By rapidly building a favourable environment for investors, Binh Dinh province has grown to be an appealing economic hub in central Vietnam, attracting both domestic and foreign investments in all key sectors.

This is attributed to the effort in boosting infrastructure development, Nguyen Tuan Thanh, Standing Vice Chairman of the Provincial People's Committee, said at a press conference on March 23.

“Infrastructure investment is seen as the province’s ultimate competitive edge. With airports, seaports, airways, railways, waterways and interconnected routes along the North-South and East-West economic corridors, as well as inter-regional and inter-district connections, Binh Dinh has essentially completed its infrastructure,” Thanh said.

“This comprehensive infrastructure network positions the province as a highly attractive destination for investment.”

Binh Dinh province also focuses on building industrial zones and clusters to attract major investors and manufacturers.

As per the development plan for industrial zones and clusters in the province, there are plans to establish 10-15 industrial zones covering a total area of about 7,500ha by 2030. Currently, seven industrial zones have been successfully launched and are in operation.

Meanwhile, it aims to establish 68 industrial clusters spanning an area of 3,470ha by 2030. Currently, there are already 42 operational industrial clusters, boasting an impressive occupancy rate of over 78%.

“The land clearance process has been expedited and there has been a relatively cohesive investment in infrastructure,” Thanh added.

Also contributing to the province’s successes are the improvements in labour force and administrative procedures.

Currently, 50% of the province's population is of working age and they have been well trained to meet employment needs.

“Every year, we can provide up to 3,000 appropriately trained workers for businesses,” Thanh said.

On the other hand, the province has created optimal conditions for businesses, aiming to expedite administrative procedures.

In 2023, Binh Dinh province ranked 18 out of 63 provinces and centrally-run cities in terms of competitiveness index, while securing the top position in terms of satisfaction among its residents and businesses.

Furthermore, it organised numerous investment promotion conferences in the province and in various countries in Europe, North America and Asia last year.

These conferences are crucial opportunities for both domestic and foreign investors to learn about the potential, advantages and opportunities offered by Binh Dinh province.

Later this month, a trade promotion conference with the Vietnamese - Canadian Business Association (VCBA) will be held in Binh Dinh, the province's leader shared.

Given the core target of sustainable and green growth, the province has shown interest in developing the information technology industry, especially AI technology.

“We use our best land fund for research and science. We have made extensive efforts to attract software companies, including FPT, to set up their factories here,” Thanh said, adding that the establishment of such an ecosystem will drive the province to become a powerhouse in artificial intelligence and advanced science and technology in Vietnam as well as the region.

In 2021, FPT officially launched the Quy Nhon Artificial Intelligence Research and Application Centre in Quy Nhon city, Binh Dinh. And last May, the company continued to build a research, production and expert training centre complex here. The construction project has a total investment of more than 2 trillion VND (44.7 million USD)./.

Forum looks to promote Vietnam – Canada economic ties via CPTPP

A Vietnam – Canada business forum was held in Hanoi on March 25, aiming to enhance the bilateral economic relations via the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In his opening remarks, Vice Chairman of the State Committee for Overseas Vietnamese (OV) Affairs under the Ministry of Foreign Affairs Nguyen Manh Dong highlighted that OVs and OV businesses have unceasingly developed and affirmed their positions in foreign countries over the past time.

The Vietnamese entrepreneur community, which has been present in 130 countries and territories across the globe with 30 associations, has worked as bridges promoting economic-trade ties between Vietnam and other nations, he said, laying a stress on the contributions made by Vietnamese enterprises in Canada to consolidating and boosting the Vietnam – Canada Comprehensive Partnership in all areas, especially when both nations are members of the CPTPP.

He went on to point out that the Vietnam – Canada Business Association (VCBA) has organised various trade and investment promotion activities in both nations.

Dong expressed his hope that the forum would create opportunities for competent quarters to contribute to delivering on the goals of the two nations under their comprehensive partnership as well as the trade pact.

At the event, participants discussed and introduced potential and opportunities of Vietnamese exports in the fields of construction, garment and textiles, footwear, furniture, steel and machines, among others to Canada and the North American market as a whole.

They held that Vietnam has effectively capitalised on the CPTPP to bolster shipments to Canada where Vietnamese goods are entitled to the Most Favoured Nation (MFN) tariff and Generalised System of Preferences

However, several businesses described stringent requirements and trade barriers in Canada and the North American market as challenges for Vietnamese exporters.

The VCBA was set up in October 2022 under the direction and accompany of the Vietnam Consulate General in Vancouver. The association has connected Vietnamese and Canadian entrepreneurs with a desire to run business and land investments in the two countries, helping enhance the bilateral economic ties./.

Đức Giang Chemicals Group seeks M&A deal to enhance yellow phosphorus production

Đức Giang Chemicals Group JSC (DGC) recently disclosed its pursuit of potential merger and acquisition (M&A) deals to boost yellow phosphorus production.

DGC has plans to merge with Vietnam Apatite – Phosphorus Joint Stock Company (PAT) within this year. By the end of 2023, DGC already holds 100 per cent of the charter capital in Đức Giang-Lào Cai Chemicals JSC, which in turn possesses a 51 per cent stake in PAT.

This effectively establishes DGC's dominance over PAT through its subsidiary.

To facilitate the merger of PAT into DGC in the near future, DGC aims to increase its ownership stake in the company beyond the current 51 per cent level.

PAT operates a yellow phosphorus plant with a design capacity of 20,000 tonnes per year, while DGC and its subsidiaries have a combined capacity of 70,000 tonnes per year.

In 2023, PAT recorded a net revenue of VNĐ1.7 trillion (US$68.5 million) and a net profit of VNĐ286 billion, marking a decline of 46 per cent and 70 per cent respectively compared to 2022. These figures accounted for 9 per cent of DGC's consolidated net profit.

Given the Government's cessation of issuing licences for new yellow phosphorus plants, increasing the ownership stake in PAT will aid DGC in improving its profitability.

This M&A deal will enable DGC to streamline internal costs and align with its strategy of expanding downstream operations to achieve higher added value. It will maximise the utilisation of internal yellow phosphorus supply and reduce reliance on raw material exports.

DGC has applied for a modification of its mining licence and a five-year extension, considering the larger-than-expected reserves.

Yellow phosphorus and related product prices faced significant downward pressure in most of 2023 due to weakened global semiconductor, fertiliser, and other industrial production activities.

SSI Securities Corporation's research unit (SSI Research) projects a 12 per cent price increase for yellow phosphorus this year compared to 2023, reaching VNĐ118 million per tonne. This growth is primarily driven by the recovery in the semiconductor industry, while the demand for fertilisers remains sluggish. Currently, DGC's yellow phosphorus production facilities are operating at full capacity.

Over the next three to five years, although yellow phosphorus prices may not reach the peak of 2022, SSI Research estimates that DGC's profit potential could surpass VNĐ6 trillion, equivalent to the 2022 peak.

This optimistic outlook is attributed to the increased yellow phosphorus production capacity resulting from the new M&A deal and the expansion of downstream production of yellow phosphorus-derived products such as LCD phosphoric acid, which yields higher profit margins.

It is noteworthy that DGC's business activities hold strong growth potential, particularly due to its successful production and trading of lithium iron phosphate (LFP) batteries. DGC has already sent LFP battery samples to potential customers in South Korea, Japan and the European Union (EU).

LFP batteries represent a new generation of batteries and play a pivotal role in the development of electric vehicles. Currently, 90 per cent of LFP battery production capacity is concentrated in China. 

State Capital Investment Corporation to auction off 10 per cent stake in Việt Nam Books JSC

The State Capital Investment Corporation (SCIC) will auction off its 6.79 million shares, equivalent to a 10 per cent stake, in Việt Nam Books JSC (Savina or VNB).

The Hà Nội Stock Exchange (HNX) will conduct the auction on April 2.

Shares will be auctioned with a starting price of VNĐ15,700 per share, equivalent to a starting value of over VNĐ106 billion (US$4.3 million).

According to HNX, the sale is part of SCIC's investment portfolio restructuring plan and only changes the shareholder structure without affecting the registered charter capital of Savina.

Savina is one of the first companies established in the publishing, printing and book business sector, founded in the 1950s and has undergone over 60 years of development with various names. Its predecessor was the National Printing House, established in 1952. In 2016, Savina conducted an IPO to transform into a joint-stock company and successfully auctioned 16.5 million shares on HNX at an average price of VNĐ13,072 per share, subsequently becoming Việt Nam Books JSC.

In terms of business performance, in 2023, Savina recorded a net revenue of over VNĐ34 billion, with no significant fluctuations compared to 2022.

Savina is currently leasing and managing several prime locations in Hà Nội, including 44 Tràng Tiền, 50A Hàng Bài, 22A and 22B Hai Bà Trưng, 2 Dịch Vọng, with a total land area of 14,082 square meters for its office and retail stores. 

Work on $480m chemical complex to begin in June

Construction of Đức Giang-Nghi Sơn chemical complex, expected to cost VNĐ12 trillion (US$480 million), will begin in the central province of Thanh Hoá in June.

Covering about 30ha in Nghi Sơn Economic Zone, the complex has a designed production capacity of 136,000 tonnes of product annually, vneconomy.vn quoted its investor - Đức Giang Chemical Group JSC as saying. 

The construction will be divided into three phases. The first has a total investment capital of VNĐ2.4 trillion. 

Once fully operational, the complex is expected to earn an annual revenue of over VNĐ10 trillion, creating 1,500 jobs. 

Currently, Đức Giang Chemical Group JSC said it targeted many large customers in the Nghi Sơn Economic Zone such as Nghi Sơn Refinery, Nghi Sơn Thermal Power Plant and ones in neighbouring localities like Thái Bình 2 and Nam Định thermal power plants. 

Earlier last year, KB Securities Vietnam forecast that the complex would be completed in Q2/2025 and contribute about VNĐ670 billion in 2025 revenue to the Đức Giang Chemical Group JSC with gross profit margin of 12 per cent.

In the following years, revenue from the projects would grow at a compound annual growth rate of 20 per cent until reaching a revenue level with maximum capacity of VNĐ1.5 trillion each year, KB Securities Vietnam said. 

Đức Giang Chemical is a State-owned enterprise established in 1963 and specialises in washing powder production. It currently has nine member units nation-wide. 

HCMC enhances inspection of petroleum business establishments

The Ho Chi Minh City People's Committee directed departments and administrations in districts on the management and the use of electronic invoices for petroleum retail businesses in the city.

In particular, the municipal People's Committee directed the city Tax Department to strengthen inspection and examination of compliance with tax regulations for petroleum business establishments, especially the application of electronic invoices. Inspectors will strictly punish violators according to the provisions of the law.

At the same time, inspectors will coordinate with the police to promptly detect and strictly handle violations of tax and invoice laws according to the present regulations.

The city People's Committee also directed departments and agencies to coordinate to support and guide petroleum businesses to maintain operations according to the present regulations. At the same time, relevant agencies ought to closely monitor and organize checks and inspections on compliance with legal regulations on petroleum business, and strictly handle violations according to the current regulations.

In particular, the Ho Chi Minh City People's Committee assigned the city Police to promptly investigate new forms of electronic invoice fraud for illegal profits or appropriating state tax revenue to take appropriate measures to deter people from committing the crime.

Prices of tours, tourism services rise sharply

The prices of tours booked close to the date of departure by air have sharply increased, up to 20-35 percent compared to the same period last year, travel firms said on March 21.

Tourists feel pressured to take trips visiting destinations across the country when prices of tours and tourism services rise sharply. (Photo: SGGP)
Therefore, tourists feel pressured to take trips visiting destinations across the country.

Ms. Le Mai of HCMC’s District 10 said that seven members of her family planned to travel to the Central Highlands province of Dak Lak to visit relatives and sightseeing on the upcoming national holidays during the South Liberation and Reunification Day (April 30) and International Labor Day (May 1). However, they decided to travel by coach due to the significant growth in airfares from HCMC to Buon Ma Thuot City, ranging from VND1.5 million (US$60) to VND1.9 million (US$76) per one-way ticket, and VND3.6 million (US$144) per round trip.

Regarding travel trends in the upcoming time, Mr. Nguyen Ngoc Tan, General Director of Saco Travel forecast that tourists will choose sleeper buses for short-distance travel. Saco Travel has increased the number of 50-seat buses to meet the travel needs of customers, especially during public holidays and serving MICE travelers.

According to representatives of Ben Thanh Tourist and TST Tourist, restaurants, and accommodation facilities, tour prices have increased from 10 percent to 15 percent after the Lunar New Year. Domestic tours see an increase of 25 percent to 35 percent due to food and beverage price growth. Hence, businesses have to adjust prices of services.

Travel firms including Saigontourist, Vietravel, BenThanh Tourist, and TST Tourist pledge that they always offer the most affordable prices to clients thanks to sustainable cooperation with local and foreign service providers.

More Vietnamese people go cashless: Visa study

Visa, a global leader in digital payments, has provided its insights into Vietnam’s payment landscape with its latest Consumer Payment Attitudes study that highlights the surge in cashless transactions among Vietnamese consumers.

According to the study, 56% of Vietnamese respondents surveyed are now carrying less physical cash than they did a year ago, signaling a progressive mindset towards embracing new financial technologies. Particularly, young consumers are playing a pioneering role in the shift towards cashless payment, with 89% of the surveyed having successfully adopted cashless methods.

Visa also delves into the prevailing trends that shape up the non-cash economy in Vietnam, including the ascendance of mobile wallets. It said Vietnam is among the top Southeast Asian markets with rapid adoption of mobile wallets as the preferred method for making payments, contributing to accelerating the growth of digital finance. The country is poised to emerge as one of the regional leaders in mobile finance as four in every five Vietnamese consumers utilise mobile wallets.

Meanwhile, real-time payments (RTPs) have gained significant momentum in Vietnam, an illustration for the nation’s embrace of cutting-edge financial technologies. The RTPs offer unparalleled convenience and efficiency, driving further digitisation of the economy. In Vietnam, RTPs are growing in popularity, with at least two in five consumers having used them. Application of the RTPs has been diversified, comprising cross-border transactions, peer-to-peer transfers, merchant/retailer payments, and bill payments.

Furthermore, buy now pay later (BNPL) is a popular service availed by Vietnamese consumers, offering flexible payment options and driving consumer engagement.  Visa's strategic partnerships with leading Vietnamese retailers for Visa Instalment Solutions demonstrate the transformative impact of such solutions in fostering financial inclusion and driving business growth.

Credit cards, although less utilised for wallet top-ups and funding, are the preferred choice for BNPL plans in Vietnam. Easy to use apps, free vouchers, rewards points, and the ease of tracking payments were the key drivers for the uptake of BNPL offers.

Vietnam's cashless payment revolution presents unprecedented opportunities for economic growth and innovation, unlocking opportunities for consumers and businesses alike in the continued shift to a cashless society.

Visa Country Manager for Vietnam and Laos Dang Tuyet Dung said Visa remains committed to driving innovation and enhancing digital payment experiences for consumers.

The findings from the Visa study affirm the growing trend towards contactless transactions, exemplified by a significant 53% increase in contactless transactions made on Visa cards, a 19% surge in purchases made on Visa cards, along with a substantial rise in the total value of cross-border transactions, she added.

Statistics from the State Bank of Vietnam (SBV) revealed that non-cash payment and digital banking activities have shown positive results. As of the end of 2023, the number of individual payment accounts reached more than 182.88 million, up 21.8% year-on-year.

In January 2024, non-cash transaction surged 63.3% in volume and 41.45% in value as compared to the same time last year. Meanwhile, transactions through internet rose 57.85% in volume and 32.43% in value, and through QR codes shot up 892.95% in volume and over 1,062% in value.

The SBV has encouraged credit institutions to carry out digitalisation, promote cooperation with different sectors to form and expand the digital ecosystem, while completing legal framework, mechanisms and policies on non-cash payment./.

PepsiCo commits $400 million to build new factories in Ha Nam and Long An

American food and beverage company PepsiCo Inc will inject an additional $400 million into the construction of two new plants in Vietnam.
 
The commitment was made by a company representative on March 21 at a meeting between Prime Minister Pham Minh Chinh and a delegation of 60 US businesses during their three-day working visit to Vietnam.

PepsiCo will build a food processing factory in the northern province of Ha Nam with a total investment of $90 million. It will also pour more than $300 million into building a beverage manufacturing factory in the southern province of Long An. Both factories will be powered by renewable energy.

In December 2023, PepsiCo obtained an investment registration certificate from Ha Nam People's Committee to develop the food processing facility. The Ha Nam factory will cover 80,000 square-metres within Dong Van I Expansion Industrial Park and specialise in producing PepsiCo's snack products. It aims to supply over 23,000 tonnes of snacks a year to the Vietnamese and Cambodian markets.

Construction is scheduled to begin in early 2024 and be completed by the second half of 2025. PepsiCo also plans to develop high-tech agriculture and sustainable programmes in the locality to apply regenerative agricultural methods, including digital technology, to help save water and protect soil.

Foreign firms keen on Vietnam’s LNG market

Discussions concerning investment in liquefied natural gas (LNG) projects in Vietnam took place on March 20 during a meeting between Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan and Russia's largest LNG producer, Novatek Group.
 
Novatek is behind an integrated power plant project in Ca Na, Ninh Thuan province. The 1.5GW project is being developed by a consortium of investors including Total Gas & Power Business Services S.A.S, Siemens Aktiengesellschaftm JSC, Zarubezhneft, and Novatek.

E.N. Golm, director of Business Development at Novatek, said, "Besides the Ca Na project, we are paying special attention to the overall LNG industry in Vietnam."

Ninh Thuan People’s Committee has issued a decision recognising the consortium of investors qualified for the implementation of the Ca Na LNG Power Centre project phase 1.

Tan has urged Novatek to accelerate the project's implementation.

Other recent developments in the sector include an announcement from Tokyo Gas Co., Ltd. in January on the establishment of Thai Binh LNG Power JSC for the development of a new project in Thai Binh province in collaboration with Truong Thanh Vietnam Group and Japan's Kyuden International Corporation.

The project includes an offshore terminal and a 1.5GW natural gas-fired power plant. It will have a capacity of 1,500MW and a total investment believed to be around $2 billion.

Likewise, Singapore-based Atlantic, Gulf and Pacific LNG (AG&P), a subsidiary of US investment and development firm Nebula Energy, has acquired a 49 per cent stake in Cai Mep LNG Terminal located in Ba Ria-Vung Tau province.

According to Power Development Plan VIII, Vietnam is aiming to build 13 additional LNG power plants by 2030 with a total capacity of 22,400MW and two plants with capacity of 3,000MW by 2035. To date, the 13 power plants have approval in principle, with five currently under construction and four with investors.

Airlines prepare fan or peak season amid aircraft shortage

The Ministry of Transport has just asked the Civil Aviation Authority of Vietnam (CAAV) to prepare for peak season amid an aircraft shortage facing some major carriers.

National flag carrier Vietnam Airlines and low-cost carrier VietJet Air have reduced their flights using Airbus A321 aircraft since January, due to technical issues with Pratt & Whitney's PW1100 engines. Vietnam Airlines was forced to ground 12 of its planes, accounting for 20 percent of its narrow-body aircraft, for engine maintenance, which is set to last until 2025.

Meanwhile, Bamboo Airways only has a fleet of eight aircraft, down by over 20 since the beginning of last year, due to its internal difficulties and restructuring. Similarly, Pacific Airlines’ fleet has also been downsized.

Local airlines have 173 operational aircraft, a 25-percent fall from 2023.

To meet rising demand during the coming Reunification Day April 30 and May Day holidays, as well as the summer holiday, the ministry has asked CAAV to ensure the proper operation of local airlines.

According to CAAV, the aircraft shortages may affect domestic and international flights until next year.

CAAV has asked airlines to plan to lease aircraft during peak travel seasons. Airlines have also been asked not to ratchet up airfares and to provide daily update information on flight schedules.

Ha Long Bay receives over 610,000 visitors in Q1

The UNESCO World Heritage Site of Ha Long Bay received over 610,000 visitors, earning over VND 200 billion (USD8.07 million) in ticket sales in the first three months of this year, according to its management board.

A report from the board said that foreign tourists accounted for 529,000 visitors to Ha Long Bay, compared to just 82,000 domestic tourists.

It is forecasted that the bay will enjoy a boost in tourist numbers in April and May when summer starts. Quang Ninh authorities will organise various events to promote local tourism, including the Ha Long Carnaval 2024 to be held on April 30.

The management expects to earn over VND800 billion in ticket sales this year.

Ha Long Bay received over 2.46 million visitors, including over 1.15 million international tourists last year, earning nearly VND720 billion.

Ha Long Bay has just been listed among the world’s trending destinations by the renowned travel site TripAdvisor.

Ha Long Bay ranked third in the list of trending destinations behind the Japanese capital of Tokyo and the South Korean capital of Seoul.

Vietnamese firms asked to fully cooperate in India’s probe into tempered glass

Vietnamese businesses have been requested to fully cooperate with the Indian anti-dumping agency in their ongoing investigation into tempered glass products originating from or imported from Vietnam, according to the Trade Remedies Authority of Vietnam (TRAV).      

The TRAV unveiled that the Directorate General of Trade Remedies of India (DGTR) has recently issued an anti-dumping investigation questionnaire for coated and uncoated tempered glass products which either originate from or have been imported from both Vietnam and China.

The deadline for submitting the questionnaire list is 30 days from the date of publication of the product management code on the DGTR’s website.

The DGTG has requested that relevant parties regularly monitor its website to accurately update the deadline for submitting the questionnaire, as well as other related information.

The TRAV has also recommended that Vietnamese enterprises fully co-operate in order to prove that they are not dumping or dumping at a low level, if at all.

To promptly respond to the case, the TRAV has duly requested that related firms carefully study the questionnaire and instructions by the DGTG in order to prepare sufficient documents as required, as well as effectively cooperating with the Indian agency throughout the entire case process.

Earlier in February, the DGTR initiated an anti-subsidy investigation on coated and uncoated tempered glass products originating or imported from Vietnam.

The products are classified under HS codes 7003.1990, 7005.1010, 7005.1090, 7005.2190, 7005.2990, 7005.3090, 7007.1900, 7007.2190, 7007.2900, 7016.9000, 7020.0090, and 8541.4011.

The request was filed by Borosil Renewable Limited. 

Việt Nam's steel industry must optimise technology, save energy to promote export to EU

To promote steel exports to the European Union (EU) market, Việt Nam's steel manufacturers need to optimise technology, save energy, and carry out product quality standards of the EU, according to Đỗ Nam Bình, head of Minerals and Metallurgy Division, Department of Industry, the Ministry of Industry and Trade (MoIT).

Việt Nam has exported steel products to more than 30 markets in the world, with about 25-30 per cent of its steel exports going to the EU market.

In 2023, Việt Nam exported over 2.5 million tonnes of steel to the EU market, nearly doubling from 2022. Since the Free Trade Agreement between Việt Nam and the EU (EVFTA) that took effect in August 2020, Việt Nam has continuously expanded its market share in the EU, making it one of the main export markets of Vietnamese steel.

However, from mid-2023, especially this year, Việt Nam's steel export to the EU market has faced many challenges.

Phạm Công Thảo, deputy general director of Việt Nam Steel Corporation (VNSteel), said that export volume of Vietnamese steel to the EU accounted for 23 per cent of total exports in 2023. However, from mid-2023, exports to this market have faced two major barriers, which are safeguard measures and the carbon border adjustment mechanism (CBAM).

He said CBAM will aim to impose a carbon tax on all goods imported into EU countries, based on the intensity of greenhouse gas emissions in the production process in the host country.

According to CBAM, in phase 1, the manufacturers of steel products for export, including Việt Nam, must declare their emission levels. In the next phases, they must have CBAM emission certificates from 2026. Buying this certificate will increase production costs, leading to difficulty in price competition. So, businesses must plan to reduce carbon emissions in production Thảo said.

To meet CBAM regulations, Bình also said the steel manufacturers must continue to comply with regulations at the Law on Environmental Protection, Decree 06/2022/NĐ-CP and Decision 01/2022/QĐ-TTg, the National Strategy on Climate Change and Việt Nam's commitments at COP26.

At the same time, Việt Nam needs to have a set of product quality standards according to regulations on goods quality management.

Đinh Quốc Thái, vice chairman and general secretary of the Việt Nam Steel Association, said Việt Nam's steel manufacturing enterprises have been improving production technology to reduce raw material and energy consumption to reduce greenhouse gas emissions.

By 2035, they will gradually use green energy such as rooftop energy and renewable energy for production, as well as gradually applying a number of new technologies to reduce emissions.

Another barrier is that the EU continues to maintain safeguard measures on steel imported into the EU until June 30, 2024. 

To avoid safeguard duties, Việt Nam will have to maintain the export volume at below 3 per cent of the total EU import turnover for each type of steel product. If the export volume exceeds the quota, the import tax for the excess is 25 per cent.

Therefore, the Việt Nam Steel Association recommends the Government have policies encouraging steel manufacturers to upgrade production techniques and technology to reduce energy consumption and carbon emissions. 

It also proposes that the Government continue to support businesses by issuing trade remedy measures on the domestic market to limit cheap and poor-quality steel.

According to the association, the steel industry is likely to recover slightly in 2024 with an increase of 7 per cent to 21.7 million tonnes in steel consumption and nearly 29 million tonnes in steel production. 

Việt Nam urges Brazil to remove barriers for seafood to this market

Việt Nam has asked Brazil to consider removing barriers for seafood products exported from Việt Nam to this market, according to the Ministry of Agriculture and Rural Development (MARD).

Brazil does not allow the export of frozen whole shrimp and still applies additive and phosphate standards on tra fish (pangasius) that are different from the Office International des Epizooties (OIE)’s standards, thereby causing difficulties for Vietnamese seafood exports.

Besides that, Brazil stopped the import of tilapia from Việt Nam from February 14 this year awaiting a conclusion on reviewing the risk of disease caused by TiLV virus. 

The Việt Nam Association of Seafood Exporters and Producers (VASEP) said this is considered an initial barrier for Vietnamese tilapia products, and it could be to other seafood products of Việt Nam as well, like pangasius. This decision could pose various challenges to Vietnamese businesses in the future.

Therefore, businesses need to be more careful about choosing breeds as well as controlling diseases for not only tilapia but also whitefish, including pangasius, according to the association.

VASEP said Vietnamese pangasius exports to Brazil in the first two months this year surged by 42 per cent year on year to US$20 million.

Deputy Minister of Agriculture and Rural Development Phùng Đức Tiến said the ministry has assigned the Department of Quality, Processing and Market Development to work with the Brazilian Embassy those issues as soon as possible.

Regarding the market barriers for Vietnamese seafood in the Brazil market, Lê Bá Anh, deputy director of the Deputy Director of the Department of Quality, Processing and Market Development, said Brazil needs to consider its additive and phosphate standards and testing additive content for local pangasius, as well as heat treatment requirements for shrimp exported to Brazil.

Those should be adjusted because those regulations and standards are different from international practices and the regulation set by the OIE of the World Organization for Animal Health.

Việt Nam also proposed Brazil adjust administrative procedures relating to product label registration and soon approve the list of Vietnamese enterprises allowed to export agricultural products to this market to meet business needs.

Regarding the Brazilian decision to stop importing Vietnamese tilapia, Việt Nam has requested that shipments entering this market before the decision date still be imported as normal.

Roberto Serroni Perosa, deputy minister of the Department of Agriculture, Livestock and Food Supply (MAPA), said that Brazil will send to Việt Nam via the Brazilian Embassy in Việt Nam the list of Vietnamese enterprises allowed to export agricultural products to Brazil.

Perosa also affirmed that customs clearance for Vietnamese tilapia shipments to Brazil made before this decision would be as normal.

According to the World Trade Centre (ITC), Việt Nam is still the largest supplier of white meat fish to Brazil. Of which, 90 per cent of the seafood exported from Việt Nam to Brazil are pangasius. Along with pangasius, Brazil imports a small volume of tilapia from Việt Nam.

Work on big reservoir starts in Dien Bien

A groundbreaking ceremony was held on March 25 for the construction of Nam La reservoir project in Muong Nhe district of the northern province of Dien Bien.

The project is part of activities to mark the 70th anniversary of Dien Bien Phu history victory (May 7, 1954 -2024). With a capacity of 2.43 million cubic-metre, the reservoir will irrigate 1,800 hectares of agricultural land and provide water for about 25,000 people in the area when completed at the end of 2025. 

Speaking at the event, Deputy Minister of Agriculture and Rural Development Nguyen Hoang Hiep praised efforts of the People’s Committees of the province and Muong Nhe district in site clearance.

He asked authorised units to facilitate, support and coordinate with the ministry throughout the project implementation process so as to early put the reservoir into operation by the end of 2025, as the project holds great significance for local production and social affairs in the province.

After the project, the People's Committee of Dien Bien province, Muong Nhe district continues to invest in building Nam La lake area into a park, tourism and resort area.

The reservoir will cost 509 billion VND (21 million USD) to build./.

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