The agriculture sector and traders have expressed their high optimism about rice exports this year given high prices and stable markets, helping the grain remain a big foreign currency earner.

Rice exports in 2024 could stay high thanks to such markets as the Philippines, Indonesia, Africa, and Ghana. In particular, Indonesia is a relatively potential market when its State Logistics Agency (Bulog) recently announced that it has been assigned by the Indonesian Government to import 2 million tonnes of rice this year, Chairman of the GLE Company Vu Tuan Anh told the Lao dong (Labour) daily.

Vietnam was among the largest rice exporters to Indonesia and is expected to maintain this status in 2024, he noted.

Last year, India, the world’s biggest rice exporter, suddenly banned the export of non-basmati white rice. Despite this unexpected move and no time for preparation, Vietnam still managed to ship abroad about 8.29 million tonnes of rice worth 4.78 billion USD in 2023, up 16.7% in volume and 38.4% in value year on year, setting new records in more than 30 years since the country began exporting rice.

In 2024, Vietnam is in a more proactive position as it can grasp global demand and domestic output, so there are more favourbale conditions for the export, Anh continued.

Particularly, export prices are still high, which will be a contribution to export growth, he said, perceiving that if India prolongs its export ban, Vietnam could earn over 5 billion USD from overseas shipments of rice this year.

Pham Thai Binh, Director of the Trung An Hi-Tech Farming JSC, said right at the start of 2024, his company received six orders for 1,500 tonnes of rice for the EU, the UK, Malaysia, the UAE, and Australia. FOB (free on board) prices, which are prices at Vietnam’s border gates, range from 718 USD per tonne to 1,277 EUR (nearly 1,390 USD) per tonne.

He voiced his belief that rice exports will be equivalent to last year’s in terms of volume but about 15 - 20% higher in value thanks to high prices.

Echoing the view, the Vietnam Food Association (VFA) held that rice exports will continue benefiting from a favourable context in 2024 as the world is facing a shortage of 5 million tonnes, such importers as Indonesia and the Philippines still have demand for imported rice, and India is likely to maintain export restrictions in the coming time.

Given this, rice shipments could bring home about 5.3 billion USD this year, the VFA forecast.

Local products favoured for Tet gift hampers

Many local products are favoured by customers and chosen for Tet gift hampers in Ho Chi Minh City. 

Some regional specialties such as Binh Phuoc cashew nuts, Can Gio dried fish, Soc Trang sausage, Tra Vinh cylindric glutinous rice cake, Binh Thuan fish sauce, dried shrimp, macadamia nuts, and prawn cracker are the most popular products among customers this year.

According to many small retailers, this year customers have prioritised buying Tet gift hampers of regional specialities with mid-range prices instead of expensive gift hampers that have imported products and beautiful designs.

Many businesses and retailers in the city also promote promotional activities for consumers to shop early for Tet.

At Co.opmart supermarkets, the hampers are carefully selected to ensure quality.

From now until January 24, 2024, at Co.opmart supermarkets, there will be more than 2,000 Tet related products discounted by 50% or more, along with millions of Tet gifts delivered to member customers.

Co.opmart and Co.opXtra also launched 2024 Tet gift hampers with Co.op's own products, along with many local products.

Nguyen Ngoc Thang, Director of Co.opmart and Marketing Director of Saigon Co.op, said that customers shopping for Tet 2024 at Co.opmart will experience many promotional activities and discounts.

Similarly, LOTTE Mart launches Tet gift hampers with affordable prices and variety of designs to reach every consumer's demands.

Besides hampers, customers also want to buy individual items as gifts. Retailers are also offering free packaging to customers who want to choose products to put in gift hampers.

Shopping websites are also flooded with hampers these days, but experts said, as always, when buying online, buyers should be careful.

During the year-end period, retailers have been displaying many kinds of Tet (Lunar New Year) gift hampers to serve the shopping and gifting needs of consumers.

Gift baskets from supermarkets and enterprises include typical items for Tet such as confectionery, cooking oil, soft drinks, instant coffee, wine, and Tet jams.

Their prices range from 200,000 VND to several million VND.

Traditional craft villages in Quang Ngai step up production to meet rising demand

Craft villages in the central province of Quang Ngai are speeding up production to meet market demand during the upcoming Lunar New Year (Tet) Festival which falls on early February this year.

Families in Tri Binh village in Binh Son district began making traditional sesame cakes in the middle of December. 

According to Vo Thi Kim Hoanh, she only makes around 2,000 cakes on normal days, but increases it to 5,000 as Tet approaches.

Making the cakes requires skill and meticulousness and involves many stages starting with grinding the rice, she said, adding that the most critical stage is drying them and coating them with caramel.

At Tam Bao baked green bean cake production facility in Quang Ngai city, the owner needs workers to work overtime to complete orders.

After being recognised as a 3-star OCOP product, its orders have increased, and now it produces over 300kg of cake, triple the normal rate. 

The cakes used to be made completely by hand, but later on modern machinery and equipment such as dryers, dough beaters and cake moulds are used to speed up the work and also improve hygiene and quality.

But some steps remain manual, and so the facility hires seven workers on a full-time basis.

Tet is an opportunity for them to earn extra incomes because of a jump in demand.

Bui Thi Yen Loan said she usually works as a farmer, but near Tet she works in local sesame cake factories to earn some extra money.

Customers are more interested in traditional cakes and candied products during Tet, especially Quang Ngai’s OCOP, thanks to its eye-catching designs. Each product has a barcode and QR code for traceability.

Nguyen Tien Hung in Quang Ngai city said since OCOP items have clear origins and reliable quality, he often buys them to gift business partners and employees during Tết.

Quang Ngai has around 5,500 rural facilities making agricultural products, and many are rated three- and four- star OCOP items and have seen improvements in design, quality and distribution.

According to Truong Thi Thu Huong, Director of Quang Tin Specialty Joint Stock Company, the company started promoting its products, designs and gift baskets on social media, sales channels and e-commerce platforms a few months ago in preparation for Lunar New Year. 

The company also launched new high-quality products for customers looking for diet foodstuffs at reasonable prices.

Vietnamese businesses to attend CIIE 2024 Fair in China

Foreign firms from 154 countries worldwide, including Vietnam, are expected to attend the seventh China International Import (CIIE 2024) which is slated to run from November 5 to 10, 2024, heard a press conference held in Hanoi on January 16.

Addressing the event, Le Hoang Tai, deputy director of the Vietnam Trade Promotion Agency (Vietrade) under the Ministry of Industry and Trade, stressed that the expo continues to be one of China's most important economic and political events as it attracts a large number of professional importers from provinces and cities across the mainland.

The event is expected to bring about practical benefits to Vietnamese businesses in exporting goods via official routes, as well as expanding distribution channels in the Chinese market, Tai noted.

This year, Vietnamese businesses will mainly introduce agro-fisheries and processed foods, according to the official. A trade exchange between Vietnamese and Chinese businesses will be held during the expo aimed at  enhancing the overall efficiency of trade promotion activities for local firms.

This is the second time that the Ministry of Industry and Trade has arranged to send local businesses to the expo.

The Vietnamese delegation will be led by Deputy Prime Minister Tran Hong Ha and is anticipated to attend various activities, including introduction of high-quality products and trade promotion conferences.

Vietnamese firms in Cambodia foster connections

Representatives from about 50 Vietnamese enterprises and Khmer businesses of Vietnamese-origin gathered in Phnom Penh on January 16 to share their experience in operating and investing in Cambodia and foster their connections.

Addressing the event, Vietnamese Ambassador to Cambodia Nguyen Huy Tang said the embassy wanted to learn about difficulties that the businesses are facing and listen to their proposals, thus advising authorised agencies in Cambodia and at home to seek measures.

Highlighting the development of the Vietnam-Cambodia relations in 2023 and forecasting the situation in 2024, First Secretary of the Vietnamese Embassy in Cambodia Tuan Nguyen Tien said that continuing the growth trend of 2023, the Cambodian economy is forecast to expand in a fast and sustainable manner, becoming a bright spot in ASEAN.

To fulfil the target of drawing more than 6 billion USD in foreign direct investment in 2024, Cambodia is likely to continue to call on foreign firms to invest in prioritised areas such as agricultural product processing, high technology, industrial production, clean energy, tourism and infrastructure construction, he said.

At the event, leaders of the businesses proposed a number of measures to support investment activities in the country. They showed their hope to form a network of Vietnamese firms in the neighbouring country to enhance mutual support.

Ambassador Nguyen Huy Tang hailed the efforts of Vietnamese businesses over the years, and expressed his hope that in 2024, they will enjoy more successes in Cambodia, a promising market for foreign investors in general and those from Vietnam in particular.

The diplomat asked the Vietnamese Business Club in Cambodia (VBCC) to promptly finalise procedures to establish a Vietnam-Cambodia Business Association (VCBA) to serve as a connecting point and a support venue for Vietnamese firms in the country.

He also reminded Vietnamese enterprises to speed up digital transformation and strengthen their linkages for common development.

VBCC Interim President Oknha Leng Rithy introduced operation plans of the club in 2024 as well as the procedures to establish the VCBA to give better support to business and investment activities of Vietnamese firms in Cambodia.

Bilateral deals needed to facilitate Vietnamese garment, textile exports to Canada: Experts

Along with the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the Vietnamese garment and textile sector also needs a Vietnam-Canada free trade agreement or another bilateral deal to penetrate more deeply into the North American market, according to experts.

Currently, Vietnam is the third largest garment supplier to Canada with a market share of about 12%.

In a recent garment and textile exhibition in Canada, the Vietnam Export Garment Co., Ltd (VEG) became one of the two Vietnamese businesses capable of producing fabrics that satisfy CPTPP's origin principles.

However, Vietnamese Trade Counselor in Canada Tran Thu Quynh said that the rate of CPTPP exploitation through material localisation by domestic enterprises remains at only about 50%, adding her office is working to guide businesses to make clearer investment and logistics strategies so as to better utilise the deal.

Canada imports 13-15 billion USD worth of garment and textile products each year.

Executive Director of the Canadian Apparel Federation Bob Kirke said that regulations on garment and textile export stated in the CPTPP, which were adopted with the engagement of the US, a country that has left the pact, have shown many shortcomings. Therefore, members need bilateral free trade agreements to deal with this situation, said Kirke, noting that Canada has signed separate agreements with Chile and New Zealand to eliminate the material origin principles. Among the ASEAN countries, Canada currently has reached a similar agreement with Indonesia, he added.

Kirke held that the garment and textile industry of Vietnam and Canada should coordinate more closely to advise the two governments to reconsider the pact carefully to ensure benefits for both sides, or consider the signing of their own free trade deal, thus increasing the competitiveness of Vietnamese garment and textile products.

Banking institutions expect advances

Global political and economic uncertainties will persist in 2024, but as governments find a more common voice, it is expected that the banking and financial panorama will become brighter.

In Vietnam, 2024 forecasts from financial institutions are optimistic, primarily due to policies for reducing interest rates and bolstering digitalisation.

Phan Duc Tu, chairman of BIDV’s Management Board, reported that by the end of 2023, the bank had comprehensively fulfilled all targets set by the State Bank of Vietnam (SBV).

The total scale of assets reached over $95.35 billion. Credit outstanding reached $73.84 billion, growing by 16.6 per cent. Credit capital was concentrated in priority sectors and growth drivers in line with the government and the SBV directives.

BIDV, in particular, vigorously implemented the government and SBV directives in executing credit programmes, facilitating access to credit for enterprises and citizens, restructuring debts, initiating new loans, reducing, exempting interest rates, and fees.

“With all these measures, in 2023, BIDV reduced profits by nearly $248.94 million to support customers in overcoming difficulties, maintaining, recovering, and developing business operations,” Tu said.

At Agribank, Pham Duc An, chairman of the Council of Members, revealed that within their financial capability, Agribank had implemented 8 per cent interest rate reductions for various customer segments, with the highest reduction rate being 4 per cent per annum.

Cumulatively, in 2023, the total interest amount Agribank supported for customers was approximately $204.6 million. Agribank deployed 13 preferential credit programmes worth $8.44 billion with lower interest rates by 2-3 per cent per annum compared to normal lending rates. Simultaneously, they implemented policies to restructure loan repayment periods while maintaining a specific group of loans for customers facing difficulties in cash flow repayment.

According to the chairman of Agribank, by the end of 2023, Agribank had achieved targets such as raising capital of $79.74 billion, with outstanding loans of $65.4 billion, of which over 60 per cent were allocated to agriculture, farmers, and rural development schemes, with a bad debt ratio lower than the SBV’s target.

Contributions to the national budget were in line with commitments to ensure an increase in Agribank’s charter capital to $721.5 million, as outlined in the plan presented to the National Assembly.

Disregarding the profit figures for the year 2023, Tran Minh Binh, chairman of VietinBank’s Management Board, revealed that the bank’s credit balance was propelled right from the beginning of the year, consistently maintaining a higher level compared to the industry average. By the year-end, it reached 15.6 per cent, contributing an additional $8.44 billion to the economy.

“VietinBank effectively implemented government and SBV policies, such as interest rate support, with a debt balance of $506.3 million, marking the highest interest-supported debt among other credit institutions. Moreover, there was a strong focus on lending in priority sectors as per the government’s directions, accounting for about 40 per cent of the total debt portfolio,” Binh said.

Similar to VietinBank, Luu Trung Thai, chairman of MB’s Management Board, said the bank’s credit growth in 2023 reached 28.8 per cent, with debt for priority sectors, according to government guidance, making up 65 per cent.

MB adjusted interest rates seven times in 2023, with reductions of 2-4 per cent to aid customers in accessing capital, contributing over $324.9 million to the state budget. Simultaneously, stringent credit quality control was maintained, with the group’s bad debt ratio at approximately 1.44 per cent and the bank’s standalone ratio at 1.23 per cent.

According to the investigation into the business trends of credit institutions and foreign bank branches in Vietnam conducted by the SBV, the business situation and pre-tax profit of the banking system in the fourth quarter of 2023 slightly improved compared to the previous quarter but fell significantly short of the expectations recorded in the earlier survey.

In an overall assessment of 2023, financial institutions concluded that the business performance fell short of expectations. Moreover, there was a notable downward adjustment in the expected growth rate of pre-tax profits compared to the previous forecast. Specifically, 78.6 per cent of these institutions foresaw a positive growth in pre-tax profits for 2023 compared to 2022, and 17.9 per cent of which predicted a decline, while 3.6 per cent estimated no change.

In an interview with VIR, a senior leader at BIDV pointed out the complex and unpredictable macroeconomic landscape in recent times had posed enormous challenges for the SBV in balancing its objectives. However, with expectations that central banks worldwide are gradually moving towards keeping pressures on exchange rates and inflation within control, the SBV is expected to continue reinforcing its loosening orientation in 2024.

“The SBV is likely to implement similar tools and solutions as in 2023, in a flexible and stringent manner,” he said. “Specifically, alongside open market tools to support liquidity, it plans to focus on implementing credit-boosting measures, such as extending debt restructuring, maintaining loan groups, adjusting credit limit policies, and urging credit institutions to continue reducing lending rates.”

Ngo Dang Khoa, director of Foreign Exchange, Capital Markets, and Securities Services at HSBC Vietnam said that given the global outlook stabilising and inflation remaining at a moderate level HSBC’s research team anticipates the SBV to “uphold the base interest rate” in the immediate future.

Per the survey results conducted by the SBV, 71.6 per cent of credit institutions evaluated internal factors as having enhanced their operational performance in 2023, with an overwhelming 81.8 per cent of these institutions expecting improvements in 2024. Conversely, 7.3 per cent of credit institutions believed that internal factors had deteriorated their performance in 2023 and foresaw a continuation into 2024, primarily attributing this to the financial capability of the entities.

“Policies regarding the unit’s interest rates, credit facilities, and exchange rates were persistently rated by about 72 per cent of credit institutions as the most substantial internal factors positively influencing their business performance over three consecutive quarters in 2023, and for the entirety of both 2023 and 2024 as selected by 80.5 per cent of credit institutions,” Khoa added.

Regarding external factors, credit institutions deem the policies of the SBV on credit, interest rates, and exchange rates as the most crucial factor that improved their business performance throughout 2023, and expected it to continue its impact in 2024, according to the survey results.

This was followed by “economic demand for the unit’s products and services” and “business and financial conditions of the customers.” For 2024, credit institutions anticipate a more favourable impact from all external factors compared to those observed in 2023.

“With the business performance and pre-tax profit in 2023 growing at a lower-than-expected rate, credit institutions anticipate a more optimistic business outlook starting from the first quarter of 2024 and continuing throughout the year, although the recovery of pre-tax profits might be slower than the overall business performance,” the SBV report said.

Korean, Singaporean businesses seek investment opportunities in Can Tho

Secretary of the Can Tho municipal Party Committee Nguyen Van Hieu on January 18 met with representatives from the Republic of Korea’s SK Energy Co., Ltd. and Singapore’s Vietnam Draco Environment Co., Ltd. who are seeking investment opportunities in the Mekong Delta city.

At the meeting with the SK Group delegation, Hieu emphasised that the formation and development of a green hydrogen ecosystem by SK Group in the city is suitable because Can Tho is located in the heart of the Mekong Delta region, adding that its infrastructure for green hydrogen production in Can Tho will create a premise to attract investment to the city and the entire region.

The city strongly supports SK Group's investment ideas and will create favourable conditions for the group to implement its projects in the city, he affirmed.

Lee Dong-uk, the group’s senior advisor, briefed the host on the role of green hydrogen, the global green hydrogen market outlook, and the use of hydrogen in building a clean energy economy in the future.

He said as SK Group plans to gradually expand to agricultural products, it wants to invest in a wholesale agricultural product centre in Can Tho city, affirming this will be the first model that combines wholesale agricultural products and the use of clean, environmentally-friendly energy.

Meanwhile, at a meeting with representatives from the Singaporean company, Hieu said that the city is calling for investments in areas like water treatment and supply for daily activities and wastewater treatment plants in new industrial zones and clusters, especially in the Vietnam - Singapore Industrial Park in Can Tho (VSIP Can Tho). He called on the company to study and invest in water treatment and supply – one of its strengths.

For his part, Director of Vietnam Draco Environment Co., Ltd Lim Chuan Hui that the company is seeking investment opportunities in wastewater treatment and clean water supply projects.

Besides, the company has coordinated with other enterprises to invest in other areas, he said.

Prime Minister meets Swiss President, UNCTAD Secretary-General in Davos

Prime Minister Pham Minh Chinh met with Swiss President Viola Amherd and Secretary-General of the United Nations Conference on Trade and Development (UNCTAD) Rebeca Grynspan in Davos, Switzerland, on January 17 (local time) on the sidelines of the 54th Annual Meeting of the World Economic Forum (WEF-54).

At the meeting with Swiss President Viola Amherd, PM Chinh thanked the Swiss Government for the warm welcome for him and congratulated Switzerland on the successful organisation of WEF-54, which was attended by nearly 3,000 leaders of governments and businesses globally.

Both sides expressed their delight at the strong developments in the friendship and cooperation between the two countries, especially in the fields of economy, trade, development assistance, culture, and education. They affirmed that regular contacts and exchanges between leaders and delegations of the two countries have contributed to strengthening their political trust.

The host said she appreciates Vietnam's outstanding socio-economic development achievements in recent years, affirming that Vietnam is Switzerland's leading important economic partner in Southeast Asia. She pledged to continue providing development aid to Vietnam, with more than 40 projects being implemented in various fields.

For his part, the Vietnamese PM affirmed that the achievements of the two countries’ cooperation over the past 50 years prove their effective cooperation, laying a foundation for the two sides to elevate their relationship in the coming time.

Chinh proposed that the two sides coordinate closely to prepare well for high-level visits between the two countries’ leaders, thereby reviewing and evaluating the cooperation results and proposing measures to advance collaboration.

He thanked the Swiss Government for providing Vietnam with official development assistance (ODA) which helped Vietnam gain many socio-economic achievements.

He said he hopes more Swiss businesses will come to Vietnam, and the two countries will enhance cooperation in science-technology, and innovation as well as security and defence.

The two leaders also agreed to have a flexible approach in negotiating the free trade agreement between Vietnam and the European Free Trade Association (EFTA) and the bilateral Investment Protection Agreement to create favourable conditions and ensure the interests of businesses and investors of the two countries.

The two leaders affirmed that they will continue to coordinate closely at regional and international forums. Regarding the East Sea issue, they agreed on the importance of ensuring freedom of navigation and aviation in compliance with international law, and resolving disputes by peaceful means on the basis of international law, especially the 1982 United Nations Convention on the Law of the Sea (UNCLOS 1982), minimising the impact of geopolitical factors on supply chains and the movement of goods regionally and globally.

Meeting with the Vietnamese Prime Minister, Secretary-General of UNCTAD Rebeca Grynspan stressed that UNCTAD always considers Vietnam a model of development, trust, and optimism in the context of the current volatile world situation. Personally, as the former Vice President of Costa Rica, she always sees Vietnam as a model of development and wishes to visit Vietnam.

She shared that on the occasion of the 60th anniversary of UNCTAD this year, it will organise a global conference and hopes that Vietnam will send leaders to attend.

At the same time, she expressed her wish that Vietnam will participate and actively contribute to the UNCTAD Ministerial Conference in 2025.

PM Chinh affirmed that Vietnam highly values the organisation's role in supporting developing countries, including Vietnam, in the building of development policies, contributing to maintaining a prosperous life for people.

He hoped that UNCTAD will continue to support Vietnam in all aspects of development, particularly human resources training.

PM calls for assistance in building financial centres in Vietnam

Prime Minister Pham Minh Chinh chaired a talk with representatives from world leading banks and financial investment funds on investment in Vietnam’s financial market in Davos, Switzerland, on January 17 (local time), on the sidelines of the 54th Annual Meeting of the World Economic Forum (WEF-54).

Participants focused on assessing the financial market in Vietnam in 2023, shared models and experiences in building international financial centres and put forth recommendations for Vietnam. Some financial groups also talked about their plans on investment in Vietnam.

They shared the view that Vietnam, as one of the fastest growing economies in the world, has potential to become a financial hub of the region and the world.

Representatives from Vietnam’s ministries and agencies fielded questions about the legal framework on the financial market in general and the operation of financial centres in particular, the law on money laundering, infrastructure serving the financial market, and related issues.

Concluding the dialogue, PM Chinh confirmed the consensus in setting up a research and advisory group on building financial centres in Vietnam led by former German vice chancellor Dr. Philipp Rösler, Minister of Planning and Investment Nguyen Chi Dung and Chairman of the People’s Committee of Ho Chi Minh City Phan Van Mai.      

The PM asked experts, banks and financial investment funds to assist Vietnam in policy making, promoting startup and innovation, restructuring banks, building the national brand, developing infrastructure and training human resources.

In particular, he urged global groups and funds to share experience and advise Vietnam in selecting suitable models and solutions in financial centre development, and in building institutions, policies and measures to develop a comprehensive financial ecology covering fintech, digital banks, digital payment, digital transaction, green finance, and transaction floors for carbon credit, merchandise and foreign exchange.

Chinh said Vietnam also needs help in improving the country’s credit ratings and standards in accounting, auditing and financial reporting, thus laying important foundations for the successful development of international financial centres in the future.

He hoped foreign partners will consider participating in the restructuring of weak banks in Vietnam and support the country in personnel training in financial services.

The Vietnamese Government leader affirmed that the Vietnamese Government always accompanies and creates all possible favourable conditions for foreign investors in general and Swiss investors in particular to do business in the country. Vietnam is committed to protecting the legal and legitimate rights and interests of investors in any circumstances, and is always open to recommendations of the business community for mutual development, he said.

The PM’s remarks received warm response from the event’s participants. Don Lam, the CEO of VinaCapital, one of the organisers of the talk, said the Young Presidents’ Organisation (YPO) has decided to arrange a trip to Vietnam after the talk.

Hai Duong lures additional 1.5 billion USD

The northern province of Hai Duong recently granted investment certificates to 27 domestic and foreign enterprises with a total registered capital of 1.5 billion US, including several projects worth hundreds of million US dollars.

The locality has announced its investment attraction portfolio for the 2024 - 2030 period and handed over investment certificates to 26 local and foreign businesses, and a memorandum of understanding to a domestic firm.

Notable projects among them include a 270-million- USD stationery factory invested by Deli Vietnam Office Technology Co., Ltd; a project worth 260 million USD by Biel Crystal Vietnam Manufacturing Limited, a Boviet Hai Duong solar photovoltaic cell factory worth 120 million USD, and a 160-million-USD construction investment and infrastructure business in the Dai An Industrial Park (IP) of the Dai An IP Infrastructure Development One Member Company Limited.

The positive results were attributed to efforts and serious direction by local leaders to enhance investment promotion activities, improve investment and business environment, and raise the competitiveness of the locality.

Apart from focusing on attracting foreign investment in industry and agriculture, the province has also paid attention to luring investment to other fields from health and education, to trade and tourism, according to Director of the provincial Department of Planning and Investment Le Hong Dien.

In 2023, dozens of investment promotion business trips by local officials to many countries around the world such as the US, Japan, Belgium, the UK, and France were arranged to attract more investment into processing and manufacturing sectors, electrical and electronic industry, construction material production, high-tech agriculture, eco-tourism, high-quality services, and logistics, Dien said.

Trieu The Hung, Chairman of the provincial People's Committee, said that investment projects in the fields of high technology, smart technology, biological industry, new materials, processing and manufacturing, supporting industry, and environmentally friendly projects with high added value will be prioritised.

Hai Duong is home to 534 foreign-invested projects from 27 countries and territories worldwide with a total registered capital of over 10 billion USD. The locality has 17 IPs with an occupancy rate of nearly 53%. It has 58 industrial clusters which cover a total area of nearly 3,000 ha.

Petrol prices up in latest adjustment

Retail prices of petrol were revised up in the latest adjustment on January 18 by the Ministry of Industry and Trade and the Ministry of Finance.

Specifically, the prices of E5 RON92 and RON 95-III increased by 377 VND and 547 VND to no more than 21,418 VND (0.87 USD) and 22,482 VND per litre, respectively.

Meanwhile, diesel 0.05S and kerosene are sold at 20,194 VND per litre and 20,536 VND per litre, up 487 VND and 205 VND, respectively, and the price of mazut oil decreased by 307 VND to 15,508 VND per kilogram.

The two ministries decided to use the petrol and oil price stabilisation fund for mazut oil at 300 VND per kilogramme, the same as in the previous adjustment.

Local firms advised to be cautious when exporting to Spain

The Vietnam Trade Office in Spain has warned domestic enterprises to be cautious when signing contracts with Spanish businesses to avoid risks.

Previously, the Vietnam Trade Office in Spain received information from several domestic cashew and pepper exporting businesses about delays in payment of goods from ISASA Export Company in Malaga, Spain.

The representative is Mr. Manuel Gil or Ms. Anniz; headquarters located at Calle Riogordo, Nave No.4, Estrella, 29006 Malaga, Spain; Email: info@isasaexport.com; isasa@isasaexport.com and website address https://isasaexport.com/en/home/.

ISASA Export said the Vietnamese enterprise's goods did not meet quality standards at the port of destination or that the company suffered loss due to the decline in local market prices, so it did not comply with the purchase contract. Specifically, the company was late in paying for the goods, causing difficulties, time loss, and storage costs for domestic businesses, and many businesses even had to take back the goods.

To avoid risks in exporting, the Vietnam Trade Office in Spain warned domestic businesses to be careful when signing sale contracts with the ISASA Export Company. At the same time, it suggested domestic businesses increase coordination with the Trade Office in Spain in verifying local businesses before actually signing sales contracts.

The Vietnam Trade Office in Spain said that Spain is currently a large consumer market for all of Vietnam's exported consumer goods industries because of its large population of over 47 million people and quite high average income (about 36,700 USD/year). Furthermore, this is also a potential niche market for direct domestic consumption of Vietnam's agricultural, aquatic products and tropical fruits and vegetables, especially off-season products and raw products that are suitable inputs for the highly developed export food processing industry in Spain.

Spain attracts an average of over 80 million international visitors annually with Europe's leading tourism service industry, resort facilities and cuisine. Therefore, this is a market opportunity for tourism related industries (including handbags, suitcases, wallets, hats, umbrellas; handicraft products, rattan, bamboo, rush, carpets), textiles, footwear, wood and wood products, food ingredients, coffee and spice products of Vietnam.

To promote Vietnamese goods in the Spanish market, the Vietnam Trade Office in Spain suggested Vietnamese businesses increasingly take advantage of incentives from the EU-Vietnam Free Trade Agreement (EVFTA).

Vietnamese businesses need to proactively research consumption trends and market requirements, and stay updated on new regulations and policies of the host country to proactively plan production, business and export, the office noted.

Vietnam-US net-zero workshop looks to green manufacturing

The US-Vietnam Getting to Net-Zero Workshop: Industrial Manufacturing Decarbonisation took place in the southern province of Binh Duong on January 18.

The event was co-hosted by the provincial People’s Committee, the US Consulate General in Ho Chi Minh City and the Becamex IDC, with over 200 enterprises at home and abroad taking part.

Speaking at the event, US Consul General in Ho Chi Minh City Susan Burns said Vietnam has emerged as a key industrial production hub in the region. The robust growth of its logistics sector, while commendable, has posed environmental challenges, compelling companies to adopt green manufacturing practices and embrace the shift towards clean energy to align with production requirements.

She highlighted the growing interest among US firms in cutting-edge technologies, particularly in solutions such as rooftop solar energy, as part of their commitment to reduce emissions and advance the collective goal of achieving net-zero by 2025.

Permanent Vice Chairman of the provincial People’s Committee Mai Hung Dung highlighted Binh Duong's proactive approach to adapting to uncertainties stemming from geopolitical factors and the fourth industrial revolution.

He said the province is actively developing a new ecosystem that complements the existing industrial-urban-service model. This involves an innovative and technological ecosystem, the establishment of smart industrial zones, sustainable and ecologically smart urban areas, all with sustainable development at its core.

Binh Duong aspires to enhance its industrial sector, progressively creating a driving force for new economic development that moves away from labour and land-intensive practices. The ultimate objective is to actively deliver on the Vietnamese Government's commitment to achieving net-zero emissions by 2050, he added.

EVN kicks off circuit-3 500kV transmission line sections

Vietnam Electricity (EVN) and its National Power Transmission Corporation (EVNNPT) on January 18 simultaneously began the construction of various 500kV circuit-3 transmission lines in the provinces of Ha Tinh, Nghe An, Thanh Hoa, and Thai Binh.

They include the Quang Trach - Quynh Luu and Quynh Luu - Thanh Hoa 500kV circuit-3 transmission lines and the 500kV Thanh Hoa substation.

They are part of a 500kV circuit-3 transmission line project which spans 519km from the central province of Quang Binh’s Quang Trach district to the northern province of Hung Yen’s Pho Noi.
 
The 22-trillion-VND (895.95 million USD) project passes through 211 communes and wards across 43 districts and townships of in the provinces of Quang Binh, Ha Tinh, Nghe An, Thanh Hoa, Ninh Binh, Nam Dinh, Thai Binh, Hai Duong, and Hung Yen.

The transmission lines hold significant importance in enhancing the capacity of the 500kV north-central power transmission grid, contributing to ensuring electricity supply for the northern region both currently and in the coming years. The project also helps improve the stability and operation of the national power system, as well as reduces the risk of overload for existing 500kV transmission lines.

HCM City business union proposes measures to speed up green growth

The Ho Chi Minh City Union of Business Associations (HUBA) has proposed a number of measures to help businesses overcome challenges and foster green growth and digital transformation this year.

Speaking at a meeting held on January 17 to review the association’s performance last year and set tasks for 2024, its vice chairman Nguyen Phuoc Hung called on the city’s administration to provide financial, legal and technological support to firms registering for green transformation.  

He exhorted the central government to start a programme for reducing greenhouse emissions with a specific road map, build a green index, establish a carbon credit market and develop rooftop solar power, helping businsses improve their competitiveness and participate in the global supply chain.

He urged the city to have solutions to attract new FDI inflows and reform long-standing industrial parks and export processing zones, speed up public investment, and enable businesses to bid for public projects and borrow from the city’s stimulus programme.

Vice Chairman of the municipal People’s Committee Vo Van Hoan praised HUBA’s contributions, saying it has played an important role in connecting the municipal administration and businesses, helped the city administration improve the investment environment and promoted administrative reform.

Considering the challenges this year, it is again expected to make a significant contribution to the economy and business sector, he said.

Hoan noted that the city has set two important tasks for the business community this year: adopting green growth and fostering digital transformation so that they could expand their international market share.

“Green growth is an inevitable development trend, and businesses must embrace it to meet requirements, especially in fastidious markets.”

He said the city would focus on three pillars this year: policies to help adopt green transformation, criteria to measure emissions by businesses and industries so that they could find ways to reduce them and creating a good role model for green growth.

It also plans to establish a centre for supporting digital transformation, he said.

The city is welcoming a wave of foreign investment in semiconductors and artificial intelligence, and it is also an opportunity for businesses, he said.

They need to take advantage of this wave and participate in the supply chains of leading corporations, he said.

The city has sufficient resources in all aspects like land, industrial parks and high-quality human resources to meet the needs of these high-tech industries, he assured.

HUBA Chairman Nguyen Ngoc Hoa said last year it took a number of measures to help business overcome difficulties.

It passed on to authorities various recommendations made by businesses to remove hurdles they faced in many areas such as real estate and corporate bonds, and this helped eliminate many long-standing bottlenecks, he said.

This year it would organise programmes such as the HCM City Economic Forum, HCM City’s ‘Exemplary Products and Services’ and Green Business Awards, ‘Business Café’, trade promotions at home and abroad, and trade fairs to showcase Vietnamese goods, he said.

Also at the event, the association launched the new interface of its website, huba.vn.

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