|
BUSINESS IN BRIEF 16/1
Coming off the impressive success of Thai trade fairs in
The statement was made by Nguyen Khac Luan, Director of
Vietnam National Trade Fair and Advertising Company (Vinexad) at the opening
of a Made in Thailand Outlet taking place on January 15-18 at the
Luan said the fair has attracted 100 companies showcasing
high-quality Thai products like food, beverages, utensils, cosmetics and
skincare products, handicrafts, garments, and electronics in roughly 120
stands.
Thai Ambassador Anunson Chinvano spoke highly of the strong
development of the
It also provided an excellent opportunity for them to seek
cooperative opportunities with Vietnamese partners to further spur bilateral
cooperation.
During the fair, performances by a traditional dance troupe
from
Forum pushes
The establishment of a strategic partnership between
The statement was made by Ambassador to Italy Nguyen Hoang
Long at a January 14 seminar under the framework of Vietnam Cultural Day in
Speakers at the seminar appreciated
Despites positive signals from Italian investors, Italian
investment in the country has not matched with the market’s potential.
By December 2014,
Last year, many Italian business delegations made fact-finding
tours of the country to seek opportunities.
A representative from Lazio region, Guido Fabiani spoke highly
of
Sharing the same view with Fabiani, Unindustria Vice President
Attilio Tranquilli said Lazio could cooperate with Vietnam manufacturing of
industrial equipment, garment and leather industries.
Deputy Minister of Economic Development Carlo Calenda
underscored that Italian enterprises could strengthen cooperation in many
fields, including techniques, high-tech and machinery manufacturing.
According to latest statistics, the two-way trade turnover hit
US$3.5 billion last year and has been projected to reach US$5 billion euro in
2016.
Made-in-Thailand outlet fair underway in
The 2015 Made in Thailand Outlet is taking place in
The fair houses 120 pavilions featuring food, beverages,
fruits, household utensils, jewellery, cosmetics, garment-textile, souvenirs,
automobile spare parts, electrical and aviation devices.
About 100 participating Thai businesses take this occasion to
advertise their products and seek Vietnamese partners to boost future bilateral
trade, Thai Ambassador to Vietnam Anunson Chinvano said.
A dancing troupe from
The fair is being organised by the Vietnam National Trade Fair
and Advertising Company (Vinexad), the Trade Office under the Thai Embassy in
Vietnamese bank invests in five-star hotel in
The Bank for Investment and Development of Vietnam (BIDV) and
LaoVietBank, a joint venture between BIDV and
To this effect, a credit contract was signed in
Under the contract, the two banks will offer a credit loan of
35 million USD to the 62 million USD project.
Speaking at the event, BIDV Deputy General Director Tran Luc
Lang affirmed that the contract reflects Vietnamese businesses’ commitment to
increasing investment in
Covering an area of 2 hectares, the complex consists of a
five-star hotel and residential and office buildings for lease. It is
expected to serve the 10 th National Congress of the Lao People’s Republic
Party in late 2015 and early 2016 and the ASEAN Summit in 2016.
Top firms strive to redress skilled worker shortage
Amid the shortage of skills in the Vietnamese workforce, many
foreign companies have invested in training courses in the Vietnamese
education system to bring about improved workforce quality and productivity.
Late last year, Mitsubishi Heavy Industries (MHI) held a
ceremony at the
In August 2010, the university established a department
specialising in nuclear power generation. This department’s remit is to
produce engineers qualified to work at nuclear power plants to be introduced
in
MHI announced that the courses it provides at the university
would enable Vietnamese students to master practical expertise directly from
engineers with experience in such operations. In addition, MHI is also
funding courses on nuclear engineering at the Hanoi University of Science and
Technology.
The courses are being provided on the basis that
MHI is expected to be the second foreign company to build a nuclear power
station in
Since
“This productivity challenge, along with slow development of a
skilled workforce, could threaten continued growth. One study has reported
that curricula are outdated, teachers overstretched and underpaid, and
graduates lack the job-ready skills sought by multinationals,” said Gaurav
Gupta, chairman of the American Chamber of Commerce in
But while the nation’s education system is slowly developing,
the involvement of foreign companies, like MHI, are very supportive in
tackling the issue of skills shortage in the workforce. Alongside MHI a
number of other companies are investing in the up-skilling of
Vietnamese workers.
Intel Products Vietnam, which currently operates Intel’s
largest chipset manufacturing factory in Ho Chi Minh City, co-operated with
the United States Agency for International Development and the Arizona State
University’s Ira A in 2010 to found a higher engineering education alliance
programme – better known by HEEAP.
HEEAP has attracted many other sponsors including
As recently as June 2014, 24 engineering lecturers from the
five HEEAP Vietnamese partner universities travelled to the
Bosch
Vo Quang Hue, CEO of Bosch
Binh Duong businesess seek unskilled workforce
Enterprises in Binh Duong province, one of the southern
region's economic centres, need to recruit over 45,000 unskilled workers in
2015 to meet their production demands in garment, footwear and wood
manufacturing fields.
According to the province's employment centre, more than
21,000 unskilled jobs were available during its first job exchange session on
Sunday, offering a monthly salary of VND4-5 million (US$235).
The businesses looking to hire new employees include Truong
Thanh Wood Industry Company, Apex Viet Nam Co, Ltd, and Sheico Viet Nam Co,
Ltd.
Nguyen Thanh Phuong, head of the job introduction office, said
that this year the office continues to help local businesses take part in
labour linkage programmes with other provinces to attract workers.
An investment license has been granted to two integrated
circuit projects to be implemented at the Saigon Hi-Tech Park (SHTP), a hub
for high technology enterprises in
The developers of both of the projects, the United Vietnam
Photonic Company (UVP) and Saigon Semiconductor Technology Inc. (SSTI), are
100 percent Vietnamese-invested firms, according to the SHTP management
board.
SSTI will set up an integrated circuit manufacturing plant, a
research and development center, and a multi-function experimental facility
on a two-hectare land plot inside the park.
The last facility will conduct research on developing
energy-saving products such as light-emitting diodes and solar cells.
The total investment for the SSTI project is more than US$257
million.
Another name for a chip, an integrated circuit is a small
electronic device made out of a semiconductor material.
SSTI is a semiconductor company formed in 2014, according to
its website. The start-up is establishing facilities that manufacture,
assemble, and test the GaAs compound.
GaAs is the chemical formula for gallium arsenide, a
semiconductor compound used in some diode, field-effect transistor, and
integrated circuits.
Le Hoai Quoc, head of the SHTP management board, said the park
is focusing on attracting investment in the fields of semiconductors and
chipmaking.
The management board is cooperating with investors in Silicon
Valley in the
In mid-2012, the
The municipal administration also set a target of raking in
$100-150 million in revenue from the industry by 2017 and having 2,000
newly-trained engineers and technicians as well as 30 new chipmakers.
A VND6.6 trillion ($314.2 million) project to set up an
integrated circuit making plant at the SHTP by the Saigon Industry
Corporation had been expected to be the first under the program, but no
investment license has been issued to it.
HCMC agricultural restructuring brings many successes
At an online conference to review the country’s agricultural
industry in 2014, deputy chairman of HCMC People’s Committee Le Thanh Liem
said last year the city’s agro, aqua and forestry Gross Domestic Products
(GDP) went up 5.8 percent over 2013, much higher than the country’s 3.3
percent.
The growth rate averaged 5.8 percent in HCMC and appropriated
3 percent in the country in the phase of 2011-2014.
GDP per capita in HCMC suburb has increased to account for
80.5 percent of that in center areas, cutting income gap between rural and
urban citizens to 1.2 times from 1.8 times before.
They are results from the city’s agricultural restructuring
program, which gave farmers incentives to convert their low yield rice areas
into other product farming bringing better economic value.
In the 1990s the city’s agriculture seemed to make no progress
when urbanization occurred and the first real estate fever erupted. GDP
growth rate swung around only 1 percent a year.
The agricultural restructuring program has been implemented
towards increasing the added value and quality of farmed products and production
effectiveness.
It has provided interest rate assistance to farmers to
cultivate new plants and breed animals with high economic value such as safe
vegetables (vegetables meet food safety and hygiene standards), orchids and
dairy cows.
Last year average production value per hectare of cultivated
land was VND325 million (US$15,226) in HCMC, up 15.2 percent over 2013 and
twice over 2010. The country’s average number was VND100 million a year.
HCMC has become a breeding and seedling center not only supplying
domestic farming but also exporting many products.
Businesses exported 415 ton seed varieties such as corn,
vegetables, bean, flower, and fruit plants to the
They shipped nearly 300,000 orchid stems worth VND3 billion to
Cambodia, 1,000 frangipani grafts to Japan, and 1,000 tons of vegetables
including pumpkin, cabbage, herbs and black saffron to European, American and
Asian nations and Dubai in the Middle East.
On the same year 11 million ornamental fish, nearly 16,000
crocodiles together with 1,500 crocodile leathers were sold to
HCMC also supplied over 900,000 breeding pigs and 24,000
breeding milk cows to farms across the country.
Besides mapping out a right policy on urban agricultural
development, the city authorities have timely given farmers incentives such
as loan interest rate assistance to make the program successful.
According to the Department of Agriculture and Rural
Development the city has achieved success in carrying out Public Private
Partnership, which mobilized 96 percent of investment capital in agriculture
development from social sources.
HCMC is striving to complete its new rural development program
by next year to celebrate the 40th anniversary of the country’s Reunification
Day.
Power group continues proposing power price increase
The country’s largest power company Vietnam Electricity (EVN)
has again proposed the Ministry of Industry and Trade to permit it to
increase electricity prices.
At a meeting held by the company on Tuesday to review its
operation last year and discuss this year plan, EVN said that electricity
price calculation has not been updated with input cost changes since last
year. For instances prices of coal and gas supplied for electricity
production have been increased and water resource tax and forest
environmental fee have been hiked too.
This has caused EVN a loss of VND8 trillion (US$374.8
million). The loss will total VND16,800 billion (US$787.08 million) with
exchange rate fluctuation.
Another issue which EVN reported at the conference was that
nearly 54 percent of the company’s power output supplied to industrial sector
had contributed to only 39 percent Gross Domestic Product (GDP). Meantime four
percent of the power output used in commerce and trade fields has contributed
to 44 percent GDP.
EVN produced and purchased 142 billion kilowatts of
electricity, yielding VND196 trillion (US$9,183 million) in revenue last
year.
The group has set a target to raise the power output by 10
percent against 2014 to reach 157 billion kilowatts this year.
Several more supermarkets, shopping malls opened in HCMC
Ho Chi Minh City put into operation five supermarkets and two
shopping malls last year, setting a high record in the city, said the city
Department of Industry and Trade.
In addition businesses have been building some new
supermarkets specializing in selling electronic items and refrigeration
appliances.
Besides the modern shopping system HCMC has 140 traditional
markets, and a lot of spontaneous markets which local authorities have
conducted several measures to clear.
HCMC has built and effectively operated three food wholesale
markets Binh Dien, Thu Duc and Hoc Mon, towards forming goods exchange floors
right at these markets.
VN moves to improve ship standards
The maritime sector is leaving no stone unturned in efforts to
reduce the number of Vietnamese vessels detained at foreign ports and thereby
take Vietnam off international maritime blacklists.
Recent reports show that in 2014 the country succeeded in
reducing the number of ships detained for failing to pass Port State Control
(PSC) inspections, by making several improvements to its ships and national
regulations.
The Ministry of Transport's Vietnam Register reported that
last year, out of 732 vessels that underwent PSC inspections, only 3.55
percent of Vietnamese vessels were detained. The new numbers show a decrease
by 2.58 percent, or 21 less ships than in 2013.
In the Asia-Pacific region [also referred to as the Tokyo-MOU
region], 20 Vietnamese vessels were held in Chinese ports in Guangdong,
Guangxi and Hainan provinces because of failing to meet safety and security
standards.
Elsewhere, one vessel was detained in the West Europe – North
Atlantic region and five in the Indian Ocean region.
"The scheme to take Vietnamese seagoing ships off the
2014 Tokyo-MOU blacklist has yielded fruitful results. However, the results
are not yet sustainable and more renovations are needed in the coming
years," said Vu Hong Hai, Deputy Director of the Vietnam Register.
To reduce the number of vessels detained after PSC
inspections, the Vietnam Register is working with partner agencies and vessel
owners to implement new standards, especially in vessels unlikely to pass the
Tokyo-MOU's new inspection system (NIS).
The Vietnam Register will also make a list of currently
detained vessels and provide support to the vessel owners and captains in
identifying and correcting their safety and security infractions.
Technical surveillance of seagoing vessels will be improved by
intensifying government oversight of vessel design; the construction process;
certification of machinery, materials and equipment; and certification of
labour safety and security management for international vessels. Routine
inspections will be performed to identify potential or actual causes for
detention and call on the responsible organisations or individuals to make
the necessary corrections or take precautions against future incidents.
Disciplinary actions will be taken against ship owners and
registration agencies responsible for detained vessels. Heightened scrutiny
will be directed towards the maritime port authorities that let the vessels
leave domestic ports in the first place.
Maritime port authorities will be compelled to strictly
inspect seagoing vessels operating along international routes, said a
representative of the Vietnam Maritime Administration who chose to remain
anonymous.
According to the unnamed representative, all seagoing vessels,
especially those that have already been detained abroad, must go through
additional checks before leaving Vietnamese ports. No vessels failing to meet
international standards will be allowed to embark.
Vietnam officially became a member of the Tokyo-MOU on January
1, 1999. According to a Maritime Administration report, the country has
consistently been put on the Tokyo-MOU country blacklist due to its high
number of sub-par vessels.
Vinacomin enjoys rise in revenue
The Vietnam National Coal and Mineral Industries Group
(Vinacomin) is estimated to have earned more than 108.9 trillion VND (5.06
billion USD) in 2014.
This is a 14 percent increase year-on-year, and three percent
higher than the yearly target, the Voice of Viet Nam (VOV) reported.
VOV quoted Vinacomin's statistics as saying that the revenue
from coal exploitation was more than 53.1 trillion VND (2.47 billion USD). It
also earned more than 12 trillion VND (558.1 million USD) in revenue from
electricity production and 6.47 trillion VND (301 million USD) from minerals
production.
Last year, the group's earned an estimated 2.5 trillion VND
(116.3 million USD) in profits, contributing 12 trillion VND (558.1 million
USD) to the State budget.
Vinacomin produced 37.4 million tonnes of coal during the period,
with consumption of 35.5 million tonnes. Of this, coal exports comprised 5.94
million tonnes, while 29.6 million tonnes were sold in the domestic market.
During the period, Vinacomin gained 1.6 trillion VND (74.41
million USD ) by divesting three non-core businesses in finance, insurance
and the securities sector. It also issued five-year bonds worth 3 trillion
VND to (139.5 million USD) mobilise capital for coal and minerals projects.
The group aims to produce 40.8 million tonnes of coal this
year, with consumption of 38 million tonnes. Of the sum, coal exports will
amount to 3 million tonnes, while 35 million tonnes will be for domestic
consumption.
It also aims to earn more than 114 trillion VND (5.3 billion
USD) in revenue.
Earlier, Vinacomin's Deputy General Director Nguyen Van Bien
asked the government to lower taxes and duties, to help the group accumulate
capital to develop its coal mines, while allowing it to export coal to Japan
till 2015.
The rising taxes and fees, together with unchanged coal prices
in the domestic market for the past three years, have caused difficulties for
Vinacomin, he said. Bien added that the high taxes and fees will make the
coal sector run out of capital for investment.
WB keeps Vietnam’s GDP growth at 5.6 percent in 2015
The World Bank (WB) has forecast that Vietnam’s economy will
grow 5.6 percent in 2015, the same level as last year.
According to the bank’s report “Global Economic Prospects
2015” released on January 13, Vietnam’s gross domestic product (GDP) growth
will further improve in the next two years, reaching 5.8 percent in 2016 and
6 percent one year later.
Vietnam’s economy may grow stronger in the years to come
thanks to recent political-economic reforms and sharply increasing foreign
direct investment (FDI) flows, said the report.
“In Vietnam, although macroeconomic stability is solidifying,
banking sector balance sheets need to be strengthened to improve access to
credit,” the WB said, adding that regulatory reform is also needed to level
the playing field for private businesses – especially domestic ones – in
relation to state-owned enterprises.
The WB report also indicated that the Asia-Pacific growth is
expected to ease slightly to 6.7 percent in 2015 from 6.9 percent in 2014 and
remain stable over the projected period.
In the Southeast Asian region, some economies such as
Cambodia, Myanmar and Malaysia are forecast to grow slower than 2014.
Meanwhile, the Philippines, Indonesia and Thailand will see
remarkable economic growth in the next two years after a series of political
and economic fluctuations last year.
$178 million invested into Ho Chi Minh City
The southern metropolis Ho Chi Minh City has granted
investment licences to a firm from the UK and a firm from the Republic of
Korea (RoK) for an expected investment of 178 million USD.
An affiliate of the UK’s Gain Lucky Corporation, the Worldon
Vietnam in Cu Chi district specialises in designing and manufacturing hi-end
apparel and will increase its capital in the country to 300 million USD from
140 million USD.
Meanwhile, the apparel producer Nobland Vietnam under the
RoK’s Nobland International Inc, registers a capital hike from 43 million USD
to 61 million USD, which will be used to scale up its operation and generate
jobs for over 8,000 workers.
Addressing the approval ceremony on January 14, Deputy
Chairman of the municipal People’s Committee Tat Thang Cang vowed full
support for investors by streamlining bureaucracy, fine-tuning legal
regulations, and upgrading infrastructure.
Last year, the city drew 3.2 billion USD in both new and
increasing capital investments, with processing and industrial zones hosting
523 foreign projects worth nearly 5 billion USD.
Over 90 million USD poured into Vietnam’s infrastructure
company
The Philippines’ Metro Pacific Tollways Corporation (MPTC)
signed a deal on acquiring a portion of stock ownership in the Ho Chi Minh
City Infrastructure Investment Joint Stock Company (CII) on January 14.
MPTC purchased 30 million shares of CII Bridges and Roads
Investment Joint Stock Company (CII B&R) from CII and subscribed to 1.02
million convertible bonds of the Vietnamese firm.
The transaction is worth 1.95 trillion VND (91.4 million USD).
The deal will take full advantage of CII’s local experience
and MPTC’s professional practice to promote CII B&R as a leading company
at both national and regional levels.
According to CII Chairman of the Board of Governors Le Vu
Hoang, MPTC has financial strength and years of experience in operation and
maintenance services of roads and bridges, especially with toll roads.
CII B&R has investments in infrastructure, road and bridge
construction, clean water production, industrial zone infrastructure and real
estate.
MPTC is the largest toll road operator in the Philippines,
operating 63 percent of the 320 kilometres of toll roads.
MPI to closely manage public investment
Improved public investment management is among the key 2015
tasks not only for the Ministry of Planning and Investment (MPI), but also
for other agencies and localities, stated Minister of Planning and Investment
Bui Quang Vinh.
Views must universally shift from short-term vision to
long-term strategies, Vinh said to the media recently.
In 2015, Vietnamese enterprises are expected to face greater
challenges, including fiercer competition as a result of the formation of the
ASEAN Economic Community and the implementation of other international
integration commitments, he said.
To that end, the ministry will continue assisting and
strengthening support to businesses, especially in building and promoting
their trademarks with a focus on private firms, said the official.
He also stressed that enterprises should take the initiative
in improving connections, boosting the development of the support industry,
and updating their technology.
He predicted that the number of companies ceasing operations
or filing for bankruptcy will be lower than that of 2014.
Vinh reiterated that reforming the economic institutions is an
ongoing necessity. Vietnam is in the process of building and completing legal
frameworks in line with international best practices, thus creating
favourable conditions for stable enterprise operations.
He emphasised the need to mobilise resources for the
renovation of growth models based on innovation, advanced technology, and
high labour productivity.
The official also revealed that a decree on public-private
partnership (PPP) investment model will shortly be announced, providing
favourable conditions for the private sector to engage more deeply in the
country’s growth process.
Currently, the Government is working to complete a list of
projects calling for investment in PPP form, to be made public soon, he
added.
Korean and UK firms granted investment certificates
Chairman of the Ho Chi Minh City People’s Committee Le Hoang
Quan on January 14 granted investment certificates to Korean-invested Nobland
Vietnam and Worldon Vietnam of the UK.
With the certificate, Nobland Vietnam will increase its
investment from US$43 million to US$61 million, said Director General Kim
Chung Kuk.
Meanwhile, Worldon Vietnam will build a fashion design centre
and a factory on an area of 52ha to produce high-quality garment products.
The company will build houses on 7 hectare for workers in Dong Nam industrial
park (IP) in Hoa Phu commune, Cu Chi district with an estimated cost of
US$300 million.
Nobland Vietnam was established at Tan Thoi Hiep IP in 2002
with an investment capital of US$3 million. From a plant with 15 production
chains at the beginning, the company now has three factories with 120
production chains.
FIA assesses the pros of multinational corporations
The foreign capital inflows provided by multinational
corporations (MNCs) have been immensely positive for the nation’s economic
development, according to a representative from the Foreign Investment Agency
(FIA).
Particularly the inflows into infrastructure and advanced
technologies have helped to transform the way Vietnam does business by
improving the quality of products, labour productivity and profits, which has
driven the expansion of exports and economic growth.
This in turn has sped up the movement to a more modern and
industrialised society, the representative said.
In addition, (MNCs) have created good paying jobs and have
provided access to advanced education and training for labourers and
employees, improving their standard of living.
Last but not least, domestic businesses directly benefit from
the the significant investments in research and development (R&D) of
MNCs. Only large firms with significant resources can afford R&D, which
most often directly benefits suppliers of raw materials and components.
In other words, MNCs in Vietnam have spawned the development
of supply chains providing domestic small and medium sized businesses with
ground floor opportunities to get a footing and actively participate in the
global marketplace.
Overall, they contribute directly to enhancing the nation’s
competitive edge and are good for the country, the FIA representative said.
Vietnam coal imports off to an early start
Vietnam has imported its first coal for 2015 to help generate
electricity to keep up with rising business and consumer demand, Vietnam
National Coal and Mineral Industries Holding Corporation (Vinacomin) General
Director Dang Thanh Hai has said.
Hai said the company recently imported 41,000 tonnes of
anthracite coal from Russia adding that, imported coal is expected to play an
increasingly larger role in meeting the increasing demand.
In the past Vietnam has relied solely on domestic coal, but
supplies are proving increasingly more difficult and costly to retrieve. It
has become more cost effective to import cheaper coal from other countries
than mine domestic coal.
Vinacomin has recently placed orders to import coal from
Indonesia and Australia to meet commitments to fuel the Vinh Tan 4 and Duyen
Hai 3 power plants for Electricity of Vietnam (EVN) and to bump up its
stockpiled inventories.
For calendar year 2015, Vinacomin plans on consuming 38
million tonnes of coal to ensure it meets the demands of energy for the
economy, Hai concluded.
Thailand steps up tra fish imports
Thailand’s imports of Vietnam tra fish for calendar year 2014
jumped 25% on-year, according to the latest statistics from the General
Department of Vietnam Customs.
Among the many factors contributing to the increase was arise
in the average price to US$2.14 per kilo in 2014 from US$2.1 per kilo in
2013.
In the first eleven months of last year alone, Thailand’s tra
fish imports from Vietnam were estimated at US$40.5 million, accounting for
97% of the total market share of frozen fish fillet imports.
Manila's
MPIC buys stake in CII B&R to increase company's profitability
Metro Pacific Investments Corp. (MPIC) yesterday said its
subsidiary entered into an equity investment and financing transaction with
HCM City Infrastructure Investment Joint Stock Company (CII).
Through the transaction, Metro Pacific Tollways Corp. (MPTC)
will secure a significant minority equity interest equal to about 45 per cent
of the outstanding capital of CII Bridges and Roads (CII B&R)
"through a combination of purchase of CII B&R secondary shares from
CII, and subscription to VND (Vietnamese dong) -denominated bonds to be
issued by CII, which are exchangeable into secondary shares in CII
B&R."
MPTC is purchasing 30 million secondary shares of CII B&R
from CII at VND22,100 (US$1.03) per share and is subscribing to 1,020,000
bonds with a face value of VND1 million ($47) or 56,666,667 shares of CII
B&R.
The VND1.954 trillion ($91.54 million) transaction is expected
to "enhance profitability and strengthen the balance sheet" of
MPIC, according to the disclosure.
CII's investment activities are focused on infrastructure,
road and bridge construction, clean water production, industrial zone
infrastructure, real estate, and equity investment, according to its website.
Le Quoc Binh, general director of CII, told local media that
the sale was as per CII's restructuring plan, adding that it chose the
Filipino partner because they both work in the same area and can take
advantage of the technology.
Binh added that his company will keep at least 51 per cent of
the stake in CII B&R. Among CII's five subsidiaries, CII B&R is the
most important one. It owns and operates seven construction projects in HCM
City and plans to invest $1.7 million in nine other construction projects.
Major infrastructure projects to be audited
Nearly 50 big projects, including the Noi Bai International
Airport Terminal 2 and the HCM City-Long Thanh-Dau Giay Expressway, will be
audited this year.
The State Audit of Viet Nam said it plans to check these
projects' construction, investment usage and management.
Other projects likely to come under the scanner are the
National Assembly House, the National Highway 3's Ha Noi-Thai Nguyen section
in the phase 1, the Nhat Le 2 Bridge and the Da Nang Administrative Centre.
In addition, the SAV will conduct an audit at State-owned
groups and corporations, including the Electricity of Viet Nam (EVN), the
Viet Nam National Oil and Gas Group (PVN), the Viet Nam National Shipping
Lines (VINALINES), the Viet Nam National Tobacco Corporation (VINATABA) and
the Song Da Corporation.
Financial reports of the State-owned groups and corporations
related to capital management and usage, as well as implementation of their
restructuring plan for the period of 2011 to 2015 will be examined.
An audit will also be conducted for the Viet Nam National
Textile and Garment Group (VINATEX), Viet Nam National Post and
Telecommunications (VNPT), Viet Nam Railway, as well as the Vietnam Airlines
Corporation's restructuring plan.
The Viet Nam Shipbuilding Industry Group's (Vinashin's)
restructuring plan will also be reviewed.
Thai developer Amata to invest in Dong Nai
Thai industrial city developer Amata will invest in three new
high-tech industrial park and urban development projects in the southern Dong
Nai province, news website dddn.com.vn reported on Tuesday.
Amata Viet Nam Public Limited will be the investor of a 753ha
urban development project in the province's Tam An commune in Long Thanh
district.
Meanwhile, a high-tech industrial park project and an urban
development project, spreading over 410ha and 122ha respectively, will be
developed by Amata's affiliates in Tam An and An Phuoc communes in Long Thanh
district.
Dong Nai People's Committee has established a steering
committee to help the investors in getting land clearance and giving
compensation. The investors are now working with the Long Thanh People's
Committee to measure the land and hire consultants to develop planning
documents for the three projects.
Amata also plans to develop a large-scale high-tech industrial
park in the northern Quang Ninh province and a township complex in the
southern Binh Dinh Province.
In September 2014, Amata signed an agreement with the Dong Nai
People's Committee to implement a US$530-million high-tech industrial zone
and urban development project in Long Thanh District.
Amata also plans to develop a large-scale high-tech industrial
park in Quang Ninh and a township complex in Binh Dinh, following the
successful operation of its first Amata City Bien Hoa industrial park in Viet
Nam, which houses multinational corporations and employs 33,000 workers.
Ha Noi property market to rebound
Experts at foreign property consulting firms expect the
property market in Ha Noi to rebound strongly this year, owing to robust
sales of apartments during the last quarter of 2014.
The Savills Viet Nam Ltd Company pointed out that six new
housing projects, with approximately 2,900 units, have been launched
recently. This reflects the highest number since the second quarter of 2013.
"The ‘apartments for sale' segment is recovering. Since
the first quarter of 2014, the number of apartments placed on sale has
jumped, while the inventory level has decreased," Do Thu Hang, the Head
of Research and Consultancy, Savills Ha Noi, said yesterday.
"The number of sold apartments during the last two
quarters is at its highest since the second quarter of 2011. The total number
of sold apartments in 2014 was the highest since 2009."
There is continuing demand from end-users and investors on
projects with the following characteristic: good construction progress,
convenient accessibility and strong developer reputation, Savills Viet Nam
revealed.
Some projects in the foundation stage are also reporting a
strong absorption rate due to the participation of speculators and
real-estate agents stepping up the premium on off-contracts.
Meanwhile, the CB Richard Ellis Viet Nam (CBRE) Ltd Company
said sales momentum for condominiums has continued to grow firmly and
steadily. The market absorbed an estimated 3,990 units during this quarter
alone, which was reflected in the 47 per cent growth from last quarter.
In total, 10,700 units were reportedly sold in 2014, which was
a 60 per cent increase from 2013's record.
"With the market's recovery, the real-estate risk level
has decreased. Along with the disbursement from banks and other investors,
the real-estate M&A activities will become more intense," said
Nguyen Hong Son, Head of Savills Ha Noi's Valuation and Feasibility Study and
Valuation.
"The property market in 2015 has been on the road to
recovery since 2014, and is expected to see a significant increase in the
residential sector. Also, the market should get a new target when the new
housing law becomes effective," Son noted.
"Moving forward, it is expected that the market will
continue to look positive in 2015," said Nguyen Hoai An, CBRE Ha Noi's
Senior Manager.
Sales are expected to remain strong, while more launches of
new projects and re-started projects will be announced in the market,
especially during the first half of 2015, she added.
Luxury and high-end products will be sought-after as stock for
these products is diminishing, said An, adding that while foreign ownership
will be expected to stimulate demand, activities on this front will be slow
in near-term as new players take their time to assess the market's movement.
By the end of 2016, about 14,200 apartments from 25 projects
are expected to come online, Savills Viet Nam predicted.
The revised Housing and Real Estate Business Laws are also
expected to boost demand from foreigners and Vietnamese residing abroad.
The market is expected to grow in 2015, but could be hurt by
strong speculation.
Gov’t to tighten financial disciplines
Tightening financial disciplines is one of the major tasks of
the Ministry of Finance in 2015, according to the Government’s Resolution
01/NQ-CP on key tasks and solutions guiding the implementation of the
socio-economic development and state budget plan for 2015.
The move aims to increase the efficiency of using the national
resources for development and is part of the effort to address the country’s
improper budget spending structure as said by the Government during recent
Cabinet meeting.
The Government tasked the Ministry of Finance not to issue
more policies which may lead to the shrinkage of budget revenue in 2015,
except those relevant to tax reduction in accordance with international
commitments.
The Ministry will not be allowed to promulgate new policies
that increase budget spending in case the resources are not clearly defined.
The Ministry must take drastic measures to counter trade
evasion, strictly control tax refund, periodically publicize tax debts of
each locality and enterprise, step up tax inspection while creating favorable
conditions for tax payments.
The budget will be restructured towards raising domestic share
and ensuring the balance of regular spending, investment and debt payment.
The Government asked the Ministry to provide detailed
instructions to cut down expenditures for conferences, seminars, festivals,
ground-breaking ceremonies, overseas tours.
The Ministry is responsible for taking comprehensive measures
enhance management of public debt and submit a public debt report to the
Government every six months.
Since 2015, the Government will issue bonds with at least
five-year term, the Resolution says.
Kien Giang sets $170m seafood export target
Cuu Long (Mekong) Delta province of Kien Giang plans to export
seafood worth US$170 million this year, even though the sector is facing
significant obstacles, local authorities said.
Last year, the total seafood cultivated and exploited in the
province amounted to 635,000 tonnes, 9.3 percent higher than in the previous
year. The quantity of shrimp reared alone reached more than 51,000 tonnes, a
year-on-year increase of 23 percent.
While demand for many products with high economic value, such
as cuttlefish and some kinds of larger fish, tended to rise, seafood export
revenue fell by nearly 30 per cent year-on-year at less than $120 million.
According to Vice Chairman of the People's Committee of Kien
Giang Mai Anh Nhin, the situation can be attributed to tough economic
conditions, as global markets continued to see unpredictable fluctuations and
the involvement of increasing trade barriers that focus on product quality.
"The imposition of anti-dumping duties on Vietnamese
products in large markets caused many enterprises to fail in their efforts to
seek export markets, although they produced significant volumes of
goods," he said. "Currently, this is the biggest concern for seafood
exports, not only in Kien Giang but all over the country."
Nhin added that some firms still faced difficulties in seeking
capital despite banks having slashed interest rates¯since they still had
limited management capacity in the face of rising costs and unstable market
prices.
Moreover, Director of the Kien Giang Seafood Joint Stock
Company Nguyen Viet Cuong observed that even though the government had
launched financial support packages, many enterprises found it difficult to
meet the requirements of banks, which ask them to have stable export markets
and prove to have no bad debts in consecutive years.
Cuong further noted that almost all major markets in the
European Union have not completely recovered, while exports to China and
South Korea had slowed due to tensions in the East Sea last year; exports to
Japan had become less competitive due to the imposition of stricter quality
control measures in the market.
Seafood processing factories also bore more burdens from
increasing electricity rates, breeding costs and wages, he added.
In addition, Director of the Provincial Department of Industry
and Trade Huynh Van Ganh pointed out that to meet the export target of 2015,
the province will strengthen links between enterprises and farmers in key
shrimp- and rice-producing areas, such as West Hau River and U Minh Thuong.
This would help ensure a stable supply of material for seafood
exports, besides measures to boost shrimp breeding in industrialised models.
The agency would also co-operate with the Viet Nam Chamber of Commerce and
Industry to hasten the certification of product origins to ease procedures
for exporters.
Furthermore, the People's Committee had issued specific
policies to boost the development of seafood processing and export by 2020.
Legal entities that are established in accordance with the
enterprise and cooperative laws - with projects coming into operation between
January 1, 2014 and December 31, 2017 - will enjoy loan interest rate support
if they apply advanced technology in the provincial seafood sector.
The committee will offer interest rate support within three
years after the projects come into effect at levels of 50 percent for the
first year, 40 percent for the second, and 30 percent for the third. These
will be applied to bank loans not exceeding VND50 billion ($2.38 million) per
project.
Source :
VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR
|
Thứ Năm, 15 tháng 1, 2015
Đăng ký:
Đăng Nhận xét (Atom)
Không có nhận xét nào:
Đăng nhận xét