Banking industry

With its enticing business and investment conditions, Vietnam’s packaging sector has seen an array of M&A deals in recent years, Photo: Duc Thanh Thailand’s Siam Cement Group PLC (SCG) last month made a big splash in the market by entering into a 70-per-cent share purchase agreement with Duy Tan Plastics JSC. The former’s subsidiary SCG Packaging (SCGP) is to work with its Vietnamese partners under a 10-billion-baht ($332 million) investment to expand its packaging solution business in Vietnam, where demand for such products is growing. The investment is part of a 20-billion-baht ($664 million) budget for business expansion and merger and acquisition (M&A) plans. SCGP chief executive Wichan Jitpukdee told The Bangkok Post that the company has been expanding its operations in Vietnam and generated a revenue growth of more than 10 per cent annually. Last year, SCGP announced the closing of its consolidation with Sovi Packaging JSC in the southern province of Dong Nai’s Bien Hoa city, a company specialising in corrugated boxes and offset laminated packaging. In 2015, SCGP expanded its flexible packaging business by acquiring an 80 per cent stake in Tin Thanh Packing JSC, one of the top five manufacturers of such wares in Vietnam. SCGP also invested in its packaging paper production base at Vina Kraft Paper Co., Ltd. to meet the rapid demand in the country. The enterprise has holdings in a clutch of other domestic producers including Alcamax Packaging, Packamex Packaging, AP Packaging, and New Asia Industries. Besides this, global investors like SCGP are also shifting their focus to the market, thus driving their sustainability agenda forward. The company has been implementing its environmental social governance strategy in the past few years, thereby focusing on corporate social responsibility towards the environment and society. SCGP is also a pioneer in green manufacturing, with various innovations ranging from paper to flexible packaging. With …

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The National Economic and Social Development Council  upgrades its export growth forecast to 5.8 percent from 4.2 percent. (Photo: VNA) Bangkok (VNA) – The Thai government has pledged to revitalise tourism, stimulate domestic spending , and spur exports and investment to help economic growth reach its 4-percent target this year, local media reported. Deputy Prime Minister Supattanapong Punmeechaow said the government still maintains an economic growth target of 4 percent this year although various economic forecasting agencies have downgraded their outlook to only 2.7-3 percent growth. The Fiscal Policy Office (FPO) recently slashed Thailand's economic growth forecast to 2.8 percent this year, down from 4.5 percent in October 2020, while the Joint Standing Committee on Commerce, Industry and Banking maintained its economic outlook at 1.5-3.5 percent, despite the distribution of the COVID-19 vaccine. Supattanapong noted three factors, namely exports, domestic tourism and the government's stimulus measures, will help speed up Thailand’s economic growth in the remaining 10 months. The National Economic and Social Development Council (NESDC) in February upgraded its export growth forecast to 5.8 percent from 4.2 percent, despite downgrading its economic growth forecast for this year to 2.5-3.5 percent from 3.5-4.5 percent, mainly because of a fresh wave of COVID-19 infections. Thailand's exports, notably those bound for emerging markets, should be sped up, said Supattanapong, adding that the government also aims to stimulate domestic tourism as fast as possible to generate incomes for the country. Domestic tourism revenue fell substantially to 600 billion baht (19.7 billion USD) in 2020, down from 1 trillion in 2019, because of the pandemic. To boost domestic tourism, the Deputy PM said the Thai government looks set to implement additional stimulus measures to increase activities./. VNA …

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Vietnamese and Japanese firms receive support to expand operations The Japan Trade Promotion Organisation (JETRO) will host an online scheme on March 3 in Hanoi aimed at connecting Japanese businesses in the field of manufacturing and production, known as Monozukuri in Japanese term to facilitate co-operation amid the negative impacts caused the COVID-19 pandemic. According to a representative from the JETRO, the business matching programme will see the participation of 40 Japanese companies for the purpose of accelerating the development of the country’s supporting industry. At present, the scheme has received registration for 50 negotiations from enterprises from Japan, Vietnam, and Taiwan (China), whilst it is still receiving registration from businesses wishing to purchase and seek Japanese suppliers in the Monozukuri field until March 1. A recent survey conducted by the JETRO unveiled that Japanese businesses remain keen on the Vietnamese market as the country is viewed as an alternative investment destinations for Japanese enterprises looking to move away from China due to the COVID-19 pandemic. The survey indicates that approximately half of Japanese enterprises in the nation plan to expand their production activities, while roughly 70% of them seek opportunities to increase revenue in the local market. Most notably, 46.8% of Japanese enterprises unveiled that they have initiated plans to expand their business in the nation over the course of the next two years, with the expansion rate ranking fourth, the highest in the Asia-Pacific region. Japanese enterprises have therefore attributed their expansion to an increase in revenue in the domestic market and high growth potential. Furthermore, Japanese firms are also considering re-establishing some supply chains which have been impacted by the COVID-19 pandemic, with Vietnam able to capture the attention of suppliers and buyers of materials globally. VN-Index finishes lower as …

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