The US is currently one of the largest trading partners of Vietnam, and the coming State visit by President Joe Biden is expected to help further promote bilateral trade links.

When the US officially lifted trade sanctions on Vietnam in 1994, a new chapter in their economic and trade cooperation began.

Bilateral trade shot up to more than 130 billion USD in 2022 from 451 million USD in 1995.

Last year, Vietnam was the seventh biggest trading partner of the US, with its exports rising 25.2% to account for almost 3.9% of the US’s total imports, statistics of the US Census Bureau show as cited by the European - American Market Department under the Vietnamese Ministry of Industry and Trade (MoIT).

By the end of August 2023, bilateral trade approximated 62.3 billion USD, down nearly 18% due to common difficulties in the global economy, but the US remains the biggest export market of Vietnam.

Meanwhile, Vietnam’s 2022 imports from the North American country increased 3.5% from 2021. Its trade surplus with the latter surpassed 116 billion USD last year, giving Vietnam the third place among the countries running surpluses with the US (after China and Mexico).

Ta Hoang Linh, Director of the European - American Market Department, said the US is one of the important suppliers of input materials such as cotton, animal feed, maize, soya bean, chemicals, machinery, and technology for Vietnam. Therefore, increasing the imports of these commodities from the US will help Vietnam “clean up” its supply chains as input materials for manufacturing are certified and have clear origins.


The Southeast Asian nation has great demand for machinery, high technology, aviation and telecommunications equipment, and agricultural materials to serve the fast expansion of its economy.

With an average annual GDP growth rate of nearly 7% and a population of almost 100 million, Vietnam is forecast to be a highly potential market for US companies in all fields.

Such positive results were almost unimaginable three decades ago, Linh went on.

The MoIT highly values contributions by both countries’ businesses to the Vietnam - US ties over the last nearly 30 years. In each stride of bilateral relations, especially in economy - trade, the two business communities have been playing an extremely important role, he noted.

Deputy Minister of Industry and Trade Do Thang Hai affirmed that there remains much room for the two countries’ cooperation and development.

Vietnam always views the US as an important partner and hopes that both sides will continue their cooperation and develop the bilateral partnership in a substantive manner, the official added.

Ample room for Vietnam – Switzerland economic cooperation

More than 150 delegates, including policymakers, economic experts and businesses examined the potential for economic cooperation between Vietnam and Switzerland, at a roundtable discussion held in Zurich on September 8. 
      
In his opening speech, Vietnamese ambassador to Switzerland Phung The Long noted that after more than five decades of bilateral diplomacy, the leaders of Vietnam and Switzerland have agreed to soon bring the two countries’ cooperative relations to new heights amid rapid changes globally.

He revealed that Switzerland in February 2023 adopted the Southeast Asia Strategy for 2023-2026 that identifies Vietnam as the most dynamic economy in Southeast Asia and an increasingly important partner for Switzerland.

Meanwhile, he said the Government of Vietnam always values its friendship and cooperation with Switzerland, considering the European nation one of its important partners in Europe. The two countries are now speeding up negotiations towards signing a Free Trade Agreement between Vietnam and the European Free Trade Association (EFTA), of which Switzerland is a member.

Joining the discussion virtually, Swiss Ambassador to Vietnam Thomas Gass emphasized that relations between the two countries have developed strongly over the past 52 years, not only in the fields of politics and multilateral cooperation, but also in economy, technical assistance, trade, investment, scientific research, culture, tourism, and people-to-people exchanges. Regular high-level exchanges between the two countries have established the premise for trade and investment ties to continuously prosper.

The visit to Vietnam in June 2023 by President of the National Council of Switzerland Martin Candinas helped to strengthen good cooperation between the two countries and their legislatures as well, stressed the diplomat.

Delegates agreed that the two sides still have many untapped opportunities and areas for joint development and innovation. They expected that the EFTA agreement would be signed soon so that the business communities can take advantage of opportunities for development cooperation and promote the flow of trade in goods and investment capital between the two sides.

The speakers also exchanged views and discussed the development of a sustainable startup ecosystem in Vietnam, as well as investment opportunities in the country.

The event, part of Vietnam Day 2023, was organized by the Embassy of Vietnam in Switzerland in collaboration with the Ministry of Industry and Trade of Vietnam, the Swiss-Asia Chamber of Commerce, Bellecapital, Keep It Beautiful Vietnam (KIBV) and the Association of Vietnamese Experts in Switzerland (AIEVS).

Can Tho begins construction of Vietnam-Singapore Industrial Park project

The Mekong Delta city of Can Tho City broke ground on September 9 for the first phase of the Vietnam - Singapore Industrial Park (VSIP) in Vinh Thanh district.

Phase 1 of VSIP Can Tho will sit on 293.7ha of land with a total investment of over VND3.7 trillion (equivalent to US$153.8 million). It is expected to create between 20,000-30,000 jobs upon completion.

During this phase, the project will also supply support services for factories in nearby areas and Can Tho at large, along with those for labourers working at the VSIP.

Addressing the ground-breaking ceremony, Tran Viet Truong, headof the Can Tho municipal government, expected that the scheme would soon be brought into operation, to serve investors in Can Tho City and the Mekong Delta in general.

Local authorities are fully committed to creating the best possible conditions for domestic and foreign enterprises to do business in the locality, Truong stressed.

Koh Chiap Khiong, CEO of Singapore & Southeast Asia at Sembcorp Industries, said VSIP Can Tho will be built following the smart and sustainable industrial park model.

It is expected to become a large food processing and distribution centre in the southern region to support investors' demands in supply chain, he noted.

During the ceremony VSIP signed memoranda of understanding on investment with 12 financiers for land lease and business cooperation.

VSIP, formed by Sembcorp of Singapore and Becamex IDC of Vietnam, is the biggest industrial park developer in the country at present. Since the first taking shape in Binh Duong in 1996, so far 13 such VSIPs have been put into operation nationwide. VSIP Can Tho is the first of its kind in the Mekong Delta region.

HCM City hosts APAC premier blockchain conference and exhibition

NEAR APAC 2023 opened in Ho Chi Minh City for the first time on September 9, bringing together leading blockchain experts, developers, students, enterprises, and startups from the Asia-Pacific (APAC) region.

Marieke Flamen, director of NEAR Foundation, said that the event, which is held annually in Portugal, has now moved to Vietnam – a potential market which boasts a young and dynamic tech-savvy population.

Themed "Unlimited Future", the exhibition serves as a platform to explore the latest advancements in blockchain technology and multi-chain decentralised applications within the APAC region.

During the two-day event, a number of activities will take place, including the Hackathon & Coding Challenge for programmers and students with a cash prize of VND2.5 billion, the Web3 Dating zone which is tailored for startups and venture capitalists, a virtual reality playground, a pitch competition for Vietnamese startups, game competitions, and technology exhibitions.

NEAR APAC is an official NEAR Foundation event and is viewed as the premier blockchain conference in the APAC region.

The theme of this year’s NEAR APAC is “Unlimited Future”, that is all about discovering the latest advancements in blockchain technology and experiencing the power of multi-chain decentralised applications (dApps) designed for APAC users. Indeed, it gives a special focus on Vietnam, which is currently placed as the leading the global crypto apoption index, according to the organisers.

Vietnam boosts tuna exports to UK

Currently, the UK imports a lot of fresh and frozen tuna products from Vietnam, accounting for 99% of its export turnover, according to the Vietnam Association of Seafood Exporters and Producers (VASEP).

These products shipped to the UK rose 98% compared to the same period last year, said VASEP, adding the export of processed and canned tuna products experienced a considerable fall.

Vietnam is the 13th largest tuna product supplier to the UK, after Ecuador, Mauritius, and the Seychelles.   

However, droughts due to the impact of the El Nino phenomenon this year have made it difficult to transport goods from South American countries, including Ecuador, to European countries through the Panama Canal.

The difficulty has forced suppliers to seek another transshipment route that fuels transportation costs. This is an opportunity for Asian countries, including Vietnam, to increase tuna exports to European countries, including the UK, said Nguyen Ha, a VASEP expert in the tuna market.

In addition, the UK on July 16 signed a document to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The accession is expected to boost trade between the UK and members of the CPTPP bloc, including Vietnam.

Along with the trade agreement between the UK and Vietnam (UKVFTA), incentives from the CPTPP will open up opportunities for Vietnamese seafood products, including tuna, to enter the UK market.

According to the General Department of Vietnam Customs, after a sharp drop of 51% in May 2023, the export of Vietnamese tuna to the UK continued to increase in the following two months. This growth has raised Vietnam’s total tuna export turnover to the UK in the first seven months of 2023 to more than US$4.5 million, representing a year on year rise of 77%.

Vietnam, Switzerland look to expand trade, investment cooperation

As many as 150 economic experts, and representatives from ministries, sectors, and localities, financial investment funds and businesses of Switzerland and Vietnam gathered together at a seminar on Vietnam - Switzerland cooperation in trade, investment and technology in Zurich on September 8.

The event was jointly organised by the Embassy of Vietnam in Switzerland, the Vietnamese Ministry of Industry and Trade (MoIT), the Swiss-Asian Chamber of Commerce, Bellecapital financial investment fund, Keep It Beautiful Vietnam (KIBV) and the Association of Vietnamese Intellectuals and Experts in Switzerland (AVIES).

In his opening remarks, Vietnamese Ambassador to Switzerland Phung The Long emphasised that after more than 50 years of establishing diplomatic relations, in the context of rapid and profound changes in the international arena with intertwined challenges and opportunities, senior leaders of both nations share the wish to soon elevate the bilateral cooperative relationship to a new height basing on the mutual trust and sharing of common values of peace, cooperation and development. 

For his part, Swiss Ambassador to Vietnam Thomas Gass highlighted the strong development of bilateral relations across fields over the past 52 years, saying that regular high-level exchange between the two countries have created a premise for trade and investment relations to be continuously strengthened.

During the seminar, delegates discussed measures to further promote bilateral cooperation and develop sustainable startup ecosystems in Vietnam, and investment opportunities in Vietnam.

They listened to introduction of Vietnam's policies and priorities to promote investment cooperation and economic linkages, as well as opportunities and challenges in economic cooperation between the two countries.

Participants also proposed measures to promote bilateral trade and initiatives to create favourable conditions for businesses of the two countries and address potential barriers.

US financer DFC lends VPBank to assist SMEs in capital access

The US International Development Finance Corporation (DFC) will lend US$300 million to Vietnam Prosperity Joint Stock Commercial Bank (VPBank) to assist small and medium sized enterprises (SMEs) to access capital for production.

A financial arrangement document to this effect was signed in Hanoi on September 10 by representatives of DFC and VPBank. The signing ceremony was witnessed by Marc Knapper, ambassador of the United States to Vietnam, Scott Nathan, CEO of DFC, and Ngo Chi Dung, head of the Board of Directors of VPBank.

The US$300 million loan which is scheduled to mature over seven years is considered an important additional source to help VPBank strengthen its capital base.

The DFC loan will be used to assist SMEs, enterprises women-owned SMEs, and support green, sustainable projects in Vietnam, including those on climate change response and low carbon emission technology.

The signing of the capital arrangement document took place within the framework of US President Joe Biden’s State visit to Vietnam on September 10-11 at the invitation of Party General Secretary Nguyen Phu Trong.

Vietnam attends Eastern Economic Forum 2023 in Russia

The eighth Eastern Economic Forum opened in the Russian city of Vladivostok on September 10, bringing together approximately 7,000 politicians, business leaders, and public figures from 50 countries worldwide.

The Vietnamese delegation was led by Deputy Minister of Planning and Investment Do Thanh Trung.

Themed “The Path to Partnership, Peace and Prosperity” this year’s forum reflects Russia’s desire to build constructive relations and engage in inclusive dialogue with foreign partners in the Asia-Pacific region.

In a congratulatory letter to the forum, Russian President Vladimir Putin affirmed that the forum with high international reputation creates important opportunities for politicians, business leaders, public figures and experts from all over the world to engage in direct dialogues.

The forum seeks to address the most pressing issues facing socio-economic and infrastructure development of the Russian Far East and its integration into the vast Asia-Pacific region.

Discussions will focus on prospects for expanding cooperation in trade, investment, science and technology, identifying ways to create new, highly efficient production and logistics chains, modernizing transportation and energy systems, and ensuring food and environmental security in the region.

President Putin is scheduled to attend the plenary session with Vice President of Laos Pani Yathotou, on September 12.

Jan-Aug State budget revenue drops 8.8%

Vietnam’s State budget revenue in the January-August period declined by 8.8% over the same period last year, according to the Ministry of Finance.

The total state budget revenue in the first eight months amounted to a little more than VND1.12 quadrillion, equivalent to 69.4% of the 2023 estimate.

Among the country’s 63 centrally-run provinces and cities, only nine reported revenue growth, while the remaining 54 posted lower revenue.

The central Government achieved around 72.8% of its projected budget, while local budget revenues were lower than expected, meeting only 65.5% of their projections.

This analysis excludes revenues from land use fees, lottery sale revenues, capital recovery, dividends, after-tax profits, and the difference between revenues and expenditures at the State Bank of Vietnam.

Mai Xuan Thanh, head of the General Department of Taxation, reported that August tax revenue amounted to nearly VND85.9 trillion, contributing to a cumulative total of VND973 trillion for the first eight months, or 70.9% of the target.

“While tax collection appears to be on track, concerns linger,” he said.

However, excluding one-off revenues, tax collections have exhibited a noticeable downward trend. Tax revenue was VND94 trillion in January 2023 but dropped to just VND75 trillion by August 2023.

The General Department of Vietnam Customs faced similar challenges, with a 12% reduction in import and export turnover in January-August leading to an 18% decrease in customs revenue compared to the same period last year, according to Nguyen Van Can, head of the General Department of Vietnam Customs.

In contrast, Government spending has surged. Total State budget expenditures in the first eight months of 2023 totaled VND1.08 quadrillion, equivalent to 52.1% of the budget estimate. This represents a 13% increase versus the same period in 2022

Over 150,000 new securities accounts opened in August

August saw a surge in stock market entrants, with more than 150,000 new securities trading accounts opened, according to the Vietnam Securities Depository and Clearing Corporation.

Financial analysts attribute this rise to factors such as a steep fall in deposit rates and four interest rate cuts by the State Bank of Vietnam this year, poor credit demand in the first half of 2023, and the Government’s public investment boost and expansionary fiscal policy.

These factors have encouraged investors to seek alternative investment opportunities.

Data from VNDirect showed that, as of August 24, deposit rates for 12-month terms at commercial banks had decreased to 6% annually, 1.9 percentage points lower than in December 2022.

Meanwhile, lending rates have also decreased by 50 to 100 basis points since late 2022.

The securities brokerage expects lending rates to fall by 100 to 150 basis points in the fourth quarter due to the rapid decline in capital costs for commercial banks, potentially indicating a recovery in consumption and investment.

Vietnam, Australia seek to facilitate investment

Vietnam and Australia are aiming to strengthen economic cooperation by encouraging their businesses to invest in each other.
Bilateral relations between Vietnam and Australia have been on a positive trajectory, said Sarah Hooper, Australian consul general in HCMC.

Her remarks were made during the Australia Investment Forum held today, September 8, in HCMC. The event was organized by the Australian Trade and Investment Commission (Austrade), in coordination with the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment.

Hooper said, “Vietnam and Australia have complementary economies, and our supply chains are becoming more closely entwined.”

The event followed the previous investment promotion initiative, titled Vietnam-Australia Investment Forum, which was held in Hanoi in mid-April. These efforts were expected to provide local firms with knowledge of the business environment and investment opportunities in both Vietnam and Australia.

During the event, government representatives from many states in Australia provided Vietnamese investors with up-to-date information about various potential sectors in Australia, including resources and energy, advanced manufacturing, agriculture, and education.

Vu Van Chung, FIA deputy director, said that trade and investment cooperation would remain a cornerstone of bilateral relations. He said the Vietnamese Government has demonstrated its support for local firms to expand their investments overseas, including in countries like Australia.

Vietnam currently has 93 investment projects in Australia, with their total registered capital put at US$586 million. Australia ranked 11th among 80 countries and territories that received investments from Vietnam, according to the Ministry of Planning and Investment.

Three more nations enjoy preferential tariffs under CPTPP

Malaysia, Chile and Brunei have been eligible for preferential import and export taxes under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP),  according to the Ministry of Industry and Trade (MoIT).

The CPTPP took effect in Vietnam on January 14, 2019 after the 14th National Assembly of Vietnam passed a resolution ratifying the deal in November 2018.

The Government issued Decree No. 115/2022/ND-CP dated December 30, 2022 promulgating Vietnam's preferential export and import tariffs relating to the implementation of the CPTPP for the 2022-2027 period. The decree applies to Australia, Canada, Japan, Mexico, New Zealand, Singapore and Peru.

According to the MoIT, Malaysia, Chile and Brunei have approved the CPTPP. The CPTPP officially took effect in Malaysia in November 2022, and Chile and Brunei in February and July this year, respectively.

The Government's Decree 68/2023/2023, issued on September 7, adds Malaysia, Chile and Brunei to the list of CPTPP members that are eligible to enjoy preferential export and import taxes when trading with Vietnam.

It was first signed by 11 member states, namely Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam, in March 2018. The UK officially inked an agreement to join the deal on July 16, 2023.

The CPTPP officially came into force on December 30, 2018, with Mexico, Japan, Singapore, New Zealand, Canada and Australia being the first six countries to ratify the pact.

Exports, investments remain Vietnam’s economic growth driver: Insiders

Exports and investments will continue driving Vietnam's economic growth in the remainder of this year, helping the nation realise the growth target of 6-6.5%, according to insiders.

Although exports are facing an uphill journey to achieve the growth target of 6% this year due to dwindling global demand, they are among the key drivers for economic expansion until the end of this year, Deputy Minister of Industry and Trade Do Thang Hai said.

In August, Vietnam shipped 32.37 billion USD worth of goods abroad, up 7.7% year-on-year, marking the 4th consecutive month of growth, statistics from the General Statistics Office of Vietnam showed.

Robust growth was seen in the export of electronic products, computers and parts, telephones and parts, garments and textiles, and wood and wooden products.

Hai said that together with exports, investments will accelerate in the coming time.

Over 299 trillion VND (12.4 billion USD) of the public investment budget was disbursed during January – August to speed up economic growth, accounting for 42.5% of the annual plan set by the Prime Minister, and making it the highest amount ever disbursed in eight months.

With the result, Deputy Minister of Planning and Investment Tran Quoc Phuong pinned his hope on achieving disbursement target.

Meanwhile, permanent member of the National Assembly’s Finance – Budget Committee Tran Van Lam said tourism, which made an impressive recovery, is also a locomotive for the country's economic growth.

Enterprises, businesses, and localities should exert more efforts to further boost tourism development, he said, elaborating that Vietnam’s GDP bottomed out at 3.72% in the first half of this year, lagging behind the economic growth scenario of 7-8%.

Besides growth target, Lam also said it is a must to stabilise the macro-economy, control inflation, and ensure major balances.

"Vietnam-Japan Cooperation Towards Green Growth" seminar to take place this week

A seminar themed "Vietnam-Japan Cooperation Towards Green Growth", co-organised by Vietnam News, the country's English language daily newspaper, and the Ministry of Agriculture and Rural Development (MARD), is to take place on September 12 in Hanoi on the occasion of the 50th founding anniversary of diplomatic relations between the two countries.

The seminar is expected to saw the attendance by leaders from various Vietnamese ministries and agencies, including the Ministry of Agriculture and Rural Development, the Ministry of Planning and Investment, as well as top officials from the Vietnamese Embassy in Japan, the Japanese Embassy in Vietnam, the Japan International Cooperation Agency (JICA) and the Japan External Trade Organisation (JETRO). Additionally, representatives of several provinces and cities in Vietnam, along with many experts and businesses from both nations, will participate in this significant event.

During the seminar, participants will discuss perspectives on green growth from both sides, opportunities and challenges in realising Vietnam's Green Growth Strategy for the 2021-2030 period and the vision for 2050, the impact and significance of Japan's support for green growth in the Southeast Asian country, suggestions for attracting investment from Japan for green growth, and recommendations from businesses to help implement the strategy.

First published on June 17, 1991, Vietnam News was the first English-language daily newspaper in the country under the Vietnam News Agency. After 32 years of formation and development, Vietnam News has grown into an indispensable source for a wide range of topics both domestically and internationally for embassies, international organisations, foreign companies, and many large hotels in Vietnam. It is also frequently found on flights of domestic and international airlines.

Today, Vietnam News remains the only daily English-language newspaper in Vietnam and is one of the country's credible newspapers on foreign affairs. In addition to the print edition, the newspaper also runs an English-language homepage https://www.vietnamnews.vn, along with two other English-language websites: www.bizhub.vn (specialising in business and finance) and www.ovietnam.vn (culture and tourism).

More unprecedented opportunities to boost Vietnam-US trade ties: minister

The historic Vietnam visit by US President Joe Biden and the upgrade of bilateral relationship to a comprehensive strategic partnership will create unprecedented opportunities to promote new and breakthrough cooperation areas, and to build Vietnam’s capacity to truly join the global value chains, said Minister of Industry and Trade Nguyen Hong Dien.

In a recent interview, Dien said Biden's State-level visit to Vietnam from September 10-11 marks the first by a US President made at the invitation of the General Secretary of the Communist Party of Vietnam and the continuation of the nearly 30-year tradition of bilateral diplomatic ties characterised by significant developments of economic cooperation.

Over the past three decades, two-way trade has soared from 450 million USD to 124 billion USD last year. The US has been the partner of the top importance and the biggest importer of Vietnam for many years, accounting for around 30% of country's total export turnover.

The two economies are complementary, with the US having demand for Vietnam’s signature farm produce, apparel, leather and footwear, electronics, machinery, and equipment while supplying cotton, animal feed, corn, soya bean, chemicals, machinery, and technology to the Southeast Asian country.

With an average annual trade growth exceeding 20%, the US will remain Vietnam's biggest export market in the years to come, Dien added.

About favourable conditions for the development of bilateral trade, he said the policy dialogue mechanism through the Vietnam – US Trade and Investment Framework Agreement (TIFA), jointly chaired by the Viietnamese Ministry of Industry and Trade (MoIT) and the Office of the US Trade Representative (USTR), is being effectively carried out, helping address many complex issues in bilateral economic and trade ties.

Thanks to the persistent strategic trust building efforts from both sides, the US increasingly values Vietnam's role and position in the region and places a strong focus on cooperation with Vietnam in various new regional initiatives, such as the Indo-Pacific Economic Framework for Prosperity (IPEF), supply chain shift and diversification, clean energy, just energy transition, and digital economy.

According to Dien, the MoIT and the US Department of Commerce (DOC) have engaged in numerous open discussions through various channels to propose removing Vietnam from the list of non-market economies.

In the time ahead, the MoIT will continue discussions with the US regarding the possibility of applying the Generalised System of Preferences (GSP) mechanism for Vietnam.

In order to mitigate the risks of disruptions and dependency, US firms are looking to diversify their supply chains, thus making it easier for Vietnam to expand its manufacturing activities and become more deeply integrated into their global value chains.  

As energy transition, environment protection and sustainable development have become dominant trends in cooperation and development, enhancing cooperation with the US in these areas will help Vietnam build and invest in a more efficient national energy system while attracting more foreign direct investment and advanced technology.

In order to achieve harmonious and sustainable economic-trade ties, the minister suggested continually cultivating strategic trust, enhancing dialogues and deepening cooperation in areas of core strategic importance such as energy, aviation, infrastructure, quality human resources training, energy transition, digital economy, and green manufacturing.

In his view, the pillars of economic, trade and investment cooperation, including the energy sector, will continue to hold a high priority and play a driving role in advancing the overall bilateral relationship in the time to come.

He proposed that the focus should be on promoting the increased participation of Vietnamese enterprises in the supply of raw materials, components, and equipment for the energy, aviation, digital economy, artificial intelligence sectors, and others.

It is crucial to ensure that input materials have clear origins and do not have adverse impact on the environment or forced labour practices associated with them. At the same time, there should be a gradual effort to study the upgrade of production facilities and factories to meet green production standards.

Additionally, businesses should actively join trade promotion programmes and exhibitions, and connect with relevant agencies to build prestige and trust from US customers.

Besides cooperating with major importers and distribution channels, they should also employ a strategy to diversify their customer base and actively seek niche markets to minimise risks, he added.

Food firms urged to study market demand carefully to expand int’l reach

Food enterprises should study the market demand carefully together with branding strategies to expand their international reach, experts said.

According to Nguyen Dang Hien, Vice President of the Food and Foodstuff Association of Ho Chi Minh City, most enterprises had not paid adequate attention to developing marketing strategies and increasing brand recognition for international markets, although Vietnam was a major exporter of agroforestry – fishery products.

An estimate by the Vietnam Trade Promotion Agency under the Ministry of Industry and Trade showed that agricultural products exported with brands would have added value 200-300% higher, even 500%.

Thus, it was critical for Vietnamese food enterprises to invest in building processing systems for high-quality agricultural products and increase branding in the international markets.

Hoang Van Viet from the University of Economics HCM City, said that enterprises could consider promoting digital marketing through social networks, YouTube, TikTok, websites and email.

In addition, enterprises should study the demand of the target markets carefully to develop strategic plans for expanding in foreign markets.

Bach Ngoc Hai Yen, Director of Greatlink Maihouse Investment Company, said that to expand in foreign markets, enterprises needed to build and maintain good relationships with customers, which would be the key to increasing competitiveness for Vietnamese food enterprises.

The focus should be on market study to develop appropriate marketing strategies and customer care solutions.

General Director of Cholimex Food Diep Nam Hai said that food companies should pay attention to developing supply chains to ensure the competitiveness of the products in terms of quality and price.

According to Hien, expanding exports was a solution for food companies in the context of low domestic market demand.

He said enterprises should eye potential markets such as China and India and markets in Asia – Pacific regions.

As consumers were increasingly aware of their personal health and environmental sustainability when choosing foods, enterprises should focus on developing products to meet the consumer demands, such as products of plant origin or organic products, he said.

Transition to green production was important, Hien said, adding that green production became an advantage for food enterprises.

Nguyen Ngoc Hoa, President of the HCM City Union of Business Associations, said the association’s survey found that enterprises with green production were having better orders than others in the context of economic difficulty.

Green production was a passport for many enterprises to penetrate and expand in international markets, he stressed.

Vietnamese food products were now present in around 180 countries and territories around the world.

Green credit balance accounts for about 4.2% of total: Central bank

Vietnam’s green credit balance accounted for about 4.2% of the economy’s total credit balance by June 30, 2023, according to the State Bank of Vietnam (SBV).

In the 2017-2022 period, the yearly growth rate of green credit reached more than 23%.

Speaking at a workshop on green credit held on September 9, SBV Deputy Governor Dao Minh Tu said that Vietnam’s banking industry has been striving to implement the National Strategy on Green Growth for the 2021-2030 period with a vision to 2050.

It has approved the project on green bank development, promulgated an action programme to implement the national green growth strategy, circular guiding credit institutions on managing environmental risks in credit granting activities, and integrated the goal of increasing the proportion of green credit balance in the total credit balance.

Tu said that among the 12 areas that the SBV guides credit institutions to offer green credit, outstanding loans focus mainly on renewable energy sectors/clean energy (45%), and green agriculture (31%). Credit institutions have enhanced the assessment of environmental and social risks in credit-granting activities.

According to Deputy Director General of the SBV Department of Credit for Economic Sectors Nguyen Xuan Bac, Vietnam is considered one of the 38 developing markets with significant progress in promoting the financing industry towards sustainable development.

The country ranked high among Asian and global countries in policies related to national self-determined contributions (NDCs) - an important content of the Paris Agreement.

Bac said despite positive progress, green credit still faces difficulties, for example, a shortage of national regulations on criteria to identify green projects.

In addition, granting green credit requires in-depth technical environmental factors, which will make it difficult for credit officers to appraise and evaluate the effectiveness of the project and the customer's ability to repay debt.

He said it’s necessary to improve the legal framework and develop a roadmap to implement policy mechanisms to support green industries and attract investors to green projects.

Nguyen Thi Thu Ha, head of the Financial Institutions Department of Vietnam Bank for Agriculture and Rural Development (Agribank), said the bank has been paying much attention to developing green credit.

Agribank has nearly 70% of the outstanding loans in the field of rural agriculture, so developing green credit is very important to it, she said.

Vietnam remains stable destination for investors: Swiss fund

From Bellecapital’s perspective, Vietnam is seen as a destination that offers stability for investors, said Xinyue Hou, manager of the portfolio in Asia of the Swiss investment fund.

Speaking to the Vietnam News Agency in Geneva on the sidelines of a seminar on Vietnam - Switzerland cooperation in trade, investment, and technology in the framework of Vietnam Day 2023 in Zurich on September 8, the official stressed that Vietnam holds a geographical advantage while its economy has recorded significant advancements in recent years.

 Xinyue Hou, manager of the portfolio in Asia of  Bellecapital. (Photo: bellecapital.com)
Vietnamese workers are known for their diligence, creativity, and entrepreneurial spirit, she said, noting that they consistently put in effort to accumulate wealth, and many of them choose to borrow more capital to start their own businesses.

She spotlighted Vietnam's remarkable economic growth in recent years and pointed out the Southeast Asian nation's advantages and policies to attract investment.

Xinyue Hou mentioned Vietnam's socio-economic development policies up to 2025, acknowledging its continuous efforts to ensure rapid and sustainable economic growth on the basis of promoting macroeconomic stability and the development of science, technology, and innovation.

She expressed the belief that Vietnam's efforts to spur industrialisation and modernisation will continue to yield positive results in the near future.

30 years of flourishing Việt Nam-Japan ODA cooperation: A testament to growth and collaboration

Japan International Cooperation Agency (JICA) is set to reinforce its commitment to cooperation with Việt Nam across four critical areas, including high-quality infrastructure development, human resource development, healthcare advancements and climate change mitigation.

In an exclusive interview with Việt Nam News, JICA's chief representative, Sugano Yuichi, underlined the significance of this year, marking the 50th anniversary of Japan-Việt Nam diplomatic relations, emphasising that the relationship between the two countries has never been stronger.

"In the future, JICA will continue to contribute to Việt Nam’s sustainable development, both in terms of physical infrastructure and the development of human resources, thereby further strengthening the burgeoning bond between Việt Nam and Japan," Yuichi said.

Over the past three decades, the Official Development Assistance (ODA) cooperation between Việt Nam and Japan has flourished, solidifying their enduring partnership. This collaboration has yielded remarkable results in various sectors, including economic cooperation, investments and the cultivation of human resources. As the steward of Japan's ODA initiatives, JICA has played a pivotal role in nurturing this enduring alliance.

Throughout the 30-year journey of cooperation between Việt Nam and Japan, there have been over 100 ongoing projects spanning diverse domains, such as education, healthcare, transportation, energy and agriculture. Việt Nam stands among the top five countries benefiting from Japanese ODA.

"Since the resumption of ODA to Việt Nam in 1992, Japan has contributed over three trillion yen (equivalent to approximately VNĐ600 trillion) in cumulative ODA capital. Japan holds the distinction of being the most significant ODA donor among OECD member countries, underscoring its steadfast commitment to Việt Nam's development," Yuichi affirmed.

Japanese ODA has had a profound impact on infrastructure development in Việt Nam, with projects like the National Highway 1, the North-South Expressway, and port constructions such as Lạch Huyện and Cái Mép – Thị Vải ports fortifying Việt Nam's economic foundation. The energy sector has also experienced substantial growth through Japanese ODA, with the construction of power plants bolstering the nation's energy infrastructure.

Japan's support has significantly benefited healthcare in Việt Nam, with investments not only in core hospitals like Bạch Mai Hospital but also in vaccine production. Collaborating with JICA has facilitated the production of 100 per cent of measles and rubella vaccines, contributing significantly to expanded vaccination plans.

In the field of education, JICA's partnership with Cần Thơ University, spanning over half a century, is emblematic of their enduring relationship. Recent initiatives like the Việt Nam Japan University (VJU) project, which began in 2016, continue to produce high-quality human resources for Việt Nam while fostering international student exchanges.

As the 50th anniversary of Japan-Việt Nam diplomatic relations approaches, the future of this dynamic partnership remains promising. Minister Phạm Minh Chính has articulated his aspirations for sustainable development and a green economy, setting the stage for upcoming ODA cooperation plans.

Looking ahead, JICA will prioritise four key areas of cooperation. Firstly, there will be a focus on high-quality infrastructure projects, notably the HCM City urban railway and Nội Bài International Airport. Secondly, human resource development will continue to be a cornerstone of collaboration, with Cần Thơ University and VJU at the forefront.

Thirdly, the health sector will receive attention, with JICA supporting the implementation of remote medical systems and digital transformation techniques at local medical facilities. Additionally, collaboration with Japanese private enterprises, NGOs, and universities will enhance rehabilitation techniques and medical care to address the challenge of an aging population in Việt Nam.

Lastly, JICA will actively engage in climate change initiatives, utilising the Green Climate Fund (GCF) to support afforestation activities and natural environment protection. This aligns with the Vietnamese Government's vision of achieving carbon neutrality by 2050, marking a significant step towards addressing climate change challenges.

"In the future, I hope that not only JICA but also related parties such as Japanese universities, local governments, private companies and non-governmental organisations will continue to participate in ODA projects to enhance people-to-people exchanges and further promote the growing relationship between the two countries," JICA’s chief representative said. 

Proposed revisions to Việt Nam's oil and gas sector development strategy reviewed\

Various proposals were put forth by experts and industry insiders to ensure the oil and gas sector keeps pace with the times, overcomes existing challenges, and establishes specialised policies for sustainable growth at a workshop jointly hosted by the Communist Party of Việt Nam (CPV) Central Committee's Economic Commission and Vietnam National Oil and Gas Group (Petrovietnam) on September 8.

At the workshop, there was a strong emphasis on the need for the CPV's Politburo to promptly consider issuing a new resolution titled 'Strategic Directions for Development of Việt Nam's Oil and Gas Sector by 2030, with a Vision to 2045'.

This collaborative workshop, organised to assess the implementation of strategic policies for Việt Nam's oil and gas industry as per Politburo Resolution No. 41-NQ/TW dated July 23, 2015, also aimed to propose key objectives, tasks, and solutions for the period up to 2030 with a vision to 2045.

The event saw participation from representatives of the CPV's Central Committee's Office, the Ministry of Industry and Trade, the Commission for Management of State Capital at Enterprises, various provinces and cities, the Vietnam Oil and Gas Association, and Petrovietnam's member units.

Lê Mạnh Hùng, Petrovietnam's General Director, opened the workshop by underlining Petrovietnam's impressive 62-year tradition and 48-year development journey, emphasising its pivotal role as a leading economic conglomerate in Việt Nam. He acknowledged the Group's substantial contributions to the nation's socio-economic development and the successful completion of tasks outlined in Resolution No. 41-NQ/TW over the past seven years.

However, Hùng candidly recognised the sector's new challenges and complexities arising from geographic scope, operating areas, policy mechanisms, market dynamics, digital transformation, green transition, circular economy, and more. These challenges necessitate a comprehensive and objective analysis to propose strategic adjustments for the coming years.

During the workshop, Nguyễn Đức Hiển, Deputy Head of the Party Central Committee's Economic Commission and Head of the Editorial Team, presented the main aspects of the draft report assessing the implementation of Resolution No. 41-NQ/TW. He stressed the importance of soliciting feedback from experts, Petrovietnam's management, and relevant ministries and sectors on key topics such as propaganda, Resolution 41-NQ/TW implementation, institutionalisation, specific goals, and results achieved, as well as limitations, challenges, and solutions.

Hiển encouraged experts to engage in open and objective discussions, considering both domestic and international contexts. He urged them to propose specific views, objectives, and directions, particularly concerning the oil and gas market, infrastructure development, capital attraction, scientific and technological advancement, human resource development, international cooperation, green growth, and sustainable development, with Petrovietnam as the central player in the national energy conglomerate.

The workshop primarily focused on evaluating the implementation of Resolution No. 41-NQ/TW, achieving its goals and objectives, and exploring Việt Nam's oil and gas potential. It also delved into new approaches for the sector's development strategy in the current context, improving regulatory mechanisms, laws, and policies for oil and gas development by 2030, with a vision to 2045. Additionally, the workshop addressed strategic oil reserves and enhancing the operational mechanisms of the fuel market to meet domestic demand while integrating national defense, security, and foreign affairs into Việt Nam's oil and gas sector.

In closing, Hiển confirmed that the workshop's feedback would be meticulously absorbed and integrated during the preparation and finalisation of the report, which will be tabled to the Politburo for further consideration. 

Biggest technology conference, exhibition in APAC opens in HCM City

Thousands of people visit the largest technology conference and exhibition in the APAC region, “NEAR APAC 2023 Technology Conference & Exhibition”, which is being organised in HCM City this weekend.

Lasting the two weekend days, the exhibition, whose theme is “Unlimited Future”, features over 100 international speakers and more than 50 investment funds, drawing more than 8,000 attendees from the global technology investment community.

Co-organised by Golden Financial Innovations (GFI), Vietnam Blockchain Innovation (VBI) Academy, and the Swiss-based NEAR Foundation, NEAR APAC 2023 aims to promote the potential of Vietnamese technology companies, showcase high-quality talent, and provide opportunities for learning, networking, and collaboration with leading international businesses and investment funds.

The event also seeks to attract international resources and economic support for the growth and sustainability of the web3 startup ecosystem in Việt Nam.

The exhibition also creates a dynamic environment with a diverse array of activities. It will enable participants to explore the boundless potential of industry trends in the technology sector.

In recent years, the global trend of digital transformation has gained significant momentum, with Web3 technology emerging as a key driver for optimising and enhancing this transformation process.

Web3 is fundamentally reshaping the way we interact with data and revolutionising various industries.

During NEAR APAC, a wide range of activities are organised, including a Hackathon & Coding Challenge for programmers and students, with prizes totalling more than VNĐ2.7 billion (US$112,000).

The event also hosts a job recruitment day with the participation of hundreds of technology companies; a 1:1 showcase programme for Vietnamese startups involving over 50 international investment funds; a high-tech technology showcase; NFT exhibitions; games and gaming competitions; and several appealing side entertainment events.

Leading industry experts and international investment funds will analyse technology and investment trends, offering specific solutions to enhance business efficiency through technology adoption.

The event will also include skill-sharing sessions and insights on capital raising and startups from tech unicorns.

Exciting activities, such as lucky draws with the chance to win various Apple products will also be held throughout the two-day event.

The event lasts until Sunday at Thiskyhall Convention, No 10 Mai Chí Thọ, Sala Urban Area, Thủ Đức City of HCM City. 

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