The first quarter of 2022 saw shrimp exports hit US$955 million, up 44% over the same period last year thanks to high demand from Vietnam’s major markets and effective use of free trade agreements (FTAs).

China alone spent US$106 million on importing Vietnamese shrimps in the reviewed period, representing a year-on-year rise of 70%.

The Vietnam Association of Seafood Exporters and Producers (VASEP) said the demand for shrimp imports from this market would be more stable this year as China plans to increase the amount of imported seafood to 66 million tonnes to reduce demand for pork.

The United States, which is also another major consumer of Vietnamese shrimp, imported nearly US$195 million worth of the product from Vietnam in the first quarter, a year-on-year increase of 45%.

The European Union also consumed US$159 million worth of Vietnamese shrimp in the first quarter, rising 66% compared to the same period of 2021. It’s noteworthy that black tiger shrimp imports expanded 107% over the same period last year. The largest importers of black tiger shrimp in the EU are Germany, the Netherlands, Switzerland, Belgium, and France.

VASEP predicted Vietnam’s shrimp exports this year would have steady growth thanks to good demand from markets and incentives from free trade agreements such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the EU – Vietnam Free Trade Agreement (EVFTA), the UK – Vietnam Free Trade Agreement (UKVFTA), and the Regional Comprehensive Economic Partnership (RCEP).

US firms to host first food and beverage show in Da Nang

Businesses from the United States introduced their array of agricultural products at the first ever food and beverage showcase held in the central city of Da Nang on April 22.

The event jointly organised by the United States Department of Agriculture (USDA) and the American Chamber of Commerce provided an opportunity for US firms to bring products to Vietnam - a key market in the Southeast Asian region that is recovering from the impact of the COVID-19 outbreak.

Addressing the showcase, US Ambassador to Vietnam Marc Knapper said Vietnam is currently the eighth largest import market for food and agricultural products from the US, while the US represents the country’s largest export market.

Bilateral agricultural trade has doubled, rising from US$4 billion in 2011 to US$9 billion in 2021, he noted, adding the growth of bilateral agricultural trade reflects the importance of economic and trade relations between both sides.

The showcase saw the participation of 21 distributors and producers, all of whom are also members of the United States Department of Agriculture (USDA). Some of the diverse US food products on show included beef, pork, chicken, seafood, potatoes, cheese, apples, blueberries, ginseng, popcorn, and wine.

Foreign retail chains can be a new channel to sell abroad
     
Many Vietnamese firms are trying to display their products in foreign supermarket chains to sell them abroad, but it is not an easy task.

To Huynh, a leading member of Surifarm Organic Vegetables LTD., anticipates that his firm’s dry foods would easily satisfy customers in other regional countries.

However, it was quite difficult to export the foods to those countries via supermarket chains, due to stiff local competition and high logistic costs.

The firm leader also said that big companies would copy small firms' strategies once they saw the latter earning high profits in the markets.

As a result, small firms entering new markets via retail chains would end up competing with both local producers and big names.

Nguyen Thi Thu Hien, external relations manager of Central Retail Vietnam, underlined technology as the key to cost optimisation and better supply chain management.

She recommended that Vietnamese firms accelerate technology applications to cut costs further and improve product quality to boost their coverage in foreign retail chains.

The manager also mentioned some popular Vietnamese names in Thai supermarkets, including Bibica, Trung Nguyen and Chinsufoods, to show that Thailand is not that demanding a market.

Truong To Uyen, director of the purchasing department of a foreign retailer, revealed that Vietnamese firms had to go through four stages before their products could be put on sale in foreign supermarkets.

The four stages include dossier approval, negotiation and signing contracts, adding the supplier data to the system, and order and delivery.

Tran Phu Lu, deputy director of the HCM City's Investment and Trade Promotion Centre (ITPC), underlined foreign supermarket chains as a sustainable exporting channel for small and medium-sized firms.

He urged trade promoting agencies frequently hold trade meetings and fairs to link Vietnamese firms with big retailers, increasing Vietnamese products' presence on foreign shelves.

In this regard, ITPC and Central Retail Vietnam co-organised a trade seminar on April 21 to promote Vietnamese exports to Thailand via GO! supermarket chains.

Viet Nam should prioritise development of domestic market: experts
     
In the context of instability in the world, Viet Nam needs to develop its domestic market with the "Vietnamese people giving priority to using Vietnamese products" campaign.

Truong Thi Ngoc Anh, vice chairwoman of the Viet Nam Fatherland Front Central Committee, said that at the workshop promoting growth and efficiency in implementing the "Vietnamese people give priority to using Vietnamese products" campaign, which was held on April 22 in Ha Noi.

At the workshop, Anh said in 2021, six groups of tasks and solutions were carried out according to the Central Communist Party's Directive 03 on promoting the implementation of the campaign, to enhance production and business, ensuring macro-economic stability and social security.

However, COVID-19 had not yet ended completely, meaning supply chains, trade activities, production and business activities still faced many difficulties.

Instability in the world economic and political situation had also affected the country's economic recovery after the pandemic.

As a result, the Vietnamese business community needed to actively participate in the campaign to develop the domestic market, Anh said.

According to Vo Dai Luoc, former director of the World Economic Institute, the campaign has had a great effect on the Vietnamese business community, especially private businesses and households. However, there are few incentives for private enterprises and households, leading to many difficulties and challenges for them.

Luoc proposed that the Government provide supporting policies for Vietnamese private enterprises and households.

Tran Thi Phuong Lan, acting director of the Ha Noi Department of Industry and Trade, said that it was necessary to connect business associations with State management agencies so that the State could grasp the needs of the businesses, thereby removing difficulties for them.

Lan recommended the State should improve the mechanisms and policies for supporting the development of infrastructure, distribution systems, and investment in product development. It should also have support for agricultural production regions, and processing and logistics enterprises.

At the same time, it would be necessary to strengthen regional linkages, thereby planning regional development policies to avoid an imbalance of supply and demand.

The State also needed to enhance investment in the development of commercial infrastructure, to avoid imbalances between urban and rural areas.

In addition, it was necessary to focus on promoting the development of e-commerce to stimulate the consumption of young people, Lan said.

Mac Quoc Anh, vice chairman and general secretary of the Ha Noi Association of Small and Medium Enterprises, proposed that domestic businesses needed to be more careful in the preparation of production and distribution of goods, to ensure enough supply of products and services on the domestic market.

Along with that, they needed to reorganise goods selling points for people to promote market access in remote areas, he said.

Viet Nam’s pangasius exports surge in Q1
     
Viet Nam’s tra fish (pangasius) industry is seeing a strong recovery after three years of gloom.

Total tra export value reached US$646 million in the first quarter of 2022, posting year-on-year growth of 88 per cent, according to the Viet Nam Association of Seafood Exporters and Producers (VASEP).

The association said pangasius exports to mainland China and Hong Kong have increased again. In the first three months of 2022, the total export value of pangasius to those markets reached $183.4 million, an increase of more than 163 per cent over the same period last year. Of which, the export value of pangasius in March reached $97.5 million, up 119 per cent. The tra export to those markets is forecast to be even more optimistic in the next quarter.

During the first three months, the pangasius exports to Malaysia also recovered after more than two years being affected by the pandemic. The total export value of frozen pangasius to this market was $7.45 million, up 138 per cent over the same period last year.

At present, Malaysia is the destination of nearly 40 Vietnamese pangasius exporting enterprises with diversified export products. Viet Nam and China are still the two leading suppliers of white fish products for Malaysia. Of which, Viet Nam has taken the lead, accounting for nearly 50 per cent of the total import value for white fish to Malaysia.

Viet Nam’s pangasius exports to the US market also gained growth in the first quarter of this year. The total export value of pangasius to the US reached $160 million, up 123 per cent year on year.

The local enterprises have been promoting tra exports to the US after the final result of the 17th period of review in the period on anti-dumping tax for Vietnamese tra concluded no enterprises should be imposed the tax.

It is forecast that the demand for essential goods, including food and seafood, will increase sharply, which will be a good opportunity for the businesses to export frozen pangasius to this market, according to VASEP.

Garment and embroidery factory opens in Lao Cai
     
The first phase of a garment and embroidery factory opened its doors in the northern mountainous province of Lao Cai on Thursday.

Invested by Babeeni Vietnam Co, the factory has a total planned area of ​​48,600sq.m. Of which, the first phase is built on ​​6,500sq.m area with a total investment of nearly VND100 billion (US$8.6 million).

The factory will create jobs for 500 local workers and export up to 1.5 million products of pants and shirts annually to foreign countries in the first phase.

This is the third factory of the enterprise in the country. The two others are already operational in northern Hai Duong Province.

Samsung to collaborates with Viet Nam at 46th World Skills Competition in Shanghai
     
The General Department of Vocational Training and Samsung Vietnam on Thursday signed a Memorandum of Understanding (MoU) on the supporting programme for Vietnamese contestants and experts participating in the 46th World Skills Competition to take place in Shanghai, China.

This year, Samsung will continue to support contestants and experts in two vocations, including IT Software Solutions and Computer-Aided Design (CAD).

To create conditions for match-ups for contestants, as well as encourage teams to improve skills and accumulate experiences for the competition, for the first time, the Samsung Vocational Skills Training Center will host the Online Friendly Match between competing teams with the participation of the Viet Nam’s team.

The online friendly match competition also features teams from many nations such as Japan, China, Hong Kong, and South Korea, and is expected to facilitate high-competition friendly matches approximate to real competition games.

In addition, the content and format of this friendly match competition will closely follow and adhere to the regulations of the World Skills competition to bring the most realistic experiences for teams participating in this event.

Representing Viet Nam, the Vinh Long Mechanical Pedagogy University will participate in the friendly match of Electro-mechanics taking place this April.

They are the team that holds the Bronze Medal from the 2020 Viet Nam National Vocational Skills Competition in Electro-mechanics. It is expected that before the competition’s commencement in October, the Samsung Vocational Skills Center will continue to organise Friendly matches for other vocations.

Bank deposits surge in wake of interest rate hike
     
Thanks to increases in savings interest rates, deposits at banks increased strongly in the first two months of this year after declining last year.

According to the latest data from the State Bank of Vietnam (SBV), deposits increased by 1.38 per cent to nearly VND11.1 quadrillion in the first two months of 2022.

Among the total, deposits of individual customers reached more than VND5.46 quadrillion, up more than VND56 trillion against January 2022 and VND159.6 trillion against December 2021.

Deposits of corporate customers were more than VND5.63 quadrillion, down VND8.8 trillion against December 2021.

Last year, deposits of individual customers at banks declined as many depositors withdrew their savings to pour into more attractive investment channels amid declining deposit interest rates.

Experts attributed this year’s growth to banks’ application of deposit interest rate hike programmes to attract depositors. Deposit interest rates at many banks have so far increased by 0.3-0.7 per cent against late last year.

Most recently, VPBank announced the new savings interest rate list for individual customers from April 15. Specifically, the highest savings interest rate at the bank was raised from 6.7 per cent per annum to 6.9 per cent per annum, applicable to online savings of more than VND50 billion on the term of 36 months. For smaller deposits, the new interest rate level at VPBank ranges from 6.1 per cent to 6.7 per cent per annum, up 0.4-0.6 percentage points against previously.

Similarly, the 12-month and 24-month savings rates at VPBank both rose by 0.4 0.6 percentage points after the adjustment.

At MBBank, new savings interest rates have been applied since April with an increase of 0.2 percentage points on short terms from one to three months and the long term of 36 months. The highest rate at the bank is currently 6.6 per cent per annum, against 6.4 per cent per annum as in March.

Many other banks have also raised the savings interest rates for individual customers such as Techcombank, NamABank, OCB, SCB, LienVietPostBank, HDBank and ACB.

Experts said the move to increase deposit interest rates at banks during this period is understandable when credit demand is rising significantly. Credit increased by 5.04 per cent by the end of March 2022, 2.3 times higher than the same period last year. This figure reflects the rapidly increasing demand for capital to serve production and business after a long period of stagnation due to the pandemic.

Viet Nam’s daily stock trading value ranks second in ASEAN
     
The average daily trading value on Viet Nam’s stock market has reached more than VND30.84 trillion (US$1.34 billion) per session so far this year, up 15.9 per cent from last year’s figure and now the second largest in ASEAN, only after Thailand, according to the Ministry of Finance.

By the end of March, the market size had risen by 3.37 per cent from last year to close to VND1.8 trillion, equivalent to 21.4 per cent of the GDP. There are 768 securities and fund certificates listed on the Ha Noi Stock Exchange (HNX) and the HCM City Stock Exchange (HOSE), while 883 others are listed on the Unlisted Public Company Market (UPCOM).

The number of securities accounts is on the rise, with more than 676,600 newly opened in the first quarter of 2022, almost equal to the 2021 figure. Total accounts have exceeded 4.98 million so far, an increase of 15.7 per cent compared to the end of last year.

However, shares have been suffering decline over the last several weeks because of negative rumours in the real estate and securities sectors coupled with rising political tensions globally. The benchmark VN-Index closed at 1,406.45 points on April 19, 6.1 per cent lower than last year’s end. Similar trends have been observed elsewhere worldwide, notably in major markets like the US, Germany, the Republic of Korea, France, and Japan.

The Ministry of Finance has requested the State Securities Commission (SSC) to accelerate the improvement of related regulatory framework and finalise the strategy for the development of the stock market by 2030 to further enhance its transparency and promote stable growth.

Coffee exports to Belgium skyrocket in Q1

Vietnamese businesses shipped a total of 65,700 tonnes of coffee to Belgium in the first quarter of the year, raking in more than US$135.3 million in export turnover.

The figures represent a 446.8% increase in export volume and a 580% rise in export value compared to the same period last year, according to the latest information provided by the General Department of Vietnam Customs.

Belgium is Vietnam’s second largest coffee export market, accounting for 11.3% of total volume and 10.4% of total value in the first quarter of the year.

Coffee exports to the Belgian market witnessed a strong boom, which resulted in a positive impact for the entire industry.

March alone saw Vietnam export 29,2000 tonnes of coffee worth US$61.7 million to Belgium, marking a rise of 440.7% in volume and 571% in value against the same period from 2021.

Furthermore, in March the average price of Vietnamese coffee exported to Belgium reached US$2,111 per tonne, an annual rise of 24.1%.

Vietnam has great opportunities in agricultural exports despite global turbulence

Experts said there remain huge opportunities for Vietnam’s agricultural exports despite the impacts of the Russia-Ukraine conflict on global trade, especially with the diversified network of trade agreements that the country is a part of.

Vice General Secretary of the Handicraft and Wood Industry Association of Ho Chi Minh City (HAWA) Bui Huu Them expected strong prospects for Vietnam’s exports of wooden products to the US and EU, currently accounting for 80% of the total turnover in this field.

“Local firms should be ready to grasp opportunities in case there is a surge in demand from these markets,” Them said.

Meanwhile, Vice Chairman of the Vietnam Food Association Do Ha Nam said the fact that western countries are boycotting Russian products means Vietnam could further import fertilizers, wheat, or oil with more competitive prices, but urged the country to take into consideration the impacts of sanctions imposed on Russia.

According to Nam, this is the right time for Vietnam to boost the export of rice and other farm produce to the EU, thanks to the 0% import tariff under the EU-Vietnam Free Trade Agreement (EVFTA).

Echoing Nam’s view, General Director of Vietnam Fruit and Vegetables Association (Vinafruit) Dang Phuc Nguyen forecast Vietnam could double its rice export turnover to Europe and US by taking advantage of the growing demand for Vietnamese farm produce.

Nguyen, however, urged local firms to further improve product quality to meet high standards such as the GlobalGAP in these markets.

On the prospects of Vietnam’s farm produce exports, former Vice Director of the General Statistics Office Vu Thanh Liem said sanctions imposed on Russia are causing disruption to ongoing supply chains, and therefore, offer chances for others to take their place.

General Director of the General Department for Agricultural Products Processing and Market Development under the Ministry of Agriculture and Rural Development Nguyen Quoc Toan said the agency has instructed localities to step up seafood production in anticipation of growing demand from the EU, US, and Russia.

In this regard, Deputy Director of the Ministry of Industry and Trade’s Import and Export Department Tran Thanh Hai noted higher competitiveness and product quality are essential for Vietnam products to penetrate demanding markets.

More holiday-makers book tours for upcoming holidays

Travel agencies revealed that there has been an increase in the number of holiday-makers on the upcoming holidays of April 30, although the service price surged by 10 percent-30 percent depending on the route.

According to travel agencies, despite the high price of tours, the purchasing power of the tour still increased by 30 percent-40 percent compared to last year's holiday. This year, vacationers are especially interested in the special tour ‘Viewing Ho Chi Minh City from above’ by helicopter.

The holidays of April 30 and May 1 fall at the peak of the tourist season, and due to the impact of the recent sharp increase in gasoline prices, popular tours at this time have increased prices from 10 percent to 30 percent, said representatives from tourism companies. Service prices increase, focusing on air tickets, hotel rooms, and restaurants.

However, travel agencies share that operating and organizing costs are always maintained by businesses, not increased to ensure price stability, and increase product quality to support customers.

Currently, the tour to Phu Quoc, Con Dao and the booking service in Da Lat are very hot while many sightseers showed their interest in some other destinations such as Phu Yen, Quy Nhon, Con Dao, Hoi An - Da Nang. Travelers also booked tours to the Maldives, Dubai, Australia, Singapore, and Thailand, said Ms. Tran Thi Bao Thu, Marketing Communications Director of Fiditour Travel - Vietluxtour.

Businesses want to Vietnamese spices make much of an inroad on int'l markets

Experts in the spice industry said at a seminar that Vietnam's spice economy has great potential, but to realize its true potential, in addition to promotion, businesses need to do well in the quality stage and fully meet the strict standards of the world if they want to Vietnamese spices make much of an inroad on the international markets.

The Business Association of Vietnamese High-Quality Products, the Leading Business Club, the Food and Foodstuff Association of Ho Chi Minh City (FFA), the Vietnam Association of Fish Sauce, and the Center for Conservation of Vietnamese Culinary Culture Nam coordinated to organize a press conference to inform about the festival "Essence of Vietnamese Spices" taking place from April 28 to May 1 in Ho Chi Minh City. As part of a series of festivals, the seminar 'Spices economy from the perspective of traders' took place on April 22.

According to Chairman of the Board of Directors of Dh Foods Nguyen Trung Dung, while he was living and working in Poland, he hadn’t tasted Vietnamese spices. Even when he started a business in the spice industry, he didn’t also see Vietnamese spices. 

After returning to Vietnam and thinking about starting a business, he had the opportunity to travel around the country and see the diversity and richness of spices throughout all regions of Vietnam. With its tropical weather and diverse range of eco-systems, Vietnam is rich in spices, including many special and popular ones such as cinnamon, anise, pepper, cardamom, and chili.

The director has only a desire that Vietnam will catch up with Thailand's spice industry. The world now is very fond of indigenous products, products with bold regional characteristics, said Mr. Dung.

Sharing about the importance of meeting standards with practical experience in exporting fish sauce, Deputy General Director of Thanh Ha - Phu Quoc Ong Thi Kim Ngan said that the enterprise has exported to Korea since 1993 and then to Europe, Japan, the US and Australia from 1998.

According to Ms. Ngan, the Europe market is very difficult to conquer, but the company has tried its best by improving its products’ quality. The company’s efforts to enter the market have been rewarded at last.

According to Ong Thi Kim Ngan, associations and responsible agencies play important role in promoting Vietnamese products to the world market.

PM orders protection of legitimate rights, interests of investors, enterprises

Prime Minister Pham Minh Chinh, on the afternoon of April 22, chaired a conference on developing a safe, transparent, efficient, and sustainable capital market to stabilize the macro-economy and ensure major balances of the economy.

Over the past time, Vietnam's capital market has grown rapidly in width and depth. The scale, product, and liquidity increased rapidly, contributing to mobilizing financial resources, which is extremely important for the economy, supporting and supplementing the traditional capital supply channel - bank credit.

The capital market has been fully established and operated with all components, including the stock market, bond market, and derivatives market. The average growth scale was 28.5 percent per year in the 2016-2021 period, reaching 134.5 percent GDP in 2021, 3.5 times higher than in 2015. The daily trading value has increased sharply. From the beginning of the year to now, the average trading value has reached VND30.8 trillion, up 15.9 percent over the same period last year. The number of newly-opened securities accounts is three years ahead of the set target.

However, according to the PM, besides the achieved positive results, it is necessary to frankly recognize that the capital market still has limitations and shortcomings in market structure, infrastructure, technology, human resources, and market information system. Especially, some organizations and individuals even violate the law when participating in the market.

PM Pham Minh Chinh affirmed that the violations are only a minority. It is necessary to handle violations to protect the legitimate rights and interests of the majority of genuine investors and enterprises, which operate healthily and comply with the law. It is also a necessary step to clean up the market so that the market is better, healthier, safer, and more sustainable.

The PM stated that the Government and the PM had issued many directions from the second half of 2021, with three throughout and consistent viewpoints.

Firstly, it is to encourage and create all favorable conditions for organizations and individuals to participate in the market, operate healthily and efficiently, and strictly comply with the provisions of the law.

Secondly, it is to resolutely handle individuals and organizations who intentionally violate regulations, group interests, and illegal profiteering and protect the interests of investors and enterprises that respect and comply with the law.

Thirdly, it is to take all necessary measures to stabilize and develop an open, transparent, safe, healthy, and sustainable market, contributing to promoting socio-economic development that brings happiness and wealth to the people.

Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes