While Vietnamese shrimp exports in May dropped slightly by 1.5% compared to the same period last year, pangasius exports increased by 10% year on year, according to data given by Vietnam Association of Seafood Exporters and Producers (VASEP).

During the five-month period, pangasius exports grossed nearly US$755 million, representing a slight increase of 3% year on year, while shrimp exports brought back US$1.3 million, maintaining a positive growth rate of 7%.

Meanwhile, the country’s tuna exports in May rose by 36% to more than US$95 million in value, raising the five-month export turnover to nearly US$397 million, an annual rise of 25%.

Most notably, crab exports in May skyrocketed by nearly 92% to more than US$26 million, increasing five-month turnover to US$101 million, up 84% year on year. China and Japan were the two largest consumers of Vietnamese crab in the reviewed period.

VASEP statistics indicate that in May alone Vietnamese aquatic exports edged up by 7% year on year to US$870 million, thereby raising their five-month turnover to US$3.6 billion, up 7% year on year.

With regard to export markets, the United States remained the country’s largest aquatic export market in May with turnover reaching US$170 million, up 13%. This was followed by Japan with US$156.5 million, up 14%, and China with US$149 million, down 8%.

Moreover, the country’s seafood exports to ASEAN member countries fell by 17% to US$48.6 million year on year.

Rice exporters divided on minimum export prices

There should be a minimum export price for Vietnamese rice to prevent companies from engaging in price wars, undercutting each other, said industry insiders after a recent incident in which Vietnamese exporters won a bid to supply Indonesia’s State Logistics Agency (Perum Bulog) with 100,000 tonnes of rice for a total of US$55 million.

Lộc Trời had the lowest bidding prices among bidders at $563 per tonne, $16 lower than the initial price of $579 per tonne and $24 lower than the domestic rice price listed by the Việt Nam Food Association.

Huỳnh Thị Bích Huyền, chairwoman of the Ngọc Quang Phát Import-Export Joint Stock Company based in the Mekong Delta province of Cần Thơ, said the Vietnam Food Association (VFA) should establish a minimum price for rice exports. She said the minimum price, once implemented, would prevent bidding exporters from selling too low, ensuring safety for themselves and farmers.

“Right now we need solidarity and cooperation among Vietnamese rice exporters. Established corporations such as the Northern Food Corporation (Vinafood 1) and Southern Food Corporation (Vinafood 2) can represent Vietnamese rice exporters in bidding wars in certain countries. Once the contracts are secured, they can divide the orders later,” she said.

Huyền said the most important objective remains the bottom line.

“It’s useless, if not counter-productive, to win many low-priced contracts, which are very likely to cause loss to both exporters and farmers,” she added.

Huyền was concerned that if exporters abuse fire-sale tactics to get out of short-term financial difficulties they will pose a danger to themselves, farmers and their creditors.

Others took an alternate view, voicing their support for giving exporters freedom to conduct business and negotiate prices with their buyers.

“We all want to sell rice at a high price but rigid sticking to a rule can mean no contracts at all,” said Nguyễn Việt Anh, director-general of the Phương Đông Food Co., Ltd.

“Exporters must find a balance between being reasonable and profitable. It’s also their right in a free market. Having a minimum price with no contracts will only make things worse.”

During a recent meeting with rice exporters in Cần Thơ, Deputy Minister of Industry and Trade (MoIT) Phan Thị Thắng said the Government has been working to improve regulations governing the Southeast Asian country’s rice industry.

Thắng said in the meantime, exporters must place great importance on actively monitoring the global rice market and understanding partners before signing contracts, reinforcing cooperation among rice-exporting enterprises to avoid unhealthy competition, market disputes and contract breaches.

After Lộc Trời announced the Indonesian contract last week, the Export-Import Department under the MoIT demanded the Vietnam Food Association (VFA) and its members submit a report regarding the supposedly low prices. The VFA was told to take measures to protect the domestic rice market, ensure export efficiency and maintain the reputation of Vietnamese rice on the global market.

Meanwhile, a representative from Lộc Trời said that all of its bids had been carefully considered to ensure mutual benefits for exporters, farmers and the market as well as for the long-term development of Việt Nam’s agricultural products.

VFA Chairman Nguyễn Ngọc Nam said in recent years, Indonesia has divided orders into smaller tenders, allowing companies from various countries to participate directly, pushing prices down further.

"In principle, the enterprise with the lowest bid will win, but Indonesia’s new rule is that the three lowest bidders enter another negotiation round to select the winners,” said a VFA representative.

Indonesia remains Việt Nam’s second-largest rice export market.

Last year, Việt Nam’s total rice exports to Indonesia reached nearly 1.2 million tonnes, an almost tenfold increase compared to the previous year, accounting for 14.5 per cent of Việt Nam’s total rice exports. In 2024, Indonesia plans to import approximately 3.6 million tonnes of rice, an increase of 1.6 million tonnes from their initial target. 

HCM City announces list of businesses owing taxes

The HCM City Tax Department has announced a list of 267 businesses and individuals owing over VNĐ4.6 trillion (US$187.8 million) in taxes and other revenues as of April this year.

These are units and individuals who have not fulfilled their obligations to pay the budget in accordance to tax laws.

According to the municipal tax department, at the top of the list of businesses owing over taxes is Xuyên Việt Oil Travel and Transport Trading Company Limited, owing over VNĐ1.68 trillion.

There are five other enterprises with debts of over VNĐ100 million and ten businesses with tax debts from VNĐ100 to VNĐ50 billion.

There are nearly 250 businesses in the service and manufacturing sector who owe less than VNĐ50 billion in taxes.

In addition, there are some individuals in and outside the country who owe billions of Vietnamese đồng in taxes. 

Higher demand, prices lift seafood exports in first five months

Seafood exports in Việt Nam grew in the first five months of the year, with positive signals seen in major markets in terms of both demand and prices, said the Vietnam Association of Seafood Exporters and Producers (VASEP).

In May, the country’s seafood exports are projected to reach US$870 million, reflecting a growth of more than 7 per cent over last year.

Tuna and crab exports have experienced significant advancements, while tra fish, squid and octopus exports have seen a modest increase.

However, shrimp exports have slightly declined compared to the previous year.

Overall, seafood exports for the first five months of the year were estimated to reach $3.6 billion, up 6.5 per cent year-on-year.

Việt Nam's tuna exports increased by 36 per cent to over $95 million in May, with canned tuna up 18 per cent, bagged tuna up over 3.5 times, frozen tuna loins/fillets up 25 per cent and frozen whole tuna up nearly 7 times compared to the same period last year.

In the same period, crab exports soared by 92 per cent, tra fish rose 10 per cent, while exports of squid, octopus and other fish species saw a modest 3 per cent growth. In contrast, shrimp exports declined by 1.5 per cent.

For the first five months, tuna exports rose 25 per cent to nearly $397 million, while crab exports hit $101 million, an 84 per cent jump, mainly driven by a doubling of crab product exports. China and Japan, the two largest markets, increased their imports of Vietnamese crabs.

Tra fish and shrimp exports during the period increased 3 per cent and 7 per cent on year, respectively, to nearly $755 million and $1.3 billion.

Major markets, including the US, Japan, the EU and South Korea, are gradually showing signs of recovery in both demand and import prices for seafood.

In May, exports to these markets grew positively, ranging from 5 to 26 per cent.

On the other hand, exports to China declined by 8 per cent over last year. The US remained the top market with 13 per cent growth, reaching $635 million worth of seafood imports from Việt Nam.

Exports to Japan, China, South Korea and the EU had modest growth of 3-4 per cent. 

Three state-run banks lend US$1.8 billion to Long Thanh airport project

Three major state-run banks – Vietcombank, VietinBank and BIDV – signed a deal in Hanoi today, June 1, to lend US$1.8 billion to the Airports Corporation of Vietnam (ACV) to carry out Component 3 of the first-phase Long Thanh International Airport project, reported local media.
This funding makes up 45% of the total cost of the third component that needs VND99 trillion and consists of essential works in the airport. The airport project has four components.

Vietcombank is the lead bank, providing US$1 billion, while US$450 million comes from VietinBank and US$350 million from BIDV.

Nguyen Thanh Tung, general director of Vietcombank, was quoted by Tuoi Tre newspaper as saying that this is the largest credit agreement in the banking system.

This is the first project to gain access to medium and long-term funding sources in U.S. dollar from state-run commercial banks with more competitive conditions than from international financial institutions.

Speaking at the signing ceremony, Prime Minister Pham Minh Chinh said that the Party and State have identified the construction of a synchronized, modern infrastructure system as one of the three strategic breakthroughs for national development.

PM Chinh highly appreciated the successful joint funding arrangement by Vietcombank, VietinBank and BIDV for the Long Thanh airport project, saying this is an important premise to encourage domesitc commercial banks to continue proactively cooperating in significant and important projects.

“For the first time, state-owned commercial banks have partnered to lend a major project US$1.8 billion, equivalent to over VND40 trillion. This demonstrates the spirit of self-reliance and resilience of the Vietnamese people,” emphasized the PM.

Nguyen Thi Hong, governor of the State Bank of Vietnam (SBV), said at the signing ceremony that the credit deal is a worthwhile effort of the three state-run banks to inject capital into projects of national importance and the economy as a whole.

Farmers, businesses pin hopes on high-quality rice fields

Farmers and businesses in the Mekong Delta are pinning their hopes on the first one million hectares specializing in high-quality, low emission rice cultivation.

Agricultural officials have been visiting rice fields twice a week to inspect and provide careful recommendations, said Director Nguyen Cao Khai of Thuan Tien Agricultural Service Cooperative in the Mekong Delta City of Can Tho’s Vinh Thanh District. Cooperative members have been keeping daily logs of each task involved in the rice production process.

This has been the routine for the past two months in Thuan Tien village in Vinh Thanh District of Can Tho City, which has been selected as a pilot project to kickstart the implementation of the one million hectare high-quality rice project with low emissions linked to green growth in the Mekong Delta (abbreviated as the Project).

Can Tho City, along with Tra Vinh, Soc Trang, Kien Giang, and Dong Thap, are the five localities which were selected for the pilot implementation of the Project. According to members of Thuan Tien Cooperative, farmers in the area are very happy to receive support for seeds and 50 percent of fertilizer costs to carry out the Project. The OM 5451 rice variety grown by the cooperative members has already started to flower. Even better, a company has promised to buy rice at a price which is VND300 a kg higher than the market price.

Farmers working on the pilot fields were provided with certified seeds and trained to apply alternate wetting and drying (AWD) water-saving technology, site-specific nutrient management (SSNM), and machine-sown rows combined with fertilizer application. All stages are carried out mechanically. Participating farmers are also proficient in pest management using Integrated Pest Management (IPM) methods.

Furthermore, when the rice is ripe, they use combine harvesters to harvest and collect straw from the fields to make straw mushrooms and straw fertilizer.

Like many localities in the Mekong Delta, from 2016 to 2022, Can Tho City had 32,000 farmers participating in the VnSAT project with an area of 38,000 ha. In the past, the average seed rice sowing rate for farmers in the Mekong Delta was around 100-150kg per ha. However, when implementing the project, it was only 60kg a ha. The amount of fertilizer and pesticides have been also reduced, plus less loss after harvest. Farmers are now used to writing field diaries, said Mr. Nguyen Cao Khai.

According to Vice Chairman Nguyen Ngoc He of the People's Committee of Can Tho City, the city has high expectations and is committed to making efforts to successfully implement the Project. The city is striving to build a specialized high-quality rice production area with a scale of 38,000 ha by 2025, and 50,000 ha from 2026 to 2030.

Deputy Director Le Thanh Tung of the Department of Cultivation under the Ministry of Agriculture and Rural Development said that the Project is not only purely technical but also aims to improve the infrastructure for production towards reorganizing the entire rice sector in the Mekong Delta to reduce production costs, increase rice grain value, reducing emissions and developing sustainable rural areas.

The project aims to form cooperatives, and farmer organizations as well as establish close links with businesses to consume rice at a higher value level to increase farmers' incomes.

Currently, Can Tho City, Soc Trang Province and Dong Thap Province have all chosen cooperatives to start the Project.

Deputy Minister Tran Thanh Nam of Agriculture and Rural Development said that the success of the Project to sustainably develop 1 million hectares of specialized high-quality and low-emission rice cultivation linked to green growth in the Mekong Delta depends on cooperatives. Therefore, the Ministry of Agriculture and Rural Development has also formulated a plan to enhance the capacity of partners and agricultural cooperatives to develop value chain linkages to implement the Project.

As per the plan, in the period of 2024-2025, the training and capacity building will be completed for 3,100 management and technical staff of 620 agricultural cooperatives which registered to participate in the Project and 3,000 agricultural extension officers who communicate to farmers about agricultural information on natural resources, animals, crops, on how best to utilize the farmland, how to construct proper irrigation schemes, economic use, and storage of water, how to combat animal disease and save on the cost of farming equipment and procedures.

Also in this period, roughly 200,000 farmers will be trained on sustainable rice production practices, emission reduction linked to green growth, and skills to register and assess emission reduction at the household level. The training aims to enhance the capacity of agricultural cooperatives, farmers and other stakeholders involved in the high-quality, low-emission rice value chain.

Director Nguyen Cao Khai hopes that the linkage between farmers and businesses will be closer. Businesses fulfill their commitments to purchase rice so that farmers will have more motivation to expand the area under the Project.

Approval of policy framework for Block B - Ô Môn project

Deputy Prime Minister Trần Hồng Hà signed Official Dispatch No. 361/TTg-CN on June 3, 2024, approving the policy framework on compensation, support and resettlement for the Block B - Ô Môn Pipeline Project.

The Deputy Prime Minister has instructed the Vietnam Oil and Gas Group, the Ministry of Natural Resources and Environment and the People's Committees of Cần Thơ, Cà Mau and Kiên Giang provinces and cities to take comprehensive responsibility for the accuracy of the information and data. They are also directed to implement the approved policy framework in accordance with legal regulations.

The Block B - Ô Môn gas-to-power project is a key national energy project with a total investment of nearly US$12 billion. This project includes various components such as gas extraction, pipeline construction and power plants.

The project will have a total investment of approximately $1.277 billion, with the Vietnam Gas Corporation contributing up to 51 percent of the capital. The Vietnam Gas Corporation and its partners will construct an offshore and onshore pipeline system extending about 431 km, along with landfall stations, gas distribution stations, valve stations and auxiliary works to transport gas from Block B to the Ô Môn Power Centre (Cần Thơ city).

The Block B - Ô Môn pipeline project is expected to operate for 23 years, from 2027 to 2049. 

Construction ministry urges new credit package for low-income home buyers

The Ministry of Construction has urged the State Bank of Việt Nam to study a new credit package for low-income home buyers with preferential interest rate 3-5 per cent lower than lending rates provided by commercial banks.

The proposal was noted in the ministry’s report on the on-going drive to develop at least a million social housing apartment units by 2030.

The lower-rate preferential credit would be over terms of 10-15 years.

The Ministry of Construction said that the new credit package will help low-income earners to buy houses, with evidence they are not buying homes. The disbursement of the VNĐ120 trillion (US$4.7 billion) social housing credit package is stagnant; after a year in operation, less than 1 per cent, or VNĐ1.144 trillion, has been distributed.

The VNĐ120 trillion support package provides preferential loans from commercial banks to social housing developers and buyers at rates 1.5-2 per cent lower than the normal lending rates.

In early 2023, the Ministry of Construction had proposed a credit package worth VNĐ110 trillion to promote social housing development, similar to the VNĐ30 trillion package introduced in June 2013.

That proposal was rejected and the VNĐ120 trillion credit package implemented instead.

Statistics from the Ministry of Construction showed that to date, 30 localities have announced 72 projects eligible for the VNĐ120 trillion package.

More than 500 social housing projects are being built across Việt Nam, 75 of which have been completed, a total of nearly 40,000 apartments.

RoK businesses seek opportunities in Vietnamese market

The Economic and Science Promotion Agency of Gyeonggi-do province of the Republic of Korea (RoK) announced on June 5 that it has completed a pilot project to support businesses from northern provinces and cities in connecting with Vietnam.

With the goal of promoting exports and supporting small potential businesses in seeking partners in Vietnam, Gyeonggi-do coordinated with agencies from Goyang, Namyangju, and Paju cities to establish a market pioneer group, which provided a total of 114 consultancy sessions and promoted the signing of contracts worth nearly 4.4 million USD.

It collaborated with the Global Business Centre (GBC) in Ho Chi Minh City to implement a plan for supporting businesses in conducting promotion activities in the Vietnamese market focusing on the economic hubs of Hanoi and HCM City.

Gyeonggi-do provided comprehensive assistance, including pre-scouting for buyers, arranging direct consultancy sessions, covering overseas marketing expenses, and operating a local consulting centre, among others.

During this promotion campaign, Saeang Co., Ltd., based in Namyangju city, which specialises in beauty products made from herbal ingredients, conducted eight business-matching sessions with partners in HCM City and Hanoi. The firm inked a three-year agreement with a Vietnamese partner to develop products for hair loss treatment, and an export contract worth 450,000 USD.

To achieve effective trade promotion, Gyeonggi-do supported businesses in contacting partners in Vietnam to carry out additional procedures following negotiations, and provided indirect marketing services through video consultancy.

According to director of the agency Kang Seong-cheon, the Korean province will continue to send market development groups and provide marketing support to help local small- and medium-sized enterprises make inroads into the Vietnamese market./.

Bac Giang to scale up large-timber forest

The northern province of Bac Giang is set to develop more large-timber forest with a view to helping improve the local forestry sector’s production value, said Vice Chairman of the provincial People’s Committee Le O Pich.

Bac Giang targets at least 16,000ha of large-timber forest by 2025, equivalent to 20% of its total concentrated planted forest.

In 2024 and 2025, it will cultivate about 3,317ha of large-timber forest while converting some 5,783ha of small-timber forest into large one, mainly in Son Dong, Luc Ngan, Luc Nam, and Yen The districts, Pich noted.

The provincial Department of Agriculture and Rural Development will step up communications to raise public awareness of benefits from large-timber forest such as raising income and protecting the environment, and coordinate with local authorities to persuade forest owners to develop this type of forest.

From now to 2025, the sector will boost the application of high technology to forestry production. In particular, it will increase transferring new varieties produced by advanced techniques and maintain the use of intensive afforestation techniques to improve forest quality.

In addition, Bac Giang will build effective intensive afforestation and forest conversion models so that local people can visit and learn experience from, according to the Vice Chairman.

Ha Minh Quy, Deputy Director of the Department of Agriculture and Rural Development, said large-timber forest generates profit nearly 50% higher than the small one. This type of forest has less impact on land as it doesn’t require as many much hoeing and turning over soil during cultivation as the planting of small-timber forest, thus reducing risk of soil erosion caused by rain and flooding.

Vietnam already signed the Voluntary Partnership Agreement on Forest Law Enforcement, Governance and Trade (VPA/FLEGT) with the EU, he noted, considering this as a great opportunity for wood processing businesses to expand export markets, further access technology to improve product quality, and bring about higher profit for both businesses and forest growers.

Of Bac Giang’s total area of 389,559ha, 161,177ha is zoned for forestry, accounting for 41.4%. It consists of over 13,600ha of special-use forest, 18,509ha of protection forest, and 129,066ha of production forest.

There is about 80,000ha of timber forest supplying material for processing in the province, concentrating in four mountainous districts – Son Dong 27,000ha, Luc Ngan 25,000ha, Luc Nam 15,000ha, and Yen The 13,000ha. The majority of the area is “keo” (Acacia) with 61,000ha while “bach dan” (Eucalyptus) makes up 17,000ha.

Nearly 20,000ha of the planted forest has been granted the Forest Stewardship Council (FSC) certificate, mainly in Son Dong, Luc Ngan, and Yen The districts, statistics show.

Bac Giang logged 1.12 million cub.m. of timber from planted forest last year and another 103,129 cub.m. in the first two months of 2024. The volume is set to reach some 1.1 million cub.m. this year.

By the end of 2023, the province had planted more than 12,662ha of large-timber forest. About 1,619ha is expected to be planted this year, when 2,802ha of small-timber forest will also be converted into large one.

Across the province, there are 64 establishments processing timber for export at present, including 16 directly exporting wood products. Businesses’ data show that wood export value approximated 2 trillion VND (78.5 million USD) in 2023./.

Bank savings of individual customers recover while institutional savings decline

Deposits of individual customers at banks have increased again since February this year, after declining in January, the latest statistics from the State Bank of Vietnam (SBV) showed.

Deposits by the end of February increased by 1.6% compared to the beginning of this year to reach nearly 6.64 quadrillion VND.

While savings of individual customers increased, savings of institutions and corporate customers at banks at the end of February this year decreased by 4.66%, compared to the beginning of the year, to 6.52 quadrillion VND.

Due to that decline, the total deposits of the entire banking system decreased slightly, from more than 13.17 quadrillion VND at the end of January to 13.16 quadrillion VND by the end of February 2024.

Previously, total deposits in the banking system at the end of January this year declined nearly 200 trillion VND, compared to the end of 2023 to more than 13.17 quadrillion VND.

Deposits of individual customers have returned to the banking system in spite of low interest rates, although banks have begun to adjust the rates up.

According to the SBV, as of March 31 this year, the average deposit interest rate was 3.02% per year, down 0.5% compared to the end of 2023.

Data from Q1 2024 financial statements of 27 commercial banks also showed total deposits of the entire banking industry only increased slightly by 0.7% compared to the end of 2023, in the context that deposit interest rates continuously decreased in the first months of the year.

The top three companies which attracted the highest deposits in Q1 2024 were still in the group of State-owned banks with a total savings of more than 4.51 quadrillion VND, an increase of 544.62 trillion VND compared to the end of 2023 and accounting for nearly 46% of the total deposits of the entire banking system.

BIDV continued to lead with total deposits of more than 1.7 quadrillion VND, an increase of 1.8% compared to the end of 2023. VietinBank followed with more than 1.4 quadrillion VND, up 1.2%. Vietcombank ranked third with total deposits of 1.3 quadrillion VND, down 3.4%.

In the group of private banks, Military Bank led with nearly 558.83 trillion VND in deposits in Q1 2024, down 1.5% and ranked fourth in the entire banking industry. Sacombank followed with a deposit of 533.36 trillion VND, an increase of 4.4%.

A number of private banks also recorded an increase in deposits in Q1 2024, such as ACB with total deposits increasing by 2.1% to 492.8 trillion VND; Techcombank with 458.04 trillion VND, up 0.8%; VPBank with 455.82 trillion VND, up 3%; and HDBank with 378.79 trillion VND, up 2.2%./.

Lao official works with Vietnamese leading enterprises

Head of the Lao People’s Revolutionary Party (LPRP) Central Committee's Inspection Commission and the Central Anti-Corruption Commission of Laos and President of the Lao State Inspection Authority Khamphan Phommathat held separate working sessions in Hanoi on June 4 with leaders of the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) and the Viettel Military Industry and Telecoms Group (Viettel).

BIDV General Director Le Ngoc Lam highlighted the bank's extensive experience and strong presence in Vietnam. With nearly 2.32 quadrillion VND (90 billion USD) in assets and a network of over 1,000 branches and transaction offices at home and abroad, BIDV is Vietnam's largest commercial bank. Lam emphasised Laos's significance to BIDV, noting its status as the first foreign market the bank entered in 1999.

Through a joint venture with the Banque Pour Le Commerce Exterieur Lao Public (BCEL), BIDV established the Laos-Vietnam Joint Venture Bank. This partnership fulfills the Vietnam-Laos cultural, scientific, and technical cooperation agreement established by both countries' leaders.

Lam pointed to BIDV's concrete contributions to Laos’s development. The bank has directly funded 11 projects worth over 480 million USD. These projects, now operational, have facilitated transport and trade between the two nations while generating jobs for hundreds of thousands of Lao workers.

BIDV remains committed to Laos as a key strategic market for long-term investment and expansion, aiming to be a trusted partner with a strong focus on social responsibility, he said.

In response, Khamphan expressed gratitude for BIDV's support and its role in financing Lao economic projects. He expressed his hope for BIDV's continued successes, believing it will further solidify the relationship between Vietnam and Laos.

Welcoming the Lao delegation, Viettel Deputy General Director Maj. Gen. Do Minh Phuong outlined the company's impressive growth in Laos. Viettel's joint venture, established in 2008, launched its mobile network Unitel in 2009. Today, Unitel boasts 3.5 million subscribers and a 57% market share, making it the country's biggest telecom service provider. Significantly, Unitel is a major contributor to the Lao State budget and generates jobs for about 27,000 workers.

The company has built over 9,400 base stations, with nearly half supporting 4G technology. Additionally, Viettel has laid over 37,500km of fiber optic cables. Unitel takes pride in its extensive network, covering all districts nationwide. With 4G service reaching 70% of villages, Laos boasts some of the best 4G coverage and speed in Southeast Asia, providing high-speed Internet access to a wider population.

Beyond infrastructure, Viettel is committed to social responsibility initiatives. The company has provided free internet access to schools, trained specialists in information technology, and supported the construction of schools, medical stations, and relief efforts following natural disasters and COVID-19 outbreaks, he said.

The Lao official hoped that Viettel will continue to reap more successes and further expand its business and investment in Laos./.

Enterprises urged to grasp Thai consumers’ taste to boost exports

The Ministry of Industry and Trade (MoIT) has suggested Vietnamese enterprises further learn about Thai consumers’ taste and the country’s regulations and technical standards to boost exports to this market.

The enterprises were also urged to apply advanced technologies in processing and storing to ensure their products’ quality during the transport process.

The MoIT noted the trends of green consumption, organic products and environmentally friendly consumption in Thailand, particularly food and consumer goods.

According to the MoIT's Asia-Africa Market Department, since the establishment ofVietnam-Thailand diplomatic ties in 1976 and the upgrade of their relations to the enhanced strategic partnership in 2015, the two countries have witnessed growing cooperation and friendship.

Thailand is currently Vietnam's largest trading partner in the Association of Southeast Asian Nations (ASEAN). Meanwhile, Vietnam is Thailand's second largest trading partner, after Malaysia, in ASEAN.

According to the General Department of Customs, the total import-export turnover between the two countries increased from 10.5 billion USD in 2013 to nearly 19 billion USD in 2023. Especially, in 2022, the turnover reached 21.6 billion USD, exceeding the 20 billion USD mark for the first time. The two countries are aiming to soon reach a bilateral trade turnover of 25 billion USD in a more balanced direction.

The MoIT has implemented activities to boost the Vietnam-Thailand economic and trade relations, including working sessions with Thai authorities to review and update the cooperation in trade, industry and energy between the two countries.

At the 4th meeting of the Joint Trade Committee between Vietnam and Thailand held in Bangkok in 2022, the two sides mapped out plans and action programmes to strengthen their cooperation, including minimising the application of unnecessary trade barriers towards removing these barriers. The move aims to ensure the normal operation of supply chains, establish information exchange channels between agencies in charge of trade defence, and coordinate to organise trade promotion activities in Thailand and Vietnam.

In addition, Thai retail corporations were suggested on to act as a bridge to bring Vietnamese goods to Thai consumers and those in countries where Thailand has invested in distribution systems.

The MoIT has also paid attention to supporting enterprises in market research and forecast, market information access and trade promotion./.

Manufacturing, processing push up industrial growth in five months

Vietnam's industrial sector experienced positive growth in the January-May period, with 55 out of 63 provinces and centrally-run cities nationwide reporting annual increases in the Index of Industrial Production (IIP), according to the General Statistics Office (GSO).

The GSO identified manufacturing, processing, and electricity production and distribution as the primary drivers of the growth. Provinces recording high growth included Phu Tho (31.2%), Bac Giang (24.9%), and Binh Phuoc (14.8%). However, some other provinces like Ha Tinh, Quang Ngai and Ca Mau saw respective declines of 9%, 8.25% and 2.5% in their indexes.

Overall, the national IIP in May continued its upward trajectory, rising 3.9% month-on-month and 8.9% year-on-year. The five-month period saw an yearly increase of 6.8%.

A deeper analysis revealed the processing and manufacturing industries as the key contributor to the growth, boasting a 7.3% rise and adding 6.4 percentage points to the overall increase. The electricity production and distribution sector also performed strongly, with 12.7% growth, contributing 1.1 percentage points. Additionally, the water supply, waste, and wastewater management sector went up 6.3%, adding 0.1 percentage point. However, the mining sector experienced a decline of 5.2%, resulting in a reduction of 0.8 percentage point in the overall growth.

Specific product categories within the processing and manufacturing sectors posted impressive growth. Production of rubber and plastic products surged by 27.4%, while electrical equipment saw a 24% increase. Production of chemicals and chemical products grew by 20.1%, followed by beds, cabinets, tables, and chairs (19.6%) and metal products (13.2%).

In light of these findings, the GSO proposed a series of recommendations to further bolster Vietnam's industrial development. It urged the Ministry of Industry and Trade (MoIT) to prioritise a structural shift toward increasing the proportion of processing and manufacturing industries within the overall industrial sector, while simultaneously reducing reliance on the assembly and processing of imported products; enhance enterprise competitiveness and incentivise the use of domestically produced goods via technical barriers for certain imports.

Additionally, the GSO recommended that the MoIT refine key institutions such as the Key Industrial Law and the Law on Chemicals. Expediting the disbursement of public investment capital and hastening crucial projects in the fields of electricity, oil and gas, manufacturing, processing, and mining are also highlighted as crucial steps.

Head of the GSO’s Industrial and Construction Statistics Department Phi Thi Huong Nga suggested that localities should launch more stimulus and promotion schemes to increase purchasing power while helping industrial firms find partners and expand markets through trade exhibitions./.

Vietjet opens Hanoi- Melbourne route

The first flight from Hanoi to Melbourne by Vietjet landed on June 4, marking the airline's sixth route connecting Vietnam and Australia.

On the new route, two round-trip flights using the wide-body Airbus A330 aircraft are operated weekly on Tuesdays and Saturdays.

According to the Victoria’s Tourism Forecasts 2023-2028, the route between Vietnam's capital and the Australian state's capital and most populous city is expected to contribute to attracting investment and driving demand for tourism, studying abroad, visiting relatives, and working in Victoria, so that it can achieve its tourism growth goals, restoring activities to pre-pandemic levels by 2025.

33rd Meeting of ASEAN Directors-General of Customs opens

The General Department of Vietnam Customs is hosting the 33rd Meeting of the ASEAN Directors-General of Customs that opened in Phu Quoc city, the Mekong Delta province of Kien Giang on June 4.

As the most important annual event of the cooperation mechanism in the field within the bloc, the meeting drew the participation of some 100 delegates from the 10 ASEAN member states, the ASEAN Secretariat, and ASEAN partners including China, Japan, the Republic of Korea, Australia, the World Customs Organisation, the US-ASEAN Business Council, and the EU-ASEAN Business Council.

In his opening remarks, Director General of the Vietnam Customs Nguyen Van Can highlighted the country's efforts to effectively carry out initiatives and commitments to realising the bloc’s common targets, comprising plans to build digital and smart customs.

He said it is time for the ASEAN customs to join hands for a new journey with higher targets on integration and connectivity, helping build a future economy of comprehensiveness, sustainability and digital economy as stated in the joint statement of the 11th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting.

According to Can, the Vietnam Customs will promote its bridging role to continue implementing and completing cooperation initiatives within ASEAN so as to build a united community as well as promote the bloc’s important role and position in the region’s peace, security and prosperity. Furthermore, it will work to make the ASEAN customs cooperation bear fruits in trade facilitation and sound border management, contributing to successfully build the ASEAN Community Vision 2025.

At the two-and-a-half-day event, ASEAN customs leaders will discuss and adopt the Strategic Plan of Customs Development (SPCD) for 2026-2030, integrate such new factors as customs digitalisation and automation, circular economy, carbon neutrality and sustainability in the new periods of the SPCD.

They will decide on orientations to continue implementing the ASEAN Single Window, ASEAN Customs Transit System, Mutual Recognition Agreements, Authorised Economic Operator, and many campaigns and cooperation initiatives to fight smuggling and trade fraud, among others.

The meeting will feature consultations with its dialogue partners, spotlighting best practices for customs management and trade facilitation as well as cooperation opportunities in the area, particularly emerging issues related to sustainability, green customs, cross-border e-commerce, and circulation of products of the circular economy.

As the ASEAN Customs Chair for 2024-2025, the Vietnam Customs will push ahead the implementation of the SPCD as schedule, and join hands with the ASEAN Secretariat to seek support resources to roll out the bloc’s customs cooperation initiatives and programmes.

At the meeting, Vietnam will put fort initiatives on green customs and those to strengthen connectivity and promote information sharing on customs control, which are expected to help ASEAN customs to concretise its cooperation goals and contribute to building a prosperous and sustainable ASEAN Economic Community and realising ASEAN’s vision of “One Vision, One Identity, One Community”.

Deputy General Director of the Vietnam Customs Nguyen Van Tho told the Vietnam News Agency on the sidelines of the meeting that hosting the meeting demonstrates Vietnam’s responsibility and full commitment as an ASEAN member.

He called this an opportunity for Vietnam to raise its position and roles in the ASEAN and global cooperation mechanisms./.

China remains largest importer of Vietnamese pangasius

The first half of May saw China and Hong Kong (China) remain as Vietnam’s leading pangasius importers that spent nearly US$22 million purchasing the products, up 9% compared to the same period last year, according to Vietnam Association of Seafood Exporters and Producers (VASEP).

As of May 15, pangasius export turnover to the market reached nearly US$175 million, down 14% year onyear.

Factors such as reasonable prices and a delicious taste made the products the best choice among Chinese consumers.

At retail stores throughout the northern neighbour, prices of Vietnamese pangasius products are reported to be cheaper than domestically produced freshwater fish, such as carp. Elsewhere, prices of other white fishin the country also increased, especially tilapia due to a reduction in output.

According to data given by the General Department of Customs, the export value of Vietnamese pangasius was estimated to be at US$76 million in the first half of May, an increase of 13% year on year.

Overall, pangasius export turnover from January 1 to May 15 reached US$656 million, up 3% year on year.

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