The index of industrial production (IIP) in Vietnam improved in 49 out of the nation’s 63 centrally-governed provinces and cities in January-May, according to the General Statistics Office (GSO). However, overall, the IIP declined by 2% year-on-year during this time.

The GSO attributed the decline in industrial production to global economic headwinds and weak consumer demand.

The manufacturing and processing industry contracted by 2.5% while the mining industry declined 3.5%. On the other hand, the electricity generation and distribution sector grew a slight 0.8%, and the water supply and waste treatment industry recorded growth of 6.4%.

However, there was a positive trend in May, with the IIP improving by 2.2% compared to April and by 0.1% compared to the same period last year.

Among the provinces, Bac Giang recorded the highest IIP growth, at 15.4%, followed by Phu Tho Province at 15.2%, Hau Giang Province at 13.9%, and Thai Binh and Nam Dinh provinces at 13.2%. Growth in these provinces was mainly driven by increased manufacturing and processing activities as well as electricity generation and distribution.

The manufacturing and processing industry saw double-digit growth in several provinces, including Gia Lai, Tuyen Quang, Bac Giang, Phu Tho, Haiphong and Nam Dinh, ranging from 13.5% to 21.7%.

Hau Giang, Thai Binh, and Nam Dinh provinces also witnessed significant growth in electricity generation and distribution, with respective increases of 270.9%, 63.3%, and 12%.

HCMC’s Jan-May credit growth lower than nation’s average

HCMC saw January-May credit expanding a slight 2.43% compared to late last year, below the nation’s average of 3.17%, according to the HCMC branch of the State Bank of Vietnam.

After experiencing a significant improvement of 1.37% in March, credit expansion lost momentum in the subsequent months, with a slight increase of 0.46% in April and 0.7% in May.

In comparison to December 2022, outstanding loans in Vietnamese dong rose by 2.21%, while loans in foreign currency increased by 6.46%.

The manufacturing and priority sectors were the largest recipients of loans during the first five months of the year.

Credit growth nationwide last year was much higher, at 8.8%, between January and May, according to the report.

The slowdown in credit expansion was attributed to tough business conditions, mostly induced by the global economic downturn. However, there are expectations for improvements in the remaining months of the year due to anticipated macroeconomic stability and controlled inflation.

According to the General Statistics Office, the average consumer price index for the first five months of this year increased by 3.55% compared to the same period last year.

Vietnam’s exports grow 4.3% in May

Vietnam’s exports in May continued to improve, with a 4.3% increase versus April to US$29 billion, according to an official at the Ministry of Industry and Trade.

During the first five months of the year, exports generated US$136.2 billion. Manufactured products accounted for over 88% of the total value, with electronics regaining momentum.

In May, farm exports doubled compared to the previous month at US$500 million. Coffee exports alone surged 28.5% to US$418 million.

The implementation of free trade agreements, such as the European Union-Vietnam Free Trade Agreement and the UK-Vietnam Free Trade Agreement, has facilitated Vietnamese rice exports to the EU.

Statistics show that Vietnam’s rice shipments between January and May soared 40.8% in volume and 49% in value compared to the previous year, at 3.9 million tons and over US$2 billion.

The United States was Vietnam’s largest export market during this period, with revenue totaling an estimated US$37.2 billion.

A trade surplus of nearly US$10 billion in the first five months of the year is believed to give momentum to the export sector, and contribute to stabilizing the currency market, said Tran Thanh Hai, deputy head of the Import-Export Department at the Ministry of Industry and Trade.

Over-10-ton trucks restricted on Cam Lo-La Son Expressway

Over-10-ton trucks will be restricted from using the Cam Lo-La Son Expressway as from June 7 as the road section passing through Huong An Ward in Hue City is under repair.

To ensure the smooth repair and upgrade of the road, the local authority has decided to restrict over-10-ton trucks from the expressway.

The truck restriction is expected to remain in effect for one month.

The relevant agencies will place notifications and directional signs at the intersections of the Cam Lo-La Son Expressway with National Highway 1A, National Highway 9, and Provincial Road 14B.

The local authority has also called upon the Management Board of the Ho Chi Minh Highway Project to oversee the contractors and urge them to accelerate the construction progress.

The 98.3-kilometer Cam Lo-La Son Expressway connects the central provinces of Quang Tri and Thua Thien Hue. The VND7.7 trillion project has been opened to traffic since December last year.

Hanoi to host multiple fairs promoting industrial firms

The Hanoi Department of Industry and Trade is set to host a series of fairs and exhibitions in 2023, aiming to facilitate valuable connections between local businesses and leading technology companies worldwide.

Tran Thi Phuong Lan, director of Hanoi's Department of Industry and Trade, shared the annual plan with The Hanoi Times, underscoring the persistent challenges encountered by manufacturers in securing new orders and contending with fierce competition from domestic firms and cheap imported products.

Under the plan, local authorities will invite 30 to 40 technology developers from the US, EU, Japan, and South Korea to participate in the program.

Hanoi expects these international companies to provide technical and financial support to local industrial producers to develop their key products.

According to the agency, about 900 local companies are involved in ancillary industries, including nearly 300 whose products meet international standards. This number is constantly increasing.

As a result, more and more opportunities are opening up for businesses in the ancillary industry, especially as many foreign companies have chosen Vietnam for relocation, Lan added.

The city also expects to develop 30 to 35 key industrial products in 2023, half of which will be new ones. 

Last month, the Hanoi Department of Industry and Trade organized the "Hanoi Industrial Product, Machinery, Equipment, and Automation Trade Fair 2023" in coordination with relevant agencies.

At the event, industrial enterprises in Hanoi and foreign markets such as South Korea, Japan, Thailand, and China exhibited key supporting products such as components, spare parts, and products for high-tech industries in 250 booths.

The city recognized 33 products from 25 enterprises as the city's key industrial items in 2022. The selected enterprises have a combined revenue of VND76.8 trillion (US$3.27 billion) and an export turnover of US$550 million.

Among them, two entered the list of Vietnam's 500 largest enterprises were Thuong Dinh Electric Wire and Cable JSC and Garment 10 Corporation JSC, and 11 joined the program for the first time with 15 new products, recorded sales of VND9.4 trillion (US$408 million) last year.

With the support of Government agencies and policies, Hanoi's industrial sector is expected to develop rapidly, contributing to the city's economic growth and promoting sustainable development.

Attention must be paid to improving quality of insurance agents

It is critical to improve the quality of insurance agents and consultants to consolidate trust of insurance buyers and bring the life insurance market back on track, experts have said.

According to Pham Thu Phuong, Deputy Director of the Insurance Supervisory Authority under the Ministry of Finance, the life insurance market must be put under scrutiny, especially quality of consultancy, customer care service and claim settlement.

Many insurance companies did not pay adequate attention to the quality of training to consultants and controlling quality of agents. The claim settlement also caused frustration, she said.

Although bancassurance was considered to bring significant benefits, problems arose during the implementation due to the loose management, which caused a stir among insurance buyers, Phuong said, adding that most of the frustration came from buyers through bancassurance.

According to Tran Hong Nguyen, Deputy Chairwoman of the Law Committee of the National Assembly, problems of the life insurance market were a big lesson to all relevant parties, including State management agencies, insurance companies and banks as well as insurance buyers.

The management agencies should keep a closer watch on the market and improve market forecast to have timely measures to cope with arising problems before it went out of control, she said.

For insurance companies and commercial banks, it was critical for them to improve the training quality of their consultants and agents, not only sales skills but also knowledge about insurance products and professional ethics.

When insurance did not go in the right direction, the consequences were transparent as people would turn away from insurance and it was the insurance companies who would suffer, she said.

Insurance companies and banks should cooperate in training together with a clear supervision mechanism and accountability.

The settlement of claims should also be timelier and more satisfactory, she said. In addition, insurance buyers should study the terms of insurance contracts carefully.

Ngo Trung Dung, Deputy General Secretary of the Vietnam Insurance Association, said that existing scandalous claims should be solved promptly and thoroughly based on the established laws and signed contracts to consolidate trust in the insurance life market.

Communications should also be enhanced to raise awareness about life insurance.

It was also necessary to have the base for handling when consultants or agents provided the wrong consultancies, he said.

The draft decree guiding the implementation of the Law on Insurance Business said that insurance companies were responsible for recording the consultancies and keeping the audio for five years as evidence for handling disputes. This solution was being applied in Hong Kong, he said.

According to Phuong, protecting the rights of insurance buyers was also a top priority.

She said that there would be decrees and circulars detailing the management on the consultancy of insurance agents, especially bancassurance.

Inspections would be increased this year to ensure market discipline, she stressed. 

To date, there were 78 insurance companies and one branch of a foreign non-life insurance company operating in Vietnam. The insurance market saw an average annual growth of 205 per year.

HCM City seeks to promote export of mechanical products

Ho Chi Minh City authorities have actively collaborated with local businesses to strengthen trade promotion activities, aiming to promote the export of mechanical and digital technology products and electrical equipment, which are of strengths of the southern economic hub.

The Investment and Trade Promotion Centre of HCM City (ITPC) and HCM City Association of Mechanical–Electrical Enterprises are jointly organising the “HCM City Products Week 2023 - Mechanical and Electrical Devices and Digital Technology” which attracts the participation of over 40 businesses.

Exhibitors are showcasing machinery, electrical equipment, digital technology services and solutions, logistics services supporting the mechanical engineering and electrical equipment manufacturing industry, and warehouse storage solutions.

According to Tran Phu Lu, ITPC Deputy Director, the products selected by businesses to showcase in the exhibition are reputable and high-quality items with beautiful designs and advanced technology, which also incorporate digital technology and automation in their applications.

The expo, to go on until June 7, is part of a city trade promotion campaign to help mechanical and electrical businesses promote their brands and products.

Mechanical engineering, machinery, and electrical equipment are key industries and serve as drivers of HCM City’s industrial development. Due to the impacts of the global economic downturn, HCM City's export turnover in the first half of 2023 is falling sharply.

In addition to trade promotion activities and market support, the municipal administration is also focusing on resolving difficulties and obstacles facing local businesses related to capital for production and consumption, thus helping businesses boost their export in the second half of the year and next years.

With support from the management authorities, mechanical and electrical businesses are making efforts to meet the criteria for joining supply chains.

According to the Department of Industry under the Ministry of Industry and Trade (MoIT), Vietnam has around 25,000 mechanical and electrical businesses, accounting for nearly 30% of the total number of processing and manufacturing enterprises in the country.

Data of the General Statistics Office (GSO) shows that in the first quarter of 2023, the export turnover of machinery, equipment, tools and spare parts group reached an estimated 9.85 billion USD, down a 3% year-on-year.

The main importers of Vietnamese machinery, equipment, tools and spare parts in the period were the US (3.99 billion USD), the European Union (1.46 billion USD), China (701 million USD), and Japan (663 million USD).

According to insiders, the shifting of manufacturing workshops from China to Southeast Asian in general and Vietnam in particular is creating a great opportunity for Vietnamese businesses to access investment sources from foreign countries.

Tran Quynh Huong, who is in charge of supply chain management at Source of Asia, said with the presence of multinational companies such as Samsung, Foxconn, and Intel, Vietnam has become a leading country in the export value of electrical and electronic products over the past decade.

Vietnam and RoK enhance cooperation through MICE tourism

The Korea Tourism Organization (KTO) in Vietnam officially restarted its MICE tourism programme, a type of tourism combining meetings, incentives, conferences and events, via a roadshow held in Hanoi on June 6 to promote MICE tours between the Republic of Korea (RoK) and Vietnam.

Lee Jae Hoon, head of KTO in Vietnam, said the roadshow serves to connect travel agencies of the two countries, and to promote more MICE tours to the RoK.

According to KTO representatives, the Korean Government declared 2023 and 2024 the Visit Korea Year in an effort to boost visitor numbers. In response, KTO will organise tourism promotion events in other Asian countries, especially Vietnam.

The June 6 event in Hanoi brought together representatives of 24 travel agencies from the RoK, as well as more than 150 tour operators in Vietnam.

Many promotions planned this year were publicised at the roadshow in a bid to attract Vietnamese tourists.

Budget carrier Vietravel Airlines has conducted charter flight from Nha Trang in Vietnam to Daegu in the RoK since April this year, whilst it has made plans to open flights on routes from Vietnam to Incheon late this year, to cash in on the peak tourism season this year.

Hoang Thuy Duong, director of Ehoo LTS travel agency, noted that the firm has devised many plans as it seeks to attract Vietnamese tourists to the RoK.

In September, Ehoo LTS will launch fresh tourism products following charter flights on the Hanoi-Incheon, Ho Chi Minh City-Incheon, and Da Nang-Jeonju routes so that tourists have more options to travel to the RoK.

With regard to MICE tourism, the travel agency will organise cultural exchanges, including a show of Ao Dai (traditional Vietnamese long dress) in the RoK.

The Korean travel firm will coordinate with businesses and training institutions in Vietnam to organise events in the field of aesthetics and beauty in the RoK this December, she also revealed.

Another Korea MICE Roadshow is scheduled to take place on June 8 in Ho Chi Minh City in a bid to strengthen Vietnam-RoK cooperation through MICE tourism.

The RoK is currently viewed as a major MICE tourism hub in Asia thanks to its high-quality infrastructure system in many cities, including Seoul, Busan, Jeju, Incheon, Gyeonggi, and Gangwon.

Japan is a key market for Vietnamese tourism

With roughly one million people visiting Vietnam annually, Japan has emerged as one of three leading inbound tourism markets for Vietnam, according to the Vietnam National Administration of Tourism (VNAT) under the Ministry of Culture, Sports and Tourism.

During the 2015 - 2019 period, the number of Japanese travelers to Vietnam increased by 1.4 times, rising from 671,000 in 2015 to 952,000 in 2019, marking growth of 9.1% per annum.

However, last year saw Vietnam only receive 128,764 Japanese travelers, just 10% of the pre-pandemic level.

Explaining the modest number of Japanese travelers, the VNAT outlined that Japanese people continue to be very cautious about COVID-19, whilst Japan was slower than other countries in removing travel restrictions.

A good news is that the number of Japanese visitors to Vietnam has gradually increased again this year. Japan was among the 10 markets with the most visitors to Vietnam in the first five months of the year, alongside the Republic of Korea, China, and Taiwan (China) in Northeast Asia.

Japanese tourists are keen to enjoy cultural experiences that allow them to become immersed in Vietnamese culture and heritage.

A number the country’s tourist destinations that prove popular with Japanese tourists are Hanoi, Quang Ninh and Ninh Binh in the north, Hue, Da Nang, Hoi An and Nha Trang in the central region, the Mekong Delta, and Ho Chi Minh City in the south.

Over the years, the VNAT and the Japan National Tourism Organisation have carried out promotions for various Vietnamese destinations. Localities have also strived to strengthen tourism cooperation with Japanese partners, including a partnership between Hanoi and Tokyo.

To stimulate demand this year, a number of tourism promotional activities will be held in the coming time, revealed the VNAT.

In contrast, Vietnamese travelers are also flocking to Japan in large numbers. According to the Japan National Tourism Organization (JNTO), a total of 55,200 Vietnamese came to Japan in April, marking the fourth consecutive month that saw the number of travelers exceed the 50,000 arrival mark.

Canada becomes fifth most important export market for Vietnamese goods

With a number of key export items recording a double-digit growth rate, Canada has become Vietnam’s fifth most important export market behind the United States, China, the Republic of Korea, and Japan, according to the General Department of Vietnam Customs.      

Vietnamese exports to the Canadian market during the initial three months of the year reached US$2.187 billion. Among the export items, electronics and mobile phones saw an increase 28.9%, while footwear, knitted clothing, non-knitted clothing, boiler reactors, leather products, and optical equipment experienced rises of 82.8%, 12.4%, 29.8%, 16.7%, 75.7%, and 14.2%, respectively.

According to the Vietnam Trade Office in Canada, the enforcement of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has fueled overseas demand for Vietnamese agricultural products and processed foods in the 2018 - 2022 period.

Consumer goods, and products of the domestic industrial sector witnessed a remarkable rise, demonstrating the CPTPP’s positive impact on Vietnamese exports to the region.

However, experts have advised local firms to utilise preferential tariffs under the trade pact, especially the rule of origin, to further boost exports to the market moving forward.

Haiphong urges investors to speed up industrial park projects

Authorities in the northern port city of Haiphong, home to many FDI firms, have asked real estate developers to speed up the construction of urban area and industrial park projects by June next year.

City authorities ordered Trang Cat Urban Development Company to begin work on its 585-hectare urban area project in June of next year.

Trang Cat Urban Area in Haiphong City covers an area of 585 hectares and has an investment of VND11.30 trillion (USD484.60 million).

For the Trang Due 3 Industrial Park, Haiphong authorities also asked its investor Sai Gon-Hai Phong Industrial Park Corporation to accelerate the progress so the project can begin construction in May next year.

The industrial park covers an area of 687 hectares in An Lao District, with a total investment of VND10 trillion.

"In case these companies fail to ensure the progress as assigned without reasonable reasons, the Haiphong City People's Committee will consider withdrawing the projects,” city authorities said in a written document.

Both companies are subsidiaries of major real estate developer Kinh Bac City Development Holding Corporation, one of Vietnam's leading industrial real estate developers.

18 taxmen, dozens of defendants taken to court in Thuduc House case

The Ho Chi Minh City People’s Court yesterday started the trial of the case in Thu Duc Housing Development Corporation (Thuduc House), Ho Chi Minh City Tax Department and other relevant units.

The company, agency and units committed the crimes of smuggling, illegal goods and money transportation via borders; fraudulent appropriation of property; bribery; violations of accounting regulations, causing serious consequences; irresponsibility triggering serious consequences; manufacturing and trade of counterfeit goods; forging documents of agencies or organizations; using fake documents of agencies or organizations; violations of regulations on management of state properties causing loss and waste.

Of which, former Deputy Director of the Ho Chi Minh City Tax Department Nguyen Thi Bich Hanh and 17 former staff of the department were indicted for violating regulations on the management of state property causing loss and waste and irresponsibility triggering serious consequences. Of them, three former taxmen who used to work at the Tax Divisions in District 1, District 3 and District 5 were prosecuted for the act of receiving bribery.

Besides, seven customs officers were also judged for the act of irresponsibility triggering serious consequences. The victims of the case were identified as HCMC Tax Department and Thuduc House.

According to the indictment, from 2016 – 2020, Trinh Tien Dung who was under international wanted notice had directed to establish enterprises in Vietnam and overseas to make import and export documents.

Dung and his partners in crime had connected with staff in Thuduc House to make and sign hundreds of economic contracts with eight foreign companies to sell electronic components to partners with a total amount of exported consignments of more than US$158 million.

The subjects had taken advantage of the zero percent tax policy, Dung and his accomplices made 334 contracts on purchasing and selling electronic components and inflated the price by nearly 400 times with the aim to appropriate tax refunds.

Specifically, Thuduc House made 19 document sets to submit to the HCMC Tax Department to propose tax refunds with a total value-added tax of over VND430 billion (US$18.4 million) and the department promulgated 17 decisions on tax refunds of more than VND365 billion (US$15.6 million) for the company.

Obstacles need to be removed for metro line 1 to come into operation

Ben Thanh – Suoi Tien metro line or metro line 1 is scheduled to be put into commercial operation at the end of this year; however, the project still faces some issues and obstacles that need to be solved.

The construction site of the pedestrian overpass connecting the station at the Saigon Hi-Tech Park in Thu Duc City and the metro line 1 has recorded pretty busy working days including weekends.

From the early morning, dozens of workers have been ready to do their missions to build pillars, bend and cut steel bars, connect beams and so on.

At the construction site, engineer Duong Tuan Thanh said that in the past few days, workers have sped up the construction progress to complete the project as scheduled.

On peak days, 60 workers and engineers have been on the construction site.

When the pedestrian overpass is completed, residents, students and workers can easily walk to the metro station from the Saigon High-Tech Park instead of crossing the Hanoi Highway.

Similarly, workers and engineers have been hard-working at the construction sites of Phuoc Long Station and Binh Thai Station in Thu Duc City.

Deputy Head of the Management Board of HCMC Urban Railways (MAUR) Nguyen Quoc Hien said that the unit is urging to complete the remaining connection items of the Ben Thanh - Suoi Tien metro line.

Firstly, the MAUR is speeding up the construction progress of pedestrian overpasses synchronously connecting with stations. As designed, there will be nine pedestrian overpasses, with a length of more than 70 meters and a width of 3.5 meters for each bridge, connecting the stations and nearby residential areas and bus stations.

These bridges are also the main exit route of the stations in case of emergency.

Currently, pedestrian overpasses at four stations of Tan Cang, Rach Chiec, Phuoc Long and the Saigon Hi-Tech Park are under construction.

As for the pedestrian overpasses at the remaining five stations of Thao Dien, An Phu, Binh Thai, Thu Duc and Ho Chi Minh City National University, the MAUR is promptly coordinating with relevant units to complete the relocation of technical infrastructure, soon hand over the site to contractors.

It is expected that the construction of all pedestrian overpasses will be finished by the end of the year, on the same completion schedule as the metro line 1.

Regarding the item connecting Ben Thanh station and the Ben Thanh quadrilateral development project of Saigon Glory Company Limited related to the entrances F4 and F5 of Ben Thanh station, District 1, the MAUR proposed the Ho Chi Minh City Department of Construction to report to the municipal People's Committee the plans of removing obstacles in the process of coordination between the two projects above, facilitating the implementation of the remaining construction items.

Excepting for the above-mentioned items which are under construction, the technical systems of Ben Thanh Station, Saigon Opera House Station and Ba Son Station have basically completed serving the operation of metro line 1.

However, some issues and obstacles need to be resolved such as complaints from contractors, complex technical standards and arising works during the implementation of the contract.

Currently, funding is another obstacle related to the preparation for the operation of the metro line.

According to Deputy Head of the Management Board of HCMC Urban Railways (MAUR) Nguyen Quoc Hien, the unit has proposed the municipal People's Committee consider and report to the Standing Committee of the HCMC Party Committee to approve that the Urban Railway Company No.1 continue to borrow VND16 billion (US$685,000) from the budget reserve fund of the city Party Committee. The funds will be used for personel preparation for receiving technology transfer, paying social insurance debts and salaries to workers and so on.

In addition, Mr. Nguyen Quoc Hien said that the Ho Chi Minh City Department of Transport in cooperation with MAUR and Urban Railway Company No.1 should propose contents related to orders, capital sources and contracts for the coming operation and exploitation of Ben Thanh - Suoi Tien metro line as scheduled.

Many key projects set to start construction in June

The Ministry of Transport said that the Ring Road 3 project's section through Ho Chi Minh City is expected to start work on June 18, ten days earlier than planned.

Currently, the project's site clearance reaches more than 77 percent in volume, ensuring conditions for starting construction.

The investor of component projects of the Ring Road 3 project in Ho Chi Minh City whcih rún through the provinces of Binh Duong, Long An and Dong Nai, announced that the projects will start construction before June 30.

The Ministry of Transport also reported that three component projects of the Bien Hoa - Vung Tau expressway are set to start work on June 18.

The first phase of the Bien Hoa - Vung Tau expressway project has a total length of 53 kilometers, including a 34.2 kilometer long section through Dong Nai Province and a 19.5 kilometer long section through Ba Ria- Vung Tau Province, with a total investment capital of VND17,800 billion (US$762 million).

As planned, the Bien Hoa - Vung Tau expressway project will be basically completed in 2025 and put into synchronous operation in 2026.

Vietnam and Poland promote trade cooperation

The Ho Chi Minh City Investment and Trade Promotion Center (ITPC) and the Polish Investment and Trade Agency in Ho Chi Minh City (PAIH) co-hosted a workshop to boost trade cooperation between the two countries, especially in information technology.

Poland is currently Vietnam’s largest trading partner in Central Eastern Europe while Vietnam is currently Poland’s fourth largest trading partner in Asia. Despite the COVID-19 impact, bilateral economic and trade cooperation has maintained positive growth, with two-way trade turnover reaching more than US$2.5 billion both 2021 and 2022.

The first four months of 2023 saw trade exchanges between the two countries bring in over US$841 million, of which the export of computers, electronic products and components from Vietnam to Poland fetched nearly US$236.34 million.

The two-way trade turnover between Ho Chi Minh City and Poland alone last year reached US$270 million, a year-on-year rise of 8%. With regard to investment, Poland currently has 10 projects valued at approximately 470 million, ranking 64th out of 117 countries and territories pouring investment into the city.

According to Nguyen Tuan, vice director of the ITPC, the center will continue proactively coordinating with relevant agencies to carry out trade and investment promotion activities with Poland, creating favourable conditions for Polish businesses to invest in Ho Chi Minh City, and vice versa.

Speaking at the conference, representatives of Polish businesses shared that Poland is currently one of the digital transformation leaders in Europe, through the application of many related integrated software programs such as e-citizens, electronic health records, financial management, banking and finance. For information technology, they said Poland is still in the process of looking for partners and wants to seek cooperation opportunities in Vietnam.

Polish businesses hoped they would find suitable potential partners and business cooperation opportunities in Ho Chi Minh City in particular and Vietnam in General in the time to come.

Hoa Binh province ships second batch of fresh sugarcane to US

The northern province of Hoa Binh announced the second batch of 18 tonnes of fresh sugarcane bound for the US at a ceremony on June 7.

After successfully exporting the first consignment of 20 tonnes of fresh sugarcane to the US in March this year, the province’s agricultural sector has actively worked to seek inroad into international market for local agricultural products.

Director of the province's Sub-Department for Quality Management of Agro-Forestry and Fisheries Products Nguyen Huu Tai said that sugarcane grown in Hoa Binh has been well known in the domestic market. The plant grows well in the province thanks to favourable soil and weather, and can bring high economic value.

The two export batches were the result of months of negotiations between Tien Ngan company and a US partner. The company expects to ship between 300-500 tonnes of fresh sugarcane to several countries this year. To date, the company has shipped 300 tonnes of fresh sugarcane.

The province first exported fresh sugarcane to Japan in 2020 with 5.7 tonnes and the volume rose to 300 tonnes in 2022, with orders from demanding markets such as the Republic of Korea, the UK and the EU.

Vietnam steps up trade promotion in Cambodia

The Vietnamese Embassy in Cambodia in coordination with the Ministry of Industry and Trade (MoIT)'s Asia–Africa Market Department held a trade forum in Phnom Penh on June 7, which brought together more than 100 businesses of the two countries.

In his remarks, Ambassador Nguyen Huy Tang noted that economic cooperation has received the attention of the two countries’ high-ranking leaders, saying it is necessary to foster the economic, trade and investment links to maximise potential and advantages of the two neighbouring countries.

The forum offers an opportunity for Vietnamese and Cambodian businesses to exchange information, seek partners, stay updated on new economic policies of the two countries, and speak of obstacles to their operations and propose solutions to them, he said.

Ho Siv Yong, from the Cambodian Ministry of Commerce, highlighted trade opportunities in Cambodia, saying the country’s international trade policy has focused on capacity improvement to accelerate its integration into the regional and global economy.

Chea Vuthy, Deputy Secretary General of the Investment Board under the Council for the Development of Cambodia, also briefed the participants on Cambodia’s investment policy.

Within the framework of the event, Vietnamese businesses set up booths introducing their products, aiming to enhance connectivity with Cambodian partners.

Fast ground clearance enables Belt Road No.3 project to start on June 18

Ho Chi Minh City has handed over more than 81% of the land needed for the section crossing the city of Belt Road No.3 project, enabling its construction to be launched on June 18 in Long Binh ward of Thu Duc city, according to HCM City’s Management Board of Traffic Works Construction and Investment.

The board reported that so far, localities across the city have provided the investor with about 335 hectares out of the total 410 hectares of land for the project in the city.

Director of the board Luong Minh Phuc said that along with ground clearance, the selection of contractors and consultant agencies is also making progress. The project is expected to open to traffic in late 2025 and fully complete in 2026, he said.

Phuc attributed the good result in ground clearance work to the efforts from the local Party Committees and administrations at all levels and the support of local residents in the project site.

He said that in the time to come, the investor will work with relevant agencies and localities to implement measures to complete the work by December 31.

Belt Road No.3 has a total length of about 76km and total investment of over 75.3 trillion VND (3.2 billion USD), crossing HCM City as well as Binh Duong, Dong Nai and Long An provinces.

In HCM City, the 47.51km section of the project spans Thu Duc city and districts of Hoc Mon, Cu Chi and Binh Chanh.

Bac Giang to export lychee via Kep railway station

The northern province of Bac Giang will export lychee, one of its specialties, via the Kep railway station for the first time this year, heard a conference on lychee consumption promotion on June 7.

The railway station has launched its international freight transportation services since February 2023. Its handling capacity is from 80 to 100 carriages or containers per day.

According to Tran The Hung, Director of Railway Transport and Trade JSC that operates the railway station, preparations for the transportation of the fruit to neighbouring China have been completed.

The railway station is capable of carrying up to 300 tonnes of lychee from Bac Giang’s Lang Giang district to Pingxiang of China each day, he said, noting that the rail transportation will help save time and ease congestions at border gates.

The conference was held by the People’s Committee of Luc Ngan district - home to largest area of lychee in Bac Giang and the country at large with over 17,000 hectares this year which are expected to yield some 98,000 tonnes.

Chairman of the district People’s Committee La Van Nam said with its outstanding quality, Luc Ngan’s lychee has been shipped to nearly 40 countries and regions worldwide.

Luc Ngan will create the best possible conditions for farmers, businesses and traders both at home and abroad to harvest, process and export the fruit this year and the years to come, he pledged.

Participants at the conference shared experience in lychee transportation and export, and proposed some solutions on customs procedures.

Paul Le, Vice President of Central Retail Vietnam, said the group committed to purchasing about 300 tonnes of Bac Giang’s lychee this year, adding that Central Retail has provided guidelines for enterprises, cooperatives and suppliers in the locality in terms of conditions and procedures to put the fruit on shelves of supermarket chains like GO!, Big C and Tops Market.

It has also stepped up cooperation with e-commerce platforms and applications to promote lychee consumption, he added.

Vice Chairman of the provincial People’s Committee Phan The Tuan suggested ministries and agencies continue with negotiations to help facilitate the export of the province’s key agricultural products via the official channel.

On this occasion, representatives of businesses and cooperatives signed agreements on cooperation in lychee consumption in 2023 and the coming years, and cut the ribbon for the export of lychee to foreign markets.

Since obtaining a certificate of geographical indication (GI) from the Ministry of Agriculture, Forestry and Fisheries of Japan (MAFF) in March 2021, the lychee grown in Luc Ngan district has seen its competitiveness and export volume significantly rising.

The fruit is the first Vietnamese farm produce to be granted such certificate from Japan, with related negotiations lasting for nearly three years. In addition to the demanding market, the fruit has already earned geographical protection in six others, namely China, Laos, Cambodia, the Republic of Korea, Singapore, and Australia.

Bac Giang is set to push ahead with building brands, trademarks, and expanding the market for local agricultural products, said the provincial Department of Agriculture and Rural Development.

In particular, trade promotion and e-commerce use will be supported to advertise products in domestic and foreign markets.

Bac Giang currently has 52 provincial products, comprising eight key products (lychee, chicken, pork, citrus fruits, quality rice, vegetables, peanuts, and fish), 14 typical products, and 30 potential products. Some have been entitled to protection abroad, including “My Chu” (Chu noodles), “My Ke” (Ke noodles), “Vai thieu Luc Ngan” (Luc Ngan lychee) with geographical certification protected in Japan, the Republic of Korea, and Thailand; “Ga doi Yen The” (Yen The hill chicken) protected in Singapore, China, and Laos; and “Vai thieu Luc Ngan” protected in the US, Australia, and Singapore.

HCM City seeks stronger cooperation between local firms and Japanese counterparts
 
Vice Chairman of the Ho Chi Minh City People’s Committee Vo Van Hoan on June 8 suggested enhancing cooperation and coordination between Japanese firms in the city and local enterprises.      

At a reception for Mizushima Kozo, President of the Japanese Chamber of Commerce and Industry in HCM City (JCCH), and a delegation of Japanese businesses, Hoan said the city always supports the chamber’s operation, and stands ready to remove obstacles facing Japanese firms, and listen to their proposals during its construction and development.

He noted that the increasing number of the JCCH’s members reflects the close coordination between local authorities and Japanese enterprises, as well as the attractiveness of the local investment environment.

The official used the occasion to thank Japanese businesses for their contributions to the city’s development, especially in COVID-19 prevention and control and post-pandemic economic recovery and development.

Hoan suggested the JCCH step up connectivity activities with local businesses to exchange information and seek cooperation opportunities in such areas as goods supply chain and high-quality personnel training, while organising culture and sport exchanges.

For his part, Kozo lauded HCM City’s efforts in maintaining annual roundtable conferences to remove roadblocks to the operation of Japanese firms, enabling them to contribute to the development of the country’s largest economic hub.

Japanese companies wish to maintain and expand contact with local authorities, he said, suggesting HCM City leaders help them organise culture and sport activities in the city in 2023 to mark the 50th anniversary of the Vietnam-Japan diplomatic ties.

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