BUSINESS IN BRIEF 30/10 Opportunity for Vietnam to export rice to Sri Lanka   The Ministry of Industry and Commerce of Sri Lanka has launched an international tender to purchase 200,000 tonnes of rice, providing an excellent opportunity for Vietnamese rice exporters. According to the Foreign Trade Department under the Vietnam’s Ministry of Industry and Trade, the deadline for submission of bids is 2:00 pm (Sri Lanka time) or 3:30 pm (Vietnam time) on October 31. The tender prices will be calculated according to the free on board (FOB) or cost, insurance and freight (CIF) prices, the department said, adding that 50 percent of rice must be delivered before November 30 and the remaining before December 31. A bid security of two million Sri Lankan Rupees (approximately 13,000 USD) or 0.1 percent of the total cost of the tender and an one- kilogram sample pack in each rice variety need to be submitted. More details of the tender are available at http:///www.industry.gov.lk, the department said. Agriculture ministry must reform procedures: official Minister, Chairman of the Government Office, Mai Tien Dung, has urged the Ministry of Agriculture and Rural Development (MARD) to simplify quality control procedures to facilitate imports and exports. Speaking at a working session this week, Dung said that the ministry had achieved significant results in administrative reforms, but overlaps in management persisted and some procedures remained complicated, hindering the circulation of goods. He said that while some agricultural products needed to be checked by more than one department under the ministry, there was still a lot of duplication of checks by several ministries. For example, milk powder, animal feed and confectionary raw materials received food safety checks from MARD and the Ministry of Industry and Trade (MoIT). Dung said quality checks still accounted for 72 percent of the total time for customs clearance, and added that further efforts were needed to simplify procedures to speed up the process. “What can be removed, should be removed. What must be kept, should be simplified,” he said and stressed on the need for early issuance of national standards to guide efficient checks. The ministry planned to connect 26 administrative procedures to the national single window system. To date, 11 procedures have been connected. Deputy Minister of MARD, Ha Cong Tuan, said that the ministry would continue to check 508 existing administrative procedures and was expected to cut or simplify half of them. In addition, the ministry would also reduce the categories of products, which must be checked before export, while implementing a risk-based management approach. For products, which are now subjected to duplicated checks by MARD, MoIT and the Ministry of Health, Tuan said that the ministry would propose to the Government to hold just one ministry responsible. Government tasked with improving efficiency of BOT projects The National Assembly Standing Committee has issued a resolution tasking the Government with improving the legal framework and policies for investment in and operation of infrastructure projects in the build-operate-transfer (BOT) form, according to the Government news website. Resolution 437/NQ-UBTVQH14 comes out after a string of public protests against the mislocation of several BOT road toll stations such as Cai Lay in Tien Giang Province and Bien Hoa in Dong Nai Province.  The Government and the Prime Minister in particular should focus on eight tasks and solutions to ensure the efficiency of traffic infrastructure projects carried out through public-private partnership (PPP), especially BOT, according to the resolution. The Government will have to review all the BOT projects to identify pros and cons, and propose solutions. Those individuals and organizations responsible for shortcomings and wrongdoing at BOT projects should be strictly handled. Results shall be reported to the NA Standing Committee and the NA at their sessions in late 2018. The Government is also assigned to study and improve the legal framework for the BOT investment model. For BOT investment activity, there should be specific regulations on criteria for selecting contractors and especially evaluating the financial capacity of investors. The process of approving, developing and operating BOT projects must be properly managed. There should be sanctions against those contractors making inaccurate calculations of traffic density and capital recovery duration, and failing to meet quality standards and transfer projects on schedule. The Government will have to order the Ministry of Transport and related agencies to review and complete the planning for traffic infrastructure development nationwide. BOT will not apply to those projects repairing or upgrading existing roads or certain sections of existing roads. Only new roads can be developed in this investment form and the transparency of these projects must be guaranteed. The resolution requires the Government to actively raise capital from local and international sources and provide technical assistance for large-scale projects and those facing financial difficulties. Appropriate measures should be taken to make BOT projects more appealing to foreign investors. The Government should finalize the final accounts of the already-done projects so that toll rates and payback period can be fixed. Any Government commitments to supporting investors in site clearance and resettlement must be implemented in a timely manner. The Government shall review the locations of the BOT road toll stations and consider toll cuts for certain projects. Electronic toll collection must be done nationwide as it will help reduce traffic congestion at toll stations. Local authorities will have to work with ministries and investors to effectively manage site clearance, project quality, construction safety, security, and toll collection. The Government should have proper resettlement and compensation plans for people affected by BOT projects. The Government will have to urge relevant agencies to inspect the BOT projects underway to prevent corruption and wastefulness. The Government should point out advantages of BOT investment and sufficiently inform the public of all benefits which BOT projects can bring. Saigontourist seeks to promote tourism cooperation with Hungary Saigontourist Holding Company, Vietnam’s leading tour operator, on October 25 partook in a conference on promoting tourism development cooperation between Vietnam and Hungary in the Hungarian capital of Budapest. Both sides exchanged information on the tourism markets of the two countries with an aim to bolster the tourist arrival growth and boost tourist cooperation between the two countries. Speaking at the conference, Vietnamese ambassador to Hungary Nguyen Thanh Tuan appreciated Saigontourist’s efforts to implement the tourism development cooperation program between Vietnam and Hungary and proposed the central European country to create favorable conditions in visa issuance for Vietnamese tourists to Hungary as committed by the governments of the two countries. A representative of the Hungarian Ministry of Foreign Affairs and Trade also highly praised the potential of Saigontourist as well as the attraction of Vietnam’s tourism towards Hungarian visitors, adding that, the Hungarian government will simplify visa procedures for Vietnamese tourists. Vo Anh Tai, deputy general director of Saigontourist, said the working trip of his corporation’s delegation to Hungary is aimed at strengthening the tourism development cooperation between Vietnam’s leading tourism enterprise with top travel agencies of Hungary in an effort to attract more Hungarian tourists to Vietnam and vice versa. Saigontourist is rolling up its sleeves to put on a new tourism product with a special ten-day tour taking in Hungary, Slovakia, Czech Republic and Austria costing around VND50 million per guest. Next year, the domestic tour operator is expected to launch a wide range of tours taking Vietnamese tourists to Hungary and central European countries. Simultaneously, Saigontourist will promote cooperation with Hungary’s leading travel agencies to lure Hungarian travelers to HCMC and Vietnam as well. Swiss firm interested in Vietnam airport projects Switzerland’s Zurich Airport AG has shown interest in airport development projects in Vietnam, including the big-ticket Long Thanh International Airport in the southern province of Dong Nai. The corporation has sent a delegation to Vietnam to learn about airport projects here. Speaking at a meeting with Deputy Prime Minister Vuong Dinh Hue in Hanoi on October 25, Lukas Brosi, chief financial officer of Zurich Airport AG, said his business trip to Vietnam this time was aimed at getting detailed information about airport projects in Vietnam, according a report on the Government news website. Deputy PM Hue expressed appreciation of Zurich Airport AG’s intention to participate in airport projects in Vietnam, saying he would tell relevant ministries and agencies to assist the company to explore these projects here. Vietnam is looking for domestic and foreign investors to develop airports including Long Thanh International Airport, Hue told the Zurich Airport AG mission. In his visit to Switzerland last month, Hue met with Zurich Airport AG leadership. The Vietnamese aviation sector has grown significantly in recent years and is expected to be among the world’s top five markets in terms of passenger traffic in 2015-2035. Therefore, Vietnam will need huge capital to build and upgrade airports, said Hue. Besides Long Thanh International Airport, Hue introduced Van Don, Chu Lai and Lao Cai airport projects to the Zurich Airport AG delegation. Household registration books may not be needed by 2019 The household registration book is always needed when it comes to transacting with the public administration at the moment but this requirement will be lifted when a national population database is put in place in early 2019. When having an administrative transaction, residents will just provide their names, personal identification numbers and places of residence, Thanh Nien newspaper reports. The Ministry of Public Security will organize a conference on the national population database early next month. Data of more than 90 million Vietnamese will be stored in the ministry’s information system which has a server in Hanoi City and another in HCMC. Colonel Tran Hong Phu, deputy head of the Police Department on Residence Management and National Data on Population (C72), was quoted by Thanh Nien as saying the Prime Minister has asked military-run telecom giant Viettel to carry out the national database project. Due to the urgency of the project, the Prime Minister has asked the Ministry of Public Security to advance part of the capital needed for the project to collect information of around 90 million residents, and hold training conferences, said Colonel Phu. The national database project can be completed by end-2018 or early 2019, according to C72. The Ministry of Public Security said the national database will be in place in early 2019, thus facilitating State management and simplifying administrative procedures. A waste of the people’s money A huge waste of financial resources is looming large as three condo buildings in Hanoi’s Long Bien District may be demolished following a proposal by the project owner. The three buildings, with 150 apartment units in total, have been left unoccupied for around 10 years, as people affected by a road project refused to take over the resettlement condos on the ground that such housing units were not suitable for them. Project owner Hanoi Construction No. 3 JS Company, or Hanco3, now petitions Hanoi City authorities for permission to tear down the buildings to develop a commercial condo project there, saying leaving the buildings unattended to will be a waste of resources. That possibility is high, despite the fact that numerous people in Hanoi still do not have a home, and despite a loss of millions of dollars having been spent on the construction. The big question that arises is who will bear such losses. According to Tuoi Tre, the construction of the three buildings took place in 2001-2006, with an aim to resettle those people affected by a project to develop Sai Dong Road. When the condos were completed, the affected people rejected the resettlement plan, and as such, the road project also came to a halt. Having been unoccupied for over a decade, the three buildings have deteriorated as a result, and with the vision of such apartments unable to find homebuyers, Hanco3 has now come up with the demolition plan. Hanoi City authorities, upon the petition, have demanded that the project owner map out two options for comparison of pros and cons, according to the news site zing.vn. The first one is to renovate and upgrade the buildings and turn them into the so-called social housing units to accommodate the people entitled to the Government-sponsored housing program, while the second is to tear down the buildings and develop new commercial condos. Nguyen Chi Dung, deputy director of Hanoi City’s Department of Construction, says in Tuoi Tre that the city’s authorities have not made a decision on the fate of the deserted condo buildings pending the project owner’s explanations on the two options. The key reason behind the failure of the project, according to zing.vn, is the low quality of such condos. All the three buildings of six floors are not equipped with lifts, while the quality of construction is low, which explain why residents have rejected them. The condos are measured at between 45 and 70 square meters each, and were initially offered at VND18-22 million per square meters. Apart from the low construction quality, another reason was the preference of land lots among the affected people to build their own houses, according to Vnexpress.net. This fact raises the question over the need to have condo buildings for resettlement, according to Pham Sy Liem, vice chair of the General Construction Society. Liem, who used to serve as deputy minister of construction, says on Bao Dat Viet news site that authorities should not necessarily develop resettlement condo buildings but should pay money to affected people so that they can decide where and how to resettle themselves. Resettlement housing units can be suitable for residents if such units are located in inner-city districts, while in outlying districts such as Long Bien, such people would prefer living in landed homes, Liem explains. However, “enterprises still want to develop resettlement condo buildings (in outlying districts) because such developments are cheap. Even if they accept such resettlement condos, many still refuse to move in,” he is quoted in the paper. This point is also echoed in the news site Vneconomy, which says that many resettlement apartments in Hanoi have been handed over to residents, but such people have still not moved in. The news site says most people are not happy with resettlement apartments due to the low quality. In many resettlement projects, the surrounding infrastructure and other auxiliary facilities are not sufficient or ready to support their living. For resettlement projects, the investors often develop the buildings, then hand over the projects to other State agencies for management, without caring about the operations of such projects. “That is the reason why the quality of resettlement housing projects is always lower than that of commercial ones,” says Vneconomy. Therefore, the doomed fate of the 150 apartments developed by Hanco3 may be just the tip of an iceberg. Petrotimes, citing data from Hanoi’s Department of Construction, says that in Hanoi City, there remain nearly 1,000 apartments that have not been handed over to residents though their construction was completed long ago. As seen in local media, the imminent demolition of the three condo buildings developed by Hanco3 is a huge waste, but to a larger extent, numerous resettlement projects in Hanoi City and elsewhere in the country also pose a serious question over the efficiency of resettlement housing programs. It is high time to rethink such programs to ensure financial resources are not wasted. In Tien Phong, an official of Hanoi City’s Department of Construction says that the three condo buildings are part of the project with capital from the enterprise, so the responsibility in this case first rests with the project owner. While it is unclear who will bear the brunt of the losses from the demolition, such a move will still be damaging for the economy as a whole. Also in Tien Phong, a financial expert doubts if Hanco3 will bear the financial losses. “When developing these three condo buildings, Hanco3 was still a State-owned enterprise. Therefore, it is imperative to clarify whether the cost of constructing the three buildings has been reimbursed to the enterprise by Hanoi City’s government.” If so, it will be a waste of the people’s money. BOT road toll collections problematic Fee collections from roads built in the build-operate-transfer (BOT) format are unreasonable, according to a report by the National Assembly Standing Committee on law compliance among BOT traffic infrastructure projects. For thirty out of 88 toll stations nationwide, the 70-kilometer distance between the two nearest stations is not as strictly enforced as required by Circular 159/2013/TT-BTC of the Ministry of Finance. These toll stations are located along Highway 1 and a section of Ho Chi Minh Highway passing through the Central Highlands. Local authorities have not consulted local communities around the toll stations, social organizations and road users over the locations of the stations, triggering strong protests. The NA Standing Committee report also pointed out that three toll stations have been misplaced, meaning they are situated far away from the project sites in order to maximize toll collections. A station built to collect tolls from vehicles using Vinh Yen City bypass is located on North Thang Long-Noi Bai road, the Thanh Hoa toll booth is situated in Bim Son and the Ha Tinh toll station is placed in Rac Bridge area. In addition, those passing the intersection of Highway 46 and Yen Xuan Bridge are required to pay toll fees at Ben Thuy Bridge station for the Vinh bypass. Another problem is the toll stations for Hanoi-Hai Phong Expressway and Highway 5 are allowed to collect fees from vehicles traveling on the roads running in parallel with these BOT roads. High road toll fees have resulted in drivers choosing alternative roads to avoid fee payments, thus putting local communities at high risk of traffic accidents and causing these toll-free roads to deteriorate. Road users have cast doubt on the transparency of BOT road projects as investors are not inclined to apply information technology to fee collection. The report said toll fees are high but the quality of BOT roads is poor. As for fee collection supervision and inspection, State agencies have had difficulty monitoring the operations of BOT projects given a lack of specific regulations. According to a Ministry of Transport report, inspectors found revenues at BOT toll stations during the inspection period unusually higher than in the months before that. This might have resulted from investors understating their revenues. The investor of Phap Van-Gie Bridge toll booth, for example, reported daily revenue of VND1.2 billion (US$0.05 million) while an inspection by the Directorate for Roads of Vietnam found the actual figure was VND1.97 billion. Toll collection violations have been detected at Dai Yen toll station for Highway 18 and a Highway 5 booth as well. In 2011-2016, 55 BOT projects at Ministry of Transport level were completed at a total cost of VND137.8 trillion. Besides, 43 centrally-governed cities and provinces raised more than VND80 trillion for BOT road projects. City earns nearly VND 8 trillion per year from real estate market. According to the report of the Ho Chi Minh City People’s Committee to the Ministry of Construction, total budget collection from the city’s real estate sector had swung from 3- 6 percent and hit its peak at nearly 8 percent in 2007, in which the real estate market was overheated, over the total budget revenue. At present, the city's budget collection reaches nearly VND 8,000 billion per year from real estate sector. The People’s Committee of Ho Chi Minh City also reported that if the Gross Domestic Product (GDP) of construction and real estate sectors reached about VND 22,670 billion in 2006, this number increased around VND 88,000 billion in 2015, accounting for 9.2 percent in the economic structure. Accordingly, the collection from real estate sector highly contributed to the city’s budget revenue. The total revenues from real estate sector in the period of 2006 – 2015 reached more than VND 100 trillion.  Currently, there are 29 large-scale housing projects with the total investment capital of nearly VND 158 trillion citywide. VN-Index hits new 10-year peak The benchmark VN-Index hit a new 10-year peak yesterday after big money flowed into large-cap stocks on rising investor confidence in the market outlook. On the HCM Stock Exchange, the VN-Index increased 1.24 per cent to close at 840.37 points, the highest level since February 12, 2008. The market was no longer a ‘single-stock game’ involving FLC Faros Construction Corp (ROS) as happened regularly throughout the week, but most heavyweight stocks jumped yesterday and lifted the VN-Index. Twenty of the top 30 largest shares in terms of market value and liquidity on the southern bourse gained value and only seven declined. The market driver ROS extended gains with further growth of 6.9 per cent, slightly lower than the cap of 7 per cent allowed for a single trading day. Market capitalisation of ROS exceeded US$4 billion yesterday after its one month rally. ROS shares have risen consecutively since September 27, expanding 85.4 per cent in the past month to trade at VND196,000 ($8.63) a share. Besides ROS, many large caps rallied substantially on Friday, including Vietcombank (VCB), up 3.5 per cent; real estate giant VinGroup (VIC), up 3.1 per cent; Vietjet Air (VJC), up 3 per cent; Military Bank (MBB), up 2.2 per cent; BIDV (BID), up 2.4 per cent; Masan Group (MSN), up 2.3 per cent; and PV Gas (GAS), up 1 per cent. “Few investors thought the VN-Index could break the resistance level of 840 points,” stock analysts at BIDV Securities Co wrote in a report on Friday. However, according to these analysts, yesterday’s rally was sudden and not really reliable when the trading volume and value was low and the cash flow was scattered and focused on some large caps. “Like the previous big rally, it is likely that the market will face correction when the price of stocks was pushed up quite high,” they said. A few companies continued to trend downwards yesterday, such as insurer Bao Viet Holdings (BVH), brewer Sabeco (SAB), steelmaker Hoa Sen Group (HSG), Hau Giang Pharmaceutical (DHG) and Binh Minh Plastics (BMP). Overall market condition was positive with 154 stocks rising, 125 falling and 65 closing flat. On the Ha Noi Stock Exchange, the HNX-Index edged up just 0.13 per cent to end at 106.45 points on the lack of blue chips’ support. Liquidity decreased slightly from the previous session with a total of 181.4 million shares worth a combined VND3.85 trillion ($169.7 million) traded on the two markets, down over 3 per cent in both trading volume and value compared to Thursday’s levels Foreign trade was also positive yesterday with total net buy value of VND107.5 billion on the two exchanges. VN’s export goods have competitive advantage: Korean firms Viet Nam’s export goods can compete with products of other countries in the South Korean market, local enterprises in South Korea said at a meeting between a delegation of Vietnamese enterprises and their partners in Seoul, South Korea, on Tuesday. The bilateral trade value between Viet Nam and South Korea in the first nine months of 2017 reached over $45 billion, a year-on-year increase of 52 per cent. - Photo baochinhphu.vn The South Korean enterprises said Vietnamese export goods have better packaging design, meeting the demand of the South Korean market and offer a competitive selling price compared with similar products from the Philippines, China, Indonesia and Thailand. These are among the key factors to promote Viet Nam’s export goods to South Korea in the future, contributing to achieving the Viet Nam-South Korea trade value target of US$70 billion in 2020, according to the Department of Asian and African Markets under Viet Nam’s Ministry of Industry and Trade. The growth in exports from Viet Nam to South Korea will reduce Viet Nam’s trade deficit with South Korea and increase exports of processed seafood and agricultural products to the North Asian country. During the meeting, Tran Anh Vu, counselor at the Viet Nam Embassy in South Korea, and Kim Hyun-myung, vice chairman of the Korean Importers Association (KOIMA), highlighted the importance of the South Korean market for Vietnamese goods and opportunities in business co-operation among enterprises of the two countries. The Vietnam-South Korea strategic cooperation partnership with various cooperation frameworks in the economic sector has been an important tool to support the recent growth in bilateral trade, including the Vietnam-Korea Free Trade Agreement. At the meeting, Le An Hai, deputy director of the Department of Asia and Africa Markets, said bilateral trade value between Viet Nam and South Korea in the first nine months reached over $45 billion, a year-on-year increase of 52 per cent. This nine month figure was higher than the total trade value of $43.4 billion between the two countries earned in the whole of last year. This result was due to business meetings among enterprises of the two countries and authorities’ support in trading activities of the two countries’ enterprises, Hai said. The meeting was organised by the Department of Asia and Africa Markets under Viet Nam’s Ministry of Industry and Trade, the Vietnam Trade Office in South Korea and KOIMA. The meeting was expected to introduce more Vietnamese goods, mainly agricultural products, food items and household goods in the South Korean market. Vinasun reports abysmal third quarter Vietnamese taxi company Vinasun has reported massive financial loss and an additional loss of 2,000 employees in the third quarter, increasing the total decrease in employees to 10,000 in only nine months, according to newswire Vnexpress. Vinasun reported double digit losses and 2,000 employees leaving the company in the third quarter only According to the company’s financial report, as of the end of the third quarter, Vinasun had 7,292 employees, decreasing by nearly 2,000 people since the end of the second quarter. In the nine months of the year, along with the plunge in employees, Vinasun reported a revenue of VND2.45 trillion ($107.9 million), equaling 58 per cent of its initial annual target. In the third quarter of this year alone, Vinasun reported double-digit losses. Notably, its net revenue was VND547 billion ($24.1 million) only, a record low record since the end of 2011. Transport services via taxi is considered its core business, contributing the largest part to the company’s consolidated revenue, however, this revenue saw a plunge of VND1.5 trillion ($66.06 million) in the third quarter. In the face of fierce competition with Uber and Grab, Vinasun set lower consolidated revenue and consolidated pre-tax profit targets for the whole year. Notably, in 2017, it targeted to earn VND4.26 trillion ($187.6 million) in revenue and VND205 billion ($9.02 million) in pre-tax profit, signifying increases of 10.6 per cent in revenue and 34 per cent in pre-tax profit. In order to recover from the bleak business results, Vinasun is considering developing motorbike transportation services to lure in customers as well as compete with uberMoto and GrabBike. Besides, it has implemented its own ride hailing application with an interface similar to those of Uber and Grab. Furthermore, it has implemented the plan to extend its markets through M&A deals. According to the latest move, Vinasun spent VND27 billion ($1.19 million) taking over the assets and the right to exploit the trademark of the Vinasa taxi brand in the southern provinces of Dong Thap, Vinh Long, Can Tho, and An Giang. Vinaconex resumes divestment from Viwasupco Vinaconex JSC (Vinaconex) has officially announced the plan to divest its entire 25.5-million shareholding in Vinaconex Water Supply JSC (Viwasupco) through an auction, as part of restructuring its operations. At present, Vinaconex is the largest shareholder in Viwasupco with a 51 per cent holding, followed by Ecology Investment and Development JSC with 43.6 per cent. Vinaconex expects to earn VND980 billion ($43.2 million) from the sale. According to Vinaconex’s official notice, the 25.5 million shares will be offered at the initial price of VND39,904 ($1.75) apiece. Interested investors will need to submit their application to participate in the auction between October 25 and November 3. The auction is expected to be organised on November 22-24. Previously, in October 2016, Vinaconex planned to put its entire holding in Viwasupco on sale. However, the divestment was not implemented and no specific information about the deal had been published to date. On November 11, 2010, Vinaconex completed the transfer of 21.8 million Viwasupco shares to Acuatico. After the transfer, Vinaconex retained 25.5 million shares, equalling 51 per cent of Viwasupco’s total chartered capital. Along with the divestment from Viwasupco, Vinaconex plans to divest from a series of subsidiaries, including its 30.36 per cent holding in Vinaconex 11, 29 per cent of the equity capital in International Joint Venture Vinaconex-Taisei Co., Ltd., 35.39 per cent in Vinaconex Glass Fiber Reinforced Polyester Pipe JSC, and 51.4 per cent in Vimeco JSC. Vinaconex specialises in property development, design consultancy, industrial production, financial investment, education and training, and commercial activities, among others. It currently manages nine subsidiaries and affiliates. Regarding Viwasupco, in November 2016, the company’s 50 million shares were officially listed on the Unlisted Public Company Market (UpCoM), with the reference price of VND40,000 ($1.76). At present, its shares are valued at VND38,600 ($1.7). Viwasupco currently has a chartered capital of VND500 billion ($22.03 million). Viwasupco is the Vinaconex subsidiary posting the most effective business results. However, it became infamous after the Song Da water pipe broke 21 times in seven years, impacting households in Hanoi. Grab incurs heavy losses in 2014-2016 Despite being one of the biggest ride hailing service firms in Vietnam, Grab incurred an accumulated loss of VND938.26 billion ($42.65 million) in the 2014-2016 period, according to the General Department of Taxation (GDT). At yesterday's press briefing, an official of GDT's Inspection Division said that Grab collected a total revenue of VND1.755 trillion ($79.77 million) in the 2014-2016 period. This firm has paid VND9.53 billion ($433,181) in taxes. As requested by GDT, the Ho Chi Minh City tax agency has recently inspected Grab’s payments between 2014 and 2016. Accordingly, Grab accumulated VND2.286 billion ($103,909) in tax arrears. Grab started operations in Vietnam in February 2014 and has a chartered capital of VND20 billion ($909,090). Besides Grab, the other leading ride hailing firm is Uber. The Ho Chi Minh City Department of Transport has revealed that by the end of September, there were 25,000 under nine-seat cars working in the ride hailing networks of Grab and Uber, more than double the number of traditional taxis that only have 11,000 vehicles. Grab and Uber and traditional taxies are in a heated race for market share. Along with Vinasun, Mai Linh Group also saw a decrease in employees and net revenue in the first half of this year. TPBank introduces new payment solution The Tien Phong Commercial Joint Stock Bank (TPBank) officially launched a new payment application and money transfer system using QR codes on mobile phones, called TPBank QuickPay, on October 27. TPBank QuickPay runs on both iOS and Android operating systems and enables the payment or transfer of money easily and quickly through a QR code. For payments, users simply open the application, sign in, scan the QR code and scan their fingerprint or enter a personal code to confirm the payment. The QR code used by TPBank QuickPay is compatible with international standards set by international card organizations, QR codes of large banks, and a number of FinTech companies in the market. Customers not only pay at the acceptance point but can also pay at the point of sale or transfer funds to customers at certain banks. “With a simple application, anyone can use it,” said Mr. Nguyen Hung, General Director of TPBank. “Non-cash payments are sure to become more popular, helping save costs for society and being in accordance with the direction of the government and the State Bank of Vietnam.” Mr. Pham Tien Dung, Director of the Payment Department at the State Bank of Vietnam (SBV), said this is a positive sign for banking and finance in Vietnam. “TPBank is one of the leaders in applying new technology in payments,” he added. QuickPay registration is easy and fast and the procedure for identifying customers is simple. The biggest advantage of TPBank QuickPay is that it’s free to pay, transfer money, or use for small-scale sales. It has high security because information contained in the QR code read by the application ensures integrity and accuracy, with no errors in input from typing. It also supports sales, with a notification sent immediately upon a completed transaction. TPBank QuickPay not only helps increase revenue and access to new customers but also reduces risks in payment. Mr. Hung said that in the short term, it will be free of charge to small-scale vendors. For large-scale points of sale, the fee will be competitive. TPBank also plans to launch a range of attractive promotions for users, to promote the purchase of certain goods and designated points of sale. Those attending the launch included representatives from the SBV, General Director of MasterCard Asia Pacific Mr. An Vogels, Chairwoman of NAPAS, Ms. Nguyen Tu Anh, and Mr. Aung San Maung, General Director of Microsoft Vietnam. AIA signs bancassurance partnership with VPBank AIA Vietnam has signed a 15-year exclusive bancassurance partnership agreement with VPBank, through which VPBank customers will have access to AIA Vietnam’s comprehensive range of life insurance products and services, complemented by its innovative wellness proposition, AIA Vitality. “Our strategic partnership with VPBank highlights our commitment to deliver value-added wellness, protection, and long-term savings solutions to VPBank customers, and, more importantly, advance the life insurance market in Vietnam by helping people live longer, healthier, and better lives,” said Mr. Wayne Besant, CEO of AIA Vietnam. “Bancassurance is a major distribution channel for AIA and we are focused on forming exclusive partnerships that allow us to make substantial and long-term investments, such as innovative and tailored propositions that leverage the use of digital technology and customer analytics that lead the industry in customer experience,” he added. The agreement will see VPBank be the first bank in Vietnam to offer insurance integrated with wellness across its entire nationwide network of 215 branches and transaction offices and all bank segments: retail, SME Corporate, household, and digital banking. The long-term exclusive partnership will allow AIA Vietnam and VPBank to jointly invest in and commit to creating a market-leading bancassurance platform supported by the integration of digital capabilities, best-in-class training programs, and service innovation, to serve customers better. “We have always viewed bancassurance as an integral and strategic aspiration for the bank,” said Mr. Duc Vinh Nguyen, CEO of VPBank. “Life insurance is a vital component and product offering for our target market segments, in particular the affluent consumer as well as the SME and household banking segments. We chose AIA for its strengths in the market and its philosophy on customer engagement.” AIA Group Limited and its subsidiaries comprise the largest independent publicly-listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific, with wholly-owned branches and subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, South Korea, the Philippines, Australia, Indonesia, Taiwan, New Zealand, Macau, Brunei, Cambodia, and Vietnam, a 97 per cent-owned subsidiary in Sri Lanka, a 49 per cent-owned joint venture in India, and a representative office in Myanmar. Established in Vietnam in 2000, AIA Vietnam protects the financial health and welfare of Vietnamese people and is now one of the leading life insurers in the market, with a brand trusted by customers and the public. As one of the earliest joint stock commercial banks in Vietnam, VPBank has achieved steady development throughout its history. Since 2010, it has grown dramatically with the development and implementation of a strategic transformation program with support from one of the world’s leading consulting companies. Following this strategy, VPBank aims to become one of the five leading joint stock commercial banks and one of the three leading retail joint stock commercial banks in Vietnam this year. VCCI & CIEM hold private sector forum To identify the barriers and challenges the private sector is facing and identify solutions in support, the Vietnam Chamber of Commerce and Industry (VCCI) and its Vietnam Business Forum magazine, in cooperation with the Central Institute for Economic Management (CIEM), organized the 2017 Business Forum with the theme “Creating an Environment for Private Enterprises in Vietnam” in Hanoi on October 26. Private enterprises have an important role to play in Vietnam’s economic development, creating jobs and leading in new production and business fields. Addressing the opening of the forum, VCCI Vice Chairman Hoang Quang Phong said that the recognition of the private sector “by the Central Committee of the 12th Party Central Committee was a breakthrough in perceptions by the Party and the State about economic development.” “Although the size of the private sector is small, it is important for the economy,” he added. The forum heard that the government has issued a series of mechanisms and policies to realize its target of least 1 million private enterprises being established by 2020 and that the key to economic growth in Vietnam is the private sector. The private sector has confirmed its role in the economy over recent years and has created many jobs and improved incomes. Figures show that State-owned enterprises account for only 0.5 per cent of all enterprises while private enterprises account for 96.7 per cent and foreign-invested enterprises 2.8 per cent. The contribution by the private sector to GDP has been more than 43 per cent since 2010, while the State sector’s contribution was about 28.9 per cent and the foreign-invested sector about 18 per cent. Some attendees noted that the government has created suitable conditions for private enterprises but more is needed. Economists said that the difficulties faced by large private enterprises include the time and costs involved in complying with the law, legal risks in ensuring business safety, and weak management. Representatives from a number of enterprises also said that what businesses need most is not just a package of capital support and land but also an equal and transparent business environment, stable policies, and simple administrative procedures. Firms ’overly-optimistic’ on EVFTA Vietnamese firms are “overly-optimistic” about labour conditions regulated in the EU-Việt Nam trade agreement, a Vietnam Chamber of Commerce and Industry (VCCI) official said. High international standards for labour, including a demand for independent unions, were what set apart the European Union-Việt Nam Free Trade Agreement (EVFTA) with other FTAs Việt Nam has signed. During a workshop on the Vietnamese workforce in Hà Nội yesterday in preparation for the EVFTA which is expected to come into effect next year after being ratified by both sides, the VCCI’s World Trade Organisation Centre Director Nguyễn Thu Trang said that she feared Vietnamese firms were being too optimistic in perceiving changes the EVFTA would bring to their workforce. She cited a survey by the VCCI on some 250 businesses across all sectors nationwide last year, of which more than 90 per cent believed that the EVFTA would improve workforce quality. “The (survey) result was quite astonishing. Higher labour standards of the EVFTA are supposed to make it more difficult for the businesses, yet they had little worries about it,” Trang said. The reason for such optimism, she added, might lie in the ignorance of the business community about the trade agreement. The same survey shows that up to 83 per cent of the surveyed businesses had heard about the EVFTA, but only about 8.5 per cent knew it well, she said. While a lack of knowledge might leave enterprises unprepared for the deal, others who were trying to get prepared were faced with a crippled labour training system, Trang added. The Institute of Labour Science and Social Affairs head Đào Quang Vinh said that the labour structure in Việt Nam was going in the opposite direction from the rest of the world. “Normally those with higher education would be less in number than skilled workers in a labour pool,” Vinh said. “But Việt Nam has the opposite situation.” Worse still, the number of labourers without any training is only decreasing at a very slow pace. Việt Nam had about 82.6 per cent of its workforce untrained in 2007, and only managed to bring the number to 79 per cent in 2016, according to Vinh. This was equivalent to around 42.9 million of people in the labour pool without any working skills. Mekong Connect 2017 seeks to increase value of local products The Mekong Connect 2017 took place in the Mekong Delta province of Ben Tre on October 26, attracting representatives from 600 enterprises and over 100 experts from both inside and outside Vietnam. Themed “Developing local resources in association with technology strength”, the Mekong Connect 2017 was jointly held by the Vietnam Association of High Quality Products and the People’s Committees of four Mekong Delta localities of An Giang, Ben Tre, Can Tho and Dong Thap. The forum aimed to seek measures to make full use of advanced technology to optimise the value of local products. At the event, speeches delivered by 25 domestic and international scholars, policy makers and businesses discussed the role of local resources, as well as measures to develop local resources in the Mekong Delta region. The highlight of discussions was the debate on how to promote local products such as coconut of Ben Tre, rice of Can Tho, fish of An Giang, and lotus of Dong Thap. Deputy Minister of Agriculture and Rural Development Le Quoc Doanh suggested the Mekong Delta focus on the development of farm produce, aquatic products, animal husbandry and mangrove forest plantation and protection. Both he and Deputy Minister of Science and Technology Pham Dai Duong emphasised the need for the region to intensify the application of advanced technology in production and processing. The Ministry of Science and Technology is studying new technologies to help increase the value and quality of products, Duong said, adding that it also ordered the Korea Technology Centre to research and make a technology suitable to the Mekong Delta. Newly established firms surge 14.6 percent Vietnam totalled over 105,000 nationwide newly established companies in the first ten months of the year, a year-on-year increase of 14.6 percent, according to the Enterprise Development Agency under the Ministry of Planning and Investment. The new firms have total registered capital of over 1 quadrillion VND (44 billion USD), up 43.8 percent from the same time last year. The retail and automobile and motorbike maintenance and repair industries saw pool of newly established companies with 37,817 firms, followed by the processing and manufacturing sector with 13,449 firms.  Meanwhile, the real estate sector has the strongest growth in the number of new businesses (62.5 percent). Corporate social responsibility - Key to fishery development Corporate social responsibility to ensure the sustainable growth of the Vietnamese fishery sector was discussed at a seminar held in the Mekong Delta city of Can Tho on October 26. At the event, Do Thuy Ha, Manager of Oxfam Vietnam Private Sector Programme, said businesses should build good working environments and carry out green production. Ha cited the results of an Oxfam survey as saying that most of 30 shrimp production companies have practised social responsibility at different levels and pledged to meet all international standards in the field. The practice has become necessary for any firm wanting to build a strong brand and gain a foothold in the global market, she added. Agreeing with the view, Pham Minh Luan, director of the KNA certification company, pointed to the fact that batches of Vietnamese aquatic products have been refused entry to the US due to a lack of independent certification in criteria for labour rights, environment protection, and business ethics. Alban Caratis, a representative of Seafood Trade Intelligence Company, said Ha’s assessment shows that most enterprises have yet to define plans to protect workers’ rights in the long term. Weak knowledge among managers about discriminations has led to inequality among employees in terms of bonuses, insurance, and annual leave, he noted. Nguyen Thi Le Hoa, deputy head of the Oxfam Vietnam, said corporate social responsibility brings win-win benefits to businesses, workers, the community, and the environment. It requires companies to design long-term strategies and action plans to include responsibility as part of their business models, she added. Lam Dong solicits green investment at conference Lam Dong province would like to attract investment in green energy and technology, a conference on investment promotion held by the Central Highlands province in Ho Chi Minh City on October 26 heard. Nguyen Van Yen, deputy chairman of the provincial People’s Committee, said: “This is a good chance for provincial enterprises to meet, share information, introduce their strengths and the investment incentives offered by Lam Dong to international and local investors. “We would like to seek business partners to promote sales of our speciality products throughout the nation and even export.” Lam Dong, which has an area of 9,800sq.km and a population of 1.3 million, is strong in tourism, agriculture and forestry, and agricultural and forestry processing. Its capital Da Lat is a national and regional resort town and tourism centre with balmy weather and many ancient villas and buildings. The city has 16,740 hotel rooms and received 5.4 million visitors last year, including 270,000 foreigners. The province’s tourism sector plans to develop a range of activities like eco-tourism, rest and recreation, sightseeing, amusement and entertainment, culture and sports, education, and agro-tourism. The province has great potential in agriculture. It has nearly 60,000ha under vegetables that yield 2.1 million tonnes a year, or 40 percent of the national output; 8,400ha under flowers that produce nearly 30 million cut flowers, or 45 percent of the national output; 21,000ha under tea; and over 150,000ha under coffee that produce an output of over 430,000 tonnes. The province’s industrial sector is dominated by mining, manufacture of fertilisers, electricity generation and distribution, and gas production. Last year its economy grew at 7.93 percent and this year the figure is expected to edge up to 8.2 percent. Domestic investors have invested a cumulative 108 trillion VND (4.8 billion USD) in 756 projects while foreign investors have 101 projects worth 477 million USD. “Poor infrastructure, low value addition, limited investment and failure to achieve its tourism potential are the province’s weaknesses,” Yen said. Tran Ngoc Liem, deputy director of the Vietnam Chamber of Commerce and Industry’s HCM City office, said: “In recent years the number of enterprises in Lam Dong has significantly increased.” “Last year the figure was up 16 percent and in the first seven months of this year the figure rose by 25 percent, far higher than the target of 15 percent. With this growth, the province will have over 9,000 enterprises by 2020,” he added. In tourism, the province said it would like to promote its advantages of climate and landscapes, with priority given to the development of high-quality eco-tourism, conference tourism, agricultural tourism, developing special products and brands, and developing Da Lat into a superior eco-tourism centre. To foster trade, Lam Dong wants to develop its agricultural and agro-forestry products and brands, strengthen trade promotion and expand its domestic and international markets. In agriculture, it would like to develop agro-forestry based on high technology, bio-technology for preservation, and post-harvest processing. It prioritises the development of processing of products like tea, coffee, mulberry, and dairy and the classification and preservation of vegetables and flowers. To strengthen its transport infrastructure, Lam Dong wants to build Dau Giay–Lien Khuong Expressway, restore 84km Da Lat-Thap Cham rail route and begin international air services to Singapore and Siem Reap. Japanese investors pour fund in Da Nang projects Yamato Sewing Machine Manufacturing Company from Japan plans to build a factory in Da Nang Hi-Tech Park providing sewing machines, spare parts and accessories as well as automotive equipment in sewing industry. The city’s Investment Promotion Agency (IPA) confirmed that the firm is the third Japanese investor at the park. It said Yamato will soon commence construction of the project on 2.85ha with total investment of 28 million USD. Yamato has had representative offices in Hanoi and Ho Chi Minh City from 2007. The 1,010-ha park in Haa Vang district, 20km west of the city, attracted six projects valued at 180 million USD from two Japanese and four domestic investors between 2012-16. According to the IPA, two Japanese companies – Mikazuki and Katsuura – will start construction of a complex of hotel, entertainment and beach resort on 24.5ha in Lien Chieu district with total capital of 110 million USD next year. Japan is the second largest investor in Da Nang with 134 projects worth 598 million USD. Dak Lak - A magnet for foreign direct investment An improved business climate has made the Central Highlands province of Dak Lak an attractive destination for both domestic and foreign direct investment (FDI), helping develop the local economy. The province is home to 12 FDI projects, mostly from France, India, Japan, the Netherlands, the Republic of Korea, Thailand and the UK, with total registered capital of 171 million USD. Notably, the coffee processing sector has four FDI projects valued at nearly 1.46 trillion VND (64.2 million USD).  An Indian-invested coffee plant was established in the province, which can produce 10,000 tonnes of instant coffee and 6,000 tonnes of liquid coffee and trade 12,000 tonnes of robusta coffee per year. Another coffee processing company invested by the UK, Dakman Co.,Ltd, can produce 50,000 tonnes of robusta coffee and 5,000 tonnes of cocoa per year. The provincial People’s Committee said that FDI attraction still lags behind local development demand. Dak Lak is working to lure FDI  in agriculture, renewable energies and tourism. Along with renewing methods of investment promotion, the province is providing online public administrative services to aid investors. Quang Ninh creates healthy investment climate The northeastern province of Quang Ninh is applying a range of measures to remove difficulties for businesses by improving investment environment and attracting social resources for local socio-economic development. The province has launched the Business Café programme, built a survey tool for social networking, and establishing hotlines at all departments and sectors as well as organising quarterly and monthly meetings with enterprises. In 2017, Quang Ninh had an initiative of implementing a social networking survey tool and building a fanpage to update businesses’ reports on administrative procedures relating to economic organisations. This move has been highly evaluated by Provincial Competitiveness Index (PCI) experts from the Vietnam Chamber of Commerce and Industry (VCCI), according to deputy head of the Quang Ninh Department of Investment Promotion Tran Nhu Long. The collection of opinions from businesses through the social network has helped authorities have more information to analyse and evaluate the business situation and build policies suitable with the local conditions. Furthermore, direct dialogues between local leaders and entrepreneurs in the Business Café programme have been conducted since 2016 to weather difficulties for businesses. In August 2017, the Quang Ninh Business Association launched a new venue for the Business Café programme to create a more professional and friendly space for businesses and authorities to exchange issues relating to business production activities and one-stop-shop administrative procedures. The provincial Department of Science and Technology and the Business Association have coordinated to organise the Technology Café programme with the engagement of over 50 local businesses. The programme eased a number of concerns over the access to latest technologies, intellectual property, and industrial property. Vice Chairman of the People’s Committee of Cam Pha city Pham Van Kinh said local authorities have met with businesses to promptly remove their bottlenecks. In September 2017, Quang Ninh hosted meetings with over 500 enterprises, cooperatives and business households, he added. From the late of 2016, Chairman of the provincial People’s Committee Nguyen Duc Long has directed localities and relevant agencies to reduce time to address administrative procedures. The healthier investment climate has helped Quang Ninh attract more investors. Vietnam’s three biggest economic groups of Vingroup, Sungroup and FLC have been present in Quang Ninh with a number of key projects. Recently, potential investors at home and abroad such as Toray and Sozitaz groups from Japan, Serra Sunger ve Petrol Urunleri San. Tic.A.S from Turkey, and VINA-CPK company from the United Kingdom, Vinci Group from France, Vietnam Dairy Products Joint Stock Company (Vinamilk), and C.E.O Group of Vietnam have moved to study investment in Quang Ninh. In the first nine months of this year, Quang Ninh granted new licenses and adjusted investment certificates for 48 projects worth over 18.5 trillion VND (814 million USD), equal to 69.5 percent of the same period last year. As many as 1,720 businesses were established with a total registered capital of over 7 trillion VND (308 million USD), up 46 percent in the number of businesses. Vietnam Business Forum held in Canada A Vietnam Business Forum was organised in Toronto city of Canada on October 26 as an effort to call for Canadian investment and foster cooperation between the two countries’ enterprises. Addressing the event, Premier of Ontario Kathleen Wynne said she was impressed by Vietnam’s economic growth. She expressed her delight at the development of the two countries’ relations based on cooperation in trade and connectivity between the two business communities. She added that she hopes for expanded cooperation in other fields in the time to come. Vietnamese Ambassador to Canada Nguyen Duc Hoa said that the two countries have yet to fully tap their cooperation potential as they do not understand each other’s market and investment policies thoroughly. Therefore, the Vietnam Business Forum was a chance for both sides’ enterprises to discuss and promote new business initiatives and strategies, Hoa believed. In his report delivered at the forum, former Canadian Ambassador to Vietnam David Devine said that Canadian enterprises are facing various challenges, including language barrier, cultural differences, investment climate, market, administrative procedures and the way of business. He suggested Canadian businesses to seek cooperation opportunities with Vietnamese partners. Participants to the event also discussed support services for Canadian exporters, export prospects for multi-lateral enterprises and prospects for small- and medium-sized enterprises. Two-way trade between Vietnam and Canada reached nearly 5 billion USD in 2016. Vietnam currently leads ASEAN in terms of trade turnover with Canada. The forum took place nearly two weeks ahead of Canadian Prime Minister Justin Trudeau’s official visit to Vietnam and attendance at the APEC Economic Leaders’ Week. The forum and the visit are expected to open up more cooperation opportunities for the two countries. Ontario Premier Kathleen Wynne is also scheduled to lead a business delegation to Hanoi and Ho Chi Minh City from December 3-6 to boost business and investment cooperation. Labour productivity key to SMEs’ sustainable development Increasing labour productivity is the key to the sustainable development of small- and medium-sized enterprises (SMEs), experts have said. At a forum jointly held by the Ho Chi Minh City branch of the Vietnam Chamber of Commerce and Industry (VCCI-HCM) and the International Labour Organisation (ILO) on October 27, VCCI-HCM Director Vo Tan Thanh said that labour productivity is an important factor to improve competitiveness so as to join effectively the global supply chain. Increasing productivity is also a solution to improve incomes and working conditions for labourers, he noted. Thanh stressed that as Vietnam is integrating deeply into the world’s economy, it is a must for enterprises to apply various measures to meet demands of customers, thus, they can hold stable shares in the domestic market and gain a firm foothold in foreign countries. ILO Vietnam Director Chang Hee Lee said that labourers play an important role in deciding productivity and quality of products. For that reason, SMEs need to encourage the involvement of workers in technical improvement programmes while bettering the working environment for their labourers. SMEs can start from dialogues to share information and expectations between managers and workers, he said, adding that businesses should pay due attention to carrying out quality management progresses like 5S model (seiri-tidiness, seiton- orderliness, seiso-cleanliness, seiketsu-standardisation and shitsuke-discipline) or ISO quality management system. Technological innovation for green production and business culture are also important to  labour productivity as well, he said. Meanwhile, Brian Mtonya, an economic expert from the World Bank, stressed that businesses should pay heed to product research, designing and marketing which are touted as decisive factors for products’ competitiveness edge. Vietnam, Brazil boast potential of agricultural, tourism cooperation Vietnam and Brazil boast potential of agricultural and tourism cooperation, as heard the Vietnam - Brazil trade forum held in Ho Chi Minh City on October 27. Speaking at the event, Director of the Vietnam Chamber of Commerce and Industry (VCCI) branch in Ho Chi Minh City Vo Tan Thanh said two-way trade between the two countries hit 3 billion USD in 2016. In the first nine months this year, the figure neared 2.6 billion USD, up 13 percent annually. Vietnam mainly exports phones and electronic equipment, aquatic products, rubber, synthetic fiber and apparel to Brazil and imports industrial products, iron and steel, and beans. In recent years, Brazil has been listed among the five largest emerging economies globally with a 200 million population. The two countries also have room for collaboration across agriculture, tourism, science-technology and education-training. Vice Governor of Maranhao state of Brazil Carlos Brando said Vietnam and Brazil share similarities in soil and weather conditions and supplementary advantages. Vietnam has strengths in rice production, aquaculture, and fishing while Brazil has abundant land, mild climate, and low-cost workforce, making it easier for the two nations to partner in agriculture. The Brazilian side wished that the two countries’ authorities would boost trade and investment promotion to contribute to bilateral ties. RoK businesses explore investment in Binh Duong Province     Mando’s CEO and president Sung Il-mo, along with representatives of over 80 businesses from the Republic of Korea (RoK), held a working session with provincial authorities on Thursday to explore investment opportunities. Chairman of the provincial People’s Committee Tran Thanh Liem said the locality recorded annual average growth of 8.5 per cent. The industrial development index increased over 10 per cent per year, while foreign direct investment (FDI) stood at over US$27.9 billion. He recognised significant contributions of Korean firms to the local social-economic development, adding that the RoK came third among 62 countries and territories pouring money into Binh Duong. More than 630 enterprises from the RoK are investing in Binh Duong with total capital of nearly $3 billion, he noted. In the first six months of 2017, the RoK’s investment continued to pour into 16 new projects, while 17 existing projects registered increased capital of $306 million. He highlighted the RoK’s major investment projects, such as Kolon Industries’ car tyre production worth $220 million and Sewang garment-textile company’s apparel production worth $25 million. Sung Il-mo said his group earned annual revenue of over $5.5 billion and specialised in manufacturing automobile spare parts. Manando will continue exchanging views with local authorities after this field trip to ensure more investment in Binh Duong  at the earliest, he added. The same day, the RoK business delegation visited some local factories and met with leaders from the Binh Duong  Investment and Industrial Development Corporation (Becamex). Programme fosters sustainable SME growth     The Sustaining Competitive and Responsible Enterprises (SCORE) programme has benefited participating factories by helping cut costs, improve workplace co-operation, increase productivity and reduce employee turnover rate, a forum heard in HCM City on Friday. SCORE is a global ILO-backed technical co-operation programme that is going in many countries like China, Indonesia, Viet Nam, India, Colombia, and Malaysia. Its goals are to help small and medium-sized enterprises improve productivity and working conditions, enhancing their long-term competitiveness. Vo Tan Thanh, director of the Viet Nam Chamber of Commerce and Industry’s HCM City branch, said with financial support from Norway and Switzerland, since 2011 VCCI-HCM City and SCORE have been organising training and consultancy programmes for SMEs in the wood processing sector in Binh Duong, Binh Dinh, Dong Nai, Long An, and HCM City. Recently the programme has expanded to support the garment and supporting industries in HCM City and Dong Nai Province. Chang Hee Lee, ILO director for Vietnam, said since 2011 SCORE has focused on initiating and supporting an improvement in workshop layout and operations, quality management, cleaner production and safe and healthy working environment through nurturing, facilitating and embedding worker-management dialogue processes at the workplace. “Altogether 146 companies have participated so far, 1,150 staff and workers have been trained and 91 per cent of trained companies reported significant cost saving.” Above all, the project has been “instrumental in creating and spreading business culture innovation for better performance of SMEs,” he told the forum titled “Improving productivity for integration into the global value chains.” As the CEO of one of the wood processing companies participating in the programme since 2014, Le Van Minh of Tuong Van Co.Ltd said it participated in modules 1 (workplace co-operation), 2 (quality management) and 5 (safety and healthy at work) of the programme, and he is happy with the results. The programme has helped his company with “successful arrangement of the chair production line with reduction of takt time from 14 to nine days.” In addition, through modules 1 and 2, the company is able to save VND840 million a year on average, he said. “The biggest value from the project is the Kaizen culture and co-operative spirit at the workplace.” Minh Man Printing Co., Ltd is also happy with the results of the programme after participating for three months. Truong Thu Tram, its deputy director, said the programme had created a spirit of self-consciousness and pro-activeness in all employees in implementing 5S-Kaizen. “The working environment is always clean and safe, bringing high efficiency in production.” Lee said SMEs account for 97 per cent of enterprises in Viet Nam. Unlike State-owned enterprises and foreign firms, they face numerous challenges in terms of access to bank loans, markets, advanced technologies and productivity-enhancing techniques. “Often they are outside the global supply chains and even when they are inside, they are at the bottom layer of the global production chains, struggling to survive with low productivity. “Creating enabling environment for sustainable development of SMEs is a key to the sustainable development of Viet Nam.” Organised by VCCI-HCM City and ILO, the forum wrapped up SCORE phase II, and also discussed opportunities and challenges for SMEs when participating in global value chains and inquiries by international buyers, and introduced a strategic framework to support enterprises in the programme’s new phase. Phases I and II have done an outstanding job of demonstrating that SMEs can improve their productivity and working conditions through labour-management co-operation. Building on the success, SCORE’s phase III aims at upscaling its impacts, firstly by embedding SCORE training in national training programmes with support from the SCORE National Centre hosted by the VCCI and secondly by leading multinational buyers to support SCORE training in their supply chains. Viet Nam Rubber Group targets $1.76b revenue     Viet Nam Rubber Group (VRG) has targeted annual sales of VND40 trillion (US$1.76 billion) after equitisation. The target was set at a meeting to celebrate the 88th anniversary of Viet Nam Rubber Day held in the southern province of Binh Phuoc on Thursday. In the first 10 months of this year, the whole rubber sector has exploited 177,000 tonnes of rubber latex, reaching more than 70 per cent of the target, of which, processing hit over 234,000 tonnes and consuming achieved more than 214,000 tonnes, equivalent to 71 per cent and 63 per cent of the target, respectively. The group is shifting to the joint stock model, with a target of an average annual growth rate of 15 per cent, a total revenue of over VND40 trillion, profit of VND8.9 trillion by 2020, profit margin ratio of 21 per cent per year and profit on average charter capital of 19 per cent per year. In 2018, the group will be transformed into a joint stock company in order to reach new heights, despite the difficulties and challenges. In Binh Phuoc Province, rubber trees cover an area of over 234,000ha, of which more than 80,000ha is owned by State-owned enterprises. Binh Phuoc is considered the "rubber capital" of the country, contributing more than 10 per cent into the province’s annual budget and creating regular jobs for over 21,000 workers. VN’s export goods have competitive advantage: Korean firms     Viet Nam’s export goods can compete with products of other countries in the South Korean market, local enterprises in South Korea said at a meeting between a delegation of Vietnamese enterprises and their partners in Seoul, South Korea, on Tuesday. The South Korean enterprises said Vietnamese export goods have better packaging design, meeting the demand of the South Korean market and offer a competitive selling price compared with similar products from the Philippines, China, Indonesia and Thailand. These are among the key factors to promote Viet Nam’s export goods to South Korea in the future, contributing to achieving the Viet Nam-South Korea trade value target of US$70 billion in 2020, according to the Department of Asian and African Markets under Viet Nam’s Ministry of Industry and Trade. The growth in exports from Viet Nam to South Korea will reduce Viet Nam’s trade deficit with South Korea and increase exports of processed seafood and agricultural products to the North Asian country. During the meeting, Tran Anh Vu, counselor at the Viet Nam Embassy in South Korea, and Kim Hyun-myung, vice chairman of the Korean Importers Association (KOIMA), highlighted the importance of the South Korean market for Vietnamese goods and opportunities in business co-operation among enterprises of the two countries. The Vietnam-South Korea strategic cooperation partnership with various cooperation frameworks in the economic sector has been an important tool to support the recent growth in bilateral trade, including the Vietnam-Korea Free Trade Agreement. At the meeting, Le An Hai, deputy director of the Department of Asia and Africa Markets, said bilateral trade value between Viet Nam and South Korea in the first nine months reached over $45 billion, a year-on-year increase of 52 per cent. This nine month figure was higher than the total trade value of $43.4 billion between the two countries earned in the whole of last year. This result was due to business meetings among enterprises of the two countries and authorities’ support in trading activities of the two countries’ enterprises, Hai said. The meeting was organised by the Department of Asia and Africa Markets under Viet Nam’s Ministry of Industry and Trade, the Vietnam Trade Office in South Korea and KOIMA. The meeting was expected to introduce more Vietnamese goods, mainly agricultural products, food items and household goods in the South Korean market. FIA, INCHAM co-operate in investment promotion     The Ministry of Planning and Investment’s Foreign Investment Agency (FIA) and the Indian Business Association in Viet Nam (INCHAM) inked a memorandum of understanding (MoU) on investment promotion on Wednesday in Ha Noi. The MoU was signed on the occasion of the 45th anniversary of the establishment of diplomatic relations between Viet Nam and India, baodautu.vn reports. Following the MoU, the two sides will join hands to support the two business communities invest in each other’s country with a focus on organising investment seminars and business collaboration events besides exchanging investment opportunities. Speaking at the signing ceremony, head of FIA Do Nhat Hoang said Viet Nam always considered foreign direct investment as the main driver to speed economic growth and economic reform. Thus, the Government had drawn up many effective solutions to improve the country’s investment climate to attract more foreign investors, including those from India. Hoang said he hoped the MoU would help facilitate Indian investment in Viet Nam and vice versa, contributing to strengthening bilateral relations. In his speech, he also spoke highly on the significant development of the bilateral relationship over the past years. The two countries have upgraded their relationship status to a comprehensive strategic partnership; however, two-way trade has currently reached some US$5 billion, lagging behind the potential of the two nations. In terms of investment, India is now Viet Nam’s largest source of FDI in Central and Western Asia, with 164 projects worth over $755 million. Indian investment was mainly in the manufacturing and processing industry, information technology and mining. HCM City promotes trade, investment in Australia     HCM City’s business climate and business development strategies were introduced at an Investment-Trade-Tourism Promotion conference in Sydney, Australia, on Wednesday. The event, organised by the city’s Investment and Trade Promotion Centre (ITPC), was attended by Vietnamese Consul General to Sydney Hoang Minh Son, representatives from the Australia-Viet Nam Business Council and Vietnamese and Australian investors in services, tourism, accommodation and real estate. In his opening remarks, Son said Viet Nam and Australia had become important trade partners, with bilateral trade doubling to US$6 billion in 2017 from $3 billion in 2007. Both sides boast huge potential for bilateral cooperation, he said, stressing that HCM City will become an attractive destination for Australian investors. He noted that the Vietnamese Government and diplomatic agencies in Australia had created favourable conditions for ties between businesses and authorities of the two countries. The conference served as a venue for enterprises from both sides to seek co-operation opportunities, he stated. On his part, ITPC Director Pham Thiet Hoa said the city was Viet Nam’s most attractive destination for foreign investment in 2016, with 836 new projects worth $3.42 billion, making up 14 per cent of the nation’s total investment. In the first nine months of 2017, the city continued to lead cities and provinces nationwide in foreign direct investment, with total registered capital of $3.74 billion, he said. The southern hub is working to improve administrative procedures, issue new laws, provide initiatives and improve infrastructure to lure foreign investment, he emphasised, adding that the city is prioritising investment in mechanics, information and technology, pharmaceutical chemistry and food processing. Further, queries by Australian businesses on investment procedures, preferential policies and measures to promote tourism were answered at the conference. Similar promotion conferences will be held in Melbourne and New Zealand. DQS hands over gas tanker to domestic firm     Dung Quat Shipbuilding Industry Co (DQS), an affiliate of Viet Nam Oil and Gas Group, on Tuesday handed over a newly-built liquefied petroleum gas tanker to Viet Xuan Moi Co, headquartered in HCM City. The tanker, named Vispring 3668, was built under a contract signed between the two companies last year. It is 60m long, 4.5m high and 11m wide, and is capable of carrying 1,200 cu.m of gas. Earlier, on Monday, the company launched a 2,000 tonne multi-service vessel, which will be handed over to the Viet Nam-Russia Joint Venture Vietsovpetro (VSP) in late December once it is completed. Under the contract, worth VND936 billion (US$41.1 million), the shipbuilder is also building another ship for VSP. It is slated for completion in January 2018. It is hoped that the two-above mentioned vessels, which are 76m long and 17m wide, will contribute to increasing Vietsovpetro fleet’s capacity. Viet Nam, Italy enhance co-operation over financial supervision     Viet Nam and Italy agreed to enhance co-operation in financial supervision activities and to exchange information in the sector and securities market. This was announced by the Viet Nam National Financial Supervision Council (NFSC)’s acting chairman, Truong Van Phuoc, during his official visit to Italy from October 22 to 26. The two sides shared experiences relating to credit institutions under the management of each country’s financial supervision agency. In addition, they will organise conferences and conduct research on issues, which require the attention of both the countries. The Italian side shared experiences in public debt management, State budget and monetary stabilisation measures and fiscal policies in the EU. Chairman of the Italian Senate’s Foreign Policy Commission, Pier Ferdinando Casini, said Italy has highly valued relationship with Viet Nam. This has been a special relationship even in the most difficult periods. The solidarity between the two countries is being increasingly enhanced, he said. He committed to promoting relevant Italian agencies to further strengthen the co-operation with Viet Nam not only for financial supervision but also to build a strategic partnership between the two countries. Hậu Giang Pharmaceutical appoints new chairman     Hau Giang Pharmaceutical Joint Stock Company (DHG)’s Board of Directors (BOD) has appointed Nguyen Chi Thanh as the new chairman of the company, starting October 26. The appointment was made following the extraordinary general meeting on October 25. Thanh is currently deputy general director of the State Capital Investment Corporation (SCIC), chairman of the Domesco Medical Import-Export Joint Stock Corporation, vice chairman of the Tien Phong Plastic Joint Stock Company, member of the Military Commercial Joint Stock Bank’s BoD and member of Viet Nam Television Tower Company’s BoD. He replaced Hoang Nguyen Hoc, representative of SCIC Capital, because Hoc reached the retirement age according to current regulations. Hoc was also dismissed from the company’s BoD. Recently, Hau Giang Pharmaceutical has witnessed significant personnel-related changes. Notably, Pham Thi Viet Nga resigned from the position of general director but still continues to be a member of the BoD to participate in the company’s strategy management. In the first nine months of 2017, the company reported net sales of VND2.71 trillion and after-tax profit of VND498 billion, a year-on-year increase of four per cent and six per cent, respectively. With these results, the company has fulfilled 62 per cent of its revenue and profit target. Canon EXPO 2017 opens in HCM City     Canon, the Japanese imaging company, is showing its latest products and services at the four-day Canon Expo which opened on October 26 in HCM City’s Hoa Lu Stadium. The exhibition is open from 9am to 9pm daily, and shows Canon’s full suite of new technologies, products and services, including 3D printers, cinema-grade 4K projectors and 120MP/250MP CMOS sensors. Beyond cameras and lenses, the company is focused on the development of its customer service experience and innovating within the imaging space. The Canon EXPO 2017 provides visitors the opportunity to see the company’s professional 4K camcorders, high-resolution chip security cameras designed for low-light conditions, and output products, including 4K projectors and 12-color-ink printer systems. Visitors will also have the chance to see medical, architecture, security and real estate imaging products on site, and test out 3D printers, ophthalmoscopy and eye refraction products. “With 15 years of experience in Viet Nam behind us, we have an in-depth understanding of the demands of customers here, across the consumer space, but also in the business community, in areas as diverse as security, healthcare and architecture,” said Hiroshi Yokota, CEO of Canon Marketing Vietnam. The first of it kind in Viet Nam, the show celebrates the company’s 15th anniversary in Viet Nam and its 20 years of partnership with its distributor Le Bao Minh. Trims suppliers showcase latest technology innovations     More than 400 textile and garment industry players, practitioners and merchandisers participated in the Trim Technology Day held on Friday in HCM City. The event was organised for the first time in Viet Nam by three trims suppliers, Avery Dennision, Gunzetal and Freudenberg & Vilene International. Its aim was to provide a platform to facilitate networking for specialties from retailers, brand owners, garment- buying houses and factories. It featured a series of seminars and exhibitions that focused on trim components in garments. The latest creativity and innovation in the technology development and fashion trends, technological knowhow, quality, performance and functions of trims were on display. It was held 12 times in Hong Kong, seven times in China, one time in the US and one time in Taiwan. In the future, Trim Technology Day alliances will continue to explore emerging markets to bring new insights and inspirational development to the industry. HN hosts VN Medi Pharm Expo in December     The Viet Nam Medi Pharm Expo 2017 will return to the capital city from December 7 to 9 with the participation of 150 enterprises from 18 countries and territories. Among these exhibitors are those from Viet Nam, South Korea, mainland China and Taiwan, as well as India, Malaysia, Australia and Canada, along with the Czech Republic, Germany and the United States. According to the event’s organiser – Viet Nam National Trade Fair and Advertising Co – the number of international and domestic firms participating in this year’s expo has increased by 15 per cent and 10 per cent, respectively, compared with the previous event. The upcoming exhibition will focus on presenting medical and laboratory equipment, healthcare products, pharmaceuticals and functional foods, as well as cosmetics, cosmetic equipment, processing machinery and pharmaceutical packaging products, along with dental and ophthalmic equipment. The expo is designed to promote trade activities in pharmacy and medical equipment. The exhibition is a platform for advanced medical technologies and equipment companies from around the world to access local private and public hospitals as well as local pharmacy companies, in which Viet Nam has the advantage to initiate exchange. The event will be held at the Ha Noi International Exhibition Centre on Tran Hung Dao Street. Over 11,000 businesses established in October Over 11,000 new businesses have been established across the country so far this month, with a registered capital of approximately VND119.24 trillion (US$5.25 billion), up 29.6% in the number of enterprises and 48% in terms of the registered value in comparison to September. The number of newly established businesses in October increases 29.6% compared to the previous month. The number of employees registered by newly established firms in October is roughly 90,000, representing a 40.5% hike compared to the previous month. Meanwhile, more than 1,300 businesses have resumed operations, down 31.7% from a month previous. In the first ten months of 2017, over 105,000 new businesses have been set up in Vietnam with a registered capital of nearly VND1.02 quadrillion (US$44.88 billion), up 14.6% in the quantity of enterprises and up 43.8%, with regards to the registered capital, compared to last year. Around 90.7% of these are companies with registered capital below VND10 billion (US$440,000). The wholesale and retail trade and repair of motor vehicles and motorcycles industry reported the largest number of newly established companies during the period, with over 37,810, followed by the manufacturing and processing sector with nearly 13,450. The real estate industry saw the biggest increase in terms of the number of enterprises at 62.5%. The average registered capital per enterprise between January and October stood at VND9.7 billion (US$426,800), representing a 25.5% hike compared to the same period last year. On the contrary, the number of labourers registered by newly established businesses so far this year declined 8% annually to 976,420 employees.     Vietnam presses ahead with macro-economic stabilization The National Assembly’s year-end session discussed the government’s socio-economic development measures, which prioritize macro-economic stabilization. vietnam presses ahead with macro-economic stabilization hinh 0 A government report says all 13 targets set by the National Assembly for this year are likely to be achieved. GDP is set to increase 6.7%, exports to grow 14.4%, and the Consumer Price Index (CPI) be kept at 4%. The national economy’s bright spots are production and exports. The business environment and economic competitiveness have improved. These achievements are a firm foundation for further growth. The results are attributable to the government’s efforts to stabilize the macro-economy, stimulate growth, and control inflation. National Assembly deputies applauded the government‘s measures to improve the investment environment, remove business obstacles, expand export markets, and make full use of international trade deals.  Nguyen Ngoc Phuong, deputy head of the National Assembly delegation for Quang Binh province, said “The Prime Minister has taken steps to boost growth. He held talks with entrepreneurs and adopted new incentives for business development.” The government has asked ministries, sectors, and localities to aggressively implement a series of solutions: reviewing laws and policies, simplify administrative procedures, effectively utilize development resources, and enhance business competitiveness. Economic restructuring combined with a growth model shift has proved to be effective. Reliance on natural resources has been reduced. Hoang Van Cuong, a deputy for Hanoi, said: “The national growth has been largely dependent on natural resource exploitation. This year is seeing higher growth with reduced natural resource utilization, indicating that our growth model is shifting towards services, agriculture, and industry.” National Assembly deputies emphasized the restructuring of the national economy and sectors, particularly public investment, the finance-banking system, and State-owned enterprises. Bui Van Phuong, head of the National Assembly delegation for Ninh Binh province, said “We prioritize inflation control and macro-economic stabilization. So we should concentrate on economic restructuring and maintain growth at an appropriate rate.  If we seek growth without taking macro-economic stabilization into account, we will only fulfill short-term goals and face uncertainty in the longer term. I believe that the growth target of between 6.5% and 6.7% for next year is achievable.”     Dung Quat Shipyard’s first gas carrier launched The Dung Quat Shipyard Company (DQS) has transferred its first locally-made LPG tanker to the Ho Chi Minh City-based Van Xuan Moi company. The gas carrier was built under a contract between the sides signed last year. It is 60 metres long and 11 metres wide, capable of loading 1,200 cubic metres of liquefied petroleum gas (LPG). Previously, on October 23, the DQS launched at a dry dock the Vung Tau 05, one of two multi-functional ships ordered by the Vietnam - Russia joint venture Vietsovpetro through a VND936 billion (US$41.2 million) contract. Each ship is 76 metres long and 17 metres wide, with loading and power capacity of 2,000 tonnes and 12,000 horsepower. The Vung Tau 05 will be handed over to Vietsovpetro in December, while the Vung Tau 06 will be ready for transfer in late January 2018. Ha Tinh province boosts tourism cooperation The north-central province of Ha Tinh on October 24 signed a memorandum of understanding (MoU) with HCM City and Can Tho city and Tien Giang province in the Mekong Delta region to promote tourism cooperation. Though the province has beautiful beaches, mountains and landscapes as well as historic and religious heritage sites, tourism potential has remained untapped, according to Bui Xuan Thap, Director of Ha Tinh province’s Department of Culture, Sports and Tourism. The number of tourists visiting the province, especially from the south, remains modest. The province is offering incentive policies to attract investors in the commercial, services and tourism sectors to develop high-end hotels, commercial centres, retail markets and eco-tourism zones. In recent years, the province has attracted major tourism projects from the Muong Thanh Group, Vingroup and Hong Lam Joint Stock Company. In the first nine months of the year, 10 projects in the tourism sector with total capital of VND5 trillion (US$220.26 million) were granted investment certificates. The province’s many sights can be reached by railway, motorway or sea. Interesting destinations include cultural relics, beautiful landscapes and well-known sites such as Ke Go lake, Vu Quang National Park, Nguyen Du memorial site, Tran Phu relic site, Ha Huy Tap relic site, Dong Loc relic site, Deo Ngang- Hoanh Son gate, and Huong Tich Pagoda. With 137 km of coastline, the province’s white sandy beaches, including Thach Hai, Xuan Thanh, Loc Ha and Deo Con beaches, are popular for sea bathing. The province’s eco-tourism destinations include the Sơn Kim hot-mineral spring tourism site and Suoi Tien- Thien Tuong eco-tourism site. The area has retained a rich treasure of cultural heritage sites, though many of the original sites were destroyed by wars and natural disasters. Unique forms of folk arts and traditional craft villages that have existed for 500-600 years also exist in the province. It is home to two special national relics, 77 national relics and 425 provincial-level relics. In the first nine months of the year, the province welcomed 1.2 million tourists, an increase of 54% compared to the same period last year. The number of international visitors was 19,900, a year-on-year rise of 43%. Vietnam Medi Pharm Expo to run in Hanoi The Vietnam Medi-Pharm Expo 2017 is scheduled to take place from December 7 to 9 at the international centre for exhibition ICE at 91 Tran Hung Dao street, Hanoi. The fair will feature over 200 booths run by 150 firms from 18 countries and territories worldwide, including India, Canada, Czech Republic and Germany. On display will be latest medical and laboratory equipment, health care products, food supplements, cosmetics and medicine packaging machines. According to the organising board, the number of foreign businesses registering to attend the event amounts to 60, an annual increase of 15%. The respective figures for domestic firms are 90% and 10%. Vietnam Medi-Pharm Expo is an annual event which opens in Ho Chi Minh City in August and Hanoi in December. The expo is designed to promote trade activities in pharmacy and medical equipment. It is a platform for advanced medical technologies and equipment companies from around the world to access local pharmacy companies, in which Vietnam has advantages to initiate exchanges. New forms of tourism struggle in Ho Chi Minh City Tourism start-ups are doing their best to bring new products to Ho Chi Minh City’s growing tourism market, but these new ideas and their accompanying investments are proving no match for a lack of consumer interest. Ho Chi Minh City’s tourism numbers are far from satisfactory, mostly due to the city’s inability to facilitate easy access to tourist sites. The Trung An fruit garden in Cu Chi District sells entry tickets every year during fruit picking seasons, typically a four-month period starting in May. The 40-hectare garden is home to a wide range of fruits, including mangosteen, rambutan, and guava. A large canal passing through the plantation also adds to the land’s value. Despite the canal, however, most visitors opt to visit Trung An by land. Right now, about 40,000 tourists visit the garden each season, but that number could grow if tourism companies find ways to transport visitors to and from the site via the canal. The canal connects to the Saigon River and can accommodate ships with a capacity of up to 500 metric tons “We’ve been investing in ports for ships to visit the garden for over a year, but the results are not encouraging,” said Huynh Van Hue, head of the Trung An fruit garden. Similar plans are in the works at the eco-resort Villa H2O in Hoc Mon District just outside Ho Chi Minh City. Huynh The Dat, manager of the resort, recently submitted a request to the Ministry of Transport for permission to build a port to ease tourist access to the resort. Dat emphasized the importance of Villa H2O’s location, especially considering the city’s plans to begin operating new river bus routes, one of which will pass by Villa H20 en route from Cu Chi District to Binh Duong Province. “We will be an ideal stop on the route. That’s why we have invested heavily,” Dat explained. According to Dat’s plan, VND1 billion (US$44,010) has already been earmarked for building the port while billions more will be invested in mud-bathing facilities, electric cars, and road upgrades. According to Phan Yen Ly, head of international travel at Saigontourist, a tourism company headquartered in Ho Chi Minh City, new forms of tourism like agritourism and river-based tourism contribute to the diversity of a tour. However, firms are failing to tap the full potential of these unconventional offerings. Nguyen Thi Lan, owner of the Long Phuoc garden in District 9, said that she is unable to cooperate with travel service companies because they charge waterway tourists 3-4 times more than tourists traveling by land. Tourism companies say the extra fees are necessary to cover the expensive cost of traveling by boat. According to Tran Viet Long from Viet Media Travel Joint Stock Company, Ho Chi Minh City needs time to develop its agritourism and create synergy between its different tourism products. “We’re all developing separately and without a plan. That’s why we have yet to see specific benefits. We also need to encourage tourists to stay longer so that they can experience more during their trip,” Long said. Nestle Vietnam to hike prices of certain weaning foods Nestle Vietnam has informed the Ministry of Industry and Trade of its decision to increase prices of seven dairy products from November 1. Prices of weaning foods like Nestle Cerelac Fish & Mixed Vegetables and Nestle Cerelac Oats & Asparagus for infants under 12 months old will rise by 5% or less. Nestle Vietnam has become the first company to hike prices since the Ministry of Industry and Trade erased the price caps on dairy products on March 31, 2017. Instead, the ministry issued Circular 08/2017 requiring price declarations for dairy products and foods for children, including weaning foods. Circular 08 specifies that milk processors, traders and importers must inform competent authorities of their price hikes by 5% or less. But other companies have lowered prices of some of their products. Prices of Mead Johnson’s Enfamil A+ 2 and A+3 toddler formula have been cut significantly since September 6. Meanwhile, Dutch Lady has lowered prices of many powdered milk products by nearly 10%. Start-up event offers cooperation opportunities for HCM City, Finland The innovative start-up conference and technology expo held in Ho Chi Minh City on October 27-28 is expected to create new opportunities for Vietnamese and Finnish businesses, investors and universities in the fields of education and training as well as developing smart and innovative cities and building a start-up innovation ecosystem, said Deputy Minister of Science and Technology Tran Quoc Khanh. He said the Government of Vietnam has been continuously affirming its strong commitment of boosting start-up innovation activities, which is considered an important solution to increasing the quantity and quality of Vietnamese businesses, he said. Vietnam's southern economic hub is expected to take the lead nationwide in investment resources for the establishment of a start-up innovation ecosystem, he added. Finnish Ambassador to Vietnam Kari Kahiluoto shared that the relations between Vietnam and Finland have seen strong development over the past few years, not only in trade cooperation but also science and technology, including innovation. Vice Chairman of the municipal People’s Committee Le Thanh Liem said HCM City defines sustainable economic development model toward intellectual economy and green growth based on science-technology, innovation, and start-ups. The initiative of hosting the Ho Chi Minh City Innovation Startup and Entrepreneurship Week 2017 from October 23-28 demonstrates its commitment to facilitating, supporting and accompanying start-up businesses with a view to turning HCM City into a start-up and innovative city in the country and beyond, he said. He noted that local authorities have put forth a number of policies and mechanisms to support start-up and innovation activities such as launching a programme to support small-and medium-sized enterprises (SMEs) and improving their competitiveness and international integration in 2016-2020, implementing the Government’s Resolution supporting businesses through 2020, and planning to improve the start-up ecosystem in the city. The city has also actively participated in international cooperation programmes such as the Finland Innovation Partnership Programme (IPP) and the Vietnam Sillicon Valley, he added. VNN