Thailand eyes new emerging cities for exports

"By establishing factories and investing more in Vietnam, we can pay tax to the government, develop local expertise and create more jobs" Propped up by a robust business growth amidst macroeconomic difficulties, LG Electronics Vietnam Co. Ltd. continues to nurture its sustainable development in the local market with a longer term vision, as general director Ko Tae Yeon explains to VIR's Thu Ha. How well did your business perform in 2010 and what is your vision for 2011? - We can foresee a very good business outcome in 2010 with 40 per cent growth in Vietnamese dong basis. This high growth rate is attained thanks to our customers' good response to our products and also our staff's contributions. Sales of LCD TVs saw the highest growth in our business, followed by air-conditioners as the second and mobile phones as the third. For 2011, we target 30 per cent growth based on our internal aspiration and anticipated uncertainties. We have conducted many innovation activities to make our target possible, from investing in expanding factories to developing marketing and services. Why did you set a slower growth for 2011? There are many factors. Our business growth in 2010 is already very high and a 30 per cent rise on a larger volume is bigger than a 40 per cent increase on a smaller one. Furthermore, in 2011 we will have to invest more in infrastructure because without it business development will be very risky. This is one of our main concerns. The…... [read more]

Can Tho (VNA) – A Mini Thailand Week was opened in the Mekong Delta city of Can Tho on July 22, providing a platform for Vietnamese and Thai businesses to seek partnerships and form supply and value chains. The event, lasting through to July 24, features more than 120 booths of 88 companies showcasing agricultural machinery, fertiliser, automobile and motorcycle spare parts, beverages, household appliances, cosmetics, and tourism and educational services. Visitors can also learn more about Thailand’s culture by enjoying its traditional cuisine and films. Vice Chairman of the municipal People’s Committee Truong Quang Hoai Nam said the event is one of the joint activities to mark the 40th anniversary of the two countries’ diplomatic ties this year and to promote bilateral trade to reach the 20-billion-USD target by 2020. Meanwhile, Patini Samanvoranong, Director of the trade office at the Thai Consulate General in Ho Chi Minh City, highly valued bilateral cooperation between the two sides, noting that the targeted 20-milion-USD trade revenue by 2020 is completely feasible. Thailand is currently the top ASEAN trade partner of Vietnam and also among the 10 biggest foreign investors here. Can Tho is housing five Thai-invested projects with a total registered capital of nearly 41.33 million USD. They are involved in processing aquatic and agricultural products and manufacturing cartons. In 2015, the city earned 22.5 million USD from exports to Thailand with such key goods as rice, aquatic products and garments. It imported 12 million USD worth of commodities from the country,…... [read more]

Prime Minister Nguyen Xuan Phuc has approved a plan to develop Viet Nam’s bond market in 2017-20 with a vision to 2030. Prime Minister Nguyen Xuan Phuc has approved a plan to develop Viet Nam’s bond market in 2017-20 with a vision to 2030.- Photo The target of the plan, which was published on local media on Monday, is to create a stable, well-structured and balanced bond market that is more open to investors. The Government also aims to increase the scale and the quality of the market, diversify products and services, and ensure trading activities are transparent, public and efficient, making Viet Nam’s bond market able to integrate with others and meet international standards. Under the new plan, the Government hopes the value of Viet Nam’s bond market will be equal to 45 per cent of the country’s gross domestic product (GDP) by 2020 and 65 per cent by 2030. Of the total, the value of Government bonds, Government-backed bonds and local government bonds is hoped to be equal to 38 per cent of the GDP by 2020 and 45 per cent in the next 10 years. In addition, the value of corporate bonds is expected to equate to 7 per cent of GDP by 2020, and increase to 20 per cent by 2030. The plan also sets the average maturity term of Government bonds at six-seven years for 2017-20…... [read more]

An employee of the Ha Noi Tax Department accepts an application from a resident. — VNA/VNS Photo Hoang Hung A strong focus on the application of information technology has helped the Ha Noi Tax Department increase its risk analysis capacity and improve the tax examination and inspection procedure. This was stated by Nguyen The Manh, head of the Ha Noi Tax Department. According to Manh, since the beginning of this year, the Ha Noi Tax Department has sent over 1,300,000 notices to firms informing them of late tax filing. The department has collected a total of VND7.1 billion in tax arrears, down 9 per cent compared with late December 2016. During the first seven months of this year, the Ha Noi Taxation Department carried out inspections of over 11,400 firms, completing 62.8 per cent of the yearly plan, up 98.6 per cent over the same period last year. The department also announced there were some 13,400 Facebook account holders conducting trading activities through this social network, adding that the agency had drawn up a tax administration project for e-commerce businesses in the city. The tax department also clarified and collected information on the identity and telephone numbers of the 13,400 Facebook account holders. Of this estimate, some 1,950 individuals and organisations are registered and using tax identification numbers to declare and pay taxes. To efficiently manage and control tax collection, the municipal Taxation Department will focus on the use of…... [read more]

NDO - Authorities of Tra Vinh province launched the Tra Vinh electronic trading platform on August 15 which can be found in the following link: in a bid to boost trading activities. Nguyen Trung Hoang, Vice Chairman of Tra Vinh provincial People's Committee stated that the application of e-commerce aims to enhance the effectiveness of trade promotion activities in and outside the province. Hoang noted that the platform is an official and updated information exchange channel on goods and typical products of Tra Vinh province. Through the platform, Tra Vinh enterprises are able to promote their products, update market information, and seek market demand. Consumers will thus have a reliable address to choose quality products. Thus far, 15 enterprises with 50 typical products of Tra Vinh province have registered to participate in transactions on this platform. Tra Vinh electronic trading platform is directly managed by Tra Vinh's Department of Industry and Trade which allows local enterprises to register for free membership. According to Tran Quoc Tuan, Director of Tra Vinh's Department of Industry and Trade, Tra Vinh enterprises have not been enthusiastic with the new application of electronic trading. Tuan noted that only 250 out of 1,900 enterprises in Tra Vinh have websites, according to a recent survey conducted by the province's industry and trade sector. Meanwhile, the application of electronic trading is considered an effective tool for enterprises in big cities such as Ho Chi Minh City and Can Tho. He…... [read more]

VietNamNet Bridge – The Vietnam Pepper Association (VPA) has warned that Chinese businesses have made moves to corner the domestic pepper market. The price of pepper in the domestic market has fluctuated since late July. On July 28, the price rose from VND80,000 per kilo to VND86,000 in the morning, but dropped unexpectedly to VND82,000 per kilo in the afternoon. VPA members said they have evidence to prove that Chinese businesses are controlling the Vietnamese pepper market. Some Vietnamese pepper export companies receive Chinese businessmen who buy pepper at any price set by local exporters and urge them to sign contracts.  VPA members said they have evidence to prove that Chinese businesses are controlling the Vietnamese pepper market. Some Vietnamese pepper export companies receive Chinese businessmen who buy pepper at any price set by local exporters and urge them to sign contracts.  The Chinese repeatedly ask Vietnamese exporters to fulfill contracts, but they refuse to pay deposits, saying that it is difficult because of banking procedures (deposits must be paid within three days after the contract signing). As the orders are with many Vietnamese export companies, information spreads that the demand for pepper is high. Chinese businessmen visit pepper growing areas and promise to sell pepper to merchants at prices lower than market prices, thus acting as both seller and buyer to create ‘virtual fits of fever’ in the market. The merchants accept the deals immediately because of the goods prices, believing that they would make big profits after reselling…... [read more]

The HCM City Border Guard Force’s Headquarters and the HCM City Department of Customs have worked together to uncover 48 cases and 104 people suspected of smuggling illegal goods via border lines, confiscating over VNĐ50 billion (US$2.2 million) worth of items since 2012. HCM City Department of Customs’ officers being awarded for their work in smuggling investigations. This information was revealed at a preliminary conference held on Friday (August 11) to review the results of the five years co-operation between the two forces from 2012 – 2017, during which many organisations and individuals of the customs department received awards from the Border Guard Force for their contributions to the fight against smuggling, trade fraud and counterfeits at the city’s border areas. Notably, they have discovered seven cases of smuggled elephant ivory (6 tonnes in total) from Africa, trafficking of 31.6 kg of cocaine from South America and a case of around 100 hunting rifles smuggled from Indonesia. HCM City with 46 ports is one of the country’s crucial locations for the country’s trading activities nationwide. In particular it annually receives and delivers over 65 per cent of the total import/export goods so they have to face many challenges with trade fraud and smuggling. Those two law enforcement agencies will continue to work together to tackle this issue, by organizing investigations, raids, training for officers and other activities. Many ports have yet installed scanners, but rely on declaration through border and custom officials checking by themselves. On this occasion the City…... [read more]

The Ho Chi Minh Stock Exchange (HoSE) approved the registration for listing of VPBank shares on August 8, with the lender most likely to follow its plan of debuting on the country’s main bourse in the third quarter under the “VPB” ticker. At a par value of VND10,000 ($0.44) per share, the more than 1.3 billion VPBank shares are worth VND13.33 trillion ($586.4 million).  Its shares have been trading actively on the OTC market, at a price fluctuating around VND35,000 ($1.54) per share.  At this price, VPBank’s market capitalization stands at approximately VND46.7 trillion ($2.1 billion), less than the three State-owned banks of Vietcombank, BIDV, and Vietinbank but much higher than other commercial banks. A strong surge in all business activities together with a heavy decline in provision expenses saw VPBank’s pre-tax profit during the first half of this year double year-on-year to VND3.26 trillion ($143.4 million). During the January-June period, momentum in its core businesses of credit and investment continued to grow strongly, bringing in net interest income of VND9.6 trillion ($422.3 million), an increase of 40.7 per cent year-on-year, while income from services rose 81.3 per cent to VND632 billion ($27.8 million). Forex trading continued to sink, meanwhile, though the VND42.8 billion ($1.9 million) in losses recorded in the first half was only 30 per cent of the figure in the same period of 2016.  Securities trading came in at VND36.6 billion ($1.6 million), in contrast to a loss of VND84.2 billion ($3.7 million) in the first half…... [read more]

Workshop backs SMEs in loan access, payment in foreign trade. (Photo: VNA) Hai Phong (VNA) – A workshop took place in northern Hai Phong city on August 4 to provide information on loan access and methods of payment in international trade for small- and medium-sized enterprises (SMEs). The event, held by the Ministry of Industry and Trade’s Vietnam Trade Promotion Agency (Vietrade), forms part of a three-year project funded by Swiss State Secretariat for Economic Affairs (SECO) to enhance capacity of SMEs in Vietnam via local trade promotion agencies which started in 2013. Speaking at the workshop, Vietrade Deputy Director Do Kim Lang said globalization and free trade have motivated robust development of exports and imports, however, many Vietnamese SMEs are not familiar with accessing loans from banks for foreign trade activities. Statistics show that SMEs with revenues of less than 20 billion VND a year accounted for about 70 percent of more than 700,000 companies across the country. They have found it hard to access to formal loans, instead many of them have sought funding from informal sources, Lang noted. Deeper global integration is likely to come together with increase in bad debts and risks in payment if the firms do not actively update themselves with knowledge and learn from others’ experience in international trade, he warned. To help the firms solve the problems, the workshop focused discussion on finance management in foreign trade, financial solutions and methods for accessing loans, several …... [read more]

PM Nguyen Xuan Phuc has encouraged Vietnamese and Tanzanian businesses to strengthen connectivity and trade activities, in order to reach the target of US$1 billion in bilateral trade in the near future. The Government leader made the remark while receiving Tanzanian Minister for Industry, Trade and Investment, Charles J. Mwijage and Minister for Agriculture, Livestock and Fisheries, Charles J. Tizeba, in Ha Noi on August 2. He congratulated Tanzania on its maintenance of an average economic growth rate of over 6% during the past decade, and expressed his wish that the country will successfully realize the targets set in its “Vision 2025” with big projects. He also thanked Tanzania for supporting Viet Nam’s past struggle for national liberation as well as for facilitating Vietnamese firms’ business and investment activities in the country, including Halotel, a joint venture of Viet Nam’s military-run telecom group Viettel with Tanzania. For his part, Minister Mwijage stated that the visit reflects the friendship and cooperation between the two countries over the past five decades, which, he said, has been developing strongly, as seen in their economic ties and business-to-business exchanges. He highly appreciated Viet Nam’s foreign policy in expanding collaboration with African nations, including Tanzania – one of the fastest growing economies in Africa over the last decade, thanks to strong economic reforms. Congratulating Tanzania on its economic achievements, PM Phuc affirmed that the Vietnamese Government will actively inform domestic businesses about Tanzania’s export processing…... [read more]

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