|
BUSINESS
IN BRIEF 8/9
Indian
businesses eye
Ajay Sahai,
Director General & CEO of the Federation of Indian Export Organisations
(FIEO) was speaking at an investment promotion seminar of
Ajay Sahai
highlighted the growing ties between
He said that
two-way trade turnover has increased dramatically in recent years, from
US$2.36 billion in 2009-2010 to US$8.03 billion in 2012-2013.
However, with a
population of more than 90 million
For his part, Pham
Van Vong, Secretary of the Vinh Phuc Provincial Party Committee, introduced
the locality’s development potential and incentives to attract investors.
Over the past years
Vinh Phuc province has boosted economic development and paid due attention to
the overall zoning plan in accordance with regional and national planning for
long-term development.
Currently, the
province has completed a zoning plan for 20 industrial parks till 2020 and
another urban zoning plan till 2030 with a vision for 2050, which has
approved by the Prime Minister.
During the past 17
consecutive years, Vinh Phuc has recorded many important socio-economic
development achievements, with an annual growth rate of 16%.
As of late August
2014, the province has attracted 167 foreign direct investment (FDI) projects
from 14 countries and territories with a total registered investment
capitalisation of nearly US$3 billion.
Among large foreign
groups and enterprises investing in Vinh Phuc include Honda, Toyota (Japan),
Piaggo (Italy), De Hus (the Netherlands), Foxconn, Compal (Taiwan), Sindoh
(the Republic of Korea), and Minda (India).
Vong said Vinh Phuc
strives to become an industrial locality in
Besides State
incentives, Vinh Phuc introduces its own preferential policies to foreign
investors, and it welcomes Indian businesses, he said.
Since 1988,
Canned
quail eggs exported to Japan
The Nguyen Ho quail
breeding farm and a fruit exporter in the Mekong Delta
Currently, the
Nguyen Ho Farm and Tien Giang Food Corp exports 2 million canned quail eggs a
month to
This is a
result of four-year effort to meet all requirements of the strict market,
said Tran Nguyen Ho, the owner of the farm.
There is a huge
demand for canned quail eggs in
One of the
requirements is that the yolk should be exactly in the middle of the egg
rather than on the side, Ho noted.
With over 60,000
quails, the Nguyen Ho farm can produce over 100,000 eggs per day to provide
for the domestic market, earning VND1.2 billion (US$57,000) per month.
Investors
confident in southern business climate
Foreign
entrepreneurs still regard Binh Duong province as a profitable and
advantageous investment opportunity despite the disturbances in May, proven
by the US$350 million in foreign direct investment (FDI) in the southern
locality since then.
Huang Ping Fu, an
executive for the Taiwanese-owned Kaiser Vietnam Wood Industries Limited
Company located in My Phuoc 1 Industrial Park, said he highly valued the
local authorities’ efforts to help businesses resume their operations.
Hang Vay Chi,
General Director of the
He added that his
industrial park will receive US$120 million in FDI from two US and Hong Kong
(
Chairman of the
Provincial People’s Committee Le Thanh Cung said investors’ confidence in the
local investment environment had been maintained thanks to the province
implementing effective measures at the right time.
In a meeting with
the executives of 100 companies in August, he revealed that Binh Duong plans
to earmark VND1 trillion (US$47.6 million) to be made available to businesses
facing financial difficulties.
He informed the
business leaders that the province had provided support to companies in 11
different locations, refunding taxes worth VND525 billion (US$25 million) to
203 enterprises, and waiving taxes and property rental fees worth VND155
billion (US$7.3 million) for 594 enterprises.
To date, Binh Duong
has attracted more than US$1.2 billion in FDI, 20% higher than the target for
2014, with 53% of investments coming from Japan and the Republic of Korea -
the largest investors in the province, Cung noted.
He reported that to
facilitate smooth operations, the locality is accelerating and streamlining
its administrative procedures, implementing the Government and province’s
assistance measures, and ensuring security and order.
The province is
also running a new campaign to promote investment in advanced technologies
and its support industries, as well as in services and trade, the official
said.
Exchange
enhances Vietnamese, Korean trade links
As many as 20
Korean and Vietnamese small and medium enterprises (SMEs) held a trade
exchange at the New World Hotel in
The event provided
a good opportunity for representatives of the two countries business
communities to locate business partners and negotiate investment and trade
deals.
The friendship and
cooperative relations between
Most notably ties
were bolstered by the visit of RoK President Lee Myung-Bakto
Additionally,
President Park Geun-hye’s official visit in September 2013 was a milestone in
trade and investment cooperation between the two nations.
Currently, the RoK
is one of largest foreign investors in
Bilateral trade
turnover is expected to hit a record high US$20 billion in 2015.
Pham Hai Tung,
Chairman of Small and Medium Enterprises Association in the Southern Region
said
Huge
potential for expanded trade with Russia
Vietnamese Russian
trade has been sluggish in recent years, but is expected to rebound strongly
when a Free Trade Agreement (FTA) between
Speaking of the
VCUFTA, Deputy Minister of Industry and Trade Do Thang Hai says final
negotiations are underway and he expects Vietnamese exports to
Two-way trade
turnover between the two nations, though far below its potential, did manage
to hit US$2.76 billion last year, a year-on-year increase of 13.6%. Of the
figure, Vietnamese exports to
In the first seven
months of this year, Vietnamese exports to the market declined slightly to
US$960.4 million due to the political stability in the country. However, the
downturn is expected to only be temporary, with the value expected to bounce
back when
Tran Bac Ha,
President of Board of Directors of the Bank for Investment and Development of
Vietnam (BIDV), says
Furthermore, goods
exported to the country should also benefit from an additional 25% tariff
reduction when the VCUFTA comes into effect, Ha said adding another incentive
of the trade agreement is that
In addition to
trade,
BIDV and the
Vietnam National Textile and Garment Group (Vinatex) plan to develop a light
industrial complex on 1,000ha in
The two countries
are expanding cooperation in agricultural product processing and automobile
assembling. In recent times, some businesses have invested in setting up
goods distribution centres in
The Russian
Government has offer incentives aimed at stimulating the light industry’s
growth such as reducing import tax and giving preferential taxes for
investors, including Vietnamese.
Experts warn that
to conquer the market, Vietnamese businesses must overcome a number of
formidable challenges, such as poor payment methods, fierce competition, fake
and contraband goods and legal risks.
Deputy Minister Hai
says to accelerate trade and investment in
Banks move
toward non-collateral lending
Commercial banks
and credit rating agencies are likely to take their first cautious steps
toward providing loans without requiring collateral by evaluating company's
portfolios and their leadership.
"If
assessments of payment capacity and business plans come up with proper
results, credit institutions may provide trust loans," said Nguyen Thi
Hong, the State Bank of
Do Hoang Phong,
General Director of Credit Information Centre (CIC), a unit under the central
bank, told baodautu.vn that many banks were building internal credit rating
systems, but the number of companies involved in the process remained small.
CIC rates 25,000
companies (compared to 400,000 companies in
PCB Viet Nam Credit
Information JSC, the nation's first private credit rating agency, has
partnered with CRIF – a global company specializing in credit ratings, to
build a sound system for the Vietnamese market.
According to PCB,
credit scores assist banks in managing risks and reducing costs, but also
make it easier for individuals to receive bank loans.
Nguyen Van Huong,
director of Minh Tam Co Ltd said that banks should thoroughly consider loans
for companies that are performing well.
"We are
running a good input-output trajectory, but we can't receive bank loans
because we have no collateral," he said.
Chairman of Ha Noi
Supporting Industry Business Association (Hansiba) Nguyen Hoang said that
although support industries were targeted as top priorities for bank loans, many
companies were still not approved for trust loans.
Regarding the
concern, Tran Dao Vu, deputy general director of DongA Bank, said that
lending without collateral was a decision that could only be made following
the completion of many successful transactions, and it was impossible to
grant loans following a first meeting.
Further,
enterprises might gain a bank's confidence if they improved transparency in
their financial reports, Vu said.
In July, the State
Bank of
Observers note that
there have been rumours that companies might prepare two financial reports, a
true copy for themselves and polished reports for banks when they wish to
apply for loans.
Officials have said
that only 1 to 2 per cent of enterprises provide banks with audited financial
reports.
Under current
regulations, only credit institutions, finance, securities and insurance
companies, foreign-invested companies, and public companies must have reports
audited.
There are only
1,200 public companies, out of 400,000 companies in
In the situation of
mounting bad debts, banks are more likely to insist on collateral, preferably
property.
In the document No
5342/NHNN-TTGSNH dated July 24, the central bank urged commercial banks to
develop solutions to help enterprises access more capital to finance
production.
Experts said that
both banks and companies need the other to spend capital, but there might be
much work to be done to develop trust before extending additional credit.
Power
production up by 10.4% this year
Electricity output
and imports reported by Electricity of Vietnam (EVN) in August were estimated
at 12.41 billion kWh.
At the same time,
electricity generated in the first eight months of the year posted a 10.4 per
cent year-on-year increase to 93.66 billion kWh.
Figures released by
EVN yesterday showed that electricity supplies for agriculture in the period
accounted for 1.5 per cent of the total, increasing 1.6 per cent over the
same period last year. At the same time, electricity provided to industry
rose 13 per cent and accounting for 53 per cent, while that for commerce,
hotels and restaurants reached 4.7 per cent, rising 10 per cent.
Power generation
from hydroelectricity plants made up 55 per cent of the total, along with 21
per cent from gas, 17 per cent from thermopower plants and the remaining from
other sources.
Further, EVN said
it spent VND70.5 trillion (US$3.35 billion) for power production from January
through August to ensure sufficient electricity supplies for production and
consumption. Its disbursement in the period reached VND65.4 trillion ($3.1
billion).
The group has also
completed 25 power grid construction projects, including eight 500kV and 17
220kV operating plants. It also began construction of 22 power grids to
transmit voltage of 500-220kV.
Officials added
that power supplies for Ly Son Island would be finished by the end of this
month, as it has buried underground cables.
EVN is also working
to connect the second turbine in the Vinh Tan 2 Thermopower plant to the
national power grid this month. The plant's first turbine generated power was
supplied to the national grid in January, providing a considerable power
supply for southern provinces during the dry season.
According to the
EVN, the Vinh Tan 2 thermal power plant consists of two generators, with each
having a capacity of 622 MW.
The project, which
began construction in August 2010, was developed by EVN based upon an
engineering, procurement and construction (EPC) contract signed with Chinese
contractor Shanghai Electric Group. Costing VND23 trillion, the plant is set
to begin operating in June.
The plant, fuelled
by coal dust from northeastern
According to the
National Agro-Forestry-Fisheries Quality Assurance Department (NAFIQAD),
NAFIQAD officials
said the ban was lifted after
Experts said the
lifting of the ban would enable these companies to boost the country's
seafood exports , as
Truong Dinh Hoe,
general secretary of the Viet Nam Association of Seafood Exporters and
Producers, said Vietnamese companies should be proactive about taking
advantage of opportunities to boost seafood exports while paying attention to
product quality to meet the safety standards of the Customs Union of Belarus,
In the first seven
months of this year,
The seafood export
turnover is expected to increase rapidly in the remaining months of this year
partly because of
Fuel hike
intervals extended to 15 days
The Government has
increased the interval between two consecutive fuel price increases from at
least 10 to at least 15 days.
The new decree on
the petrol business, which contains the regulation and regulates fuel prices
in line with State-managed market mechanisms, replaces Decree 84/2009/ND-CP
and takes effect on November 11.
The decree also
states that fuel traders will be allowed to unilaterally raise fuel prices if
the rate of increase is below three per cent of current retail prices, but
they must report the increase to the Ministries of Finance and Industry and
Trade. The rate allowed for a unilateral increase in Decree 84 is 7 per cent.
If the increase in
rates is between 3 and 7 per cent, petrol wholesalers must submit documents on
the price fluctuations of elements which make up petrol prices, as well as
the anticipated increases, to the two ministries for review and approval.
The rate increase
that requires the ministries' review and approval in Decree 84 is 7 to 12 per
cent.
The two ministries
must reply about the increases and use of the fuel price stabilisation fund,
if necessary, to petrol wholesalers within three working days from receipt of
the required documents. If they fail to do so within three working days, the
wholesalers may raise fuel prices but not exceeding seven per cent.
Fuel price
increases exceeding 7 per cent, or increases with significant impact on the
country's socio-economic development and the people's standard of living,
must be reported to the Prime Minister for review and approval. The rate
increase that requires the Prime Minister's review and approval in Decree 84
is 12 per cent.
The new decree also
sets no limits on the number and rate of fuel price cuts, as well as
intervals between consecutive price cuts.
The decree states
that the Ministry of Industry and Trade is reponsible for providing updates
on world fuel prices, including base and retail prices, and the use of the
fuel price stabilisation fund on its website.
The decree also says
the Ministry of Finance will supervise petrol and oil pricing, as well as the
extraction and use of the fuel price stabilisation fund of wholesalers.
Petrol wholesalers
must publicise on their websites or on mass media the current petrol retail
prices, extraction and use of the fuel price stabilisation fund and audited
financial reports.
HCM City
urges farmers, firms to boost links
The HCM City Food
and Foodstuff Association (FFA) should focus more on developing links between
enterprises and farmers, the deputy chairwoman of the HCM City People's
Committee has said.
Nguyen Thi Hong
said this would enable farmers to find more outlets for their products.
She also noted that
firms could place orders with farmers for products that are in demand both in
domestic and foreign markets.
Speaking at a
meeting held in
The association's
deputy chairman, Nguyen Ngoc An, said the FFA had carried out activities to
help member companies stay afloat in recent years.
VietinBank
to implement mobile ATM machines
Governor of the
State Bank of Viet Nam Nguyen Van Binh has authorised the Viet Nam Joint
Stock Commercial Bank for Industry and Trade (VietinBank) to implement a
mobile ATM service.
The service will be
implemented at the
Five mobile
facilities will be equipped with two ATMs each.
To gain approval
for the service, Vietinbank had to register documents with branches of the
SBV in relevant cities and provinces.
State
budget collection up by 17% from last year
State budget
collections reached an estimated VND576 trillion (US$27.1 billion) in the
first eight months, completing 73.7 per cent of the year's budget forecast.
The figure
increased by 17 per cent compared to the same period last year, according to
a report by the Ministry of Finance.
Budget expenditure
in the first eight months was estimated at VND681 trillion ($32 billion), or
67.7 per cent of the annual forecast, a year-on-year increase of 11.9 per
cent.
Seminar to
discuss investment opportunities in VN
Foreign
institutional and individual investors and businesses will get a chance to
explore opportunities to make new investments in
"The Gateway
to Vietnam: Looking for new investment opportunities," organised by the
Saigon Securities Inc. on September 11-12 will feature 18 experts speaking
about equitisation of State-owned enterprises, restructure of banks, and the
fast moving consumer goods sector.
There will be
discussions on how to speed up SOE equitisation, what industries will benefit
from
The advantages and
challenges in exporting to Japan, the
Officials from the
Ministry of Industry and Trade, foreign envoys, and Vietnamese and foreign
commercial counsellors will apprise local businesses about changes in
regulations, market access requirements, import and export trends, and buyer
behaviours and products in demand in foreign countries.
The forum hopes to
enable Vietnamese businesses to identify promising export markets and adopt
right strategies to increase exports of goods and services, Ho Xuan Lam,
deputy director of the Investment and Trade Promotion Centre of HCM City
(ITPC), said.
Viglacera
seeks foreign investors
Ceramic building
material producer Viglacera is seeking foreign strategic partners to assist
in transforming the company to comply with equitisation plans, according to
its chairman, Luyen Cong Minh.
Following
Viglacera's initial public offering earlier this year, the State was holding
more than 90 per cent of the shares in the corporation, but plans to reduce
its ownership to 51 per cent in two phases, Minh said. In the first phase,
shares would be sold to foreign investors, leaving the State with 75 per
cent.
"Currently,
investors from
Viglacera expects
to increase its export turnover from its current 5 per cent to 20 per cent,
noting that joining with foreign investors is crucial to the corporation.
"Foreign shareholders will help us increase the quality of products,
paving the way for improving exports," he added.
If the shares are
bought at the average price of the IPO, it is estimated that the purchase
will cost investors some VND500 billion (US$22.7 million).
Apart from
With the expected
IPO price of VND22,300 (about $1), Vietnam Airlines' capitalisation is estimated
at some $1.4 billion.
Seafood
firm profits from acquisition
Seafood processor
Hung Vuong (HVG) is enjoying a lucrative business one-and-a-half years after
it bought the shares of rival company Sao Ta Foods (FMC).
This is because
FMC's stock has increased by more than 150 per cent since the time of the
purchase. At the end of 2012, FMC was offering five million shares for sale
at a minimum price of VND10,000. Five months later, Hung Vuong spent VND52.5
billion (US$2.4 million) to buy the shares at VND10,500 each and ended up
owning 41.8 per cent of the rival company. FMC's share price at that time
stood at VND9,400.
Last year, the
seafood processing industry faced a number of challenges, with shrimp prices
increasing by 50 per cent. However, some companies, including FMC, managed to
save their respective businesses.
FMC's revenue grew
by more than 40 per cent to almost VND2.2 trillion ($103.7 million), leading
to a net profit of VND32.7 billion ($1.5 million), or 5.4 times more than
that of 2012.
According to an FPT
Securities Company report, by 2020, FMC is expecting an annual growth of 7.65
per cent in shrimp output and 6.7 per cent in revenue, as well as a four per
cent share of shrimp exports.
Data from the Viet
Nam Association of Seafood Exporters and Producers shows that FMC ranked
seventh nationwide in shrimp export value in the first five months this year,
reaching $48.3 million.
In mid-July, the
company announced that its second quarter profits surged by 340 per cent over
that of the same period last year, with its shares repeatedly hitting the
ceiling price and reaching VND28,900 ($1.3).
Meanwhile, HVG is
reportedly aiming to buy a 10 per cent stake in Viet Thang Feed (VTF) at
VND22,000 ($1) per share, to increase its total stake in the company to 75.96
per cent. VTF's share price increased by 4.7 per cent yesterday and closed at
VND22,500.
Ministry
data shows factories consume less steel in August
The steel
consumption of Vietnamese factories has remained low in the first eight
months of 2014 and was mainly for buildings under construction, said the
Ministry of Industry and Trade.
Figures from the
Ministry showed that raw steel output in August was 280,500 tonnes, a
nine-per cent increase over that of the previous month, while rolled steel
output posted a 16 per cent year-on-year increase to 291,100 tonnes, and bar
steel output was 294,600 tonnes.
In the first eight
months of the year, raw steel output was estimated to be 1.9 million tonnes,
a 0.01-per cent reduction compared with that of the same period last year.
Rolled steel output was estimated at 2.3 million tonnes, a 23 per cent
year-on-year increase, while bar steel output was 2.28 million.
In August, steel
imports increased by 43 per cent in terms of quantity and 39 per cent in
terms of value compared with that of the previous month. From January to
August, steel imports increased by 14 per cent in terms of quantity and seven
per cent in terms of value compared with that of the same period last year.
The Ministry
attributed the low consumption to economic difficulties and the fall in
construction demand among households during the rainy season.
It added that some
steel factories in the north had to stop production because of low
consumption and high inventories while others had to reduce their selling
prices by supporting transport fees and increasing discounts, in order to
compete with steel imports.
Vietnam-Russia
economic cooperation improved
Cooperation between
Bilateral trade
reached 4 billion USD in 2013 and 1.76 billion USD during the first half of
this year.
Meanwhile,
A meeting between
Vietnamese and Russian businesses, chaired by Minister of Industry and Trade
Vu Huy Hoang, on September 16 is expected to help the firms to learn about
the respective markets and enhance investors’ confidence, boosting
cooperation between
A free trade
agreement between
Dong Nai
moves to expand export markets
The southern
Businesses have
been provided with financial assistance for production and import-export
activities, and were offered tax incentives.
In addition, local
authorities have organised numerous activities to promote trade and
investment with the aim of helping enterprises find new markets and expand
traditional ones.
Thanks to these
efforts, local businesses, particularly in the textile and shoe industries,
have established stable partnerships and signed long-term order contracts to
sell their products abroad.
Dong Nai’s products
are now available in 140 countries and territories worldwide. The province
ranks amongst
The province’s
export stables reported positive growth on all its traditional markets, such
as the
Its export value
for all of 2014 is likely to reach 12 billion USD, representing a 9.8 percent
rise compared to last year’s figure.
In order to achieve
this, Le Van Danh, Head of the provincial Department of Industry and Trade,
said local authorities needs to continue promoting trade and investment, and
creating conditions for businesses to expand into the new markets in Africa,
the Middle East and
Until the end of
this year, Dong Nai will focus on the markets of
The department will
focus on improving market forecasts, updating businesses on all domestic and
foreign policies relating to import-export, and providing them with the
latest information on free trade agreements, either those already ratified or
those still in the pipeline, he said.
Representatives of
the department will also hold regular meetings with firms to address any
export issues they may have in a timely manner, he added.
Dak Lak
invests in rubber tree conservation
Rubber tree plantation
owners and businesses are protecting rubber trees rather than cutting them
down to cultivate other crops, despite falling latex prices, the Central
Highlands Steering Committee reported.
Apart from calling
for increased protection of rubber trees, local authorities proposed
plantations apply intercropping to increase incomes and enrich the soil.
The Central
Highlands
The locality has
made plans to plant rubber tree on an additional 27,000ha, increasing the
total area of rubber tree coverage in the province to 66,800ha by 2020.
The province is
also trialling new rubber tree varieties and is applying advanced
technologies in planting and nurturing rubber trees, as well as in processing
latex, in a bid to improve quality and productivity, and expand consumer
markets.
The Central
Highlands comprise the five provinces of Lam Dong, Gia Lai, Dak Lak, Dak Nong
and Kon Tum, with a total rubber tree coverage of 278,564ha.
Vinh Phuc
looks for investment from India
A delegation from
the
FIEO’s CEO Ajay
Sahai said
Introducing the
strength and potentials of Vinh Phuc, Secretary of the provincial Party
Committee Pham Van Vong stated that the province’s biodiversity, convenient
transport and a hardworking and creative workforce are just some of the many
features that make Vinh Phuc the ideal location for foreign investors.
Currently, Vinh
Phuc has attracted 167 foreign direct investment (FDI) projects from 14
countries and territories, worth close to 3 billion USD.
Vong emphasized
that many foreign corporations have established their presence in the
province, for example Honda and Toyota (Japan); Piaggio (Italy); De Hus
(Netherlands); Foxconn, Compal (Taiwan, China); Daewoo, Sindoh (the Republic
of Korea), adding that Minda company of India has invested in two projects in
Vinh Phuc.
He announced that
foreign investors in the province will be entitled to several local
incentives besides those stipulated in government’s regulations, such as
vocational training and project’s documentation fee support and assistance in
labour recruitment.
Minister Counsellor
of the Embassy of Vietnam in India Tran Quang Tuyen also affirmed that
Since 1988, Indian
investors have invested in 80 FDI projects in
The first half of
2014 saw three Indian investment projects worth 750,000 USD licensed in
Bilateral trade
between two states rose to 8.03 billion USD in 2013 from just 2.36 billion
USD back in 2010.
EIU
forecasts strong growth for
The research and
division of The Economist Group quoted statistics showing
In addition, the
EIU said
The
In the same period,
Jetstar
inaugurates
Budget airline
Jetstar Pacific inaugurated a new service between the north central
The service using
Airbus A320 aircraft operates one return flight every day, which departs from
To welcome the new
route, Jetstar offers 3,000 tickets priced at only 3,000 VND (0.14 USD) each.
By Sept. 5, nearly
10,000 passengers have registered for tickets on this route at prices ranging
from 690,000 VND (32.5 USD) to 3 million VND (141.6 USD) per ticket.
Besides Thanh Hoa,
Jetstar Pacific is currently operating flights from 9 provinces and cities in
Vietnam, which are Hanoi and Hai Phong City in the north, Vinh City in Nghe
An province, Da Nang City, Thua Thien-Hue province and Nha Trang City in
Khanh Hoa province in the central region, Buon Ma Thuot in the Central
Highlands province of Dak Lak, and Ho Chi Minh City and Kien Giang province’s
Phu Quoc Island in the south.
Investors
confident in southern business climate
Foreign
entrepreneurs still regard Binh Duong province as a profitable and
advantageous investment opportunity despite the disturbances in May, proven
by the 350 million USD in foreign direct investment (FDI) in the southern
locality since then.
Huang Ping Fu, an
executive for the Taiwanese-owned Kaiser Vietnam Wood Industries Limited
Company located in My Phuoc 1 Industrial Park, said he highly valued the
local authorities’ efforts to help businesses resume their operations.
Hang Vay Chi,
General Director of the
He added that his
industrial park will receive 120 million USD in FDI from two US and Hong Kong
(
Chairman of the
Provincial People’s Committee Le Thanh Cung said investors’ confidence in the
local investment environment had been maintained thanks to the province
implementing effective measures at the right time.
In a meeting with
the executives of 100 companies in August, he revealed that Binh Duong plans
to earmark 1 trillion VND (47.6 million USD) to be made available to
businesses facing financial difficulties.
He informed the
business leaders that the province had provided support to companies in 11
different locations, refunding taxes worth 525 billion VND (25 million USD)
to 203 enterprises, and waiving taxes and property rental fees worth 155
billion VND (7.3 million USD) for 594 enterprises.
To date, Binh Duong
has attracted more than 1.2 billion USD in FDI, 20 percent higher than the
target for 2014, with 53 percent of investments coming from Japan and the
Republic of Korea - the largest investors in the province, Cung noted.
He reported that to
facilitate smooth operations, the locality is accelerating and streamlining
its administrative procedures, implementing the Government and province’s
assistance measures, and ensuring security and order.
The province is
also running a new campaign to promote investment in advanced technologies
and its support industries, as well as in services and trade, the official
said.-
HCM City
urges farmers, firms to boost links
The Ho Chi Minh
City Food and Foodstuff Association (FFA) should focus more on developing
linkages between its member enterprises and farmers, the deputy chairwoman of
the HCM City People's Committee has said.
Nguyen Thi Hong
said such cooperation would enable farmers to find more outlets for their
products.
She also noted that
firms could place orders with farmers for products that are in demand both in
domestic and foreign markets.
Speaking at a
meeting held in
The association's
deputy chairman, Nguyen Ngoc An, said the FFA had carried out activities to
help member companies stay afloat in recent years.
It had organised
seminars, fairs, training courses and trade promotions to help members
improve competitiveness and expand to other markets, he said.
Despite having
fewer difficulties this year compared to 2013, firms active in the food and
foodstuff industry still faced challenges, including declining demand and
high input costs, he said.
The association
planned to take action to help its members overcome difficulties in the
coming time, he said.
At the meeting
which was held late last week to review the FFA's performance over the years,
the FFA was awarded the Labour Order Third Class for its contribution to
economic development in the last 16 years.
Vinamarine
mulls over two new shipping routes
The Vietnam
Maritime Administration (Vinamarine) is considering opening two more coastal
shipping routes with the first linking the south-central province of Binh
Thuan and Kien Giang in the Mekong Delta, and the other from Quang Binh to Da
Nang city on the central coast, the Saigon Times Daily reported.
The new routes will
meet the rising demand for cargo transport between these places as overland
transport has become overloaded.
According to
Vinamarine, the need for goods transport to and from the Mekong Delta is
increasing rapidly and is estimated at around 51.5 million tonnes a year. In
the immediate future, 2.1 million tonnes of construction materials will be
transported from Ba Ria-Vung Tau province to the Mekong Delta for a project
to dredge a navigational channel leading to the
Therefore, the
shipping route is essential to ease pressure on roads.
Meanwhile, the new
sea route linking ports between Quang Binh and
These cargo loads
are currently taken overland from Quang Ninh, Hai Phong, and Thanh Hoa to
Quang Tri, Hue and Da Nang and vice versa.
Therefore, once
completed, the new waterways would help transfer cargo between these
localities.
On July 6, the
Ministry of Transport opened a new sea route linking provinces from Quang
Ninh to Quang Binh with around 50,000 tonnes of goods transported during its
first month of operation.
Compared to the
costs of transport by road, the coastal shipping route is much more
competitive, prompting enterprises to choose the latter.
For instance, the
freight for a 20-feet container transported overland is 10-12 million VND
from Hai Phong to Thanh Hoa and is 18-20 million VND from Nghe An to Ha Tinh
while the figures shrunk to 2.4 million VND and 3-3.2 million VND
respectively if goods is transported by sea.
However, road
transport is faster, taking six hours to send goods from Hai Phong to Thanh
Hoa while it takes ten hours to transport goods over the same distance by
sea.
Source: VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR
|
Chủ Nhật, 7 tháng 9, 2014
Đăng ký:
Đăng Nhận xét (Atom)
Không có nhận xét nào:
Đăng nhận xét