BUSINESS NEWS IN BRIEF 14/8 Hong Kong calls for investment from Vietnam Hong Kong is currently an ideal destination for Vietnamese firms to expand operations abroad, heard a round-table seminar in Ho Chi Minh City on August 13.  Vo Tan Thanh, Director of the Vietnam Chamber of Commerce and Industry (VCCI)’s Ho Chi Minh City Branch, held that Vietnam and Hong Kong are key major trade partners of each other with bilateral trade reaching 9.2 billion USD in 2017, up 22 percent from 2016.  As of June 2018, Hong Kong was the sixth largest foreign investor in Vietnam with a total capital of nearly 19 billion USD, he said. With the ASEAN-Hong Kong free trade agreement, trade and investment between Vietnam and Hong Kong are both expected to grow fiercely in the near future. Vietnam is encouraging firms to expand investment abroad to popularise Vietnamese products across the world. Thanh hailed Hong Kong as a free, developed economy with a strategic location, modern infrastructure, and large capital inflows.  According to him, if Vietnamese enterprises venture onto this market, they could access a massive capital source and tap into one of the world’s busiest seaports, thereby bringing goods to even further markets.  Stephen Phillips, General Director of Investment Promotion at Invest Hong Kong (IK), said Hong Kong is calling for investment in the fields of financial services, consumer goods, transportation and industry, tourism-restaurant-hotels, technological innovation, and innovative industries.  He lauded Hong Kong for its active international business environment, convenient business registration procedures, modern infrastructure, and low tariffs, adding that it now has a mechanism to provide support for newly-established and mature firms, from planning and opportunity evaluation to visa application and marketing.  Phillips said business opportunities in Hong Kong are widespread for Vietnamese enterprises. However, other issues should be considered, including high office rent, workforce costs, and intense competition with other multinational corporations, he noted. Therefore, the IK representative suggested opening sales, marketing, and financial offices in Hong Kong to tap into existing advantages in managing supply chains, while placing logistics facilities and warehouses elsewhere in order to save costs.  Vietnam’s mooncakes shipped abroad for traditional festival    A sophisticatedly designed box of mooncakes (Photo: Metropole Hanoi) A large volume of Vietnamese mooncakes will be shipped to foreign markets in the next few weeks as the traditional Mid-Autumn Festival is on the horizon. Mondelez Kinh Do, an affiliate of Mondelez International, announced on August 13 that its mooncakes are now present in the US, as well as ready to serve millions of consumers in Vietnam and other Asian countries for the upcoming festival, celebrated on the 15th day of the eighth lunar month or September 24 this year. The cakes destined for the US are favoured by many Vietnamese there, especially those made with fillings of durian, lotus seeds, green tea, red bean, and mung bean. Bui Thi Thanh Huyen, Deputy General Director for Marketing at Mondelez Kinh Do, said each year, the firm plans ahead early in order to produce mooncakes that can serve Vietnamese expatriates in the US as well as its domestic consumers. Aside from the US, it will also export Oreo branded mooncakes to the Asian markets also observing this tradition such as in China, Singapore, and Thailand, she added. Kao Sieu Luc, General Director of ABC Bakery Co. Ltd, said his company has received an order for 60,000 high-quality mooncakes from US partners. It will supply at least 2.5 million cakes in total, or 500 tonnes, for the Mid-Autumn Festival next month, he said, adding that the business had sold two million last year. Apart from foreign markets, the two producers as well as their rivals Bibica, Dong Khanh, and Nhu Lan have also enhanced efforts to meet domestic consumers’ rising demand for newer designs, flavours, and packaging. HCM City to host Vietfish expo later this month The Vietnam Fisheries International Exhibition (Vietfish) 2018 will be held at the Saigon Exhibition and Convention Centre from August 22-24, the Vietnam Association of Seafood Exporters and Producers (VASEP) has announced. Vietfish 2018 will be the largest since the event was launched 20 years ago. It will feature 374 stalls, an increase of 3.6 percent compared to last year, with firms from 14 countries and territories, 66 percent will be Vietnamese. On display will be aquaculture and services, machinery, chemicals, additives and cold storage equipment. Last year’s expo, themed “Asia’s Home of Seafood", featured over 350 booths showcasing seafood products and machinery and equipment for aquaculture by over 200 exhibitors from Vietnam and foreign countries, such as Japan, China, Thailand, Singapore, Malaysia, Germany, and Denmark. A series of activities also took place on the sidelines of the exhibition, including a cooking show, launches of new products and an aquaculture seminar. Vietnam gained its highest ever seafood export value of 8.32 billion USD in 2017, a year-on-year increase of 18 percent, according to the Ministry of Agriculture and Rural Development. The US, Japan, China and the Republic of Korea were the top four export markets for Vietnamese seafood products, accounting for 55.3 percent of the total national export value. Vietnam’s export markets with strong growth in seafood export value included China (up 64.4 percent), the Netherlands (up 48.6 percent), the UK (up 36.4 percent), the Republic of Korea (up 29.1 percent), Canada (up 22.3 percent) and Japan (up 20 percent). The country’s export of aquatic products maintained a two-digit growth in the first half of 2018 and was forecast to continue growing strongly in the rest of the year despite plunging shrimp prices across the world.  Seafood exports reached a value of nearly 4 billion USD during the reviewed period, up 12.3 percent year-on-year, according to the VASEP. Hanoi’s export value up 29.2 percent in seven months Hanoi’s export turnover in July was estimated at 1.32 billion USD, up 2.3 percent against June, and 29.2 percent higher than the same period last year. In the month, export revenue of farm produce increased 108.6 percent year-on-year; oil and gas 94.9 percent; and machines and equipment 14.6 percent. Meanwhile, footwear and leather product saw their export value decrease 10.8 percent; and vehicles and spare parts, down 22.1 percent. During the first seven months of this year, the capital city’s total export turnover reached more than 7.74 billion USD, a year-on-year rise of 17.3 percent. This was mainly contributed by agricultural products, up 45.6 percent; electronic products, 17.8 percent; computer components and peripheral devices, 13.7 percent; oil and gas, 28.8 percent; and vehicles and spare parts, 13.1 percent. Only export value of footwear and leather products contracted by 2.4 percent. In July, Hanoi’s import turnover was over 2.66 billion USD, down 2.1 percent from the previous month but up 6.8 percent year-on-year. Import revenue of iron and steel rose 21.3 percent over the corresponding time last year; chemicals 46.2 percent; plastics 25.5 percent; and oil and gas 29.5 percent. During the January-July period, the city imported about 17.73 million USD worth of goods, a year-on-year rise of 7.3 percent, mainly chemicals, up 25.8 percent; plastics 24.1 percent; and oil and gas 33.1 percent. - Investors eye wind power development in Soc Trang The Mekong Delta province of Soc Trang will prioritise investors with technical and financial capacity to implement wind power projects in the province, according to local officials. To date, 69 investors have registered to carry out wind power projects in the province, including 16 joint ventures, 24 foreign and 29 domestic firms. Meanwhile, Soc Trang has planned to build an area for wind and solar energy development with total capacity of more than 3,000MW. The province has zoned off 12 locations for wind power development, mostly in the coastal localities of Vinh Chau township and Tran De and Cu Lao Dung districts.  Vice Chairman of the provincial People’s Committee Le Thanh Tri said the province will ensure transparency in selecting investors for wind power projects. Vinh Chau township, which boasts a coastline of 43 kilometres, is home to 22 locations planned for wind energy development. One project was recently launched in the locality. With average wind speed measured at high levels of 6-6.4 m/s, Soc Trang holds great potential for large-scale wind power development. Projects in this sector are hoped to contribute to national energy security and shifting the economic structure of the province.- Gia Lai revokes hydropower investment licence   The Department of Planning and Investment of the Central Highlands province of Gia Lai has decided to withdraw the investment licence of la Krel Hydropower Plant in Duc Co district due to violations of the Investment Law. In 2008, the provincial People’s Committee granted an investment license for plant investor Bao Long Gia Lai Industries and Hydropower Joint Stock Company to implement the project, with total investment of about 120 billion VND (more than 5.1 million USD). The 5.5MW hydropower plant was built in Duc Co District in late 2009 and began storing water in early 2013.                                                                           However, during the process of construction, the investor was not fully qualified to implement the project in accordance with their commitments. It did not follow regulations on design and construction for the dam. Even in 2013 and 2014, the two dam breakages occurred in the construction site, causing serious impact on the lives of locals. The company was advised to build the dam during dry months between April and June, but it ignored this advice. Local agencies were required to find out who was responsible for the breakages, in addition to estimating damage so locals could be compensated. Based on the opinions of relevant authorities, the provincial Department of Planning and Investment informed that it will revoke the investment license for the project, and asked the investor to end all  activities related to the project and carry out asset liquidation. Ministries to promote GI products The Industry and Trade (MoIT), the Agriculture and Rural Development (MARD) and the Science and Technology (MoST) have signed a coordination agreement on construction and management of geographical indication (GI). The coordination is important as it lays the foundations for the three ministries to coordinate and improve State management, enhance efficiency in GI, as well as increase value of protected products and competitiveness of Vietnamese products in the world market, leaders of the three ministries said. According to Deputy Minister of Science and Technology Pham Cong Tac, ending July 2018, Vietnam has a total of 68 GI-registered products, of which 62 are national and six are foreign GI products. GI-registered products have expanded from fresh foods such as fruits, seafood, rice, to processed products such as fish sauce, shrimp sauce and handicraft merchandise such as Hue conical hats, Nga Son sedge mat and Cao Bang tortoise-shell bamboo. GI is a name or symbol used on products which have a specific geographical location or origin and possess qualities or a reputation that are related to that origin. GI is increasingly proving its importance in agricultural and rural development, contributing to the preservation of traditional cultural values, development of production activities and trade, as well as improving the added value of Vietnamese agricultural products, Tac said. Deputy Minister of Agriculture and Rural Development Tran Thanh Nam also emphasised the importance of GI protection, saying GI labelling will benefit consumers as the products will be ensured in terms of origin, quality and trust. At present, producers, including farmers and cooperatives, are aware of the necessity of GI registration as they understand that GI-registered products will have much higher value, Nam said. Deputy Minister of Industry and Trade Do Thang Hai said many localities, enterprises and trade associations do not have full awareness of importance of trademark, GI registration and intellectual property rights (IP). He recalled the loss of Buon Ma Thuot coffee in China’s market due to no GI registration. In the past, the State and local authorities have developed and put into practice programmes and solutions to support GI registration such as support programmes for IP development and brand development for local specialties. In the future, the three ministries will coordinate to develop a legal framework for GI registration and protection, implement GI law and policy, and collaborate to detect, prevent and handle GI infringements. An advisory council will be established to advise ministers on building and managing GI law. The coordination between the three ministries will promote the expertise, human and financial resources of each ministry and at the same time create synergy in the law construction and management, the ministries said. Vietjet partners up with Can Tho in promoting tourism Low-cost carrier Vietjet Air will partner up with Can Tho to promote tourism in the Mekong Delta city.  Vietjet and the city’s People’s Committee signed a Memorandum of Understanding to this effect during an investment promotion event hosted by Can Tho on August 10.  Under the deal, the two sides will work together to expand the network of aviation services between Can Tho and other destinations, especially international flights, thus helping the city develop tourism, trade and attract investment.  On the occasion, the carrier was awarded an insignia by the Can Tho People’s Committee in recognition of its contributions to and investment in local development.  Vietjet began to operate flights to Can Tho in 2014, and at present it is running two domestic services between Can Tho and the capital city of Hanoi and the central city of Da Nang. At peak time, there are five flights daily to Can Tho from the two cities.  Vietjet Air is the first airline in Vietnam that operates a low-cost, modernized carrier model to provide a wide range of services to its customers.  With 60 A320 and A321 aircraft, the carrier runs over 380 flights per day to 94 domestic and international destinations. Meanwhile, Can Tho is at the centre of the Mekong Delta, which is designed to be one of the seven key tourism regions of Vietnam under the master plan for tourism development until 2020 with a vision to 2030.  The city has an international airport, which is currently underused.  In the first seven months of this year, Can Tho served more than 5.2 million visitors, and the figure for the entire year is estimated to surpass 8 million. Da Nang introduces exclusive offers to woo investors The central city of Da Nang has introduced a number of open-door policies to lure investors in 2018, which has been set by the city as a year of investment attraction. Accordingly, investors setting up new projects at Da Nang Hi-tech Park will be subject to a favourable corporate income tax (CIT) rate of 10 percent for 15 years, compared to the standard rate of 20 percent. Those investors with projects valued at 3 trillion VND (133 million USD) or more will enjoy the preferential CIT rate for 30 years. Other specialised incentives include a four-year tax exemption and a 50 percent cut in income tax for the following nine years for new projects in the high-tech park. At Da Nang IT Park, domestic investors will be offered land-use fee exemptions, with foreign investors given land-rent exemptions, for the operation of projects involving initial construction of technical infrastructure in the area. Projects in IT research and development (R&D) and human resources training will be granted land-rent exemption for two years and a 50 percent cut in rent rates for the next three years. In addition, the resort city encourages private investment in the fields of education and vocational training, healthcare, culture, sports, environment and judicial assessment. Any project in these fields established on Hoang Sa island and in Hoa Vang district will also be subject to land-rent exemption. The 1,100ha Da Nang Hi-tech Park is located in Hoa Vang district, 20km west of the city. It is envisioned as a hub for high-tech and green investors, and one of three major multi-functional high-tech parks in the country along with HCM City and Hanoi. The first phase of development, covering 300ha, has been completed. Work on the second phase, estimated to cost 363 billion VND (16 million USD), has begun. The park is situated near the Da Nang-Quang Ngai Expressway, connecting it with the Chan May Economic Zone in Thua Thien-Hue, the Chu Lai Economic Open Zone in Quang Nam, and the Dung Quat Economic Zone in Quang Ngai. The Da Nang IT Park was recognised as a centralised information technology centre, the third of its kind, last year. The 10,000sq.m park, comprised of two buildings in the city’s downtown area, is home to 75 IT businesses, including 22 foreign companies. By the end of 2017, it attracted nearly 1.8 trillion VND (80 million USD) in investment and employed 2,400 people. Da Nang aims to have a GRDP growth of 9-11 percent and a per capita GRDP ranging between 7,000 USD and 9,000 USD by 2030. It also hopes to achieve smart city status by 2020 and green city status by 2025. The city has been striving to lure more investors to aid its implementation of these goals. Automatic customs management system applied at Cai Lan Port The Customs Department of the northern province of Quang Ninh officially debuted its automatic customs monitoring and management system at Cai Lan seaport on August 10. Having operated a trial run nearly one month, the system has so-far handled customs procedures for more than 5,000 import and export containers and over 450,000 tonnes of cargo transported via Cai Lan Port. The system is reported to have brought practical effects to importers and exporters, the port operators, shipping companies, and the customs agency. In particular, it has helped to reduce paperwork, the time needed for customs clearance and goods storage at the port, and expenses for importers and exporters. It has also improved the efficiency of companies’ operations and the customs agency’s management. [Automated customs system launched at Noi Bai airport] The application of this automatic system is a move towards modernising customs management and facilitating trading activities in Quang Ninh. The provincial Customs Department also pledged to implement similar systems in the remaining ports and import-export goods storage facilities in the province during the third quarter of 2018. It reported that in 2017, the value of goods imported and exported through local seaports was 5.45 billion USD. The provincial seaports also collected 10.3 trillion VND (442.8 million USD) for the State budget. In the first seven months of the year, seaport trade turnover in Quang Ninh reached 3.34 billion USD, up 8.2 percent from the same period of 2017. More than 5.8 trillion VND (249.3 million USD) was also collected by the seaports for the State budget, accounting for 92 percent of Quang Ninh’s total budget revenue. Tra Vinh: Over 144 million USD invested in wind power plant   Authorities of the Mekong Delta of Tra Vinh have approved an investment of close to 3.37 trillion VND (144.3 million USD) in the Hiep Thanh wind power plant from three investors. The investors are the Hanoi-based Ecotech Vietnam company, Janakuasa Singapore Pte, Ltd, and Lam Minh – a resident in Ba Dinh district of Hanoi, who plans to set up a company in Tra Vinh to implement the project. Scheduled to become fully operational in 2020, the 2.747-ha project is located in a coastal area in Hiep Thanh commune, Duyen Hai town. Its designed capacity is at 78 MW with 18 or 19 wind poles. According to Nguyen Quynh Thien, deputy head of the Tra Vinh economic zone organising board, this is the fourth wind power projects licenced by the local authorities. Previously, Tra Vinh approved three other projects in Truong Long Hoa commune, Duyen Hai town, and Dong Hai commune, Duyen Hai district, with a combined capacity of 192 MW. All of them are under administrative verification process before construction starts. In a plan to develop the green energy by 2020, Tra Vinh mapped out the building of six projects in six coastal areas in Duyen Hai district and town.  By 2020, the province expects to have an accumulated wind power capacity of 270 MW for a total productivity of 634 million kWh. Vietnam’s tea exports still in downtrend Vietnam earned 109 million USD from exporting 67,000 tonnes of tea in the first seven months of 2018, a year-on-year decrease of 12.9 percent in volume. According to the department of farm produce processing and market development under the Ministry of Agriculture and Rural Development, in July alone, the country shipped 10,000 tonnes of tea abroad, earning 18 million USD. The fall in the volume of exported tea was attributed to low demand of main importers. Specifically, the volume of Vietnamese tea exported to Russia – a major importer of Vietnam – decreased by 1,230 tonnes or 14.3 percent of Russia’s total import, to the United Arab Emirates down 1,190 tonnes or 57 percent and Indonesia down 427 tonnes or 8.7 percent. Pakistan remained the largest importer of Vietnamese tea. The export value earned from this market accounted for 32.1 percent of Vietnam’s tea export turnover, or 29.9 million USD, in the first half of this year. It was followed by China’s Taiwan, Russia, China, Indonesia and the United States. Vietnam is now the seventh biggest tea producer in the world and the fifth biggest exporter of the product, said the department. More than 500 tea factories are operational in the country. Together they produce more than 500,000 tonnes of dried tea leaves annually. Vietnamese banking development strategy till 2025 approved   The Vietnamese banking development strategy till 2025 with vision to 2030 has been approved by the Prime Minister under Decision No.986/QD-TTg.  The strategy sets the goal of improving independence, activeness and accountability of the State Bank of Vietnam (SBV) for directing monetary policy, controlling inflation, supporting macro-economic stability and fuelling sustainable economic growth.   It also looks to strengthen institutional capacity and banking supervision of the SBV, expand its scope of supervision into financial corporations with parent ones. It will follow Basel banking supervision rules by late 2025.  The rate of cash among all means of payment is set to be below 10 percent by late 2020 and 8 percent by late 2025.  The strategy also aims to enhance public access to financial and banking services, especially in rural, mountainous and poor areas.  To that end, it outlines key measures such as refining legal framework on monetary market and banking in line with international practices, renewing management of foreign currencies and gold, developing and monitoring important payment systems in the economy, improving the efficiency of banking inspection, developing modern banking services, and enhanceing access to banking services. Vinfast, Siemens sign deals for electric bus manufacturing Vinfast Manufacturing and Trading Company Limited, a subsidiary of Vingroup, has signed two contracts on the supply of technology and spare parts for electric bus manufacturing with Siemens Vietnam Company.  They are key deals to begin the process of building a value chain for eco-friendly public transportation vehicles manufacturing.  The first line of electric buses is expected to debut in late 2019.  Vinfast is also developing other eco-friendly personal vehicles such as electric motorbikes and automobiles, and autos (sedan, SUV) that run on petrol meeting Euro 5 emission standards.  Vo Quang Hue, Deputy General Director of Vingroup in charge of Vinfast project, said the deals reflect Vinfast’s commitment to churning out safe, convenient and high-quality electric buses for a green future of the Vietnamese people, adding that it will be a pioneering solution to changing public transportation in the country.  Nearly one year since its establishment, Vinfast has completed a series of important agreements with international partners to materialise its vision.  Earlier, Vingroup also chose Siemens as a partner for the supply of technological solutions to building digital enterprises, build a system to monitor vehicles’ life cycle and operate Vinfast factory amidst the fourth industrial revolution. Tien Giang to expand dragon fruit growing area The Mekong Delta province of Tien Giang is expanding its specialised growing zone for dragon fruit, a fruit that has helped several local farmers become rich. According to Huynh Van Buon, head of the agricultural and rural development bureau of Tan Phuoc district, the district has been growing the fruit for only a few years, but has nearly 600ha under the fruit, mainly red-flesh dragon fruit. Around 350ha of the latest crop have been harvested, yielding 7,000 tonnes, he said. The communes with the largest areas planned now are Tan Lap I with 172ha, Thanh Tan (120ha), Thanh My (60ha), and Tan Hoa Dong (40ha). Nguyen Van Ro, Chairman of the Thanh Tan People’s Committee, said the fruit has become his once sleepy commune’s key economic product thanks to its economic value and demand in foreign markets. Farmers growing the fruit can now rely on it for their main income, he added. One such farmer is Phan Van Khanh, who owns a 1.5ha red-flesh dragon fruit orchard. It produces 30 tonnes of the fruit per hectare per season. Thus, this year he has earned around 1 billion VND (44,000 USD) from selling 30 tonnes of the fruit at an average price of 30,000 VND per kilogramme. He has become rich thanks to the fruit. Vo Van Dung of Thanh Hoa commune, Tan Phuoc district, also has a 1.5ha orchard. Last year, he harvested 40 tonnes and earned 1.2 billion VND as the fruit’s price soared to 46,000 VND per kilo. He said the fruit can help locals become rich. Cat Tuong Company, an agricultural processing firm in Tan Phuoc, grows red-flesh dragon fruit to global good agricultural practices (GAP) standards on 100ha due to the high yields and export demand. Buon said the soil of the Plain of Reeds region (which spans Long An, Tien Giang and Dong Thap provinces) is extremely suitable for growing dragon fruit. He said to increase productivity and quality for export, the district would send technical staff to train farmers in the application of global GAP standards. Besides, the district has helped farmers establish cooperatives and farmers groups to build a value chain for dragon fruit, he said. The fruit has dominated Vietnamese fruit exports this year with shipments being worth 427 million USD in the first four months, a year-on-year increase of 9 percent and accounting for 32 per cent of all vegetable and fruit exports. The value was nearly four times that of the next two below it – longan (121 million USD) and mango (104 million USD). Vietnam Airlines team up with Can Tho to develop aviation logistics The People’s Committee of Can Tho city and national flag carrier Vietnam Airlines on August 10 signed an agreement to implement an aviation logistics centre project in the Mekong Delta city. The centre is set to cover about 27ha near Can Tho International Airport. The project aims to improve transportation and trading activities, and promote logistics services in Can Tho and the wider Mekong Delta region. Under the deal, the municipal People’s Committee will create favourable conditions in terms of information and relevant procedures for Vietnam Airlines to carry out the project. Meanwhile, Vietnam Airlines will be swift in processing the necessary studies and surveys to prepare for the project’s takeoff. It has been cooperating with Japan’s Konoike group to assess the feasibility of the logistics centre. Vice Chairman of the municipal People’s Committee Dao Anh Dung said Can Tho is ready to provide information about industrial parks, export processing zones, and goods and material supply areas to help the project’s smooth implementation. Deputy General Director of Vietnam Airlines Trinh Hong Quang said that being tasked with implementing the first in a series of aviation logistics projects proves his firm’s pivotal role in realising the Government’s policy of boosting the development of logistics infrastructure nationwide. He added that amidst the strong annual growth rate of 15-20 percent of the domestic logistics industry, operating logistics centres will become a significant source of revenue for Vietnam Airlines in the coming years. For Can Tho, the new aviation logistics centre will be a critical facility helping to connect the city and the Mekong Delta with other localities in Vietnam and foreign countries. Vietnam Airlines reported that the demand for goods transportation, especially by air, in the country has risen sharply in recent years. In 2017, over 700,000 passengers and 4,000 tonnes of cargo were transported via Can Tho International Airport. Solution promotes e-contracts between businesses The Vietnam e-Commerce and Digital Economy Agency (iDEA) under the Ministry of Industry and Trade on August 8 launched the ERP Store solution with the aim of helping businesses reach the goal of a paperless office. The solution allows enterprises to digitise contract signing — the most important aspect of their trade activities — as well as widely applying e-documents. These could help firms better deploy the advantages of digital technology in their management. The ERP Store which was developed by iDEA allows companies to implement e-contract signing. Accordingly, they only need the tax code and USB token containing a digital signature to implement the signing. Each firm will have four accounts with different roles including drafter, approver, stamper, and director. Dang Hoang Hai, iDEA Director, said previously many businesses used office software. Digitalisation is not new for many firms. However, forging digital connections between companies has been difficult, especially when it comes to signing contracts and documents. Meanwhile, enterprises have been using paper documents, costing time and money as well as creating security issues. The ERP solution would help firms quickly connect with each other and sign contracts while ensuring security as all information is encoded. Legally, the regulations for electronic signatures are now complete. Specifically, the Government promulgated the Law on Electronic Transactions on November 29, 2005; Decree No 26/2007 / ND-CP of February 15, 2007, detailing the implementation of the Electronic Transaction Law on digital signatures and digital signature certification services. In addition, e-contract signing was also confirmed by the master plan on development of the national e-commerce in 2016-20 period dated on August 8, 2016. The regulations ensure firm legality for e-contracts. Notably, businesses will enjoy the services free of charge for their first two years using the programme.  Hanoi has over 14,000 new businesses in seven months As many as 14,657 businesses were established in the capital city of Hanoi in the first seven months of 2018 with a total registered capital of over 16 trillion VND (687 million USD), down 1 percent in number but up 42 percent in capital year-on-year. Director of the municipal Department of Planning and Investment Nguyen Manh Quyen revealed the information at a recent meeting of the Hanoi People’s Committee. The city attracted nearly 6 billion USD in foreign direct investment (FDI) in January-July, 4.38 times higher than the same period last year. In July alone, Hanoi drew 80 million USD in FDI. The capital granted new investment licences to 55 FDI projects worth 21.1 million USD and allowed 15 existing ones to increase capital of 9.8 million USD. Among the newly licensed are the 4.1 billion USD smart urban area project, two projects of Japanese Nidec Corporation at Hoa Lac hi-tech park with combined investment of 400 million USD, the 92 million USD OPC drum production project of Japan’s Mitsubishi Chemical also at the park, the SYM Catavil Complex project worth 105 million USD, and the 90 million USD Xuan Son waste treatment plant.  The Hanoi Lotte Mall project was allowed to add 300 million USD to its capital, and the beer production plant of Heineken Hanoi Brewery, 43 million USD. Quyen reported that Hanoi continued maintaining growth in the seven-month period. Specifically, the city moved up one place to 13th among the 63 cities and provinces in Provincial Competitiveness Index (PCI) and second in Public Administration Reform (PAR) index, he said. The outcomes were attributed to the city’s efforts to lure investment, remove difficulties for businesses and improve business environment. Additionally, the city focused on calling for investment in new projects and asking specialised agencies to support investors in removing bottlenecks during the implementation of projects, he added. Local authorities paid due attention to encouraging the establishment of new businesses and development of the private economic sector. The city also conducted online business registration and ensured the settlement of administrative procedures for businesses, excluding dissolved ones, within three days. Prices of tra fish continue to drop in July Prices of Tra fish in the Mekong Delta continued the downward trend of the previous month to drop in July, according to the Ministry of Agriculture and Rural Development. The highest prices, ranging from 25,000 – 27,000 VND per kg for first-class tra fish, were recorded in the provinces of An Giang, Vinh Long and Dong Thap, a decrease of 3,000 VND from June. However, the prices are forecast to maintain at a level that still generates profit for farmers until the end of this year. Meanwhile, prices of Tra fish fingerlings slightly rose from the previous month, fetching at around 25,000 – 30,000 VND per kg. The Mekong Delta produced about 782,000 tonnes of Tra fish in the first seven months of 2018, a year-on-year increase of 12.1 percent. The biggest contributors included Dong Thap which posted an output of 274,500 tonnes, up 9.4 percent year on year; An Giang, 190,400 tonnes and 17.4 percent; and Can Tho, 95,700 tonnes and 18.6 percent. Vietnam is the world’s largest exporter of tra fish, making up more than half of the global output. From January – July, the country saw a surge of 19.5 percent to 1.18 billion USD in exports of the fish, according to the Vietnam Association of Seafood Exporters and Producers (VASEP). Major buyers of Vietnamese tra fish include China, the US, the European Union (EU), the Association of Southeast Asian Nations (ASEAN), Mexico, Brazil, Colombia, and the United Arab Emirates (UAE). China remained the largest importer of Vietnamese Tra fish with 290 million USD, making up 24.7 percent of the total export turnover. It was followed by the US (250 million USD) and the EU (137.5 million USD). Also in the Mekong Delta, prices of giant tiger prawn were on a rise while those of king prawn remained flat in July. The country’s output of brackish-water prawn was estimated at 345,500 tonnes in the first seven months of 2018, up 11 percent year on year. The amount included 162,200 tonnes of giant tiger prawn and 183,300 tonnes of king prawn. The Mekong Delta contributed 271,300 tonnes, or 78.5 percent of the total output, during the reviewed period.  Dong Nai speeds up FDI disbursement The southern province of Dong Nai lured more than 980 million USD in 120 foreign direct investment (FDI) projects in the first seven months of 2018, equivalent to 98 percent of its annual plan. However, FDI disbursement reached only 20 percent of the yearly estimate.  Disbursement of major projects registered in 2017 was completed. Meanwhile, that of projects which were newly-approved or registered additional capital in early of this year remains slow. The provincial Department of Planning and Investment and the Management Boards of Dong Nai Industrial Parks are tasked with the review and supervision of project implementation and disbursement. Statistics released by the management board showed that in the period, the province collected 397 million USD of tax and other sources from FDI firms, recording a year-on-year rise by 80 million USD. According to the provincial Department of Planning and Investment, as of July 18, the province recorded 1,820 FDI projects worth 32.8 billion USD, 1,339 of which were valid with a total capital of 27.73 billion USD.  The foreign investors were from 45 countries and territories worldwide, with the RoK, Taiwan, and Japan taking the lead. Soc Trang strives to improve business climate Authorities of the Mekong Delta province of Soc Trang have strived to attract investments and organise the prompt handling of administrative procedures, which have yielded significant results.  Several major projects have proven themselves particularly effective, such as the Superdong high-speed boat from Tran De to Con Dao; the Nha Be garment factory; as well as the Broadpeak apparel, handbags, and leather shoes factory.  Other projects underway include wind power mills in Vinh Chau township and a shrimp breeding factory by Viet-Uc Seafood Corporation. Major corporations such as Vingroup, FLC, and Alphanam are currently seeking opportunities in the locality.  The province recently held a conference on investment promotion and launched a startup campaign in 2018, attracting 50 projects with a total registered capital of nearly 123 trillion VND (5.5 billion USD), mostly in the fields of wind power, high-tech agriculture, and tourism.  Tran Van Chuyen, Chairman of the provincial People’s Committee, said that in order to further improve the business climate, the province will adopt synchronous measures, including improving the provincial competitiveness index for 2018 and the following years, as well as being flexible in handling administrative procedures and dealing with barriers facing businesses.  Soc Trang is working to put a public administration centre into operation, he said, adding that the province will also accelerate the progress of key projects so as to attract more investment.  Further attention will also be paid towards protecting the environment and ensuring the livelihoods of locals, he said.  He affirmed that the province will not sacrifice the environment and stability of local lives in order to attract investment at any cost.  VNN