Hanoi promotes OCOP products, handicrafts

Products under the “One Commune-One Product” programme, handicrafts and other farm produce are being introduced at a week-long event, which kicked off in Hanoi’s outskirts district of Thach That on August 17.

The event is intended to promote the consumption of quality OCOP products with clear origins and reasonable prices, while helping producers and businesses enhance their connectivity, said Nguyen Van Chi, deputy head of the city's steering office for the new-style rural area building programme.

Nguyen Manh Hong, Chairman of the Thach That district People’s Committee, said the event, to last until August 21, is expected to contribute to spurring local socio-economic development.

Thach That is home to 50 craft villages, of which 10 have been recognised by the city, along with 142 OCOP products rated from three to four stars, according to the official.

The fair features 50 booths by 40 businesses and cooperatives from Hanoi and 18 other cities and provinces, including those from the central, south-central and Central Highlands regions.

Vietnamese products impressive at Singapore’s Franchising & Licensing Asia

Vietnamese exhibitors are attending the Franchising & Licensing Asia (FLAsia) held in Singapore from August 17-19.

Over 100 brands from Australia, Hong Kong (China), Malaysia, Philippines, Singapore, the Republic of Korea, Taiwan (China), the US, and Vietnam are on show at the event - Asia’s leading franchising & licensing marketplace.

This is the second time Vietnam has joined the event, with the presence of the Vietnamese trade office in Singapore, Hanoi's Department of Industry and Trade and 17 companies. 

Singapore’s Minister of State for Trade and Industry Low Yen Ling in her opening speech of FLAsia 2023 highly appreciated the participation of Vietnam as well as the potential and strengths of brands from the country.

She said she is impressed with the new products displayed by Vietnamese businesses when she visits the Vietnamese booths.

Vietnamese products at FLAsia 2023 also attracted the attention of Singaporean and international businesses, and diplomatic officials from other countries.

Within the framework of FLAsia 2023, the Vietnam Trade Office in Singapore and the Hanoi Department of Industry and Trade coordinated to organise a conference on Singapore’s Halal market and connect Vietnam-Singapore businesses. More than 100 Vietnamese businesses registered to attend the conference online while nearly 100 Vietnamese and Singaporean businesses attended in person.

Speaking at the conference, Vietnamese Ambassador to Singapore Mai Phuoc Dung said that Singapore has experience in commercial development, including Halal products. Singapore has a very good Halal certification system, which is recognised by Islamic countries such as Brunei, Indonesia, Malaysia, and other major trading partners. Therefore, Singapore is an ideal gateway for Vietnamese businesses in the production, trade, and re-export of Halal food products to major Islamic countries.

Innovating growth model a requirement for Vietnam: forum

In the current economic context, innovating the growth model is an urgent requirement from both micro and macro angles, heard a business forum held in Ho Chi Minh City on August 17.

Participants in the event, organised by Forbes Vietnam and some other organisations, pointed out the need for the Vietnamese economy to switch from capital, cheap labour and natural resource-based growth to knowledge-based one.

In particular, enterprises need to convert their growth model based on the effective use of resources and sustainable business strategies to keep up with changes amid the technological revolution. They should adapt their production to sustainable development standards as well as fluctuations in the domestic and global markets.  

The year 2023 witnesses a boom of artificial intelligence (AI), and impacts of technologies will change many business models, they said.

On the part of the Government, the creation of mechanisms for facilitating green production and improving competitiveness will not only meet consumer tastes in key export markets but also help boost green growth in accordance with the global trend.

Aside from opportunities of the green production and export wave, Vietnam can seize chances by capitalising on free trade agreements, especially new-generation ones, to diversify export products and markets, participants noted. 

Talking about the Fourth Industrial Revolution, Nguyen An Nguyen, founder and CEO of Trusting Social, said it is the “dawn” of the era of AI, which affects both social life and economic activities.

Therefore, enterprises should carry out digital transformation step by step but in a methodological manner to practically benefit their operations and improve partners and customers’ experience, he noted.

Nguyen Anh Duc, Director General of the Ho Chi Minh City Union of Trading Cooperatives (Saigon Co.op) and Chairman of the Association of Vietnam Retailers, recommended enterprises proactively make changes, with a focus on restructuring their governance and business operations, while keeping updated with the Government and localities’ mechanisms and policies to capitalise on them and generate more values.

Amid headwinds, they should be persistent in resolving the question of growth, he opined, adding that slower economic growth not only poses challenges but also provides opportunities for companies to make self-review, be more open in investment and business, and innovate their risk governance models.

Also at the forum, Forbes Vietnam honoured the 50 best listed companies in 2023. These firms recorded total revenue of over 1.49 quadrillion VND (62.5 billion USD) and post-tax profits of over 228 trillion VND, up 24.9% and 18% from the 2022 list, respectively. This was the 11th year the magazine had compiled the list.

Vietnamese specialties on display at Hong Kong Food Expo 2023

Some Vietnamese specialties are on display at Hong Kong Food Expo 2023 which is taking place from August 17-21 at the Hong Kong Convention and Exhibition Centre (China).

Dao Thi Kim Hoa - CEO of the Vietnam Cashew Nut Processing Technology Joint Stock Company CPT, in Binh Phuoc province, said this is the first time the company has participated in this fair.

It is an opportunity for her company to expand its export market and increase the capacity of the factory, she said, adding that it is expected to create more employment for local farmers and their workers as well as bring safe products for consumers.

Vu Thi Thuy, head of the Vietnam Trade Office in Hong Kong, said that Vietnamese businesses are interested in the Hong Kong market, thereby introducing their products to the regional market.

Every year, the Consulate General in Hong Kong has a booth to introduce typical Vietnamese products, Thuy said, adding that the Trade Office encourages Vietnamese businesses, who are interested in but yet to come to the fair, to send samples and catalogs of their products to exhibit.

Hong Kong Food Expo 2023 is among five trade fairs that was opened on August 17 by the Hong Kong Trade Development Council (HKTDC). The fairs, namely Hong Kong Food Expo 2023, Home Delights Expo, Beauty & Wellness Expo and Hong Kong International Tea Fair, saw the participation of over 1,800 exhibitors from 24 countries and territories worldwide.

As one of the most important events in the food industry in Hong Kong, the Food Expo brings together leading food exporters and importers in the world and region. It aims to help enterprises have more opportunities to exchange and do market research.

Wood enterprises step up trade promotion due to lack of orders

Wood producers and exporters are pinning high hope on trade fairs and expos, as the lack of orders is causing difficulties for their production and business activities, according to insiders.

In the first seven months of this year, the export turnover of wood and wood products reached only 7.1 billion USD, down 25% year-on-year.

Notably, the demand of the US – a key export market which accounts for about 60% of the export turnover of Vietnam's wooden products, has fallen sharply for a long time and has not shown any signs of recovery.

Tran Hoai Huu, Manager of Gia Nhien Company specialising in the production of sailboat models for export, said that the number of the company’s orders from the US has dropped to a very low level, equal to only 20-30% of that before the COVID-19 outbreak.

Tran Ngoc Liem, Manager of the Vietnam Chamber of Commerce and Industry branch in Ho Chi Minh City, said that currently, there are many forms of trade promotion, but fairs and exhibitions remain an effective channel to attract a large number of domestic and foreign buyers, thus bringing practical effects to businesses. Through those fairs and exhibitions, buyers can have direct look on products, visit factories to verify suppliers' capacity, and have more confidence to sign orders.

To support businesses, the first Vietnam ASEAN International Furniture & Home Accessories Fair (VIFA ASEAN 2023) will be held in Ho Chi Minh City from August 29 to September 1.

It is expected to comprise 600 booths of domestic firms and those from the US, the Republic of Korea, China, Japan, India, the Netherlands, Hong Kong (China), Malaysia, Thailand and Cambodia.

Meanwhile, the 15th edition of the Vietnam International Furniture and Home Accessories Fair (VIFA EXPO 2024) will be organised in the largest economic hub of Vietnam from February 26-29. The fair is hoped to attract the participation of 600 businesses with 2,000 stalls.

Tourism sector moves to optimise new visa policy

The new visa policy, coming into force on August 15, is believed to open up various opportunities for tourism development, and stakeholders in this industry are taking actions to seize those chances.

The National Assembly approved the law amending and supplementing some articles of the Law on Exit and Entry of Vietnamese Citizens and the Law on Foreigners’ Entry into, Exit from, Transit through and Residence in Vietnam in late June.

Under this law, the e-visa validity period is extended to 90 days from 30 days. Within 90 days after the e-visa is granted, foreigners can enter and exit Vietnam for unlimited times and without having to apply for new visas. The law also permits citizens of the countries entitled to Vietnam’s unilateral visa exemption to be granted a temporary residence period of 45 days, instead of 15 days like in the past, and have visa granting and temporary residence extension considered in line with regulations.

As soon as the law was adopted in late June and took effect on August 15, foreigners’ searches for Vietnamese tourism have soared.

Online travel platform Agoda recorded in mid-July a surge of 33% in the number of searches by international travellers planning long holidays in Vietnam compared to the two weeks before that.

Tran Thi Bao Thu, Director for marketing and communications of Vietluxtour, said the new visa policy provides a chance for businesses to diversify tourism products and improve service quality to attract visitors. The company has received orders from partners in Europe, the US, and Northeast Asia for the tours between the fourth quarter of 2023 and the first quarter of 2024.

Nguyen Xuan Quynh, CEO of Allez Voyage – a company specialising in the French and US market, held that the new visa policy will serve as an impetus for businesses to launch new products meeting tourists’ demand for long holidays.

He called on the Government to expand the new visa policy’s coverage to more countries, and localities to improve the quality of services to draw more international visitors.

Phung Quang Thang, Standing Vice Chairman of the Vietnam Society of Travel Agents, said the new visa policy is just a factor of tourists’ travel decisions. To encourage them to stay here longer and spend more, the sector should design new products and tours suiting long-stay travellers such as tours combing destinations in Vietnam and neighbouring Laos and Cambodia.

To prepare for the expected surge in international arrivals this year and foster tourism development, the Ministry of Culture, Sports and Tourism has taken many steps.

Notably, it has approved a strategy for tourism marketing by 2030 and a plan on some night-time tourism models. It also held a conference on August 15 to disseminate the new documents so as to help speed up tourism recovery and development.

Deputy Minister Doan Van Viet said units and localities should grasp chances generated by the new visa policy to make tourism development breakthroughs and quickly increase international visitors to Vietnam.

Meanwhile, the Hanoi Tourism Department and the city’s investment, trade and tourism promotion centre have implemented many measures to attract foreign tourists, including developing night-time and experience tourism products.

Local agencies and businesses are also planning to major cultural and tourism events from now to the year’s end such as an autumn festival, an “ao dai” tourism festival, and a gift festival.

Vietnamese import value in July shows slight increase

Vietnam’s import turnover from July 16 to July 31 reached US$13.5 billion, posting a rise of 0.9% compared to the first half of July, according to the General Department of Vietnam Customs.      

Meanwhile, the import value stood at an estimated US$13.4 billion between July 1 and July 15, up 5.5% against the second half of June.

Major products with high import value included electronic products and components, machinery, equipment, tools and spare parts that all belong to the "billion dollars" group of items.

During the initial seven months of the year, Vietnam spent US$178.94 billion on imports, down 17.4% compared to the same period last year.

Competent agencies have been urged to promote negotiations and sign new free trade agreements (FTAs) with other potential partners in an effort to diversify markets.

Meanwhile, businesses have been suggested to take advantage of FTAs, especially the the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the EU-Vietnam Free Trade Agreement (EVFTA), and the Vietnam-UK Free Trade Agreement (UKVFTA) to seek further sources of quality import goods with reasonable prices due to tax reduction.

State bank's new circular facilitates lending to real estate projects

The State Bank of Vietnam (SBV) and the banking system always create favourable conditions to support real estate businesses and the property market to develop strongly and sustainably, said Pham Chi Quang, Director of the SBV’s Monetary Policy Department.

The SBV's Circular No.06/2023/TT-NHNN amending and supplementing a number of articles of Circular No. 39/2016/TT-NHNN dated December 30, 2016, which will take effect from September 1, does not contain any regulations prohibiting credit institutions from providing loans for real estate projects, Quang said.

According to the official, the scale of outstanding loans in the real estate sector has increased steadily over the years, reaching 2.7 quadrillion VND, accounting for 21.63% of the total outstanding loans of the economy.

The new circular’s regulations are expected to contribute to supporting investors of real estate projects in complying with legal regulations related to the real estate sector, establishing a foundation for the secure and sustainable development of the property market, and safeguarding individual investors who purchase properties and homes.

By eliminating certain restrictions and introducing new regulations, the document aims to create maximum favourable conditions for customers to access bank loans, Quang said.

In the circular, the SBV also added regulations, allowing credit institutions to lend customers for repaying loans at other credit institutions, applicable to consumer lending activities, including purchasing homes.

This will provide favourable conditions for customers, especially those borrowing for buying homes and real estate with lower interest rates and improved services, Quang stressed.

Domestic rice prices on the rise due to greater global demand

Greater demand in the international market has resulted in higher rice prices in the domestic market in recent months, according to Minister of Agriculture and Rural Development Le Minh Hoan.

Data from the Vietnam Food Association (VFA) showed the export price of Vietnam's 5% broken rice reached a new milestone of 638 USD per tonne on August 11, and 618 USD per tonne for 25%, an increase of 105 USD per tonne compared to the previous month. In July 2023, the global market prices reached their highest level in the last one and a half decades. 

Consequently, average prices in the domestic market for paddy rice increased by 16.3% in August compared to the previous month, reaching 7,786 VND per kilo. Average prices for stored rice have increased by 12%, reaching 9,417 VND per kilo. 

Among these, premium white rice saw the most significant increase of 29.4%, reaching 14,925 VND; 5% broken rice saw a 26.7% increase, reaching 14,633 VND per kilo; 15% and 25% broken rice saw a 27% increase, reaching 14,033 VND per kilo. 

There are instances in which traders had to compete in price bidding to purchase young rice from farmers in the Mekong Delta, the country's largest rice-producing region, driving prices even higher. Some rice export companies have reported a nearly 50% increase in input cost for certain varieties from just one month before. 

Sharp increases have forced rice factories to reduce capacity due to difficulties in sourcing input and extending delivery time for customers. 

According to the minister, his ministry has submitted a report to the Prime Minister's Office regarding recent price hikes as well as a number of export bans on rice issued by some governments in major rice-producing regions around the world. 

He expressed concerns and stressed the importance of avoiding a price shock as it will affect some of the most vulnerable social groups in Vietnam. However, the country's rice export industry must also be taken into consideration before any measures can be taken to curb export. 

He said farmers in the Mekong Delta are still in the rice planting season. If all goes according to plan, Vietnam will still be able to export 7-8 million tonnes of rice this year. 

As of now, just about 20% of the delta's rice-producing area is under contract farming while the rest is left to independent trading. With surging demand and limited supply, prices will likely climb in the near future. 

On August 15, the Ministry of Industry and Trade issued a directive to enhance the transparency of market information, promote trade, develop export markets and stabilise domestic prices. 

Under the directive, stronger inspection and control measures will be implemented on rice trading activities in wholesale and retail points, markets, supermarkets, trade centres, and warehouses across the country to curb speculation, hoarding, and unreasonable pricing.

NovaGroup to offload 43 million NVL shares

NovaGroup JSC has registered to sell around 43 million Novaland (NVL) shares between August 18 and September 15 to restructure its investment portfolio and debt.
After the share sale, NovaGroup will lower its stake in Novaland from 23.157% to 20.952%, with 408.59 million NVL shares.

This move follows NovaGroup’s sale of 83 million NVL shares out of a registered sale of 136 million shares. NovaGroup cited a timing adjustment to align with debt restructuring plans.

Meanwhile, Diamond Properties, the second-largest Novaland shareholder, recently sold over 4.8 million NVL shares, reducing its stake to 9.599%, or 187.2 million shares.

NVL shares inched down 0.5% at the close of the trading session today, August 16, to VND20,650 per share, with a matching volume of nearly 41 million shares.

CMSC announces new deputy chairman

The Commission for the Management of State Capital at Enterprises (CMSC) has picked Nguyen Canh Toan as new deputy chairman, effective from August 15.
The 47-year-old was previously with the State Audit Office and the Party Central Committee’s Economic Commission.

CMSC’s other deputy chairmen are Ho Sy Hung, Nguyen Ngoc Canh and Do Huu Huy. The chairman of the state-owned company is Nguyen Hoang Anh.

Established in February 2018, CMSC represents state ownership in the enterprises which are wholly owned by the State, and also manages state share holdings in certain joint-stock and limited liability companies.

Currently, CMSC oversees 19 state-owned enterprises, including State Capital Investment Corporation, Vietnam Oil and Gas Group, and Vietnam Electricity Group.

Ministry proposes interest subsidy for supporting industries

The Ministry of Industry and Trade (MOIT) has presented a proposal for a tax incentive and a 3-percentage-point interest rate subsidy for producers in supporting industries that turn out priority products.

In a recent document submitted to Deputy Prime Minister Tran Hong Ha, the ministry collected feedback on the draft amendments of Decree 111, outlining various incentive policies to foster the development of supporting industries.

According to the ministry, manufacturers in supporting industries that make priority items would be eligible for preferential corporate income tax (CIT) and exemption from the global minimum tax. The ministry has already issued certificates for granting incentives to 206 enterprises falling under this category.

Apart from the CIT incentive, the revised draft of Decree 111 introduces mechanisms and policies aimed at enhancing the competitiveness of enterprises, aligning with the requirements of multinational corporations, and attracting investments into supporting industries.

Notably, the State budget intends to introduce interest rate support plans for commercial banks offering medium and long-term loans in Vietnamese dong to enterprises for investment purposes. Similarly, the local budget will offer an interest subsidy in conjunction with environment and land incentive policies for medium and long-term investment loans.

The draft of the amended decree classifies prioritized supporting industry products across sectors such as textiles and garments, footwear and leather, automotive, car assembly and manufacturing, and mechanical engineering.

Moreover, products in high-tech supporting industries and prioritized items in supporting industries that were manufactured before January 1, 2015 are also entitled to this incentive policy.

China remains top buyer of Vietnam’s rubber

China remains the largest market for Vietnam’s rubber export sector, according to data from the Ministry of Industry and Trade.

In July, Vietnam’s rubber export volume surged by 22.6% to 219,630 tons month-on-month and by 20.6% in value at US$286.79 million.

In January-July, Vietnam’s rubber exports totaled 986,490 tons, rising a modest 0.3% in quantity but dropping 20.5% in value year on year due to the persistent decline in rubber prices.

China remained Vietnam’s primary rubber export destination, accounting for a substantial 79.82% of the nation’s total rubber export volume in July.

The northern neighbor bought 175,300 tons of rubber from Vietnam for US$226.3 million during the month, a 27.6% increase in quantity and a 26.4% rise in value compared to June.

The volume of rubber exports to China amounted to 757,600 tons, valued at US$1 billion in the first seven months of this year, up 12% in quantity but down 10% in value year-on-year, according to data from the General Department of Vietnam Customs.

The Ministry of Industry and Trade has forecast a gradual rebound in China’s rubber consumption in the rest of the year, as China has recently introduced a series of measures to prop up its economy in light of the woes stemming from the aftermath of the pandemic.

Singapore's tourism industry eyes Vietnamese market

Vietnam and Singapore will join hands to promote two-way tourism as national flag carrier Vietnam Airlines (VNA) and Singapore Tourism Board (STB) signed a cooperation agreement for 2023-2025.

Vietnam and Singapore are experiencing a strong recovery in inbound tourism and have become popular destinations for leisure and business travel.

This agreement, the first cooperation between VNA and STB, enables the two sides to launch marketing campaigns to promote Singapore's new and unique travel experiences and make Vietnam Airlines a preferred choice for Vietnamese travelers.

Vietnam is currently one of Singapore's top 10 source markets for tourists, sending more than 280,000 visitors to the island nation in the first seven months of this year, up 123% on year. Prior to the pandemic, the number of visitors from Vietnam to Singapore had maintained a steady growth of up to 13% annually.

On the other hand, Singapore is also an important strategic market for Vietnam Airlines in Southeast Asia. In the 30 years since the airline launched its Vietnam-Singapore route, more than 7 million passengers have used its service to travel between the two countries. The airline currently operates 35 weekly flights between Hanoi, Ho Chi Minh City and Singapore.

In 2022, the total number of passengers flying to Singapore on Vietnam Airlines services exceeded 290,000. In the first seven months of 2023 alone, Vietnam Airlines recorded 266,000 passengers on this route, an increase of 2.4 times compared to the same period last year.

Hundreds of entries vie for prizes at handicraft product design contest

The Industry and Trade Department of Hanoi on August 17 judged entries sent to the city’s handicraft product design contest in 2023 which was launched in the locality from March this year.

Themed “Enhancing creativity - promoting quintessence of the capital city’s handicraft trades”, the contest attracted a total 355 handicraft products and sets of products from 146 individuals and organisations.

There is a wide variety of entries, from mother-of-pearl inlay, wood, horns, bronze and stone, lacquer, bamboo and rattan, ceramics, to silk and embroidery products.

They will be evaluated and scored based on such criteria as creativity, commercial value, aesthetics, environmental friendliness and traditional culture.

The 15 most outstanding works of each group will be selected to submit to the municipal People’s Committee for reward. Awarded products will be introduced at exhibitions and fairs.

The contest aims to encourage enterprises, production establishments, artisans and designers to seek new ideas and promote creativity in the designing, and production of handicraft products.

Hanoi has 1,350 craft villages producing diverse, sophisticated and high-quality products. Some of these products have gained firm footholds in the market.

Craft villages employ around one million labourers in rural areas with an average income of 5-6 million VND per month per person.

The city authority has introduced many policies to support handicraft village development through trade promotion programmes, national industrial promotion programmes, and local industrial promotion programmes. Craft villages contribute about 8-10% of the city's total export value. Nearly 200 craft villages earn 10-50 billion VND (420,000 – 2.1 million USD) in revenue per year, with some making 10-25 trillion VND.

In 2022, the Hanoi Department of Agriculture and Rural Development advised the City People's Committee to introduce policies on the development of rural industries and craft villages in Hanoi in the 2021-2025 period and beyond. The department has coordinated with relevant agencies to organize training courses on craft village capacity building, vocational training classes and human resources training courses for craft villages, aligned with the implementation of the city's One Commune One Product (OCOP) Programme.

Among Hanoi's 1,350 craft villages, 318 craft villages are certified as traditional craft villages. Some typical of them are Bat Trang pottery village, Kieu Ky gold and silver-inlaid village, Van Phuc silk production village, Quat Dong embroidery village, Phu Vinh bamboo and rattan village and Thuy Ung horn carving village. Nhat Tan, Quang Ba, Nghi Tam, Tay Tuu and Me Linh are very famous flower and bonsai villages.

The Hanoi People's Committee launched Plan 49/KH-UBND dated February 10, 2023 on the development of OCOP Creative Design, Introduction, Promotion and Marketing Center and craft villages with tourism in districts and towns in Hanoi in 2023.

According to the plan, by the end of 2023, Hanoi will develop from 5-9 models of OCOP Creative Design, Introduction, Promotion and Marketing Center and craft villages with tourism in the following communes: Bat Trang (Gia Lam district), Duyen Thai (Thuong Tin district), Chuyen My (Phu Xuyen district), Phu Nghia (Chuong My district), Duyen Ha (Thanh Tri district), Di Trach (Hoai Duc district), Van Ha (Dong Anh district), Hoa Lam (Ung Hoa district), Van Phuc (Ha Dong district) or other suitable locations.

The establishment of the above centers aims to create a supportive environment for rural industrial, production and trading entities in craft villages to form and develop creative designs, introduce, advertise and market OCOP products and tourism-driven craft villages to facilitate rural economic restructuring in the city.

In the coming time, Hanoi will continue to support capable and potential places to develop community-based tourism and traditional craft village tourism products; formulate and implement mechanisms and policies on investment support for rural tourism development in craft villages.

Domestic coconut price triples after US export news

After the information that Vietnamese fresh husked coconuts can be exported to the US, the price of fresh coconuts in the Mekong Delta has increased again.

According to the Bến Tre Coconut Association, the price of coconuts fluctuated in the range of VNĐ25,000-45,000 (US$1.1-1.9) for 10 coconuts in the province at the beginning of this year.

However, it has increased to VNĐ35,000 - VNĐ75,000 depending on the type and quality.

At the beginning of the year, the price of fresh coconut was only VNĐ15,000 - VNĐ20,000 for 10, it has now tripled to between VNĐ60,000 to VNĐ65,000.

Bến Tre Department of Agriculture and Rural Development said that the reason why coconut prices rose was thanks to the increase in world coconut prices.

Although the coconut area of the province is the largest in the country, it is very small compared to the world, so the price of coconut depends greatly on the world market.

The domestic coconut market has many positive signals after the news that the US officially opened to Vietnamese husked coconut.

After more than two years of decline, the sharp increase in the price of coconut made coconut farmers very excited, because coconut trees are the main source of income for many households. Besides, some businesses have also started planning to export this item.

Việt Nam ranks seventh in coconut production worldwide with an area of over 188,000 ha, mainly concentrated in the Mekong Delta.

The country’s coconut area accounts for 1.67 per cent of the world's area, 2.07 per cent of Asia's coconut area.

Coconut export turnover is estimated at US$900 million last year, making Việt Nam the fourth largest exporter of coconut products in the Asia-Pacific region.

Currently, there are about 854 enterprises manufacturing and processing coconut products with many different types and sizes of activities such as processing coconut shells, copra, coconut juice to solve jobs for more than 15,000 employees.

Currently, there are more than 90 enterprises exporting coconut products, of which, 42 have exported deeply-processed products.

The coconut industry strives to export coconut and coconut products to reach over $1 billion.

Tourism businesses urged to promote digital transformation

For sustainable development of the tourism market, businesses in the tourism and related industries must intensify the implementation of digital transformation solutions, experts have recommended.

This advice was given during a seminar focusing on solutions that encourage digital transformation for tourism businesses. The seminar, held in Hà Nội yesterday, was organised by the Việt Nam Chamber of Commerce and Industry (VCCI) in partnership with MobiFone Telecommunications Corporation.

The event drew close to 100 delegates from various sectors, including tourism, transportation, hospitality, and telecommunications.

In his opening remarks, VCCI vice chairman Bùi Trung Nghĩa stressed the need for a radical shift in both the mindset and actions within the tourism industry. This change, he noted, should involve everyone from management agencies and local authorities to the businesses themselves.

Nghĩa emphasised that the digital transformation extends beyond just technological aspects — it encompasses management, trade promotion, and advertising as well. Alongside government investment, the transformation process also requires additional resources, both domestically and internationally. 

The ultimate aims of digitally transforming the tourism industry, as Nghĩa highlighted, should be to continually improve service quality and to meet customer needs effectively.

At the seminar, experts advised that businesses should prioritise key strategies such as the development of foundational digital platforms specific to the tourism industry, and fostering close collaboration between the tourism and information technology sectors. These partnerships are envisioned to design technology solutions that cater to the needs of digital tourism business and management.

The experts also emphasised the importance of encouraging public-private partnership mechanisms as a means to mobilise resources for implementing digital transformation in tourism. Additionally, they underscored the need to augment training programmes on digital transformation for the industry's workforce, and to bolster international cooperation in tourism digital transformation, particularly with global technology corporations.

Lê Nguyễn Trường Giang, the Director of the Digital Transformation Strategy Institute under the Việt Nam Digital Media Association, presented the Smart Tourism Development Model during the seminar.

Giang highlighted that the digital transformation of the tourism industry necessitates a profound shift in how tourism activities are organised and how tourism products are designed. This entails adopting new, digital ways of thinking and developing new digital capabilities to ensure an effective digital transformation of tourism activities.

Furthermore, Giang stressed that digital transformation in the tourism sector represents a revolution in thinking. He explained that through the integration of digital technologies, the tourism industry can enable customers to experience tourism activities via dedicated applications, thereby enriching their travel experience.

Chu Quang Thái, a representative of the National Center for Creative Startup Support in the South branch (Ministry of Science and Technology), highlighted a deficit in the management role of State agencies in this context.

Thái suggested that the Ministry of Culture, Sports and Tourism should take responsibility for creating a comprehensive, nationwide tourism database. This approach would circumvent the current situation where each locality and individual business develops its own separate technology solutions, he explained.

Thái also called for government regulations governing the use of this unified database by businesses as they develop their own digital tourism products based on the database.

Furthermore, Thái emphasised the need for determined leadership within tourism businesses as they pursue digital transformation. In addition to leadership, he identified resource preparation, supply chain management, and system synchronisation as essential components to successfully execute this digital transformation.

Thái added that businesses must understand that the future of tourism extends beyond traditional vacation travel. It is increasingly intertwined with other forms of travel and experience, such as working tourism, eco-tourism, rural tourism, and leisure tourism. In light of this evolving landscape, Thái urged businesses to pinpoint the core value of their enterprise and their position within the tourism product supply chain. Based on this understanding, they can then formulate a precise digital transformation plan that is centred on their core value and key products.

Nguyễn Hữu Việt, head of the Tourism Promotion Department at the Center for Investment, Trade and Tourism Promotion of Hà Nội, commented that the application of digital technology in Hà Nội's tourism sector has been unsynchronised, which has had a negative impact on the city's sustainable tourism development. 

He mentioned that Hà Nội has introduced a digital transformation support package for businesses, with a funding pool of VNĐ300 billion. This package, which is accessible to tourism businesses, offers consultation services for application development and facilitates connections with application suppliers.

However, Việt noted that only around 1,300 businesses have availed themselves of this scheme so far, a figure he views as disappointingly low. He therefore encouraged other businesses in need of assistance with their digital transformation journey to apply for this support package.

Furthermore, Việt revealed that Hà Nội is in the process of developing a smartphone application that aims to make it easier for visitors to find information about tourist destinations, public transport stations, restaurants, and hotels, as well as to book tickets. 

This application is also designed to provide information on tourist events and activities, delve into Hanoi's culture and history, and offer navigation maps to visitors. Việt anticipates that the application will be available on smartphones before 2025.

In addition, he shared that the capital city is planning to expand the use of virtual reality (VR) and augmented reality (AR) technologies. This initiative aims to enable virtual experiences that will bring Hà Nội’s tourist destinations to life for potential visitors, irrespective of their physical location.

Additionally, the city of Hà Nội plans to organise online tourism events aimed at stimulating tourism interest among individuals who have not yet visited the capital. To further this goal, Hà Nội intends to intensify its tourism promotion efforts by utilising a variety of tools, including social media platforms, travel blogs, and online videos. These tools will be employed to disseminate information, photographs, and videos showcasing travel experiences and attractions in Hà Nội.

During this event, experts from MobiFone presented the 'MobiFone Smart Travel' solutions, designed to offer information and support to tourists.

A representative from MobiFone also shared that the telecommunications company has developed a range of digital products to enhance the travel experience for thousands of tourists. These products include a Tourism Portal; a Digital Map; a 3D Virtual Tour System; a Travel SIM System; and a Smart AI Switchboard, as outlined by the MobiFone spokesperson. 

Comprehensive strategy needed for pangasius exports and sales amid market slump

Local enterprises have been advised to develop a comprehensive strategy for the export and consumption of pangasius, amid a sharp decline in exports, according to industry insiders.      

Nguyen Huu Dung, director of the Department of Industry and Trade of Dong Thap province in the Mekong Delta, pointed out that pangasius exports remain one of the province's key export industries, accounting for more than 65% of the total export turnover.

Before the COVID-19 pandemic, provincial enterprises had exported pangasius to 100 countries and territories around the world, including demanding markets such as the United States, the European Union, and Japan.

However, he said since the beginning of the year the consumption of pangasius in most markets globally has experienced a downward trajectory, significantly dealing a heavy blow to the fishery processing industry.

Simultaneously, the province's pangasius export markets have slumped, especially in the first half of the year, with pangasius products shipped to approximately 80 countries and territories worldwide.

Among major consumers, the US accounted for 26% of the province's total seafood export turnover, marking a drop of 57% year on year, while China and the EU markets made up 25.4% and 11%, representing falls of 44% and 14%, respectively.

Businesses outlined the numerous hurdles facing the pangasius industry, including the decline in the export market, low selling prices, large inventories, increased storage costs, and a shortage of capital to maintain production.

In addition, the cost of raising pangasius is still increasing, while processing factories have been forced to maintain production in an attempt to retain skilled workers

Given such context, pangasius processors and exporters throughout Dong Thap are keen to receive support in terms of preferential mechanisms and policies and market information, to help them strengthen the pangasius value chain and improve the overall quality of breeding stock.

Moreover, trade promotion strategies for the industry are required as a means of promoting domestic consumption and exports in the future.

Relevant ministries and agencies have been asked to support businesses in accessing credit sources, promoting pangasius products in new markets, reducing import tax for items that are input materials in feed production, and speeding up brand development for pangasius products

Experts predict that from now until the end of the year, the export of pangasius products will show signs of optimism, and enterprises are advised to devise solutions in a bid to proactively gain entry to new export markets, along with researching product development strategies suitable for each market.

Price of Vietnamese rice for export suddenly bounces back

The export price of Vietnamese rice has seen a sudden increase after a decline, while the selling price of Thai rice continued to fall, according to the Vietnam Food Association (VFA).      

Specifically, the price of 5% broken rice on August 17 rose by US$5 per tonne compared to the previous day to US$628 to US$632 per tonne, while the price of 25% broken rice also jumped from US$603 per tonne to between US$608 and US$612 per tonne.

This comes after Vietnamese 5% broken rice had been offered at between US$623 and US$627 per tonne on August 16,  representing a decrease of US$15 per tonne compared to August 10, while 25% broken rice was traded at US$603 and US$607 per tonne.

With the new price set on August 17, Vietnamese 5% broken rice and 25% broken rice stand at US$15 per tonne and US$47 per tonne higher than Thailand’s.

Nguyen Van Thanh, chairman of the Board of Directors and general director of Phuoc Thanh IV Production and Trading Co., Ltd., described Vietnam’s move to reduce rice export prices on August 16 as just "psychological" before the news that India may soon reopen to sell rice.

According to the VFA, by the end of July Vietnam shipped 4.89 million tonnes of rice abroad for nearly US$2.62 billion, up 20.11% in volume and 31.36% in value over the same period from last year.

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