|
BUSINESS IN BRIEF 2/6
Petition
filed against steel dumping
Two local
steelmakers have submitted a petition to the Vietnam Competition Authority
saying imported cold-rolled stainless steel is being dumped on the local
market.
The authority under
the Ministry of Industry and Trade on May 6 received the petition from Posco
VST Company Limited and Hoa Binh Inox Joint Stock Company. The local steel
firms propose an anti-dumping investigation into steel imports from
According to
Ordinance 20/2004/PL-UBTVQH11, the Minister of Industry and Trade will decide
whether an anti-dumping investigation would be launched or not within 60 days
after a petition is received.
This is the third
time local producers have filed a petition against imported products. The two
previous cases were brought against float glass and vegetable oil imports.
Most stainless
steel items enjoy a zero import tariff. Only stainless steel with a circular
cross-section is subject to a 10% duty, according to Circular 193 dated
November 15, 2012 of the Ministry of Finance.
In October last
year, the finance ministry brought forward the amended version of Circular
157 dated November 14, 2011, with the duty on cold-rolled stainless steel imports
raised from 5% to 7%. Such an adjustment was made after Posco VST, the
largest cold-rolled stainless steel producer in
The company had
been struggling to maintain the most competitive prices for its products as
imported products were levied a tariff of only 5%. Although the tariff on
stainless steel was increased from 0% to 5% on January 1, 2012, the import
volume in the first five months of the year only dropped 11.62% year-on-year.
Binh Dinh
to set up advisory group for oil refinery plan
The central
This is one of the
major contents in Document 1839/UBND-KTN issued by
The tentative
consulting group should comprise representatives of the central development
research fund, Bank for Investment and Development of Vietnam (BIDV),
economists and former oil business executives. The economic zone management
authority of Binh Dinh is assigned to work with the provincial Department for
Foreign Affairs on the consulting group’s establishment.
As per the
document, the local authorities ask the management authority to consider
their proposal to ask PTT to map out the investment plan as required.
The foreign affairs
department is told by the local government to propose contents for the
document to be sent to PTT, including the content of Dispatch 652/TTg-KTN issued
by the Prime Minister on May 10, 2013. The Government in the document
requests PTT to clarify a number of contents in the investment report and
draft invitations to call for organizations and individuals to join the
consulting group.
Binh Dinh vice chairman
Ho Quoc Dung earlier said Deputy Prime Minister Hoang Trung Hai had signed a
document allowing for the deployment of the oil refinery project in Nhon Hoi.
Dung deemed this as
the important step to officially affirm the project’s feasibility.
The Government in
the document tells Binh Dinh to request PTT to draft the investment plan and
submit it to the Ministry of Industry and Trade before transferring it to the
Prime Minister for approval. The province is also told to help the Thai
investor submit an environmental impact assessment report to the Ministry of
Natural Resources and Environment.
The project owner
will spend 12 months drawing up the tender invitation document, five months
calling for bidders and six months considering the bidding results while the
feasibility study and other procedures on investment preparations should be
completed later.
Nhon Hoi oil
refinery plant, which is expected to start construction in 2016 and
commercial production in 2019, will be developed on 2,000 hectares with a
designed capacity of 660,000 barrels a day.
The plant will
import some 45% of crude oil from the Middle East, 25% from Africa and the
remainder from South and
SOEs pose
threats for domestic economy
A report from the
NA's Economic Committee on public debt has raised grave concerns over
state-owned enterprises (SOEs) showing poor business performance.
Since 2010, the
laws has stated that debts incurred by state-owned enterprises are not the responsibility
of the government. However, in fact, many SOE's that have suffered losses
have received financial support from the government.
In 2010, SOEs'
foreign debts guaranteed by the government accounted for 14.3% of the
country's total foreign debts.
When
The financial
advantages enjoyed by SOEs also means that they are more highly leveraged
than other firms. The ratio of debt to equity in the SOEs in 2009 was 2.52,
1.78 times higher than private firms and 1.39 times higher than FDI
companies.
The report also
showed that government backed SOEs during difficulties, taking over the huge
debts.
For example,
Vinashin's debts reached VND86 trillion (USD4.1 million), but the company was
rescued with various support and stimulus packages.
In 2010, the
Ministry of Construction also asked the Ministry of Finance to save several
member companies under Song Da Group, who had hundreds of billions of VND in
foreign debts.
According to many,
SOEs are one of main causes for the state budget deficit, and to set off the
deficit the state resorted to issuing bonds and increasing the public debt.
Meanwhile, the
state-owned sector has not shown any improvement, with many enterprises
seemingly going the way of Vinashin and Vinalines.
Authorities
consider policy for property insurance contracts
The Ministry of
Construction is considering the implementation of property insurance
contracts so customers who have made payment for unfinished homes would be
compensated if investors go bankrupt.
Real estate
companies have encountered troubles stemming from high inventories as well as
lack of customers and capital.
Another problem the
sector has seen is investors who gather capital for housing projects but use
the funds for other business ventures. In some cases the projects were
discovered to be illegal and the investors fled, leaving customers with no
apartment and no way to recoup their investment.
In the last three
years lawsuits and accusations have increased across the country, with
hundreds of strikes held, some outside the offices of the Ministry of
Construction.
A representative of
the Vietnam Real Estate Association said, "There are families that have
fallen apart because the husband poured all the family's money into an
incomplete apartment project that did not materialise."
At a conference
addressing housing and real estate law in
The Ministry of
Construction said they are studying the ways in which
"Real estate
investors will be forced to purchase insurance, and if the investors go
bankrupt, if the project becomes stagnant or the capital is put to other
uses, customers will be compensated."
Thua Thien
–
The central
According to
Chairman of the provincial People’s Committee Nguyen Van Cao, the scheme must
create a new vision for the sector and specify directions and measures to
turn the province into a top destination in the region using foreign and
domestic models of sustainable tourism development.
The scheme should
also make full use of the local natural and social advantages as well as
potentials of the province.
Chairman Cao said
Thua Thien-Hue and the Singaporean partner have agreed to focus on devising
14 key projects as part of the planning. Among these, priority will be given
to five projects with the hope of creating a breakthrough in the province’s
tourism development.
Playing the central
role will be a plan combining urban and rural development, paving the way for
developing countryside tourism following the green economy model. The other
priority plans aims to develop the cruising industry, cruising tours on Huong
(Perfume) River, the Hen islet and the Lang Co-Chan May green city.
The provincial
Department of Culture, Sports, and Tourism is authorised to work with the
Singaporean consultant on the plan, in order to submit it to the provincial
People’s Council for approval at the upcoming session.
The Vietnam Housing
and Urban Development Corporation (HUD) and the BIC Joint Stock company (BIC)
on May 28 started the construction of a social housing project in
The project covers
2.2 hectares in the new south western urban area Linh Dam, providing 1,037
apartments, equivalent to 75,815 square metres.
The project will
cost 710 billion VND (33.8 million USD), which is the first instalment of a
10,000 billion VND concessional loan (476 million USD) that the Bank for
Investment and Development of Vietnam (BIDV) and HUD signed earlier this
year.
According to
Minister of Construction Trinh Dinh Dung, the building sector needs to
perfect its mechanisms and restructure construction projects to meet people’s
high demand for housing.
The Government has
proposed many measures to thaw out the “frozen” property market to give
people access to social housing and deal with social security issues, Dung
added.
This is the first
project implemented in line with Government Resolution No.02 that eases
difficulties in
The ministry calls
upon all enterprises, especially state-run companies to pioneer the social
housing development movement.
The social housing
project matches the State and Party’s policies, helping realise the 2020
national strategy on housing development with a vision towards 2030,
according to HUD Chairman Nghiem Van Bang.
RoK
enterprises seek opportunities in Da Nang
A delegation of 11
The exchange was
jointly held by the
During the event,
the RoK businesses, operating in the fields of garment, electronics,
mechanical engineering and hydraulic devices, introduced their products and
establish cooperation ties with local firms.
The RoK now ranks
second among 30 countries and territories investing in
Thua
Thien-Hue supports FDI enterprises
The People’s
Committee of the central
According to Deputy
Chairman of the provincial People’s Committee Phan Ngoc Tho, the province has
tried to create a favourable investment and business environment for FDI
firms.
Towards the target
of attracting from 10 - 15 FDI projects with total registered capital at 150
million USD this year, the province is focusing on completing a land use
plan, accelerating reforms of administrative procedures, particularly those
related to FDI management, and increasing investment promotion activities.
Up to date, there
have been 66 FDI projects worth nearly two billion USD operating in Thua
Thien-Hue province. During the first quarter of 2013, local FDI enterprises
earned 110 million USD in revenues, up 48 percent over the same period last
year. They contributed 273 billion VND (some 13 million USD) to the state
budget, an increase of 5 percent.
The province’s FDI
projects are getting bigger in scale, and more diverse in fields, including
garment and textile, tourism, food processing and beverage.
Pink books
for CapitaLand project
CapitaLand’s first
residential development in
The books were
welcomed by The Vista home purchasers in
The construction
was completed on schedule and the apartments were handed over to home
purchasers from end 2011.
“With the pink
books, home purchasers can enjoy their legal rights in accordance with the
Land Law and the Law on Residential Housing, such as right to assign, right
to lease, right to inherit, right for capital contribution,” said a company
release.
Yip Hoong Mun,
deputy CEO of CapitaLand
Located in An Phu
Ward, the 2.3 hectare prime residential precinct is close to the city centre,
The Vista comprises 750 luxurious apartments across five 28-storey towers
overlooking the
The development
also comprises approximately 8,500 square metres of commercial space
including a retail podium, named The Vista Walk.
In addition, The
Vista has
In the residential
sector, CapitaLand has a portfolio of close to 6,000 quality homes across six
residential projects in
In the serviced
residence sector, its wholly-owned serviced residence business unit, The
Ascott Limited, has a portfolio of more than 1,800 apartment units in 12
properties across the four major cities, making it the largest international
serviced residence owner-operator in the country.
Monetary policy
under greater pressure
The government will
help ignite the economy by cutting the lending rate to allow credit growth to
reach 12 per cent in 2013, after a low level in 2013’s first five months.
The prime minister
has just released Instruction 09/CT-TTg on financial and budget management in
2013, under which the State Bank is required to continue reducing lending
rates, for credit growth of 12 per cent for the whole year. It should also
focus on lending in priority sectors, carrying out restructuring plans for
credit institutions and stepping up addressing the bad debt problem.
According to the
State Bank's Monetary Policy Division, up till May 22, credit growth rose by
2.29 per cent year-on-year. It is expected to reach only 3 per cent by the
end of May.
Despite
improvements during the same period of 2012 when credit growth stayed
negative, this level is considered low compared to the 12 per cent target for
this year.
Since March 2012
till now, the State Bank has cut interest rates eight times and consecutively
lowered the ceiling
In fact, many
experts said to lower lending rates to support enterprises, the government
and the National Assembly should consider tightening targeted inflation to
7-8 per cent, instead of 6-6.5 per cent as currently.
Phone
handset exports to UAE increase sharply
The export of the
products to this
Vietnamese exports
to the UAE have maintained high growth over the years, says the Africa,
Phone handsets took
the lead among the export items to this market, with the value increasing
from US$108.3 million in 2010 to US$363 million in 2011 and US$1.5 billion,
in 2012.
Novel
automobile- motorbike products on show
Nearly 300 items
relating to the automobile- motorbike industry are on display at an
international exhibition which opened in
The 9th Saigon
Autotech and Accessories Show 2013 involves some 250 domestic and foreign
manufacturers, including those from Taiwan Indonesia,
This year’s event
sees an increase of 40 percent in the number of booths displaying
accessories, assembling, and maintenance equipment, automobile interiors, and
other things.
Visitors to the
four-day event will see a host of novel automobile models of all types,
including BRZ, Subaru XV 2.0i premium, Legacy 2.5GT sedan, Outback 2.5i SUV
and 7-seat Tribeca 3.6R.
There is a large
space for high-end and bizarre types of motorbikes like Harley Davidson,
Rebel and Ducati.
Visitors will also
have the chance to enjoy stunt performances by record holder Rus Swift from
the
The organisers will
hold trade exchanges and field trips to Vietnamese factories for
participating foreign businesses who want to study the Vietnamese market and
seek cooperation opportunities with local partners.
EuroCham
announces Vietnam's BCI in Q2
Results of the 11th
quarterly EuroCham Business Climate Index (BCI) survey announced on May 30
showed that business confidence and outlook among European businesses in
Vietnam continues to improve – even if hesitantly.
This quarter the
Business Climate Index has risen to the mid-point- from 48 to 50 points –
following three quarters below 50.
This is the second
consecutive increase, and it seems to suggest that European companies are
regaining trust in the Vietnamese market.
The key indicators
of this development are the improved business outlook, the increase of
revenue/orders and the optimism about the overall economic outlook.
However, it is
important to keep in mind that the BCI remains at 50, far below the highpoint
of 79 in 2011 and that the improvements over the last two quarters remains
limited, with an increase of 2 points per quarter.
More than half of
the businesses that participated in the survey are active in the services
industry, a quarter in manufacturing and the rest in trading and other
activities.
Looking to the
future, the business outlook for respondents has seen a significant
improvement with members having positive expectations rising from 30% to 43%,
a development which may be linked to the ongoing EU-Vietnam Free Trade
Agreement (FTA) negotiations. Yet, this still means that 57% assess their
outlook as either ‘neutral’ or ‘negative’.
Reported investment
plans also seem to be improving. More companies are intending to
‘significantly increase investment’, having doubled from last quarter’s 7% to
13%.
Overall, investment
plans look more positive than they did a year ago, with 76% of respondents
either expecting to keep or increase their investment levels versus 72% one
year ago and the number of respondents expecting to cut investments further
declined to 19% from last quarter’s 24%.
This again
indicates a returning faith in
When asked about
their expected number of orders and revenue in the medium-term the answers
have also slightly improved.
Whilst the share of
companies expecting revenue to increase improved from 45% to 53%, those
expecting a drop in orders fell further from 23% to 16%, which is a
significant improvement. In other words, 84% of respondents consider their
orders/revenue to remain constant or to improve.
This positive
development has also had a positive impact on recruitment plans, with 39%
expecting to increase head-count versus 14% expecting to decrease - a very
positive ratio.
Comparatively, the
numbers at the same time last year were 33% and 19%, respectively. Government
initiatives and the prospect of a strong FTA between EU and
Concerns about
inflation are declining, with 65% of companies expecting inflation to have
no, or limited impact on their business in the medium-term, as compared to
55% last quarter and up from 43% a year ago.
Members were also
asked to indicate what they think the rate of inflation will be and the
average came to 5.13%, which is extremely close to last quarter’s estimate of
5.12% and down half a percentage point on last year’s 5.63%.
Respondents’ appreciation
of the macroeconomic situation is also improving. Whereas last quarter a
considerable 57% expected a further deterioration in conditions (and a
staggering 72% the quarter before), this has now fallen below the midpoint to
48%.
In other words, 52%
of the respondents believe that the economy will stabilize and improve in the
future, something which has not been seen in our Business Climate Index since
2011.
US imposes anti-subsidy tariff on Vietnamese frozen shrimp
The US Department
of Commerce (DOC) announced on May 29 that it will impose anti-subsidy
tariffs of nearly 63% on frozen shrimp imported from
In its preliminary
decision, the DOC will impose countervailing duties on products imported from
In 2012, five Asian
countries exported around 258,000 tonnes of frozen shrimp worth US$2.3
billion to the
Many products from
these countries have been subject to different anti-dumping tariffs for
several years.
The preliminary
decision was based on the results of DOC investigation into the recent
petitions by shrimp producers and packagers under the US-based Coalition of
Gulf Shrimp Industries. The final decision will be made in late September.
Vietnamese
exporters have described the US Department of Commerce (DOC)’s recent levy of
anti-subsidy duties on frozen shrimp imported from seven countries including
The General
Secretary of the Vietnam Association of Seafood Exporters and Processors
(VASEP) Truong Dinh Hoe said the DOC’s decision was only based on
Moreover, the DOC
is yet to take into account borrowing interest rates and aquatic feed prices
in
Under the DOC’s
preliminary decision, products of Minh Quy company are subject to a 5.08
percent anti-subsidy duty while the rate for Nha Trang Seafood is 7.05
percent, which is extremely high, according to domestic seafood processors
and exporters.
If this rate
remains until the final decision is made in late August, Vietnamese shrimp
firms will find it difficult to ship their products to the
The VASEP General
Secretary said Vietnamese companies will continue campaigning for more
reasonable duty rates.
Price
stabilization programme needs better co-ordination
The
price-stabilized-product system should be developed nationwide and
co-ordination among enterprises in creating a “goods reserve” should be
improved, a conference was told on May 29.
The Ministry of
Industry and Trade recently held the conference to evaluate the price
stabilization programme and to discuss how to expand it.
Deputy Minister of
Industry and Trade Ho Thi Kim Thoa said the programme and related policies to
aim to control the consumer price index and prevent speculation.
Under the
programme, she said, essential commodities such as rice, sugar, oil, meat,
eggs, vegetables and seafood products were sold at 5-10 percent lower than
market prices.
However,
price-stabilized products have not reached residents in remote rural areas,
said Hanoi Department of Industry and Trade deputy director Nguyen Van Dong.
Dong said the
distribution network should be enhanced in traditional markets, rural areas
and industrial zones to better serve low-income earners and ensure they enjoy
the benefits of the programme.
Van Duc Muoi,
director of Vissan, said enterprises need to be provided with preferential
loans to manufacture and store goods for the price stabilization programme.
“It is also
important that enterprises co-ordinate with each other to ensure stable raw
material sources for production and a smooth transition between production
and distribution,” Muoi said.
Director of the
Domestic Market Department Vo Van Quyen said many localities now provide
support to manufacturing enterprises, instead of mainly retail enterprises as
in previous years.
“The price
stabilization programme was not non-market,” Quyen said. He pointed out that
enterprises have accessed Government loans to reserve necessary goods during
economic difficulties.
HCM City Department
of Industry and Trade deputy director Le Ngoc Dao said the price
stabilization programme should encourage the participation of other economic
sectors besides the Government.
She said that this
year the city called for credit institutions and commercial banks to join the
programme to help enterprises get access to loans at reasonable interest
rates (about 6 percent for short term and 10 percent for long term).
Thoa told the
conference that the ministry would have policies to encourage enterprises to
join the programme by themselves without receiving loan support from the
Government.
During 2012 and Tet
holiday, a total of VND1.803 trillion (US$85.86 million) was provided to 45
out of 63 provinces and cities to participate in the price stabilization
programme.
About 300
enterprises got involved in the programme, 20 percent of which did not get
loan support from the Government, the ministry’s report showed.
Exhibition
promotes energy efficient technology
The fifth
International Energy Technology – Environment Hanoi 2013 (ENTECH) kicked off
in
The three-day
exhibition is showcasing energy-saving and environmentally-friendly
technologies and products of nearly 100 enterprises from
ENTECH aims to
create favourable conditions for local businesses to access advanced
technological solutions, gradually replace low productivity devices with
better ones, thus reducing expenses and improving their competitiveness.
The event is also a
good chance for enterprises to publicize their hi-tech products and devices
that save energy, and cleaner manufacturing technologies.
Technologies and
products on show include lighting systems; electrical and heating equipment,
gas systems, home appliances, renewable and new energy; clean manufacturing
technologies; and environment technologies.
A workshop on
energy saving solutions for small-and medium-sized enterprises will also be
organized within the framework of the exhibition.
Binh Duong,
Italian localities seek business partnerships
The commitment was
made at the signing of a cooperative agreement between Binh Duong province
and the two Italian regions in Binh Duong on May 29.
The signing was
witnessed by Le Thanh Cung, chairman of the provincial administration,
Alessandro Criani, governor of Fordenone, and Albertto, President of the
Emilia Romagna Chamber of Commerce.
Binh Duong welcomes
Italian investors and creates the best possible conditions for them to
operate in the locality, Cung assured his Italian guests.
Albertto said
He said 90 Italian
automobile, high-tech, and processing businesses are keen to invest in
A delegation from
two Italian regions and representatives from the Italian Chamber of Commerce
also visited the My Phuoc Industrial Zone and Binh Duong industry-services
and urban area complex.
Binh Duong is one
of the leading Vietnamese localities in attracting foreign investment. It has
so far licensed 2,160 investment projects capitalized at more than US$18
billion from 35 countries and territories.
Seafood
exports hit US$500 million in May
Vietnamese seafood
exports in May are estimated at US$479 million, bringing the total five-month
export value to over US$2.2 billion, down 5.6 percent against last year.
Seafood experts
attribute the decline to difficulties with input materials, as well as
anti-dumping tariffs and barriers set by the Japanese and
As a result,
exports to three major markets – the
However, the
Vietnam Association of Seafood Exporters and Processors (VASEP) reports that,
despite recent market recovery, the aforementioned factors will continue
affecting the fisheries sector in the next few months.
It will be
difficult for exports to rebound in the second quarter of this year and
experts forecast that they may even decrease slightly.
Many export
businesses still hope that shrimp exports to Japan – the leading importer of
Vietnamese shrimp – will increase again after this country has removed
regulations to test for Trifluralin residues in Vietnamese shrimp.
To promote exports
in the coming months, experts suggest the fisheries sector find ways to
reduce indirect costs and those related to services, and businesses pay more
attention to quality, food hygiene and safety in order to expand their export
markets.
Businesses
seek opportunities in South America
A large number of
Vietnamese and Argentinean businesses attended a business forum in
The forum was held
during a fact-finding tour by a delegation of 12 Vietnamese businesses
operating in the fields of construction, infrastructure development, water
supply, and waste treatment, as well as food, farming and plastic products.
President of the
Argentinean Chamber of Commerce (CAC), Carlos Raul dela Vega, Director of the
Argentinean Foreign MinistryExports Promotion Agency, Agustin Wydler, Vietnam
Chamber of Commerce and Industry (VCCI) official Nguyen Vu Kien and
Vietnamese Ambassador to Argentina Nguyen Van Dao spoke highly of the
potential for economic cooperation between the two countries.
They agreed that
the global economic crisis has created an opportunity for both sides to
support each other and increase mutually beneficial cooperation within the
framework of South-South Cooperation in trade, investment, and other fields.
Argentinean
participants emphasised that
Vietnamese
businesses met with their Argentinean counterparts at the forum to seek
cooperation opportunities in technology transfer, product development,
product distribution and joint venture partnerships.
On the same day,
the Vietnam-Argentina Centre held meetings among business representatives
from the two countries.
Carlos Castelli,
President of the Blue Star Group, which has 530 shops in Chile, Mexico, Peru
and Argentina, said his group plans to open its first shop in Vietnam in the
near future.
Two-way trade
between
Agilent, the
world’s premier measurement company in the
In a press release,
the US-based multinational company says these offices will have specific
centers to deliver greater levels of engineering and support expertise for
customers and partners.
As one of the
fastest developing infrastructure and business regions in the world,
"We look
forward now to directly participating with customers to deliver the products
and solutions in electronics, chemical analysis and life sciences that will
help accelerate their work and ultimately contribute to the growth of
Soon-Chai Gooi,
president, Order Fulfillment and Supply Chain of the company, describes the
"Each office
will be fully staffed to provide the high level of service that Agilent is
known for to help our customers excel with the latest measurement
technologies for electronics, life sciences and chemistry,” said Gooi.
“Our customers and
partners in Vietnam can now look forward to faster response times and the
highest quality of service which Agilent is renowned for worldwide."
Agilent
Technologies Inc. is the world's premier measurement company and a technology
leader in chemical analysis, life sciences, diagnostics, electronics and
communications. \
It employs 20,500
workers in more than 100 countries. It obtained net revenues of US$6.9
billion in its fiscal year 2012.
Vietnamese and
European Union experts made proposals at a joint forum in
Experts from the
European Union Delegation to
They also presented
new ways of developing business strategies to Vietnamese businesses to
effectively penetrate the demanding EU market.
A Ministry of
Industry and Trade (MoIT) representative said with the ministry’s assistance,
Vietnamese businesses have kept abreast of the generalized system of
preferences (GSP) of the EU in the 2014-2016 period.
Accordingly,
exports such as footwear, handbags and umbrellas will no longer enjoy GSP as
of January 1, 2014. Technical specifications and food safety are major
barriers to Vietnamese commodities to be exported to the EU.
Vietnamese
businesses were advised to log on to the EU trade portal to seek accurate information
about their partners and markets.
In 2012 the EU
overtook the
In the first quarter
of 2013, two-way trade value rose 26.18 percent to US$6 billion, including
US$4.34 billion worth of Vietnamese exports.
RoK
enterprises seek opportunities in Danang
A delegation of 11
The exchange was
jointly held by the Danang branch of the Vietnam Chamber of Commerce and
Industry (VCCI Danang), the Danang Investment Promotion Centre, and the
Hwaseong Chamber of Commerce and Industry (HCCI) of the RoK.
During the event,
the RoK businesses, operating in the fields of garment, electronics,
mechanical engineering and hydraulic devices, introduced their products and
establish cooperation ties with local firms.
The RoK now ranks
second among 30 countries and territories investing in Danang city, with 27
projects worth over US$700 million in total.
Heavy fine
for those illegally sending laborers to Angola
Any enterprises
illegally sending laborers to
Deputy Minister
Nguyen Thanh Hoa said on the sidelines of a seminar on labor export held last
week in
Vietnamese who are
currently working in Angola are health, agricultural and educational experts
sent to that country under a labor cooperation agreement signed between the
governments of the two countries years ago. Meanwhile, sending workers to
Angola has not been allowed.
The Overseas Labor
Management Department and the Consular Department will publicize the warning
so that workers can take prudence if working in Angola.
“There are currently
30,000-40,000 Vietnamese working and living in Angola. The ministry has
received some labor export contracts from Angola but none of them have met
requirements,” Hoa said.
Meanwhile, the
number of people going to work in Angola has not declined as Vietnamese
workers are attracted by high income with an average of US$900-1,000 per
month or even US$1,500-1,700. However, such income is precarious as the jobs
are not stable.
At the seminar, the
Vietnam Association of Manpower Supply with assistance from international
organizations issued the code of conduct (CoC-VN) for labor exporting
enterprises which will be used to score and evaluate the prestige and quality
of enterprises concerned.
VND550
billion for Hiep Phuoc IP expansion
Hiep Phuoc
Industrial Park Joint Stock Company (HIPC) will invest an additional VND550
billion to expand the park by nearly 600 hectares to make room for industries
specializing in mechanical products, home appliances, seaport services and
foodstuff processing, said Doan Hong Tam, general director of the company.
HIPC will sign an
agreement with Vietinbank for a loan of VND550 billion on June 4 to develop
the second phase of the facility, Tam told the Daily yesterday.
As much as 93% of
the first phase of Hiep Phuoc Industrial Park (IP) has been occupied by 96
enterprises. HIPC next week will license two more mechanical companies,
taking the total number of investors in the park to 98.
IP developers now
are in a fierce competition to access bank loans as they are no longer
subject to preferential lending rates as before, Tam said.
Under the HCMC IP
development zoning plan by 2020 with a vision to 2025, the city will continue
constructing high-tech IPs, attracting manufacturers to already-planned IPs
and industrial clusters, developing supporting industries and minimizing
labor-intensive schemes.
The city has 14 IPs
and export processing zones (EPz) with more than 1,200 valid investment
projects using nearly 260,000 workers. As per the plan, the city will have
one hi-tech area, 20 concentrated IPs, EPZs and local industrial clusters on
a total area of roughly 8,000 hectares in the next ten years.
Many IPs in the
city have focused on investment in 2016-2020, including Bau Dung, Hoa Phu, Le
Minh Xuan 2, Le Minh Xuan 3, Phu Huu, Vinh Loc 3, Xuan Thoi Thuong and Hiep
Phuoc’s the third phase.
CBU auto
imports up sharply
A slight recovery
of the local automobile market over the past two months is enough to fuel an
increase in the import of completely built-up autos this month, according to
the General Statistics Office (GSO).
The nation has
imported an estimated 4,000 automobiles this month worth a combined value of
US$60 million, the highest compared to four months earlier, GSO reports.
The auto import
volume and value have been rising. For instance, the country only imported
1,000 units with a total value of US$38 million in February, which then
increased to 3,000 units worth some US$48 million in March.
In April, even
though the auto import volume was unchanged at 3,000 units, its value grew to
US$50 million.
The aforesaid
results show that the import value of completely built-up cars has been on
the rise, which is described as a considerable market movement by local
traders. The auto market has changed for the better since March versus
previous months, according to local assemblers and completely built-up auto
importers.
Local traders
believe the market growth is partly due to the Government’s moves to slash
tax and registration fee. On the other hand, the great effort of auto makers
in launching plenty of new products and offering discounts to stir up local
demand has also helped improve the situation.
Similarly, the
Vietnam Auto Manufacturers’ Association (VAMA) reported the auto market this
month posted higher growth than expected. The association, however, insisted
the growth rate is still slim.
As such, the number
of imported completely built-up cars amounted to an estimated 14,000 units
from January-May with a combined value of around US$247 million, up 13% in
volume and 3.5% in value over the year-ago period. With such a positive
trend, local traders expect the number of imported completely built-up cars
to rebound slightly or to equal to this month’s result.
More completely
built-up cars are forecast to be imported in the final months of the year
when local auto demand traditionally picks up.
With more than
8,780 cars sold last month or a year-on-year sale growth of 26%, VAMA
predicts this year’s sale volume at about 103,000 units, 3% higher than
estimates in previous months.
People’s
credit funds need changes to survive
The Central
People’s Credit Fund and nearly 1,200 similar funds across the country are
suffering from several shortcomings and need changes for sustainable
development.
Speaking at a
workshop themed “Improving and developing people’s credit funds” held in
Hanoi last week, Phi Trong Hien from the central bank said many people’s
credit funds do not strictly comply with the credit process, leading to great
risks.
Moreover, most
people’s credit funds have poor facilities, low equity and human resources
with limited skills, hindering their expansion for sustainable development.
Nguyen Tien Huan,
chairman of the people’s credit fund Quang Trung in Hanoi’s Ha Dong District,
proposed establishing criteria on objectives and principles for operation of
people’s credit funds. Adhering to such objectives and principles, people’s
credit funds will be able to grow in a sustainable way, he said.
Participants in the
workshop suggested turning the Central People’s Credit Fund into a
cooperative bank, operating in accordance with the Law on Credit Institutions
and relevant laws. The cooperative bank will expand its network to the
localities where there are many people’s credit funds to support them and
increase the credit access.
Source: VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR
|
Thứ Bảy, 1 tháng 6, 2013
Đăng ký:
Đăng Nhận xét (Atom)
Không có nhận xét nào:
Đăng nhận xét