantly.

Business outlook gloomy for firms based in Old Quarter of Hanoi
Business outlook gloomy for firms based in Old Quarter of Hanoi
BUSINESSicon  06/07/2020 

Many business owners in Hanoi’s famous Old Quarter are becoming increasingly concerned about the decline in customers, causing their revenue to sharply decrease, and resulting in many stores closing their doors following COVID-19 epidemic.

Auto dealers deemed main beneficiaries of registration fee cut
Auto dealers deemed main beneficiaries of registration fee cut
BUSINESSicon  05/07/2020 

Auto dealers have proved to be the biggest beneficiaries of the Government's move to introduce a 50% cut in car registration fees, and not car buyers, as expected, 

Nine more expressway contractors suspected of construction violations
Nine more expressway contractors suspected of construction violations
BUSINESSicon  05/07/2020 

Nine more former contractors have been accused of irregularities in the construction of a 139-kilometer-long expressway whose severe deteriotion was reported shortly after its opening in central Vietnam.

VASEP decries taxes on semi-processed and processed seafood
VASEP decries taxes on semi-processed and processed seafood
BUSINESSicon  05/07/2020 

Tax agencies have slapped many firms with a corporate income tax on semi-processed seafood products at 20%, while their products for exports or domestic consumption that are mainly processed, 

Domestic property market faces uncertainty
Domestic property market faces uncertainty
BUSINESSicon  05/07/2020 

The domestic real estate market is hoped to have growth in the fourth quarter of this year and before the Lunar New Year 2021 if, by this year-end, the domestic economy is restored to levels from before the COVID-19 pandemic.

Hanoi moves towards approving construction of third Aeon Mall
Hanoi moves towards approving construction of third Aeon Mall
BUSINESSicon  05/07/2020 

The proposed construction of a parking lot and the Aeon Mall Hoang Mai Trade centre will soon be decided upon by the Hanoi People's Committee as Prime Minister Nguyen Xuan Phuc has approved the adjustment of the city's construction planning.

Pork and oil prices key to keeping inflation in VN under control: experts
Pork and oil prices key to keeping inflation in VN under control: experts
BUSINESSicon  05/07/2020 

With huge inflation pressure on the way in the remaining months of this year, a close watch must be kept on the prices of key products like oil and pork to hit the goal of keeping inflation below 4 per cent, experts have said.

Market stagnant, real estate firms struggle
Market stagnant, real estate firms struggle
BUSINESSicon  07/07/2020 

Real estate firms have had to struggle to survive during the COVID-19 pandemic, which has caused the loss of trillions of dong and job losses to 75-80 percent of workers in the field.

Vietnam’s outward investment rebounds
Vietnam’s outward investment rebounds
BUSINESSicon  07/07/2020 

Outward investments, which fell for a short time because of Covid-19, resumed again after the social distancing policy ended.

 
 
 
Leave your comment on an article

OR QUICK LOGIN