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BUSINESS
IN BRIEF 7/7
Twenty three
companies situated in
Six banks —
Sacombank, Vietcombank, VietinBank, Agribank, VIB Bank, and Indovina — lent
VND917.6 billion (US$43 million) at 7 per cent for short-term loans and 10
per cent for medium- and long-term loans.
"For the past
two years the banking – enterprises linkage programme has been implemented to
ease the funding and interest difficulties faced by companies in HCM
City," Nguyen Hoang Minh, deputy director of the State Bank of Viet Nam
in HCM City, said at the ceremony held to sign the credit contracts.
"But this is
the first time the programme has come directly to enterprises in processing
zones and industrial parks."
Last year around
VND13.7 trillion ($650 million) was lent under it. This year another VND11.9
trillion ($580 million) was lent to 506 companies, 29 household businesses,
and five co-operatives.
Through the rest of
this year the SBV plans to promote the programme in all 24 city districts and
throughout the country.
Despite the fact
that the sum of money and number of companies eligible for the soft loans are
limited the programme has managed to achieve impressive results: it has
directly contributed to reducing difficulties faced by businesses, propagated
information about the support provided by the Government and banking system
to companies, and sensitised banks to businesses' needs.
"Processing
zones and industrial parks are a very promising and stable market for banks
with 1,300 companies and 273,000 workers," Nguyen Tan Phuoc, deputy head
of the HCM City Export Processing Zones and Industrial Parks Authority, said.
"I hope banks
provide more support to enterprises in processing zones and industrial
parks."
Banks have so far
lent VND75 trillion ($3.6 billion) to companies in the city's zones and
parks, while foreign banks have lent another $600 million to foreign
companies there.
Cement,
steel sales on the rise
Cement and steel
consumption could rise 8 to 10 per cent in the first half of 2014 against the
same period last year, after declining in the past few years.
Chairman of the
Viet Nam Cement Association, Nguyen Quang Cung said that cement consumption
in the first six months was nearly 33 million tonnes, up roughly 10 per cent
year on year.
Cement consumption,
both in the domestic and export markets to date this year, have rebounded to
register stable growth similar to 2010 after three years of decline, Cung
said.
Cung forecast that
price and sale of cement in the second half of the year will be continuously
stable, helping the cement industry register sales of between 65 to 70
million tonnes, up roughly 9 per cent against last year. Of the total,
domestic consumption will make up roughly 49-50 million tonnes.
Currently, the
country's total cement output is more than 70 million tonnes, and fully meets
domestic and export demands this year, the association said.
The steel industry
has shown the same trend, with consumption in H1 estimated to reach nearly
2.5 million tonnes, up 8 per cent against the same period last year.
Vice Chairman of
the Viet Nam Steel Association (VSA), Nguyen Van Sua said that after
including other steel products such as steel and iron sheets and steel pipes,
the steel industry's consumption in H1 was more than 5 million tonnes, up 12
per cent year on year.
Steel production in
June alone was roughly 445,000 tonnes while consumption was roughly 411,000
tonnes.
The steel price in
June was estimated to rise roughly 5 per cent against last month due to a
rise in transport fees.
In June, Pomina and
Vina Kyoei steel producers increased their ex-factory steel prices by
VND100,000 (US$4.69) per tonne to VND13-13.1 million ($610.3-615). The retail
steel price was VND15.5-16 million ($727.7-751.17) per tonne.
It was forecast
that steel consumption this year, both in domestic and export markets, will
be roughly 12 million tonnes, up 5 to 7 per cent against last year.
However, supply in
the steel industry still exceeds demand, causing steel plants to run
approximately 40-60 per cent of its designated output, according to the VSA.
VietJetAir
to launch Danang-Can Tho service this month
VietJet Aviation
Joint Stock Company (VietJetAir) has announced its plan to commence weekly
Danang-Can Tho services this month to meet rising demand for air travel
between the center of the Mekong Delta and that of central
The airline, the
second largest in
VietJetAir said
tickets for the new route were made available Wednesday for booking on its
website and at ticketing offices as well as agents nationwide. The carrier
will provide nearly 1,100 seats a week on this route.
The Danang-Can Tho
route had been unveiled earlier by a leader of Can Tho City. The city’s vice
chairman Dao Anh Dung told the Daily last month that the city will provide
some VND9 billion for VietJetAir in the first year to help it offer low fares
on the route. The sum will come from the city’s budget and other sources.
“July will be the
right time for launch of the route as this is the peak holiday travel season
in summer. VietJetAir will make the service daily if it is successful,” Dung
said.
Le Hung Dung,
chairman of Can Tho City, said this city and other provinces in the Mekong
Delta had been waiting for this air service for a long time and that demand
for non-stop air travel between Can Tho and Danang could be met this July.
At a conference
held in Can Tho in February this year, Tran Chi Cuong, deputy director of the
Danang Department of Culture, Sports and Tourism, said many travelers in
central
Cuong called for
airlines to launch flights between Danang and Can Tho this summer and pledged
support for them. “We guarantee 20-25% seat occupancy on each flight,” he
said.
Can Tho’s vice
chairman Dung said there would be more domestic flights connecting Can Tho
with Khanh Hoa and Dalat and scheduled international services to Siem Reap,
Phnom Penh, Bangkok and Taiwan.
Last year, the
Mekong Delta attracted more than 20 million travelers, including 1.6 million
international visitors, and gained tourism revenues of over VND5 trillion.
Currently, only Vietnam Airlines conducts flights to and from Can Tho
Airport, which can handle three million passengers a year.
Industry
ministry gets tough on energy guzzlers
The Ministry of
Industry and Trade will issue a circular next year regulating energy
consumption ceilings for key industries in a move to prevent them from using
energy-guzzling machines and equipment.
The circular will
set criteria for energy consumption of steel, paper and pulp, plastics, food
and beverages industries, said Trinh Quoc Vu, head of the ministry’s
Sciences, Technology and Energy Saving Department.
Vu told the Daily
on the sidelines of a conference on the legal framework and policies for
effective energy use in HCMC on Wednesday afternoon that the ministry will
ask the Government for approval to apply the strict energy consumption
criteria.
Manufacturers will
be heavily fined or forced to suspend production if they fail to meet the
criteria. Vu said such criteria are deemed as technical barriers to stop
imports of outdated machines and equipment as well as machinery production
using old technology.
In
A study by the
World Bank revealed that energy consumption in
Vu noted high
electricity consumption will lead to an imbalance between supply and demand
in the future and that after 2016, the country will likely have to import
coal and gas to quench the domestic thirst for energy.
Energy experts said
steel industry is now the biggest energy taker, accounting for 5.26% of the
total electricity consumption every year in the country.
The country now has
65 steel and iron mills with combined annual output of 100,000 tons. Although
those facilities currently run at only half of their designed capacity, they
consume 3.5 billion kWh of electricity every year.
Experts attributed
huge electricity consumption of the steel industry to the still-widespread
use of old furnaces.
CII to
invest in water supply
HCMC Infrastructure
Joint Stock Company (CII) is in talks with Saigon Water Corporation (Sawaco)
to participate in a project to supply water in district 12, Tan Binh, Tan
Phu, Go Vap and Hoc Mon under a build-own-operate-transfer (BOOT) format.
The HCMC government
has told local agencies to negotiate with CII over the project in which the
latter would buy all the secondary water pipelines from Sawaco or Sawaco
would use these pipelines as capital contribution to the venture.
If negotiations are
successful, CII will buy clean water from Sawaco at wholesale prices and
retail it to users in the districts at the prices regulated by the city’s
government. In addition, the company has plans to invest in new pipelines to
bring running water to more locals.
CII plans to
develop the project within 15 years before transferring it to Sawaco.
Bach Vu Hai, deputy
general director of Sawaco, said the BOOT format is new in HCMC but this is
in line with the local government’s policy to open the water supply sector to
more investors.
Hai said that as
CII has an advantage in mobilizing capital, it will be able to invest in new
pipelines to supply water to more users and help reduce water leaks.
HCMC now suffers an
average water loss rate of 34%. Sawaco said the target is to reduce the ratio
to 32% next year, 28% in 2020 and 25% in 2025.
The HCMC government
aims to make running water accessible by all the population by the end of
this year from the current 89.43%. To realize this goal, more than VND4.5
trillion should be spent on over 1,100 kilometers of new pipes.
Tran Dinh Phu,
general director of Sawaco, said the corporation would increase its daily
supply of water from 1.65 million cubic meters to 2.25 million cubic meters
by the end of next year when Thu Duc Water Plant No. 3 and Tan Hiep Water
Plant No. 2 come online.
The first plant has
a daily water processing capacity of 300,000 cubic meters and the latter can
process 300,000 cubic meters a day.
Bringing the
additional water to more households in districts 3, 5, 7, 9, 10 and Binh
Thanh will require more than VND4.52 trillion to install more than 1,170
kilometers of new pipes. But Phu said Sawaco could arrange less than half the
amount.
Hai pointed out one
of the major problems for the local water supply sector is that there are
many water treatment plants but there is a lack of pipelines since it is
difficult to attract investors to water pipeline development projects
that often need huge capital but take a long time to recover capital.
Private companies
have got involved in a number of water processing plants but none of them has
shown interest in pipeline construction projects.
ICDREC
targets 150,000 SG8V1 chips this year
The Integrated
Circuits Design Research & Education Center (ICDREC) of the National
University HCMC is proceeding with a plan to produce 150,000 SG8V1 chips for
domestic consumption this year following its success in applying the chip to
various fields.
Ngo Duc Hoang,
director of ICDREC, said the SG8V1 chip has been applied to more than 30 commercial
products in different areas, including itinerary surveillance devices for
vehicles and goods inspections.
A pilot scheme to
make SG8V1 was completed late last year and commercial production of this
product began early this year. ICDREC expected to turn out 150,000 SG8V1
chips for domestic market this year.
The average price
of an 8-bit chip made by foreign companies is around VND75,000 (US$3.52) for
an order for a batch of 5,000 chips, according to ICDREC. This center said it
will sell a SG8V1 chip at VND40,000 for a batch of more than 1,000 chips.
ICDREC can meet the
domestic demand for 30,000 chips a year for itinerary surveillance devices
for motorcycles and cars.
ICDREC estimated
around one million 8-bit chips will be needed every year for the power and
cargo transport sectors in the country.
The HCMC People’s
Committee will continue asking research centers, including ICDREC, to conduct
new projects on integrated circuits this year and next. The city also plans
to have the first integrated circuit factory in
Between now and
2020, HCMC will focus on development of information technology and
communications, biotechnology, pharmaceutical and chemistry, nano-technology
and new materials, and new energy sources.
The city’s
government will also give priority to development of hi-tech industry by
funding a program to develop the integrated circuit industry with an aim to
post revenues of US$100-150 million in 2017.
Honda
Vietnam unveils new Accord
Honda Vietnam has
unveiled the 9th generation of the Accord car with a price tag of VND1.47
billion, including valued-added tax (VAT).
The new Accord is
the first model in
The new Accord is
also installed with the Eco Assist system consisting of the ECON mode which
controls the engine, transmission and air conditioning performance to enhance
fuel consumption.
The model features
Honda’s first use of LED headlights, which provide improved light
distribution for improved visibility and enhanced nighttime driving
performance but require one-half the electrical power of conventional
halogen/projector headlights.
The car comes with
six colors and are available at Honda automobile dealerships nationwide with
a retail price of VND1.47 billion and a three-year or 100,000-km warranty.
Denmark
funds climate change, energy projects
The funding will go
to improvements in water resources and other areas, Danish Ambassador to
Vietnam John Nielsen said at a conference on support for businesses in HCMC
last Friday.
The European
country is financing a program in
Regarding green
growth for
According to
Nielsen, the Vietnamese market holds much potential for renewable energy and
efficient use of energy but there remain huddles to them. Many foreign wind
power and solar power firms have been keen to invest in
There are currently
more than 130 Danish enterprises in
Techcombank,
Generali ink bancassurance deal
Vietnam
Technological and Commercial Joint Stock Bank (Techcombank) has entered a
bancassurance agreement with
One important part
of the deal is that Techcombank will give advice to its customers on
insurance products and services offered by Generali
Generali
Sergio Di Caro,
general director of Generali Asia, said
Generali
Exports
record year-on-year increase of 14.9%
The total export
turnover in the first half of 2014 reached US$70.9 billion, increased 14.9%
from the same period in 2013.
The sum gathered
the monthly average figure of US$11.8 billion, US$1.5 billion higher than the
same period in 2013.
Thirteen items have
joined the US$1 billion export club. It is expected that 22 items will be
listed in the club this year, one more from 2013. It is the first time phones
and garments have exceeded the turnover of US$20 billion.
Over the past five
months, Thai Nguyen province attained more than US$1 billion in exports. This
year, 20 provinces and cities nationwide are expected to record a turnover of
over US$1 billion.
The nation enjoyed
a trade imbalance of US$1.3 billion over the past six months.
Semen
Semen
Semen
The new cement
plant is expected to start construction within next year and will take three
years to complete. Unlike Thang Long Cement’s existing plant located in the
north of
“Thang Long has
reached its production capacity, which means we have to expand and add a new
plant to satisfy market demand,” he explained.
Located in Cai Lan
deep sea port in northern Quang Ninh province, Thang Long Cement is one of
the leading producers in
In late 2012, the
company teamed up with a leading cement group from Indonesia – Semen Gresik –
which acquired 70 per cent of the company, helping them more than double
Thang Long’s chartered capital from VND1.75 trillion ($83 million) to VND4.2
trillion ($200 million).
Since it became a
strategic shareholder, Semen
“We also have
long-term contracts with large foreign partners to export cement and clinker
to many countries in Asia, Africa, and
Besides the
Foreign investors
have seized opportunities to enter
Over the past three
years, the country has seen 10 M&A deals in the sector. According to the
Vietnam Association of Foreign Investors (VAFI), the deals show reflect the
growing overseas interest in the local cement sector.
In fact,
foreign-invested firms now account for nearly 30 per cent of the Vietnamese
cement sector’s total output.
Managing director
Tan Sri Francis Yeoh of
The Ministry of
Construction has estimated that cement consumption will reach 62-63 million
tonnes in 2014, a mere 1.5-3 per cent increase compared to 2013. It has
estimated exports will reach 14 million tonnes this year, on par with 2013.
H1 FDI
rockets in HCMC
This year’s first
half saw foreign direct investment inflows to
At the latest
investment certificate granting ceremony, Chairman of the Ho Chi Minh City
People’s Committee Le Hoang Quan said the first-half performance showed
foreign investors’ confidence in the southern economic hub’s business climate
and their commitment to long-term business.
He added that the
city would continue to take measures to ensure transparency in administrative
procedures and security for investors, while providing them with further
assistance through the availability of an adequate infrastructure system and
proper human resources training.
During the first
half of the year, the $1.08 billion went towards 169 new projects with the
total registered capital of $967 million, and $110 million went into 53
existing projects.
Quan presented the
five latest investment certificates to foreign-invested projects with $220
million in the combined capital. The investments were from
Another investment
certificate went to Japanese leading retailer Aeon for construction of a
$128.5 million shopping mall inside private Hoa Lam-Shangri-La Healthcare
Park in Binh Tan District. This plans to be Aeon’s fourth largest mall in
Aeon
The fourth
investment certificate went to
Meanwhile, Japanese
company Nikkenseimitsu was permitted to set up its
Nikkenseimitsu’s
senior managing director Takashi Sakakibara said this investment was expected
to increase in the next two years, direct towards mainly mechanics, machinery
manufacturing, and automobile components. He added that his firm had decided
to invest in
Quan said the
metropolis reported GDP growth of 8.2 per cent in the first half of 2014, higher
than the 7.9 per cent seen in the same period last year. He added that the
city had just inaugurated its second navigation channel for supramax
50,000DWT vessels to dock at the city’s Saigon Premier Container Terminal in
Nha Be District. This is a new chapter for the city’s seaport operations,
multimodal transport capability and logistics. The city also has plans to
further dredge the channel to make it deep enough for container vessels up to
70,000 DWT to call on the port.
Over 7
percent increase in petrol price must be reported to PM
Presiding over a
regular cabinet meeting on a draft petrol trading decree, Prime Minister
Nguyen Tan Dung asked businesses to report to him in case they increase
petrol retail price over 7 percent.
The new decree is
being amended to replace the old one issued by the Government on October 15,
2009.
Companies will be
enabled to hike the prices less than or equal to 3 percent and must report to
relevant ministries of 3-7 percent increase, Mr. Dung said.
The new decree
should entitle wholesalers to reduce the petrol prices themselves as long as
they inform authorized agencies.
The State targets
to run the economy in accordance with the market rules. Besides, the
Government will issue suitable policies to assist the poor and those under
the preferential treatment, said the Prime Minister.
Bond market
spikes on improved CPI
According to the
Asian Development Bank,
The consumer price
index (CPI) growth fell from 23.02 per cent in August 2011, to 7.5 per cent
in August 2013, to 6.04 per cent in December 2013. In June 2014, CPI rose
4.98 per cent on-year, recovering from the bottom of 4.39 per cent reached in
March 2014 which posted the lowest since August 2009.
Inflation in 2013
was just 6.04 per cent on year, well below the 8 per cent level set by the
National Assembly’s socio-economic development resolution and within
government target of 6 per cent to 6.5 per cent. This was the second year
The State Bank of
Trade and foreign
direct investment (FDI) were also major contributing factors. Significant
improvements in
While
Low inflation has
helped to make
The low levels of
CPI maintained since the middle of 2012 brought about two outcomes in the
bond yields. First, we note that the yields 10-year and two-year bonds have
been on the decline in general since April 2012, except for the rise in two-year
yields during the summer of 2013 following the exit of foreign investors and
rising CPI. Second, the decline in 10-year yields has been less than those in
the 2-year tenure, leading to the yield spread widening since then.
Previously, the
yield spreads were negative from December 2011 to April 2012, implying an
inverted yield curve. Their shift from negative to positive positions
suggested that the yield curves became normal and then steepened. As shown in
the chart, the yield curves first shifted downwards from December 14, 2011 to
April 17, 2012; then reached its steepest shape by June 20, 2014.
The movements are
all compliant with the theory, which says that an inverted curve can serve as
an indication that the economy will soon experience a slowdown, which causes
future interest rates to give even lower yields. Before a slowdown, it is
better to lock money into long-term investments at present prevailing yields,
because future yields will be even lower.
Thanks to the
slowing of CPI and the stability of the foreign exchange rates,
Vietnam’s Phu Quoc
Island, recently cherry-picked as one of the world’s ten ‘lost paradises’ by
online travel agent Zuji, may soon lose its unspoilt reputation as developers
descend on this popular destination.
Phu Quoc currently
offers international travellers warm turquoise waters, secluded sandy
beaches, and lush mountainous lanscapes protected within its national park.
However,
The island is still
largely undeveloped, and hotel rates are largely higher than on the
Vietnamese mainland. But unlike Phuket, visitors can find little to do on the
island after dark and there is a lack of other hospitality focused
infrastructure, which poses questions about such a rapid expansion.
Higher construction
and operational costs are another concern of investors, according to a
special report on Phu Quoc, which property consultant CBRE released last week.
The construction
costs for a standard low-rise five-star hotel varies from $1,000-1,500 per
square metre depending on the materials used, the consultants employed, and
the construction and management companies contracted. The costs in Phu Quoc
are 20-30 per cent higher than the mainland.
Electricity and
water costs on the island are also higher. Before 2014, a typical four-star
resort in Phu Quoc was allocated power at VND9,300 ($0.4) per kWh for 10
hours a day and had to use generators for the remaining 14 hours at a cost of
VND12,500 per kWh ($0.6). However, since the island was connected to the
national power grid, prices have fallen to VND1,509 for a kWh, a fifth of
their previous cost.
Food and beverage
(F&B) costs are another concern. According to the CBRE report, F&B
costs for a four-star resort in Phu Quoc can account for 30-35 per cent of
total revenue compared to 20-25 per cent on the mainland.
A shortage of
qualified, English-speaking employees is also a big concern for the island’s
hospitality industry. There has been fierce competition among high-end hotels
for good employees which has pushed up labour costs on the island to a higher
level than on the mainland.
Phu Quoc’s hotel
market will fundamentally change when the Vinpearl Phu Quoc Resort & Spa
opens at the end of 2014, with 750 rooms, a 27-hole golf course and an
entertainment park.
The five-star
120-key Salinda Premium Resort & Spa is now being fitting out and will be
also put into operation in 2014. Other new projects have also kicked off in
recent months, including the five-star Crowne Plaza Phu Quoc Hotel, the
four-star Novotel Phu Quoc Resort, and the 24-ha Sunset Sanato Premium
Complex. All of these projects are located on
Environmental
procedures hit businesses
Many enterprises
have complained about administrative procedures regarding natural resources
and the environment, according to a report announced by Vietnam Chamber of
Commerce and Industry (VCCI).
Speaking at a
dialogue with the Ministry of Natural Resources and Environment in
For instance, if an
enterprise wants to develop a project, it has to ask for approval from local
authorities. The proposal is sent to the government but then it will be sent
back to agencies at lower levels for consultation.
Finally, the
proposal will be sent to the local authorities again to issue a decision to
the investor. The process is time consuming as the proposal is normally
passed around different agencies.
Nguyen Hung Quang,
director of Hung Quang law firm, said there have been a lot of
inconsistencies in land-related laws such as Land Law and Law on Real Estate
Trading. As a result, many enterprises, households and individuals have met
difficulties in land leasing, use or transfer.
Therefore, Quang
emphasized the importance of having specific rules on application scopes of
the two laws to deal with the problems.
Most enterprises at
the event also called on the ministry to streamline its administrative
procedures on land management and make land management more transparent.
Dau Anh Tuan, head
of VCCI’s legal department, said the report collected suggestions from 219
large and over 8,000 small and medium-sized enterprises on administrative
procedures on natural resources and environment conducted last year.
According to the
report, the environment ministry scored a poor performance rating among the
ministries having the most interaction with the business community. Some 55%
of enterprises surveyed said land administration procedures were troublesome.
Though supporting
industries are crucial for economic development, HCMC has yet to find
effective measures to attract investments in them.
Speaking at a
seminar in the city last Friday, HCMC vice chairman Le Manh Ha said the
concepts of supporting and hi-tech industries as well as the status and
development orientations of the sectors have not been clearly defined, resulting
in their haphazard development.
This problem has
hindered the implementation of a plan to local content in production and
eroded the attractiveness of the country’s investment environment, Ha said.
Le Hoai Quoc, head
of Saigon Hi-Tech Park Authority, said identifying the decisive factors for
supporting industries development will help the city boost their growth.
The city should
zone specific areas for supporting and high-tech industries and has
consistent policies to back these sectors.
Vu Van Hoa, head of
the HCMC Export Processing and Industrial Zones Authority (Hepza), said
While
Hirotaka Yasuzumi,
managing director of the Japan External Trade Organization (JETRO) in HCMC,
called for
In fact, the
biggest challenges for enterprises are capital and technology. Most of them
are small and medium-sized enterprises (SMEs) with weak financial capability
and low technologies.
Therefore,
enterprises should receive assistance in tax, manpower training, credit and
administrative procedures to make strong investments in supporting
industries.
Experts and
delegates at the seminar also agreed that current policies are not strong and
effective enough to drive up supporting industries.
Hoa from Hepza said
the Government has issued policies such as export-import tax incentives,
investment credits and financial support for SMEs but in fact, the incentives
are the same at those for other sectors.
Quoc from Saigon
Hi-Tech Park said it is necessary to improve the incentives and encourage
firms to set up a science and technology development fund.
Modern
urban area to go up on Saigon
Saigon Newport in
HCMC’s Binh Thanh District will stop all facilities in May next year to make
room for a modern urban area, according to Ngo Minh Thuan, executive vice
president of operation at Saigon Newport Corporation.
The corporation has
informed shipping lines and customers of a roadmap on the suspension of
services to develop the port site into a multi-purpose urban complex.
Thuan said the port
would stop receiving empty containers except those used for immediate cargo
loading from the beginning of July. Therefore, customers will return the
empty containers to other facilities of the corporation such as the inland
clearance depots of Tan Cang-Long Binh, Tan Cang-Song Than, Phuc Long, Tan
Cang -
The corporation has
asked customers who have their goods kept at its stores No.9, No.11 and No.12
to complete clearance by August 20 this year.
The port will halt
serving container vessels except those which unload goods at Container
Freight Station (CFS) storehouses from September 1. Later, it will call off
packaging service from October 1 except rice packaging at the piers and CFS
storehouses as this service will be available until March.
Commodities will
not be allowed at the CFS storehouses from next March but at the CFS
storehouses of
A business
development executive of New Island Limited Company said shipping lines and
companies will not meet difficulties with the shutdown of the port as the
corporation has informed them in advance.
Previously, the
HCMC government approved the scale-1/500 zoning plan for the Tan Cang complex
comprising a multi-functional urban area.
CMC sets up
R&D institute
CMC Corporation
(CMC) has established a research and development (R&D) institute with an
operational budget of VND100 billion (some US$4.7 million) after 21 years of
operations in the market.
CMC has invested
much in the institute to research and develop products and services
incorporating high-tech in order to enhance competitiveness for its member
companies. The corporation currently has seven affiliates in information
technology and telecommunications sectors, with a total number of 1,600
employees.
The institute will
participate in a number of research projects, cooperation programs for
training and theme seminars.
Nguyen Trung Chinh,
chief executive officer of CMC, said the institute has been set up to boost
research and application of new technologies to the corporation.
“To survive in
tough competition, CMC should create an advantage in research activities,
scientific applications and technological development. The institute is very
important to enhance competitiveness of the corporation in a long run,” Chinh
said.
Previously, CMC
spent nearly VND50 billion on R&D activities. Chinh expected the
institute will help attract finance from foreign organizations, the nation’s
national development research and investment fund, and other sources.
Besides CMC, other
major technology companies in
The pledge was made
by Hayashi Yoshimasa, Japanese Minister of Agriculture, Forestry and
Fisheries, at a Vietnam-Japan dialogue on agricultural cooperation held by
Yoshimasa said
As the labor force
in agriculture makes up a majority of
Cooperation between
Vietnamese Minister
of Agriculture and Rural Development Cao Duc Phat said in the coming years
Accordingly, the
central province of Nghe An will be chosen for a pilot scheme to build
irrigation systems and control watering as well as apply a proper amount of
pesticide and fertilizer to increase yields and value of agricultural
products.
Thanks to its ideal
climate, the Central Highlands
Yoshimasa said many
Japanese companies are greatly interested in
Job
opportunities await fresh graduates in city
Job opportunities
abound for fresh graduates, especially for those of business schools, said
experts and employers at a career day held at the HCMC University of
Economics last Saturday.
However, fresh
graduates can grasp those opportunities only if they have good
qualifications, communications skills and knowledge of foreign languages.
Tran Hoang Ngan,
vice rector of the HCMC University of Economics, said employers now pay
more attention to recruiting those with good professional knowledge and
practical skills and ability to quickly adapt to a real-life working
environment.
Tran Anh Tuan,
deputy director of the HCMC Forecast Center of Manpower and Labor Market
Information, said all students want to have good jobs after leaving university
but with little or no experience they should start with low positions first
to learn necessary skills.
Employers care more
about skills than diplomas, Tuan told the career day.
The event offered
4,000 jobs from participating companies.
Statistics of the
HCMC Forecast Center of Manpower and Labor Market Information showed HCMC
needs 150,000 employees in the second half of this year, including around
55,000 in the third quarter.
Source: VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR
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Chủ Nhật, 6 tháng 7, 2014
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