The Ministry of Finance (MoF) has sent a document to ministries, ministerial-level agencies and Government agencies asking for their coordination in the drafting of a circular on reducing fees and charges to ease difficulties for people and businesses.

The MoF is working on the circular on continued reduction of 35 kinds of fees and charges from July 1 to December 31 this year.
To help with the drafting of the proposal, the MoF asked ministries and agencies to promptly evaluate their collection, payment, management and use of fees and charges under their management and recommend the reduction levels to the MoF.

Earlier, the ministry submitted to the Prime Minister a proposal to cut and reduce taxes, fees and charges in 2023.

On April 17, the Government Office issued a document, in which Deputy Prime Minister Le Minh Khai assigned the MoF to build a circular on the reduction and submit a report to the PM on the application of shortened procedures to approve the MoF’s circular.

Vietnam, Luxembourg seek to bolster trade, investment partnership

Vietnam and Luxembourg boast high potential to collaborate in many areas, especially finance, logistics and sustainable development in adaptation to climate change, heard the Vietnam-Luxembourg Business Forum held in Ho Chi Minh City on May 5.

Addressing the event, Luxembourg Prime Minister Xavier Bettel underlined that Vietnam is an important partner of Luxembourg in many aspects, and one of the countries in which his country invests great resources to promote partnership with. Meanwhile, Luxembourg is an important partner and a gateway for Vietnam to the EU, he said.

Vietnam is becoming one of the most dynamic economies in the region and the world, he noted, holding that economy, trade and investment have always been promising and prioritised areas in the ties between the two countries.

The Luxemburg leader said that the forum is a good chance for the business communities of both sides to exchange information and contribute to the effective economic cooperation between the two countries in the future.

For his part, Vietnamese Minister of Industry and Trade Nguyen Hong Dien said that over the past 50 years, Vietnam and Luxembourg have enjoyed growing friendship and expanding trade and investment partnership.

Vietnam is the eighth largest trade partner of Luxembourg outside the EU, while Luxembourg is Vietnam’s third largest EU investor. 

Two-way trade has tripled over the recent five years. In the first three months of this year, the figure increased 8.2% year on year even amid the global economic downturn, he said, stressing that in the face of difficulties and challenges ahead, Vietnam and Luxembourg should work more closely together, especially in trade and investment, thus enhancing the resilience of each economy.

The two sides also boast high potential in beefing up their trade ties as the export product structures of the two countries can supplement each other, which is a good condition for businesses of the two countries to build and reinforce their partnership, especially in trading of products of each other’s strengths and demands, said the minister.

According to him, Vietnam can export garments, leather and footwear, furniture, tropical farm produce, and aquatic products to Luxembourg and import chemicals, rubber, plastic products, steels, financial, banking and insurance services from the European country.

Highlighting partnership opportunities between the two business communities, Vo Tan Thanh, Vice President of the Vietnam Chamber of Commerce and Industry (VCCI) said that as of March, Luxembourg had invested in 61 projects in Vietnam with total capital of 2.6 billion USD, ranking third among 24 EU member countries and 17 out of 139 countries and territories investing in Vietnam.

He expressed hope that Luxembourg, with its strengths in services, finance, banking towards green, digital and circular trends, will share experience and cooperate with Vietnam in these fields.

According to Thanh, despite the impressive growth in trade and investment cooperation between the two countries recently, it has yet to match the cooperation potential between the two countries that share many strategic similarities.

Thanh suggested that the two sides coordinate more closely in removing obstacles and barriers hindering their trade relations, including speeding up the approval of the EU-Vietnam Investment Protection Agreement (EVIPA) and the removal of the “yellow card” against Vietnam’s seafood products.

Businesses and investors of the two countries should also work harder to explore each other’s market through official channels to seek partnership opportunities, he said.

Tourism is also a promising cooperation area for the two sides, as Vietnam is in need of human resources training for tourism sector, Thanh added.

At the forum, the VCCI and the Luxembourg Chamber of Commerce, and a number of businesses of the two countries signed their memorandum of understanding on their cooperation, paving the way for the expansion of the economic, trade and investment partnership between Vietnam and Luxembourg in the future.

Fishery exports dwindle in first four months
 
Fishery products shipped overseas earned 2.63 billion USD for Vietnam between January and April, down 27.7% year-on-year, according to the Ministry of Agriculture and Rural Development.

In April alone, the export revenue was 800 million USD, an annual drop of 28.6%.

In the first three months of the year, Japan, the US and China were the top three markets of Vietnamese fishery products, accounting for 46.1% of the country's total export of those products.

The Vietnam Association of Seafood Exporters and Producers (VASEP) said the US is sinking deeper and deeper into the mire of rising food prices and decreasing consumption. This situation caused Vietnam's aquatic exports to the market to maintain a steep decline of 51% in April. Consequently, the US fell to the third place in Vietnam's lineup of top seafood import markets, after Japan and China. In the January-April period, its imports of the goods from Vietnam were estimated at 418 million USD, plunging by 57% year-on-year.

Meanwhile, by the end of April, the value of Vietnamese fishery products shipped to China stood at about 435 million USD, down 37% against last year.

Shipments to both Japan and the Republic of Korea also dropped compared to the same period last year, but at a slower rate than that of the US and China.

Just energy transition partnership provides important solutions for Power Development Plan VIII

The Just Energy Transition Partnership (JETP) provides important financial and technological solutions and should also be a target for the implementation of Power Development Plan VIII, Deputy Prime Minister Tran Hong Ha has said.

The plan should be added with new points in terms of mindset and scientific - technological advances to deal with challenges related to climate change response, greenhouse gas (GHG) emission reduction, energy transition, green transition, and circular economy development.

This is an inevitable trend and also a chance for Vietnam to transform its economy and create an advantage for the country in free trade, Ha told a meeting held in Hanoi on May 4 to review the draft national power development plan for 2021 - 2030, with a vision to 2050 (Power Development Plan VIII).

He analysed the targets, measures, and conditions for Vietnam to implement the JETP with the G7 countries and international partners, asking for the new power development plan to be supplemented with the JETP’s content in a spirit that Vietnam will shift from fossil fuel to renewable energy when suitable technology, governance measures, and prices are in place.

Ha also asked the Ministry of Industry and Trade (MoIT) and the electricity sector to thoroughly consider issues related to just energy transition, the reduction of net GHG emissions to zero, and new-generation nuclear power technology.

They were also requested to devise policies supporting major energy businesses of Vietnam to pilot cooperation with foreign firms so as to master technology, produce transmission equipment, and form a complete renewable energy “ecosystem” in industrial parks, thereby developing the country into a renewable energy hub in the Asia-Pacific.

Deputy PM Ha also asked the MoIT, which is the consulting unit for the plan, to take in opinions and perfect the plan, which also needs to pay due attention to the treatment of waste from renewable energy projects.

Power Development Plan VIII is aimed at ensuring sufficient electricity supply for domestic demand, building a smart and efficient grid system connected with regional countries, cutting GHG emissions from power generation to 204 - 205 million tonnes by 2030 and about 27 - 31 million tonnes by 2050, and ensuring all households gain access to electricity by 2030.

It targets that by 2030, the total capacity of power plants will reach 158,244 MW, excluding exports. About 18.5% of the capacity will come from hydropower, 19% from coal-fired power, 9.4% from gas-fired power, 14.2% from thermal power, 13.8% from onshore wind-powered thermal power, and 13% from solar power.

By 2050, power plants are expected to have a total capacity of 490,500 - 573,100 MW, including 6.3 - 7.3% from hydropower, 4.5 - 6.6% from biomass thermal power, and 14.3 - 16% from offshore wind power. Meanwhile, coal will no longer be used for power generation.

Agro-forestry-aquatic product exports reach 15.66 billion USD in four months

Vietnam earned some 15.66 billion USD from agro-forestry-aquatic product exports in the first four months of 2023, down 13.3% year-on-year, according to the Ministry of Agriculture and Rural Development.

The sector posted a trade surplus of 2.51 billion USD in the reviewed period, a decrease of 37.7%, the ministry said.

In April alone, the export revenue of agro-forestry-aquatic products was estimated at 4.54 billion USD, down 8.3% from the corresponding time last year, and 1.2 million USD from the previous month.

In the month, the export value of agricultural and husbandry products went up 24% and 46.7% to 2.33 billion USD and 41 million USD, respectively. Meanwhile, earnings from aquatic and forestry products dropped 28.6% and 29.8% to 800 million USD and 1.2 billion USD.

Such items as coffee, fruits and vegetables, cashew nuts, meat and by-products, and rice saw higher export values. On the contrary, the exports of rubber, tea, pepper, cassava and cassava products, wood and wooden products, rattan, bamboo and sedge mats, tra fish (pangasius) and shrimp experienced decreases.

For markets, apart from Asia with a 2.7% rise, Vietnam’s agro-forestry-aquatic product exports to America, Europe, Africa and Oceania contracted 39.6%, 13%, 21.2% and 31%, respectively. China, the US and Japan remained Vietnam’s biggest importers during the reviewed period.

The ministry said the decrease in agro-forestry-aquatic product export revenue was due to impacts of the global economy which is forecast to slow down this year, the Russia-Ukraine conflict and inflation surges in some countries.

Moreover, many countries have stepped up exports, while imported inventory remains big in major markets like the US and the EU, making many domestic enterprises unable to earn new orders.

The ministry said it will continue promoting market development and removing obstacles to domestic consumption and export in the time ahead.

Export of rice posts highest growth among key agricultural products

Rice exports in April 2023 were estimated at 1.1 million tonnes with a value of 573.9 million USD, the Ministry of Agriculture and Rural Development reported.

The April figures have brought the total volume and value of rice exports in the first four months of the year to 2.95 million tonnes with 1.56 billion USD, up 43.6% in volume and 54.5% in value over the same period in 2022. This is the highest growth rate among key agricultural product groups.

Some other agricultural products also posted higher export value than the same period last year such as vegetables and fruits (up 19.4%), cashew nuts (3.4%) and coffee (2.5%).

Meanwhile, exports of other products experienced a downward trend including rubber (down 20%); tea (5.8%); pepper (10%) and cassava and cassava products (12%).

The average export price of rice in the first 4 months of 2023 was estimated at 526 USD per tonne, up 7.6% over the same period in 2022. In the first three months of the year, the Philippines was Vietnam's largest rice consuming market with 45.9% market share, buying 893,300 tonnes valued at 450.4 million USD, up 32.9% in volume and 44.8% in value year on year.

In the group of 15 largest rice export markets, Indonesia recorded the strongest increase in value (up 177.4 times), while Ivory Coast showed the largest decrease of 70.9%.

Vietnam's 5% broken rice price was 495-500 USD per tonne, the highest level since April 2021 and up 50 USD per tonne from a month ago.

Traders said that demand for Vietnamese rice is still strong, while domestic supply is insufficient. However, importers including the Philippines are likely to slow down in buying.

Petrolimex makes VND667 billion in after-tax profit in Q1

The Vietnam National Petroleum Group (Petrolimex) earned VND667 billion in after-tax profit in the first quarter of 2023, up 51% over the same period last year.

Petrolime generated around VND 67.4 trillion in net revenue between January and March, slightly higher than the same period last year.

The financial income of the country’s leading fuel trading firm surged by 60% to VND513.7 billion thanks to interest from deposits, lending and exchange rate differences. Its financial expenses also rose by 27% to over VND382 billion.

Sales and management expenses, meanwhile, increased by 22% and 12% to above VND2.8 trillion and VND206.6 billion, respectively.

Among the after-tax profit of VND667 billion in the first quarter, the parent company alone earned VND619.7 billion, skyrocketing 155% year-on-year.

Leading securities firms all post poor performance in Q1

The less-optimistic movements of the stock market have negatively impacted the business results of securities firms in the first quarter of the year.

Financial statement reports showed that the securities group, including leading companies, witnessed a sharp decline in profits.

Specifically, VNDirect Securities Corporation reported a plunge of 81.6 per cent year-on-year in profit after tax, from nearly VND762.2 billion in the first quarter of 2022 to VND140.5 billion in Q1 of 2023.

The securities firm explained the strong fall was due to the negative impact of the general market which caused a 27 per cent decrease in its revenue to VND1.29 trillion.

Of which, revenue from margin lending and brokerage activities of VNDirect dipped by 46.2 per cent and 68.4 per cent on-year, respectively. Meanwhile, revenue from proprietary trading was the only business activity posting an increase of 17.8 per cent to VND782 billion.

On the other hand, the company’s expenses rose by 4.2 per cent over the same period last year to VND629 billion, while loss of proprietary trading increased by VND220.5 billion, or 87.8 per cent, and financial expenses also tripled.

Similarly, Saigon - Hanoi Securities JSC (SHS) and Viet Capital Securities JSC reported strong losses in business results. In the first quarter, SHS’s profit after tax plummeted by 87.6 per cent over last year to VND40.9 billion, while Viet Capital recorded a profit after tax of only VND73 billion, down 82.4 per cent year-on-year.

SSI Securities Corporation also couldn’t escape the downtrend. It reported a decrease of nearly 30 per cent in profit after tax compared to the same period in 2022, to VND480.8 billion from VND684 billion.

Its revenue dropped 26.4 per cent on-year to VND1.43 trillion, of which the company’s proprietary trading revenue rose slightly to VND679.1 billion, but interest from loans and receivables halved to VND338.3 billion. Revenue from brokerage activities also fell by 57.1 per cent to VND257.1 billion.

The first quarter profit after tax of Techcombank Securities JSC (TCBS) and Ho Chi Minh City Securities Corporation (HSC) declined by 64.5 per cent and 56.2 per cent over last year, respectively, to VND333.5 billion and VND123.8 billion dong. Meanwhile, Mirae Asset Securities reported a fall of 54.9 per cent year-on-year in profit after tax to VND128.3 billion due to a 53 per cent drop in profit before tax and a 25.1 per cent decrease in revenue.

Most of the securities companies said that the reason for the decline in profits was due to the volatility and uncertainties of the stock market in the first three months of 2023.

Given the high sensitivity to the market, securities companies’ proprietary trading, brokerage, and margin lending activities suffered strongly as the market was gloomy and investors turned extremely cautious.

Particularly, interest rates are a major factor affecting the market mood. High interest rates caused investors to be worried about the prospect of corporate profits, while the severe decline in global purchasing power affected import and export activities.

Higher interest rates are also a significant barrier to investors' demand for margin loans.

During the period, the total brokerage revenue of securities companies reached VND2 trillion, a decline of 34 per cent over the previous quarter and less than a third of the value in the fourth quarter of 2021. The figure was the lowest in the last nine quarters.

The expenses for this activity also decreased by 21 per cent compared to the previous quarter to approximately VND1.85 trillion. As a result, the gross profit from brokerage activities during the period fell sharply 76 per cent to about VND200 billion, the lowest level in 11 quarters.

Specifically, VPS Securities JSC continues to lead in brokerage revenue, but the result dropped to VND411.3 billion, down 57.8 per cent year-on-year. This marked the sixth consecutive quarterly fall in brokerage revenue.

Other securities firms also posted a fall of at least 20 per cent in brokerage revenue in the first quarter, of which SSI’s brokerage revenue reached VND257.1 billion; VNDirect’s was VND145.7 billion, HSC’s was VND132 billion and Mirae Asset recorded a brokerage revenue of VND105 billion.

Lower liquidity and gloomy market movements were attributed to the poor performance of the brokerage activities of securities firms.

Deputy PM approves to add IZs in HCMC into country’s development plan

Following the Ministry of Planning and Investment’s proposal, Deputy Prime Minister Le Minh Khai agreed to adjust and add industrial zones (IZs) in Ho Chi Minh City to the development planning of industrial zones in Vietnam.

Specifically, the Deputy Prime Minister agreed to put three industrial parks including 175-ha Bau Dung Industrial Park in An Nhon Tay Commune in Cu Chi suburban district, 200-ha Phuoc Hiep Industrial Park in Phuoc Hiep Commune and Trung Lap Ha Commune in Cu Chi District and 300ha Xuan Thoi Thuong Industrial Park in Xuan Thoi Thuong Commune in Hoc Mon outlying district out of the planning for the development of industrial zones in Ho Chi Minh City approved by the Prime Minister since 2014.

At the same time, the deputy PM agreed to add Pham Van Hai I Industrial Park with an area of 379 hectares and Pham Van Hai II Industrial Park with an area of ​​289 hectares in Pham Van Hai commune in Binh Chanh district into the development planning of industrial zones in Ho Chi Minh City meanwhile other industrial zones included in the development plan of the southern metropolis’ industrial zones approved by the Prime Minister since 2014 remain unchanged.

Deputy Prime Minister Khai asked the Ho Chi Minh City People's Committee to take responsibility for the accuracy of the data in its report as well as the location which the city authorities proposed to supplement the development planning of Pham Van Hai I Industrial Park and Pham Van Hai II Industrial Park in the scheme.

Moreover, the city authorities must ensure the suitability, feasibility, and integration of the adjustment plan in the city in their master plan for the period from 2021 to 2030 to prevent disputes and complaints during the implementation of the plan.

Ho Chi Minh City updates the location and size of the area of Pham Van Hai I Industrial Park and Pham Van Hai II Industrial Park in the city planning for the period between 2021 and 2030, with a vision to 2050.

According to the city’s 5-year land use plan from 2021 to 2025, HCMC will submit it to competent authorities for approval in accordance with the law on planning and the law on land ensuring the land use norms of industrial zones in the city, including Pham Van Hai I and Pham Van Hai II industrial zones are included in the criteria of industrial land use in the national land use planning during the 2021-2030 period and the 5-year national land use plan from 2021 to 2025 allocated to HCMC by the Prime Minister.

The Government required that the southern largest city must ensure the change of agricultural land use purposes, including land for planting perennial crops, land for planting production forests and other types of agricultural land within the target of changing agricultural land use purposes to non-agricultural land of Ho Chi Minh City and Binh Chanh district approved by competent authorities in accordance with the law.

Hanoi earns VND2.4 trillion from tourists during national holiday

According to the Hanoi Department of Tourism, the city welcomed 719,000 visitors from April 29 to May 3, including 69,500 international arrivals and 650,000 domestic tourists.

The Temple of Literature and the Hoa Lo Prison Relic were among the most popular tourist destinations during the national holiday, each welcoming about 30,000 visitors.

About 31,400 people visited the Imperial Citadel of Thang Long, a UNESCO World Heritage Site, while 5,000 people went to the Vietnam Museum of Ethnology to participate in activities featuring traditional water puppetry and a program to learn about Korean culture through traditional hanbok costumes and cuisine.

The Talking with Zoo Animals program at Thu Le Zoo welcomed visitors over the holidays with two sessions to learn about the behaviors and characteristics of peacocks (on April 30) and white-cheeked black gibbons (on May 1). The zoo saw about 130,000 visitors over the National Day holiday.

The Ho Chi Minh Mausoleum welcomed 81,000 people who came to pay tribute to President Ho Chi Minh, including 5,142 foreign visitors during the five-day holiday.

This year, the city is expected to welcome about 22 million arrivals, up 17.6% against 2022, including 19 million domestic visitors, an increase of 10.5% compared to 2022.

Tourism revenue is estimated at VND77 trillion (US$3.26 billion), an annual rise of 28.2%. The average occupancy rate of accommodation establishments and hotels reached 45%, up 5% year-on-year.

Google expands Growth Lab Program to more developers in Vietnam

Apps Growth Lab is an intensive training program for Gaming and Tools & Utilities mobile app developers, with three key improvements from the previous program.

Google will expand the Growth Lab Program to Tools and Utilities mobile apps developers and offer open access to educational content in 2023, following the success of Google’s Gaming Growth Lab in 2021 and 2022.

Apps Growth Lab is an intensive training program for Gaming and Tools & Utilities mobile app developers, with three key improvements from the previous program. 

The program expands the training content to Tools and Utility app developers and Gaming. Access to educational content will be opened to welcome more developers participating in the program for a higher impact on the ecosystem. 

Besides, the new program will have a longer supporting phase for attending developer businesses over three months to help provide game and app studios with sufficient time to absorb and implement the learnings from intensive training. 

Nopparat Yokubon, Head of AppDev Sales for Google Southeast Asia, Australia, and New Zealand, said that, according to the e-Conomy SEA report 2022, Vietnam’s gross merchandise value (GMV) in the digital economy is on course to reach US$50 billion in 2025. On average, seven out of ten game studios in Vietnam target oversea markets, and gaming is becoming Vietnam's next high-value export industry. Developers are a key part of it. 

New measures on tap for funding swell

Vietnam has reaffirmed its efforts to support foreign investors who develop long-term, sustainable, and environmentally responsible business strategies in the country.

At the largest conference ever to create stronger conditions for foreign investors in late April, Prime Minister Pham Minh Chinh emphasised the potential for overseas financiers to get involved in emerging fields such as digital transformation, green transition, circular economy, innovation, and climate change adaption.

Regarding the global minimum tax (GMT) on corporates set to come into effect in 2024, the government has ordered reviews and will take measures to draw investment that is not contrary to the international commitments to ensure the harmonisation of interests of all relevant sides, and assure equitable treatment for enterprises.

The GMT was initiated by the Organisation for Economic Co-operation and Development (OECD), means enterprises with annual revenues of $827.18 million or more are eligible for a tax rate of 15 per cent. In 2024, most EU member states and Japan, South Korea, Singapore, Indonesia, China, and Australia will implement the GMT.

Currently, Vietnam has over 335 projects working in the domains of processing and manufacturing in economic and industrial zones, each with the registered investment capital of more than $100 million. The majority of them are funded by high-tech groups such as Samsung, Intel, LG, Bosch, Sharp, Panasonic, Foxconn, and Pegatron, all of which are likely to be subject to the GMT if it is implemented in Vietnam.

Nitin Kapoor, co-chair of the Vietnam Business Forum and president of AstraZeneca Vietnam, said that it was right for studies to be carried out on the impact of the GMT in the interests of investors and the business environment in Vietnam. “Thereby it can help devise practical, effective, and timely solutions to ensure investment and offset benefits for businesses if tax incentives are reduced or canceleld out,” he said.

Dominik Meichle, general director of Bosch Vietnam, expressed optimism that Vietnam will be able to develop a secure and predictable economic environment. “The anticipated implementation of the GMT in 2024 will likely have an impact on tax benefits for investors, as well as the effectiveness of investments and policy transparency,” Meichle said.

Meanwhile, according to Hong Sun, chairman of the Korean Chamber of Commerce in Vietnam, many South Korean enterprises already in this country, particularly those in high technology, finance, and energy, were considering increasing their investments and placing new funding if the business environment remained stable.

“To attract more investment, Vietnam needs to convince international investors that the country is making considerable progress in administrative changes and giving broader incentives,” he said.

According to the prime minister, the government would specifically support enterprises with land, sci-tech research expenses, administrative reform, social and worker housing, human resource training, and infrastructure development to promote greater foreign investment into the country.

Related to work permits and visas, Dao Ngoc Dung, Minister of Labour, Invalids, and Social Affairs, stated that the government is aiming to streamline related legislation and that foreign specialists and managers will be among the top priority in developing new regulations controlling work permit issuing.

PM Chinh also stressed the visa policy is being revised to provide the best conditions for overseas visitors.

Up to April 20, the country had 37,065 valid projects registered at nearly $445.9 billion; in which, the accumulated capital of foreign ventures is estimated at more than $279.8 billion.

Thai banking giant raises charter capital in Vietnam

The Ho Chi Minh City branch of Thai banking giant Kasikorn Bank (KBank) recently raised its charter capital from US$80 million to US$285 million in Vietnam, representing a 2.5 fold-rise according to the plan approved by the State Bank of Vietnam.      

Chat Luangarpa, executive vice president of KBank, revealed that the bank’s decision to increase charter capital aims to meet the high capital demand coming from businesses and retail customers, especially amid the current volatile economy.

KBank has set a loan balance of US$960 million in the country this year. Along with pumping in additional capital, the bank has also set an ambitious goal of expanding in the fields of digital payments and loans.

The bank therefore aims to increase the number of K PLUS Vietnam application users from the current figure of 470,000 to 1.3 million by the end of the year.

By reaching a charter capital scale of US$285 million, KBank has become the foreign bank branch with the second highest charter capital in the nation after Sumitomo Mitsui Bank Hanoi branch.

750,000 local businesses to join VietFood & Beverage – ProPack

As many as 750 businesses from 18 countries globally are expected to participate in the 27th VietFood, Beverage and Professional Packing Machines (VietFood & Beverage – ProPack Vietnam 2023) international exhibition, which will run from August 10 to August 12 in Ho Chi Minh City.      

The annual event is being co-organised by the Vietnam National Trade Fair & Advertising Company (Vinexad), the Vietnam Association of Beer, Wine and Beverage (VBA), and the Food and Foodstuff Association of Ho Chi Minh City (FFA).

On showcase will be a diverse range of products, including food, beverages, nutritional and supplement food, and raw materials, along with machinery and equipment for food production, packaging, and preservation.

The highlight of the event will be a total of 11 International Pavilions which will feature quality products of famous brands from India, Poland, Taiwan (China), the Republic of Korea, Indonesia, Greece, Russia, Singapore, Thailand, and China.

Covering a space of 20,000 square metres, the event will contribute to helping local firms introduce their products, promote their brands, expand into new markets, and strengthen trade exchanges with potential partners within the international market.

Furthermore, it is also anticipated that the occasion will provide an ideal venue for Vietnamese enterprises to set up a joint venture, apply advanced science and technology, as well as share advanced management experience with foreign partners.

Foreign firms will also have the opportunity to expand their investment co-operation in the Vietnamese food and beverage market. Last year witnessed the exhibition gather more than 400 booths and 350 exhibitors from 18 countries and territories.

Vietnamese five-star OCOP products on show at European Craft Fair

Five-star One Country One Priority Product (OCOP) products of Vietnam will go on display at the European Craft Fair which will be held in Italy in December as a contribution to promoting and introducing the country’s OCOP products to international friends.

Deputy Minister of Agriculture and Rural Development Tran Thanh Nam introduces Vietnam's OCOP products.
The contents of the scheme were touched upon at a meeting held with representatives of the European Craft Fair on May 4 in Can Tho, with the occasion chaired by Deputy Minister of Agriculture and Rural Development Tran Thanh Nam.

At the meeting, Antonio Intiglietta, president of Ge.Fi, which is the organiser of the European Craft Fair in Italy, briefly introduced some of the activities of the fair over recent times.

Most notably, the fair aims to introduce handicrafts and agricultural products whilst promoting national images and brands to international friends. Intiglietta said that the nine-day event is expected to attract millions of customers, adding that many countries attended the fair such as India, China, and Vietnam.

This is viewed as a good opportunity for the country to introduce its OCOP products, thus opening up a new customer segment and promoting these products to tens of millions of customers on social networks and supplier searchers on social media platforms.

The nation not only promotes products, but also tourist attractions at the event to allow visitors to gain even more knowledge about its agricultural tourism, he added.

Deputy Minister Nam said that having more booths to introduce OCOP products is necessary to promote and introduce Vietnamese products to international friends.

He also asked agencies and units of the Ministry to make thorough preparation in a bid to promote and introduce Vietnamese products to European nations.

Hanoi’s CPI decreases 0.81% in April

The consumer price index (CPI) of Hanoi in April decreased 0.81% compared to that in March and increased 0.49% year on year, the municipal Statistics Office reported.

In April, an upturn was seen in the price of eight out of the 11 goods groups led by culture, entertainment and tourism at 6.72% and food and catering services at 4.47%, followed by beverage and cigarette (3.56%); apparel, headwear and footwear (1.88%), and household appliances (1.55%), among others.

Meanwhile, three groups experiencing a price decrease included education (3.62%), transportation (0.74%), and postal and telecommunications services (0.3%).

Also in April, gold prices rose 2.71% compared to a month earlier and 0.05% year-on-year. The average of gold prices in the four-month period gained 0.29% over the same period last year.

Meanwhile, USD price index in April declined 0.89% from March, and up 2.75% compared to the same period last year. The average of USD price index in the four-month period hiked 3.47% year-on-year.

Tourism has been considered as the city’s economic spearhead, significantly contributing to purchasing power and CPI. The sector is striving to boost domestic tourism promotion programmes, especially before big holidays.

Hanoi has also diversified promotional methods on digital platforms with the message "Hanoi- Come to love" and "Hanoi- safe, friendly, quality, and attractive tourism destination" in order to lure more visitors to the city.

In April, the locality welcomed about 425,000 visitors, up 4.9% over March and three times higher than the number a year ago. The four-month figure reached 1.468 million, 3.1 times higher than 2022.

In the reviewed month, the number of international arrivals was estimated at 310,000, an increase of 5.8% over March and 6.9% year-on-year.

VIETNAM BUSINESS NEWS MAY 1/2023