Thua Thien-Hue to revoke project licenses

The Thua Thien-Hue Industrial Park Management Board, in a review of suspended projects, has asked provincial authorities for permission to revoke the licenses of 13 projects with total registered capital of VND653 billion (US$30.8 billion). Companies with big projects to be revoked include Tai Sun Viet Nam Co., Thua Thien Hue Ceramic Tiles and Minerals Co, and Tsunoda Viet Nam Co. The province's committee also plans to revoke the licenses of 20 projects. Six of the projects are located in the Chan May -Lang Co economic zone, four are in industrial parks and the rest are in other areas of the province. … [Read more...]

Vietnam retailers revving up their competitive edge

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(VOV) - In a move certain to unleash fierce competition in the nation's retail market, Vietnam will fully open it to foreign retailers as of January 2015, in line with World Trade Organisation (WTO) commitments. When the gloves come off, tens of thousands of goods from ASEAN member countries will be duty free, which is certain to lead to intense price competition as competitors jockey to get the lion's share of the country's 90 million strong consumer market. However, in the lead up to January next year, foreign retailers seem to be revving their engines preparing for the race while domestic enterprises seem to be idling, downsizing and cutting back. … [Read more...]

Building Confidence in Vietnam Brands

By the middle of 2014, the "Buy Vietnamese" Campaign - a movement that encourages Vietnamese people to give priority to made-in-Vietnam products on their shopping list - has been in place for five years, with positive results. Consumers are increasing their appreciation for Vietnamese goods. According to surveys, 71 percent of consumers have confidence in high-quality Vietnamese goods. Domestic goods still account for a large share, some 80-90 percent, in supermarkets. According to recent surveys by the Trade Unions of the Ministry of Industry and Trade, since the campaign was launched, the localisation rate of inputs, resources and equipment and machinery increased an average of 25 percent. In many localities, 80 percent of consumers favour domestic garments and footwear, while over 58 percent are keen on fruits and vegetables. In more than 9,000 price stabilisation points, nearly 90 percent of goods are domestically made. … [Read more...]

Foreign investors dominate retail

HCM CITY (VNS) — Vietnamese retailers risk losing the domestic market, which will soon be dominated by foreign ones, the Lao dong (The Labour) newspaper reported on Wednesday. Currently, Viet Nam has about 700 supermarkets and trade centres, 40 per cent of which are owned by foreign retailers. Officials at the Ministry of Industry and Trade, say that the domestic commodity market will see a growth rate of 14 per cent on average this year and next. Looking at projections for 2015, total retail sales through modern distribution channels will have risen to 40 per cent, while traditional channels will retain the majority, with 60 per cent. Insiders say Viet Nam is a growing potential retail market with a population of 90 million - as the average income per capita of Vietnamese people rises, so does retail demand. New additions to the Vietnamese retail market from overseas, such as Lotte Mart, Aeon, and Parkson, illustrate the increasing appeal of the market. Korea's leading retail … [Read more...]

Obstacles block formation of supermarket joint venture

Hapro Mart is popular in Ha Noi. — File Photo

HA NOI (VNS) — Domestic retailers have failed to forge an alliance to compete with foreign rivals, experts have said. Four large domestic retailers - Satra, Hapro, Phu Thai and Sai Gon Co-op - planned to build a large retail group, VDA, with a strong trademark that could compete with foreign trademarks and would be the driving force in the local retail industry. However, the plan fell through for many reasons. Pham Dinh Doan, Phu Thai Group chairman, told Thoi bao Kinh Doanh newspaper that the greatest challenge had been acquiring land and infrastructure. Establishing the alliance required support from the government. In addition, the state should provide support for logistics services to the group because these services are poor in the domestic market, stated Dinh Thi My Loan, chairwoman of the Association of Viet Nam Retailers. Therefore, the group has planned to build a logistics system to complete the supply chain in the domestic retail market, but the group has faced … [Read more...]

Consumers opt for local goods

People shop at Hapro Market in Ha Noi's Hai Ba Trung District. A campaign launched three years ago to encourage Vietnamese consumers to purchase locally-made products is showing signs of progress. — VNA/VNS Photo Quang Quyet

HA NOI (Biz Hub)— A campaign launched three years ago to encourage Vietnamese consumers to purchase locally made products is showing signs of success, according to the Ministry of Industry and Trade. Up to 59 per cent of consumers have prioritised using Vietnamese goods, while 38 per cent have advised their families and friends to choose home made products and 36 per cent have stopped buying or have bought fewer imported goods, having replaced them with local goods, said Le Viet Nga, deputy director of the ministry's Department of the Domestic Market. According to the ministry's statistics, the number of consumers who believe the quality of local products has improved has increased to 77 per cent compared with just 23 per cent before the campaign was launched. After running the campaign for three years, locally made products accounted for 80-90 per cent of goods on shelves in supermarkets such as Big C (90 per cent), Saigon Co-op and Vinatex Mart (nearly 95 per cent). In order to … [Read more...]

Hanoi encourages use of environment friendly bags

Shopkeepers in Dong Xuan market mobilized to use paper bags (Photo: VNA)(CPV) - In order to communicate to all people the harmful effects of plastic bags on the environment, thereby raising awareness of the units, organizations and individuals of environmental protection, Hanoi directs the departments, sectors, districts and related agencies to promote the implementation of a program restricting the use of plastic bags, for the sake of the environment, and replacing them with environment friendly bags in daily life. Under the plan, from now until the end of the year, Hanoi will focus on directly communicating to pupils of primary schools and students of universities at six locations of Nam Thanh Cong primary school, Hoang Dieu primary school, Dich Vong A primary school, Foreign Trade University, National Economics University and University of Transport and Communications. At the locations, pupils and students will be introduced to and offered environment friendly bags which can … [Read more...]

BUSINESS IN BRIEF 22/6

ADB-funded project brings power to Lai Chau province Households in 31 mountainous communes in northern Lai Chau province on June 19 gained access to electricity as a project to expand and improve the province's rural power grids started generation. The generation is part of an Asian Development Bank (ADB)-funded programme to develop renewable energy, expand and improve power grids in remote rural areas. The two-phase programme has a total investment of over 948 billion VND (45 million USD), including 30 million USD funded by ADB. Its first phase is expected to complete later this month, with 5,758 households in Lai Chau province and 7,944 others in Dien Bien province gaining access to electricity. Once becoming fully operational by the end of 2014, the programme will provide electricity to 14,487 households in 48 communes in eight districts of Dien Bien province and 16,207 households in 53 communes in Lai Chau province's six district, including Than Uyen, Tan Uyen, Phong Tho, Tam … [Read more...]

“Buy Vietnamese Goods” Campaign receives great response

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(VEN) - Vietnamese goods have accounted for the majority of items on sale in the domestic market thanks to improved consumer awareness and changes in Vietnamese consumer tastes, plus greater business awareness of the need to improve product quality while reducing prices, according to reseach made during the three-year "Buy Vietnamese Goods" Campaign. On the occasion of the Year of the Snake, Vietnam Economic News' Bao Ngoc interviewed Deputy Minister of Industry and Trade Ho Thi Kim Thoa, member of the Central Steering Committee for the campaign about these remarkable results. Over the past three years, Vietnamese consumers have generally appreciated Vietnamese goods, with the percentage of consumers saying they "like" textile goods and footwear accounting for 80 percent, and food, and fruits and vegetables more than 58 percent. According to a report delived at the preliminary conference on three-year implementation of the campaign organized by the Central Steering Committee on … [Read more...]