A view of the Van Don-Mong Cai Highway in Quang Ninh Province. — VNA/VNS Photo Huy Hung

Prime Minister Pham Minh Chinh has asked ministries and agencies to remove obstacles related to land and construction materials to implement investment projects on highways and real estate.

In official dispatch No 194/CD-TTg, PM Chinh asked ministries, provinces and cities to have drastic, timely and effective solutions to build social houses for workers and people on lower incomes, contributing to social security.

Chairs of provincial and municipal people's committees should consider expressway projects as important works, serving the common interests of the whole country and promoting socio-economic development.

Thus, they must give the highest priority to speed up the progress of traffic projects, especially highways.

Localities must give project investors, contractors, organisations and individuals information about the laws on minerals exploitation, project schedule and scale. They must take responsibility in case the mining licence expires, is not eligible for an extension, or lacks materials.

PM Chinh asked agencies to urgently review and summarise projects that are facing legal procedures related to land prices, land allocation, land lease and land use.

The review must be reported to the Prime Minister quarterly, starting from the second quarter of this year.

He also requested ministries to promulgate guiding documents to remove difficulties related to land.

Provinces and cities should seriously implement the Government's Resolution No 33/NQ-CP on solutions to remove and promote the real estate market, to make it develop safely and sustainably.

The Ministry of Transport urgently develops a plan and takes full responsibility for construction materials, including soil, stone, and sand for embankments.

It should make a chart of material needs according to projects’ schedules up to next year and send it to the Ministry of Natural Resources and Environment and localities as required in the Government office’s Notice No 79/TB-VPCP.

The Ministry of Natural Resources and Environment, after summarising all reserves of embankment sand mines and annual exploitation capacity, will urgently issue guiding documents for the work.

The Ministry of Construction will coordinate with other ministries to promote the safe, healthy and sustainable development of the real estate market.

It will submit to the National Assembly (NA) pilot policies to promote social housing development at the NA’s meeting in May this year.

The Ministry of Planning and Investment will review the construction situation and submit it to the Government for approval of the decree guiding the Investment Law.

PM Chinh asked the ministry to strengthen inspection and guide localities and enterprises on the law on investment and bidding.

Ministries and localities must actively conduct their assigned duties. In case of any problem, they must report to competent authorities for consideration and decision.

The Government Office must keep a close watch on ministries’ and localities’ work and promptly report to the Prime Minister. 

Da Nang promotes investment from Japan

The central city of Da Nang has been calling for stronger and deeper investment from Japanese businesses in seaport, infrastructure, hi-tech industry, education, healthcare, supportive industries, information and technology during a four-day investment promotion event in Kisarazu, Yokohama, Osaka, Chiba and Kanagawa, in Japan.

Japanese investors have poured 1.04 billion USD into 228 projects in Da Nang to rank first in the list of 40 foreign direct investment (FDI) sources in the city.

Secretary of the city Party Committee Nguyen Van Quang also urged Sumitomo Group to foster investment plans in Da Nang after Sumitomo Corporation Vietnam and local partner BRG Group began implementing pre-feasibility surveys on infrastructure development of seaports, airports and industrial parks.

During the investment promotion tour in Japan last week, local Thanh Dat Group inked the Memoranda of Understanding (MoUs) with Japanese partners including Magos company (under Metran Group), Heisei medical welfare group, and Minatomirai Group in launching healthcare for elderly and rehabilitation and beauty care service in the city.

Nakagawa Tetsuyuki, general director of Aeon Mall Vietnam, said the group has built six trading centres in HCM City, Binh Duong, Hai Phong, Hanoi and Thua Thien-Hue, and Da Nang would be the next destination for a new trading centre.

A Japanese technology company, Pasona Tech Vietnam, has been building an Information Technology (IT) LAB in Da Nang for training human resources in digital transformation needs, and the LAB would open in the second quarter of this year.

Earlier, Pasona had set up its Awaji Da Nang centre in Awaji, Japan in boosting IT manpower education and training.

Mikazuki Hotel Group of Japan was seen as one of the successful investment projects in Da Nang in 2022-23 when it officially opened the 3.9 trillion VND (168.16 million USD) Da Nang Mikazuki Resort&Spa after overcoming difficulties due to the COVID-19 pandemic.

Fujikin International Incorporated from Japan also introduced an R&D centre at Da Nang High-Tech Park at a cost of 35 million USD.
Tokyo Keiki Precision Technology Inc and Niwa Foundry from Japan had already operated factories at Đà Nẵng hi-tech park.

Japanese Daiwa Vietnam Company began building its third factory in the city’s Hoa Khanh Industrial Zone with an investment of 40 million USD, bringing its investment in Da Nang to 90 million USD in 2005-20.

Da Nang had inked friendships and cooperation deals with Kisarazu, Kawasaki, Sakai and Yokohama, and the city has hosted the annual Vietnam-Japan cultural Exchange Day since 2014.

Vietnam Airlines has resumed its direct air route from Narita, Tokyo and Da Nang, boosting tourism and investment from Japan to central Vietnam.

Japan promoted its Consulate Office in Da Nang city to General Consulate just a year after it was founded to boost ties between Japan and the central city.

The first Japanese language studies and culture research faculty in the central and Central Highlands region was set up at the city’s Dong A University.

Eight cities in Japan including Yokohama, Maebashi, Chiba, Fukuoka, Shizuoka and Nagasaki and more than 80 businesses from Japan have inked agreements on the recruitment of students from central Vietnam to work and study in Japan.

The city’s party secretary, Quang said successful investment projects from Japan would mark the 50th anniversary of Vietnam-Japan diplomatic ties, boosting friendly diplomatic ties between the two nations as well as Da Nang and cities of Japan.

The investment promotion tour in Japan followed the city’s events seeking investment opportunities organised in the United Arabia of Emirates and Qatar last month.

Companies offer shares to raise funds, but confront obstacles
     
Share issuance is widely chosen by businesses to mobilise capital, but many bottlenecks need to be removed.

In mid-December last year, at a business forum, Nguyen Quoc Ky, Chairman of Vietravel's Board of Directors said that the company’s capital increase plan had been submitted to the management agency for five months but wasn’t resolved.

"Investors are ready, but the company is still waiting for the procedure in vain,” he said.

It was not until February 24, 2023, that Vietravel announced that it had completed the procedure to increase charter capital from VND173 billion to VND293 billion to implement the business strategy in 2023. Specifically, the company issued 6 million shares to swap debt of VND168 billion for Hung Thinh Corporation, with a conversion rate of VND28,000 per share and 6 million shares for investors holding important positions at Vietravel.

Gemadept Joint Stock Company (GMD) approved the plan to increase capital at the 2022 annual general meeting of shareholders. On December 27 of last year, there was a resolution to adjust the issuance plan and the application file for buying rights to existing shareholders. But so far, there has been no announcement of completing the capital increase dossier.

Gemadept plans to offer more than 100 million shares at the price of VND20,000 per share to existing shareholders at a ratio of 90:30. The mobilised capital is expected to increase capital contribution to Nam Dinh Vu Port Joint Stock Company, implementing the investment plan to expand phase 2 of this port and contribute capital to inland port projects.

Some businesses also said that the capital increase dossiers, approved from the 2022 general meeting of shareholders, were still stuck at the State Securities Commission (SSC). In previous years, the capital increase dossiers will be completed in the second half of the year or early in the first quarter of next year.

Some businesses reported that there was a change in personnel at the SSC and that the Committee was working more closely on the approval of capital increase documents compared to the previous period, especially with documents for issuing new shares. Enterprises are often required to add additional documents during administrative procedures.

However, the slow approval of dossiers to increase capital sometimes is due to the fault of the enterprise itself. For example, Sao Mai An Giang Joint Stock Company withdrew its application for a capital increase in 2022 because it had to explain the payment of dividends.

The resolution at the general meeting of shareholders approved the payment of dividends in cash, but the enterprise paid in shares, so the management agency was required to re-organise the general meeting of shareholders, to ask for opinions of shareholders on the new dividend payment plan.

Truong Thanh Energy and Real Estate Joint Stock Company (TEG) offered shares to the public in the form of issuance to existing shareholders and auction of shares. However, investors who paid money to buy shares from September 2021 would not be able to sell shares until May 2022. This caused damage to investors, because the stocks were traded during the strong correction of the market.

Issuing shares is an important method of raising capital for businesses, especially in the context of a congested bond channel and more difficult access to bank loans and higher interest rates. But in order to raise this capital, not only the efforts of listed companies are needed, but also more active support from the management agency. 

Red River Delta national powerhouse: minister
     
The Red River Delta is a region of geopolitical, economic, cultural, and social importance to Viet Nam, according to Minister of Planning and Investment Nguyen Chi Dung.

The minister made the remarks at the seminar "Promoting investment, trade, and services to strengthen inter-regional ties" held on Thursday in Thai Binh Province.

He said in more than 15 years the region saw a remarkable economic advancement with an average annual growth rate of 8.93 per cent, far higher than the country's norm.

In 2022, its GDP hit VND2.89 quadrillion (US$123 billion), contributing to nearly one-third of the national GDP. Its income per capita was 1.3 times as high as the national average, at VND123.4 million per annum.

Despite the impressive economic growth, the region still faces some major obstacles.

First, its transition to a service-based economy is moving slowly. Second, its fiscal revenues are over-dependent on land sales.

Third, there is a considerable time lag between planning and implementing. Fourth, economic development is uneven among sub-regional localities, and, more importantly, their economic ties remain weak.

The ministry called for more drastic measures to overcome the obstacles and unlock the region's full potential. The measures could include infrastructure development, investment promotion, and tie strengthening.

Additionally, he urged the region to quickly approve 'The regional masterplan for the period of 2021 to 2030, with a vision to 2050' to lay the groundwork for regional development.

He also called for a green-oriented, high-tech manufacturing hub in the region to reduce greenhouse gas emissions and secure a higher position in the global supply chain. Priority would be given to the production of semiconductors, chips, renewable energy, and new materials.

He said the region should capitalise on free trade agreements to expand its commercial footprint and diversity its market reach. It should also promote tourism to make the industry a money spinner for the region.

Deputy Minister of the Industry and Trade Do Thang Hai described the region as a national economic powerhouse with three engines, namely Ha Noi, Hai Phong, and Quang Ninh.

He said the regional infrastructure had been growing rapidly in recent years with the proliferation of shopping malls and commercial centres, significantly improving the local economic landscape. However, inter-regional projects still rely too much on the central government's funds.

He called for measures to attract different types of funds to pick up the slack. With those funds, more logistics hubs, transit centres, seaports, and airports can be built to promote inter-regional economic ties.

Deputy Head of the Central Committee's Economic Commission Le Hong Son said the global situation is changing, which could be a bane or a boon for the region. This depends on the mindset of the regional authorities and other stakeholders. 

Reshuffle boosts investment chances for Van Phong EZ

Revised planning for Van Phong Economic Zone is set to help boost Khanh Hoa province’s status as an advanced marine economy and sustainable smart metropolis.

Nguyen Tan Tuan, Chairman of Khanh Hoa People’s Committee, signed a proposal en-route to the government in March seeking approval for revised general planning of Van Phong Economic Zone (EZ) until 2040, with a vision towards 2050, encompassing 150,000 hectares.

Van Phong EZ will cover most of Van Ninh district and some communes belonging to Ninh Hoa town.

Khanh Hoa province aims to turn Van Phong into a multi-sector EZ holding pole position in investment attraction and serving as a driving force for economic development for its neighbourhoods and beyond.

In particular, the marine economy is the foundation buoyed by an international container transshipment port, with logistics, urban services, tourism, and industry playing an important role, besides other sectors. The area is also a centre for tourism services and high-class general entertainment with unique and modern products and services.

In light of the revised planning, Van Phong EZ is also oriented to become a sustainable smart urban development with seamless and modern socioeconomic infrastructure.

By 2030, the land for construction of functional areas will be about 14,900ha and Van Phong EZ would accommodate about 350,000-380,000 people.

In February, the Management Board of Van Phong EZ worked with a raft of businesses keen on landing projects there. This is deemed a preparation step in the lead-up to a major April conference, in which Khanh Hoa will bring exposure to the province’s planning scheme and investment promotion for the year.

Over a dozen potential investors have made proposals to invest in Van Phong, including Dong Phuong Petroleum, Stavian Chemical, Trung Nam Construction Investment, Becamex IDC, Sinnec, and Saigon Newport Corporation.

These businesses and others want to invest in refining and petrochemicals, energy, industry, seaport construction, and more.

While those are based in the south of the area, northern Van Phong is alluring services, tourism, airport, and seaport investors such as Sungroup, Novaland, and FPT.

According to Nguyen Trong Hoang, head of Van Phong EZ’s Management Board, with a total investment touching $2.58 billion and an annual capacity reaching 1,320MW, the Van Phong 1 build-operate-transfer thermal power plant is the largest project in the EZ.

As of now, the project has disbursed 65 per cent of its total investment volume. By June, the plant is scheduled to put the first turbine group into trial operation, and will start commercial operation from the third or fourth quarter of this year.

When the plant comes on stream, the project would contribute a significant chunk of money to the provincial budget. To date, Van Phong EZ is home to 98 investment projects, some of which play a marked role in driving provincial socioeconomic development, notably the Hyundai Vietnam Shipyard with capital scale reaching $300 million.

With a headcount of 4,000 employees, the factory contributes tens of millions US dollars to the provincial budget annually; especially, it holds up about 40 per cent of the province’s total export proportion.

This year, the Management Board aims to attract about $1.3 billion worth in newly committed investment volume, and embrace investor selection procedures for projects in Van Phong EZ after the general planning and construction subdivision planning is approved.

The priority fields are believed to be in energy, petrochemical refining, trade, high-end tourism and urban services, seaports, and industrial zone infrastructure.

At the third session of the 15th National Assembly (NA) in June last year, the NA approved Resolution No.55/2022/QH15 on piloting a number of specific mechanisms and policies for the development of Khanh Hoa province over five years.

The resolution regulates piloting a number of specific mechanisms and policies for development, focusing on financial management, decentralisation of state management in diverse areas of planning, land, and the environment, and on the development of Van Phong EZ and the marine economy in the province.

Dong Nai approves US$3-billion urban area project

The government of Dong Nai Province has approved of a 293-hectare urban area project worth more than VND72 trillion (US$3 billion) in Pho Island in Hiep Hoa Commune, Bien Hoa City.

Hiep Hoa urban area would have an estimated population of 31,600 residents and cover 293 hectares of land. Of which, residential land would be 84 hectares, or 28.8% of the total, and the remaining area of over 110 hectares would be saved for planting green trees and developing public works, and traffic and technical infrastructure.

The project would be executed in 12 years, from 2023 to 2035, for five components.

Under the decision of the Dong Nai People’s Committee, the project aims to develop a new modern urban area, serviced complex with a low density of the population in harmony with the natural landscape.

The urban area will be developed toward sustainable tourism, forming busy commercial quarters to meet the demand for business and accommodation.

Located at the gateway of Bien Hoa City and surrounded by Dong Nai and Cai rivers, Pho Island is considered the most suitable place for investment to become a highlight of the Bien Hoa urban space.

Patience favoured before action on USD deposit interest rates

Although foreign businesses have proposed a removal of the zero USD deposit interest rate, insiders say the central bank’s hands are currently tied.

At the annual Vietnam Business Forum (VBF) held in Hanoi in March, foreign businesses discussed the USD deposit interest rate of zero per cent, and called for it to be removed.

However, an economic expert told VIR that the State Bank of Vietnam (SBV) has to implement the government’s anti-dollarisation policy, including the regulation on the ceiling interest rate for USD deposits, so it cannot be abolished at this time.

Regarding the proposal of foreign businesses at the VBF, he said that an ordinary citizen with a savings amount of about $5,000 or more, when deposited in many joint-stock commercial banks, could negotiate to still have a certain amount of interest transferred into VND, while businesses have their own ways to circumvent regulations to increase profits.

The SBV believes that it has created positive movement in the economy. The measure of the dollarisation level of the economy decreased from 11.06 per cent in 2014 to about 6.7 per cent as of February 2023.

The exchange rate and foreign currency market are stable, and the reduced foreign-currency-holding sentiment of organisations and individuals has contributed to the conversion of foreign currency resources into production and business services, and increased the scale of state foreign exchange reserves.

The SBV previously made its opinions on the issue clear, stating that in implementing the government’s policy against dollarisation, it had implemented a set of measures to control inflation, and stabilise macroeconomics through monetary policy and foreign exchange management.

Specifically, the key tools used were regulation of the USD deposit interest rate at zero per cent, flexible exchange rate management combined with strict control of foreign currency credit, and a roadmap to limit foreign currency lending.

The SBV said that with the synchronised policies and solutions, it has contributed to reducing dollarisation, gradually shifting the habit of borrowing-depositing foreign currencies of the economy to buy-sell relations. Thereby, it has enhanced the position of VND through maintaining the interest rate difference between VND and USD, encouraging the holding VND with attractive returns, and increasing the state’s foreign exchange reserves.

It also said that with the regulation of USD deposit interest, it has been creating economic incentives to encourage people and businesses to sell foreign currency to credit institutions instead of holding it in cash or as a foreign currency deposits, limiting the speculation and hoarding of foreign currencies.

Businesses and entities that have a demand for foreign currency for production and business and other legitimate needs are sold foreign currency by credit institutions as needed.

To gradually restrict dollarisation in the economy over a decade ago, in 2011 the SBV began implementing a cap on mobilisation interest rates in USD at credit institutions at 1 per cent per year for economic organisations, and 3 per cent a year for individuals.

VND50,000 billion proposed for two expy projects

The Gia Nghia-Chon Thanh Expressway project will cost some VND29,986 billion, whereas the investment of the Nam Dinh-Thai Binh Expressway project is over VND18,000 billion.

In the first phase, local authorities recommended expanding the road from four to six lanes, with two for emergency stops.

The adjustment increased the cost of the project by VND4,000 billion. This is in line with the Government’s recent instruction to maximize investment efficiency.

Of the total VND29,986-billion expenditure, the state budget contributes VND9,900 billion.

The Nam Dinh-Thai Binh Expressway project has a total length of 60.9 kilometers, connecting the two provinces of the same name in northern Vietnam. The road is part of a larger expressway project between Ninh Binh Province and Haiphong City.

Like Gia Nghia-Chon Thanh, the road will have six lanes, including two for emergency stops. It costs some VND18,081 billion.

As Geleximco Group, the project’s investor, lowered the return on investment from 13.37% to 11.77%, the total investment decreased by VND2,800 billion.

The state budget will make up 49.5% of the costs.

The two expressway projects are expected to strengthen regional connectivity and promote local socioeconomic development. Both will be developed under a public-private partnership format.

Banks expanding share over borders

Several Vietnamese lenders are tapping into other dynamic economies and aiding Vietnamese enterprises operating in cross-border trading activities.

At last week’s AGM, privately-held Nam A Bank signalled its ambition to expand its footprint in the international market by establishing a wholly-owned commercial bank, or to set up a branch in a foreign country.

r prospective foreign markets, and build a robust banking ecosystem.

Regarding its domestic network, Nam A Bank targets to open at least 20 new branches and transaction offices in various localities, such as Quang Ninh, Nghe An, Dak Nong, Binh Thuan, and Long An provinces.

The bank’s AGM also approved its forthcoming listing on the Vietnamese stock market. The proposal to list shares was authorised last year, but was subsequently postponed to protect the interests of shareholders in light of the unfavourable macroeconomic environment and volatile equity market.

In recent years, commercial banks have continued to expand their network abroad. In late February, MB officially converted its Cambodian branch to a wholly-owned commercial bank, MBCambodia, in Phnom Penh.

Dinh Quang Huy, chairman of MBCambodia’s Board of Directors, said that it would concentrate on retail and digital banking to provide Cambodians with comfortable and swift, digital-first experiences.

The management of MB has also pledged support for the training and delivery of modern digital banking-based retail products and services for MBCambodia, as well as technologically advanced products and services deploying.

Among the top 10 banks with the largest capital and total assets in the domestic banking system, Vietcombank, BIDV, VietinBank, MB, SHB, HDBank, and Sacombank are among prominent lenders that have been expanding their market share abroad through their subsidiaries, wholly-owned banks, branches, and representative offices.

Vietcombank boasts a branch in Australia, representative offices in the US, Hong Kong, and Singapore, and a subsidiary bank in Laos. Elsewhere, BIDV currently has representative offices in the Czech Republic, Cambodia, Laos, Myanmar, Taiwan, and Russia, while Sacombank has subsidiaries in Laos and Cambodia. HDBank also has a representative office in Myanmar, and SHB has two branches in Laos and a wholly-owned bank in Cambodia.

According to Brand Finance’s Banking 500 report for 2023, Vietnamese brands have posted an overall growth of 31.3 per cent in brand value, amounting over $2 billion compared to their 2022 positions.

Coffee industry needs sustainable development to target $6b in exports by 2030
     
Viet Nam's coffee industry needs to solve many challenges to achieve sustainable development, targeting an export value of US$6 billion in 2030.

According to Do Ha Nam, vice chairman of Viet Nam Coffee and Cocoa Association (Vicofa) and chairman of Intimex Group, in the 2022-23 crop, the coffee output is expected to decrease by 10-15 per cent on year to 1.47 million tonnes.

The coffee growing area tends to decrease because growers switch to planting other trees with more economic efficiency such as durian and avocado or intercropping in the garden.

The export volume of the 2022-23 crop is also forecast to decrease sharply compared to the previous crop due to little inventory from the 2021-2022 crop.

The exchange rate between the Vietnamese dong and US dollar is fluctuating. That can cause risks, affecting the offered export price.

The coffee industry must have mechanisation in harvesting coffee due to a lack of labour, especially young workers that do not want to work in raw material areas.

However, Vietnamese coffee now has advantages in competing with Brazilian coffee, a rival coffee exporter with Viet Nam in the global market, according to Nam. Especially, in the context that the European Union continues to strictly implement standards in using Glyphosate, a kind of herbicide, Vietnamese coffee is assessed to meet those standards. This is the main competitive advantage against Brazilian Robusta.

In addition, the freight rates to Europe and the US have decreased sharply compared to that in the 2020-2021 crop. It will also be a favourable factor for Viet Nam's coffee exports this year.

To continue the sustainable development of the coffee industry in the future, the Ministry of Agriculture and Rural Development will focus on reviewing the scale of coffee development.

The ministry will promote research on high-yield and high-quality coffee varieties and implement technical packages for cultivating high-quality coffee.

It will also promote safe production for reducing carbon emissions, organise production chains, and improve processing capacity and training of human resources.

At the same time, the ministry will promote calls for investment in the coffee processing industry, and build and perfect the market information system for processed coffee products.

It will promote Vietnamese coffee brands and culture, and consolidate the traditional coffee export markets such as the EU, the US, Japan and South Korea, besides developing potential markets of ASEAN and China.

The ministry will promote negotiations to build a retail system for Vietnamese processed coffee in the global market.

Meanwhile, domestic coffee consumption is expected to increase by 5-10 per cent in the coming years.

Therefore, many instant coffee processing plants have been built or expanded each year with higher capacity such as Marubeni, Louis Dreyfus and Instanta, Intimex Group and Olympic.

The companies have promoted the development of coffee shop chains. Newly opened or reopened coffee shops are expected to quickly develop or recover operations as before the pandemic.

Phung Duc Tien, Deputy Minister of Agriculture and Rural Development, said that Viet Nam's coffee production was facing many challenges, including high growth but not sustainable development.

Forms of cooperation from production to purchasing, processing and consumption of products had not had close linkage.

The coffee industry still had many potential risks from changes in climate conditions to consumption markets.

To support the coffee industry in sustainable development, Nam said that the State should ensure disbursement in capital of banks for production, processing and export.

In addition, the re-planting is not yet synchronised, only in a few areas with the advantage of growing coffee such as Lam Dong and Dak Nong, so it will be necessary to promote the re-planting of coffee trees in other localities being able to grow coffee trees, according to Nam.

At the same time, it needs to promote the implementation of sustainable coffee and coffee quality programmes.

Besides stabilising the existing coffee area, it also needs to develop Arabica coffee area in eligible areas, mainly in the Northwest, Central Highlands and North Central of Viet Nam. That will contribute to increasing export output and high-quality coffee products in the future.

Tran Vinh from the Western Highlands Agriculture and Forestry Science Institute said Arabica coffee only occupied a small area out of the total coffee area in Viet Nam, reaching about 50,000 hectares, equivalent to about 8 per cent of the total area. This kind of coffee was concentrated in regions of some provinces such as Lam Dong, Kon Tum, Son La, Dien Bien and Quang Tri.

Viet Nam's Arabica coffee products faced difficulties in competing with the same products made in other countries because of unsustainable farming practices, and low production and processing outputs.

According to the coffee replanting project in the 2021-25 period of the Ministry of Agriculture and Rural Development, Viet Nam re-cultivates coffee in a total area of about 107,000 hectares, including Arabica and Robusta coffee. Of which, the re-cultivation area of Arabica coffee is about 20,000 ha in the Northwest and 12,000 ha in the North Central.

At present, high-quality and specialty coffee products have not yet developed strongly, according to Vinh. However, the selling prices of those products are very high, the coffee industry needs to increase the rate of processed coffee products to about 15 - 20 per cent of the total Arabica coffee of Viet Nam.

In areas with high capacity such as Arabica coffee production areas in Lam Dong Province, coffee growers need to carry out the right production process and join certified organisations for producing high-quality Arabica coffee. Those create specialty coffee products associated with regional brands.

Lam Dong has famous Arabica coffee production areas such as Cau Dat and Lac Duong with recognised brands of "Arabica Langbiang Coffee" and "Cau Dat Coffee - Da Lat".

Viet Nam exported 1.7 million tonnes of coffee in 2022, earning $3.9 billion, according to the Viet Nam Coffee and Cocoa Association. 

Can Tho eyes 5.2 million tourists this year

The tourism sector of the Mekong Delta city of Can Tho is aiming to serve 5.2 million visitors for nearly 4.6 trillion VND (194.38 million USD) this year – a three-fold increase compared to that in 2021, as it has bounced back stronger after the COVID-19 pandemic.

At a recent meeting of the municipal steering committee for tourism development, Vice Chairman of the municipal People’s Committee Nguyen Thuc Hien said that tourism is defined as a spearhead economic sector of the city. However, its development has yet to be commensurate with its potential.

Therefore, from now to 2030, especially in 2023, municipal authorities will step up administrative procedures and simplify investment ones to facilitate the construction of resorts, hotels and tourist sites.

Attention will be paid to making policies to create conditions for people to take a direct part in business and benefit from tourism, and encourage agricultural tourism start-ups.

The city will propose the Ministry of Transport to assist domestic and international airlines in opening new routes, and improving the quality and increasing the frequency of flights at Can Tho International Airport.

Dao Thi Thanh Thuy, Deputy Director of the provincial Department of Culture, Sports and Tourism, said that the department will coordinate closely with relevant departments and sectors and bring into full play all resources to create a boost for tourism to recover and develop strongly after a long halt caused by the pandemic.

Last year, the Mekong Delta city welcomed 5.1 million tourists and earned over 4.1 trillion VND. These results are considered a firm foundation for the impressive comeback of the city’s tourism sector this year.

Tax revenue jumps 16.7 per cent in the first two months

Tax revenue collection was estimated at VNĐ325.78 trillion in the first two months of 2023, a rise of 16.7 per cent over the same period in 2022, according to the General Department of Taxation.

Notably, domestic tax revenue was nearly VNĐ315 trillion, accounting for 96 per cent of the total revenues.

During the period, 36 out of 63 provinces achieved collection of over 18 per cent of their yearly estimates.

By the end of February, 3,596 inspections had been carried out by the Department to check corporate activities. In addition, the tax sector has also collected more than VNĐ8.3 trillion in tax debt so far this year.

For e-commerce tax management, as of February 17, 46 foreign businesses had registered, declared, and paid taxes through the portal for foreign suppliers, with the accumulated revenue since the portal started operations being VNĐ3.7 trillion.

In 2023, the tax sector is expected to collect VNĐ1,373,244 billion for the State budget.

The tax sector strives to drastically implement solutions to strengthen revenue management and create favourable conditions for businesses and taxpayers, focus on inspection and examination, strengthen propaganda, dialogue, and answer questions for taxpayers. 

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