The consumption of Vietnamese goods has been on the rise, with over 90% of consumers prioritising products made in the country, statistics show.

Vietnamese goods are currently accounting for more than 90% of products sold at distribution networks of domestic firms. This rate is 60 - 96% at foreign-owned supermarkets in the country, according to the Ministry of Industry and Trade’s steering committee for the “Vietnamese people prioritise Vietnamese goods” campaign.

Meanwhile, made-in-Vietnam goods make up at least 60% of all products for sale at traditional markets and convenience stores.

In particular, after the COVID-19 pandemic, 76% of Vietnamese consumers have developed preference for domestic goods, especially reputable ones.

More than 90% of consumers said they will prioritise Vietnamese goods when shopping, and 75% will recommend Vietnamese goods for their families and friends, according to the steering committee.

To further promote the competitiveness of Vietnamese goods, experts suggested enterprises proactively equip themselves with cutting-edge technology to increase labour productivity, reduce production costs, guarantee quality, and diversify product designs.

Vietnamese company eyes developing wind farm in Laos

Vietnam’s Quang Binh AMI Renewables Investment Joint Stock Company and the Government of Laos on December 8 signed a Memorandum of Understanding (MoU) on a feasibility study on a wind farm development project in Laos’ Savannakhet province.

Under the 24-month MoU, in the first stage, the company will conduct a feasibility study on a 252 MW wind farm project in an area of nearly 2,700 ha in the province’s Sepon district.

If the Savannakhet province approves more land for the project, the company will study to increase the capacity of the wind farm to 1,215 MW.

After the MoU’s validity, if the project is feasible in terms of finance and markets, meeting Laos' technical standards on electricity, the Lao Government will allow the company to implement and operate the project in the build-own-operate (BOO) form.

The project is part of the Lao Government's development goal to produce electricity.

Forum discusses promoting investment in agriculture

The Ministry of Agriculture and Rural Development (MARD) held a forum to promote investment in farming in Ho Chi Minh City on December 9.

Participants at the event heard the GDP growth rate of Vietnam's agro-forestry-fishery production been stable, increasing by 2.83% per year on average since 2010. In the 2009-2021 period. The agricultural sector lured nearly 2,000 foreign investment projects worth more than 17.6 billion USD, mostly in processing and trade.

Vu Thanh Liem, deputy director of the MARD’s International Cooperation Department, said these projects have contributed to the sector’s restructuring for production diversification, technological upgrades, transformation of farming methods, and competitiveness.

Nguyen Anh Phong from the Institute of Policy and Strategy for Agriculture and Rural Development said that the scale of these projects remains limited, with the sector attracting just a small number of major foreign firms.

Phong suggested improving the related investment climate, particularly via administrative reforms to cut red tape, and strengthening the enforcement of standards and regulations for farm produce to curb counterfeit and smuggled products.

It is also necessary to complete mechanisms and policies on land and selective foreign attraction criteria for the industry, the expert recommended.

A representative from the European Business Association in Vietnam (Eurocham) said with an export-oriented economy like Vietnam, green technology and sustainable trade, which are priorities for European investors, should start in key export industries such as agriculture, forestry and fisheries. Vietnam also needs to focus on promoting organic agricultural production for long-term benefits, and take advantage of its renewable energy potential to reduce costs for businesses and increase competitiveness.

Can Tho, Cambodia step up trade, investment ties

The Mekong Delta city of Can Tho and the Cambodian Consulate General in Ho Chi Minh City on December 9 held a conference on Vietnam-Cambodia trade and investment cooperation.

In the first 11 months of 2022, the city exported more than 37 million USD of goods, mainly agro-fishery products, medicine, and steel, to Cambodia; and spent nearly 0.6 million USD on importing Cambodian products, mostly medicinal materials.

One enterprise from Can Tho is operating in Cambodia, while there is yet to have any from the nation investing in the city.

Cambodian Consul General Sok Dareth said Cambodia guarantees all investors and entrepreneurs a favourable environment and warmly welcomes those from Vietnam.

At the conference, businessmen and investors from the sides met, exchanged and introduced products to each other to seek opportunities to form links and expand their markets.

Vietnam Innovation Network in Europe contributes to homeland

Vice President of the Vietnam Innovation Network in Europe (VINEU) Dr. Cao The Anh has said the VINEU expects to contribute to the homeland's development via B2B matching, technological transfer and launch of projects for the country’s sustainable growth.

Anh said founded on November 4, 2011, the VINEU gathers experts and intellectuals not only in Europe but also around the world to contribute to Vietnam’s development.

They offered reports at events related to circular economy, digital transformation and support for start-ups that were held by the Ho Chi Minh City People’s Committee and Hue Innovation Hub. The VINEU also held trips to Vietnam for European businesspeople to connect with their Vietnamese partners.

In the near future, the network will partner with the Vietnamese Youth and Student Federation and the Union of Vietnamese People Associations in Europe, and the network of Vietnamese intellectuals and innovative start-ups globally to develop membership and hold thematic discussions to share experience and expertise, as well as propel technological transfer to Vietnam, he said.

According to him, with its important role in ASEAN, Vietnam will play an instrumental part in lifting ASEAN-EU ties to a greater height.

He also hailed Prime Minister Pham Minh Chinh’s visits to Luxembourg, the Netherlands and Belgium as an opportunity to strengthen Vietnam's trust and relations with the three nations and Europe in general.

Forum seeks to remove difficulties for Vietnamese businesses in Laos

A forum to discuss ways to remove difficulties facing Vietnamese investors in Laos was jointly held in Vientiane on December 9 by the Lao Ministry of Planning and Investment (MoIT) and  the Vietnamese Embassy in Laos. 

Addressing the event, Vietnamese Ambassador Nguyen Ba Hung said many projects invested by Vietnamese enterprises in Laos are operating effectively, helping create jobs and improve incomes for thousands of local workers, as well as greatly contributing to the Lao state budget, especially in the fields of telecommunications, banking, and agriculture-forestry. 

Vietnam’s investment in Laos increased by 49% in the first 11 months of 2022, and is forecasted to expand by 57.7% in the whole year, he said. 

Vietnamese Deputy Minister of Industry and Trade Tran Quoc Phuong said he hopes relevant agencies of Laos will continue to support and help remove difficulties and obstacles facing Vietnamese businesses investing in Laos. 

He urged Vietnamese investors and businesses to speed up the implementation of investment projects in Laos, strictly abide by the laws of the two countries, and pay attention to protecting the environment and social security activities in the host country

At the forum, representatives from Vietnamese enterprises reported on their situation and proposed solutions to outstanding difficulties in the fields of energy, minerals, agriculture, and services. 

Brand development helps wood industry secure foothold in international market

Despite the Vietnamese wood processing industry making breakthroughs in recent years, local businesses must continue developing the brand to secure a firm foothold in the international market, according to industry insiders.

This assessment was made by experts during a seminar held on December 9 in Ho Chi Minh City to promote Vietnamese wood brands.

Upon addressing the event, Tran Le Huy, vice chairman of Binh Dinh Wood Association, emphasised that according to the project to develop a sustainable wood processing industry in the 2021 to 2030 period, the sector has set a goal of becoming an important economic sector. This is alongside developing a reputable Vietnamese wood brand in both the domestic and international markets.

Through the project, the nation will also strive to rank among the leading countries in the world in terms of production, processing, and wood exports.

Experts have assessed that there is plenty of room to grow the export of wooden furniture in the international market which has a trade value of about US$450 billion annually, of which wooden furniture stands at US$150 billion per year.

Furthermore, the country’s wood furniture export turnover only accounts for roughly 6% of the global market share, with potential markets being Canada, Russia, India, and the UAE.

Nguyen Van Dien, director of the Forestry Production Development Department, stressed that national brands help businesses to expand their markets and help to win consumers’ trust.

According to numerous think tanks, effective brand development coupled with competent management will contribute to increasing export turnover, as well as elevating the position of the Vietnamese furniture industry to the global market.

Da Nang ranks third in GRDP growth in 2022

The central city of Da Nang ranked third in the country in gross regional domestic product (GRDP) growth in 2022 with 14.05%, heard a conference held by the municipal Party Committee on December 9.

Thanks to the concerted efforts and determination of the whole political system, the COVID-19 pandemic has been brought under control, contributing to promoting the city’s economic recovery.

State budget revenue surpassed its target by 20%. Meanwhile, export turnover was estimated at nearly 2.1 billion USD, up 15.8% year-on-year.

The locality’s tourism industry also witnessed a strong rebound, with the number of visitors tripling the 2021 figure.

During the conference, participants proposed measures to accelerate the implementation of key projects and disbursement of public investment, and to remove difficulties related to projects in the locality.

Viet Nam - Singapore innovation centre helps firms transform production
     
The Viet Nam - Singapore Industry 4.0 Innovation Centre recently made debut in the southern province of Binh Duong, aiming to not only support startups but also assist manufacturers to carry out reforms and raise labour productivity.

The centre comes as a result of the cooperation between the Vietnamese side, comprising of the Becamex IDC Corp. under the Binh Duong provincial People’s Committee, the Viet Nam - Singapore Industrial Park (VSIP) joint venture and the Eastern International University, and Singaporean partners, including Singapore Polytechnic and the Smart i4.0 Transformation Alliance.

It is equipped with laboratories, machinery, and facilities to help creators and enterprises conduct research and reform without having to make their own financial investment.

With support from experienced Singaporean partners, it also looks to assist enterprises to improve and transform their existing machinery and production lines to promote governance effectiveness, labour productivity, and added value.

At the recent National Innovative Entrepreneurship Day 2022 (Techfest Vietnam 2022), the Ministry of Science and Technology and Becamex IDC, which represented Vietnamese and Singaporean partners, also signed a cooperation agreement to design programmes for supporting startups. 

Reforms to improve business environment must be accelerated
     
Accelerating reforms to improve the business environment is vital to creating a growth driver for the economy in the context of increasing global uncertainties, Deputy Minister of Planning and Investment Tran Duy Dong said on Friday.

At a conference on business environment reform by the Central Institute for Economic Management (CIEM), Dong said that it was becoming increasingly challenging for Viet Nam to move up the position in the rankings of ease of doing business, especially in the context that the economy had just gone through a difficult period due to the pandemic and facing unpredictable fluctuations.

Enterprises were falling into difficulties since mid-2022 due to unpredictable developments in the global markets pushing up input costs and drops in demand, forcing many to narrow down production and slash jobs.

According to Nguyen Hoa Cuong, Deputy Director of CIEM, the pressure, difficulties and challenges were clearer in the last two months of this year as a number of enterprises were forced to cut jobs and maintain production and business at a moderate level.

Many legal documents still lacked consistency and feasibility, especially those in sectors of investment, land, construction, housing and environment, which was pushing up the costs of enterprises. Limitations in the implementation of public services remained a bottleneck in the business environment improvement.

To create breakthroughs in the business environment, Cuong said that regular inspections must be carried out to strictly handle officials who intentionally caused difficulties for enterprises.

It was necessary to further cut the business lines with prerequisites and simplify business procedures, Cuong said, adding that tight control must be placed on the erection of new business lines and new prerequisites. 

SHB completes issuance of 400 million shares, increases charter capital to $1.3 billion
     
SHB successfully issued more than 400 million shares to pay dividends in 2021 at the rate of 15 per cent, raising its chartered capital to VND30.6 trillion (US$1.3 billion), according to information from the State Securities Committee on Thursday.

This is an important foundation to help SHB increasingly improve its reputation with the domestic and foreign investment community as well as international credit rating agencies.

SHB is carrying out the prescribed procedures to register, deposit, list additionally issued shares and put them into official trading at the end of this month.

The charter capital increase is part of SHB's development plan and was approved at the General Meeting of Shareholders, aiming to improve financial capacity, expand the lending scale, and invest in information technology. It especially promotes banking digitisation, realising the goal of becoming the leading modern and multi-functional retail bank in Viet Nam.

TCBS successfully mobilised $125 million unsecured loan syndication
     
Techcom Securities (TCBS) has signed an unsecured loan syndication contract worth about VND2.9 trillion (US$125 million), bringing the total mobilised value of the international capital market to more than $300 million in the past year, the highest in the country's security industry.

Four major financial institutions, including CTBC Bank, Taishin International Bank, Sumitomo Mitsui Banking Corporation (SMBC - Singapore) and Maybank Securities (Singapore), a member of the Maybank Investment Banking Group, co-arranged the loan syndication.

The $125 million syndicated loan is the third successful international capital raised by TCBS in 2022, after a syndicated loan of $170 million in April from four leading institutions from Taiwan, including Cathay United Bank, CTBC Bank, Taipei Fubon Bank and Taishin International Bank), and bilateral loan co-operation with HSBC Singapore Bank with a limit of $30 million in September. The above deposits are unsecured loans with no collateral.

HCM City plans to kick off many big projects next year

HCM City has planned to start work on many big projects next year, according to Chairman of the municipal People’s Committee Phan Van Mai.

The projects include belt roads 2, 3, and 4; HCM City-Moc Bai Highway, Thu Thiem 3 and 4 bridges, and Can Gio Bridge. 
HCM City will arrange VND 6 trillion (USD 244.89 million) from the city’s budget for site clearance of HCM City-Moc Bai Highway.

In 2023, the city will begin site clearance of the Ben Thanh-Tham Luong metro project.

Mai said that around VND 71 trillion will be used for the city’s public investment projects next year and the city will concentrate on boosting the disbursement of this area. Local authorities will tightly supervise the projects in order to maintain a timely schedule, in case of their sluggish pace.

The official added that from now to the year end, HCM City will try to finish a few major projects, including four roads in Thu Thiem New Urban Area.

On December 21 and 22, the trial run of Ben Thanh-Suoi Tien metro line’s 10-kilometre elevated section will be conducted. The whole route is slated to be put into use by late 2023.

Vietnam records strong export growth

The country’s export revenue had amounted to US$700 billion in the year to mid-December, surpassing 2021’s record high of US$668.5 billion, according to the Ministry of Industry and Trade.

Between January and November, Vietnam’s foreign trade reached around US$674 billion, with a trade surplus totaling over US$10.7 billion.

During the period, the country exported US$342.2 billion, rising by 13.4% compared to the same period last year, and spent some US$331.5 billion on imports, up 10.1% year-on-year. 

Given the current pace, Vietnam is on track to set a new peak for export earnings of US$700 billion by mid-December. 

Still, the country is likely to face shrinking markets in key export partners, namely the U.S. and European Union members.

The Ministry of Industry and Trade plans to assist local businesses in expanding operations by diversifying their products and markets. 

Moreover, local businesses are encouraged to capture the advantages of free trade agreements inked by Vietnamese officials with high-potential trade partners.

HCMC sets 2023 budget collection of VND470,000 billion

HCMC plans to obtain revenue of VND470,000 billion in 2023, up 21% from this year, according to a resolution on the state budget collection estimate and HCMC’s expenditure next year.

In the eighth session of the 10th-tenure HCMC People’s Council, HCMC is set to collect VND1,287 billion every day, adding up to almost VND470,000 billion in the full-year budget collection target of 2023.

As for domestic revenue, the city set a target of VND307,500 billion. Among these, VND16,000 billion is from crude oil, VND145,800 billion from the import-export sector, and VND306 billion from aid.

In 2022, the central Government tasked HCMC to collect VND386,568 billion for the state budget. But the city has already collected VND457,500 billion, 18.4% higher than expected and up 17% year-over-year.

On December 9, the council passed a resolution on the public investment plan in 2023 with an investment of over VND70,000 billion, VND55,225 billion of which would be funded by HCMC.

VND15,292 billion has been allocated from the central budget to improve the environment of Tham Luong – Ben Cat – Nuoc Len Canal, An Phu Junction, National Highway 50 expansion, and Beltway 3’s component projects.

HCMC prepares 34,000 tons of goods for Tet shopping season

The HCMC Department of Industry and Trade and relevant agencies are working together to arrange around 34,000 tons of goods worth approximately VND20 trillion as part of the city’s price stabilization program to serve the upcoming Lunar New Year, or Tet.

Bui Ta Hoang Vu, director of the department, said at a meeting yesterday, December 8, that the city prepared sufficient commodities to serve some 12 million residents citywide during the Tet holiday, the local media reported.

As shared by the trade department, the prices of goods across the city, especially food and foodstuff, have risen slightly by 2-4%. Hence, there is no need for the department to take measures to stabilize product prices at present.

Earlier, business associations in HCMC had called on businesses to reduce costs to help stabilize goods prices in the market.

As for fuel supplies, Vu said that the city has 549 gas stations, 61 fuel distributors, and 15 wholesalers that provide around 6.5-7 million liters of fuel per day, meeting the demands of local people and enterprises.

Besides, the competent forces will ramp up efforts to check compliance with food safety and hygiene regulations at wholesale markets, wet markets and other distribution channels in the upcoming time, Vu added.

HCMC needs 25,000 workers by year-end

The Center of Forecasting Manpower Needs and Labor Market Information HCMC (FALMI) has estimated that HCMC’s labor demand in the rest of this year would be around 23,000-25,000 people.

Around 17,000 of them are needed in trade and service, almost 8,000 in construction and a small number in the agro-forest-fishery sector. 

According to FALMI, 21,000 skilled workers will be needed. Of these, 4,200 laborers should be university-educated, 5,700 should be college-educated, and 10,800 should be lower or medium-level educated. 

Untrained part-time employees are also needed during the Tet holiday. 

Nguyen Van Sanh, deputy director of the HCMC Youth Employment Services Center (YES Center), said the center is looking for 3,000 seasonal and unskilled workers.  

Sang stressed that workers should carefully research business information and avoid job brokers. 

Currently, the YES Center implements programs to provide jobs for students and those affected by layoffs.

KBC plans to buy back 100 million shares

Kinh Bac City Development Holding Corporation, which trades its KBC shares on the Hochiminh Stock Exchange, will hold the second extraordinary shareholder meeting on December 28 to pass a plan to buy back 100 million shares.

At the meeting, the firm will seek to cancel its previous plan of issuing shares this year to raise chartered capital due to existing stock exchange uncertainties. Instead, the firm will buy back its shares at no higher than VND34,000 per share.

The real estate developer is set to pay a 2022 cash dividend of 20% to its existing shareholders. Each shareholder will receive VND2,000 for each KBC share held. The payment date will be scheduled for 2023.

Fuel supply enough for Lunar New Year consumption

Given the current volume of fuel imports and stockpiles, Vietnam has enough fuel supply to satisfy the increasing demand during the Lunar New Year 2023, Trinh Quang Khanh, vice president of the Vietnam Petroleum Association said on December 8.

The country’s two oil refineries, Binh Son and Nghi Son, have been in full operation, of which Binh Son has increased its capacity to 112% to ensure adequate fuel supply for the signed contracts with the local wholesalers.

Khanh said that recent weather conditions have been favorable for fuel transportation, especially for fuel ships to enter and leave the port.

Moreover, enterprises have recently imported an adequate volume of fuel in accordance with the requirement of the Ministry of Industry and Trade in quarter four.

Some southern enterprises have completely connected their data source to customs, allowing the re-operation of the Tra Noc and Cai Mep depots to ensure adequate fuel supply in the southeast region and Mekong Delta provinces.

Regarding fuel trading activities, fuel enterprises have registered with the local trade department to start their operations normally from 11 a.m. on the first day of the Lunar New Year. Gas stations will publicly notify consumers of their sales schedules.

The Vietnam Petroleum Association proposed allowing the transport of fuel tankers 24 hours per day to ensure fuel supply for the retailers.

Nguyen Hong Dien, Minister of Industry and Trade, required leaders of the Vietnam National Petroleum Group, the Vietnam Oil and Gas Group, and fuel suppliers to reserve enough fuel volume in accordance with the regulations, as well as strictly abide by the requirements for fuel imports.

HCMC seeks public investment capital

HCMC is seeking to lure capital from multiple sources including the private sector and incoming remittance to compensate for a shortfall of state budget for public investment.

According to Phan Van Mai, chairman of the HCMC People’s Committee, the city will be short of capital for public investment projects next year.

The central Government approved allocations of VND55,000 billion for HCMC’s public investment, but the city can only manage VND45,000 billion at the maximum. The city is therefore considering three sources, including auctioning State properties, raising budget revenues and taking official development assistance loans to make up the balance, the local media reported.

Besides, the municipal administration will resort to capital from public assets, FDI funds and state-owned enterprises.

For ODA, the city will prudently weigh accessing this capital source to ensure its efficiency. The city also plans to use environmental funds to tackle infrastructure, traffic congestion and flooding issues.

In addition, in the first quarter of next year, HCMC will introduce a plan on mobilizing capital from the private sector.

For the capital from state-owned enterprises under the city’s management, the city will seek to tap idle funds next year, as the capital of many enterprises is yet to be used for investment or production.

Further, a tentative plan for attracting remittances from overseas Vietnamese is being finalized. If accessible, this source of capital will be used for investment rather than consumption or purchasing fixed assets.

Viet Nam's foreign trade may record impressive achievement of US$700 bln by year’s end

Trade between Viet Nam and the rest of the world is estimated to hit a new record of US$700 billion by the end of this year, data of the General Department of Customs and the Ministry of Industry and Trade showed.

The nation's trade surplus is expected to exceed US$10 billion this year.

According to the rankings of the World Trade Organization (WTO), Viet Nam has been named among the 30 leading export-import economies for recent years.

Since 2019, the nation has surpassed Thailand and Malaysia to become the second largest export-import economy among ASEAN Member States, only behind Singapore.

In 2021, despite being heavily affected by the COVID-19 pandemic, Viet Nam's trade value still set a record of US$668.55 billion.

Viet Nam earned nearly US$336.25 billion from exports in 2021, up 19 percent from the previous year, ranking 23th globally, while imports reached US$332.2 billion, up 26.5 percent, ranking 20th in the world.  

Last year, the country maintained a trade surplus for the sixth consecutive year, with a value of over US$4 billion, mainly with developed, demanding markets like the U.S. (with a trade surplus of about US$80.1 billion) and Europe (close to US$23.2 billion).

Over the first 11 months of 2022, the total exports and imports obtained approximately US$674 billion, up by 11.8 percent over the same period last year and higher than the figure recorded for the whole year of 2021.

Of the figure, the total exports were estimated at US$342.21 billion, up by 13.4 percent; and the imports were estimated at US$331.61 billion, up by 10.1 percent, resulting in the trade surplus of US$10.6 billion.

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