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/ February 27, 2021

VIETNAM BUSINESS NEWS FEB. 27

MPI proposes a draft decree on procurement bidding under CPTTP MPI proposes a draft decree on procurement bidding under CPTTP The Ministry of Planning and Investment (MPI) has summited to the Government a draft decree on amending Decree 95/2020/ND-CP providing guidelines on procurement bidding under the Comprehensive and Progressive Trans-pacific Partnership Agreement (CPTTP). According to the MPI, the draft decree will amend and supplement some articles of Decree No 95. It aims to guide State companies to execute bidding packages under the CPTTP agreement and EU-Việt Nam Free Trade Agreement (EVFTA). However, per the Government's Resolution No 190/NQ-CP on the provisional application of the UK-Việt Nam FTA (UKVFTA), Việt Nam agreed to temporarily apply the UKVFTA from January 1, 2021. The agreement was negotiated based on the principle of inheriting commitments in the EVFTA with necessary adjustments to ensure compliance with the bilateral trade framework between Việt Nam and UK. By doing so, the draft decree will avoid amending Decree 95/2020/NĐ-CP many times. The MPI has asked the Government to revise Decree No 95 as follows. The first option aims to implement international treaties on bidding and the second option is to execute the bid for public procurement of goods under the CPTTP, EVFTA and UKVFTA. To boost competitiveness in bidding, the draft decree has stipulated the implementation of bidding related to consultancy services, non-consultancy services and construction services. In the draft decree, bidding packages specified in Appendix II of the Decree No 95 show State companies will decide to allow intra-regional contractors or contractors from member countries of CPTTP to attend only. For bidding packages specified in Appendix III of Decree No 95, State companies can allow intra-regional contractors or contractors from member states of the EU and UK to bid. Regarding the intra-regional procurement bidding for the supply of goods …

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/ February 27, 2021

Environment ministry builds digital tree map in Vietnam

The minister made the remark at a launching ceremony of the New Year Tree Planting Festival and responding to the Government’s program of planting 1 billion trees during 2021-2025, held recently in Hanoi. The map’s database, including information about tree species, planting process and characteristics of trees during the growing process, was expected to improve the efficiency of managing and taking care of trees nationwide, he added. It would help State management agencies assess the current distribution of green trees, monitor the trees’ growing process and connect tree providers and growers, Ha noted. Besides, the digital map would also assist the agencies to identify areas in need of ecosystem restoration, prevention of salinity intrusion and anti-desertification. He also took the occasion to call upon every individual and organization in the country to participate in the festival and the program, contributing to the commitment and responsibility of protecting the environment and adapting to climate change from today’s generation to the next generations. More than 60 years ago, President Ho Chi Minh wrote an article which was published in Nhan dan (The People) newspaper, stressing the significance of tree planting to each person, each family and the entire nation. It has since become an annual Vietnamese custom each Lunar New Year. Under the directive No 45/CT-TTg on implementing the New Year Tree Planting Festival and improving forest protection and development, the country will plant 1 billion trees during 2021-2025, of which, nearly 700 million trees will be planted in urban and rural areas and more than 300 others in the forest. This year, the country will plant about 182 million trees. Source: VNA …

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/ February 27, 2021

Fresh dawn kindles for US-Vietnam relationship

Projects such as Bunge’s agribusiness are expected to increase in number through stronger US ties. Photo: Le Toan In his first few days in office five years ago, President Donald Trump withdrew from the Trans-Pacific Partnership, which was a pillar of the Barack Obama administration’s pivot towards Asia. The remaining 11 member states have since reframed the agreement as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and President Joe Biden’s commitment to rebuilding relations with allies has sparked speculation about the US returning to the fold. Fitch Solutions under global ratings firm Fitch Group told VIR in a statement that Vietnamese trade would receive a surefire boost should new Biden decide to rejoin the CPTPP. “Biden stated in 2019 that the US should renegotiate parts of the CPTPP and re-assemble a coalition to counterbalance China’s perceived expansionist policies. The Trump administration withdrew from the original deal in 2017 under the pretext that it would harm US workers. A scenario where the US rejoins the CPTPP would deliver substantial tailwinds to Vietnamese exports to the US from lower tariffs in major export categories,” Fitch said. In fact, the CPTPP may offer great windfalls to the US. Statistics from law firm Duane Morris Vietnam LLC showed that the population of the CPTPP countries exceeded 513 million people as of October 2020. The CPTPP countries account for nearly 45 per cent of US total exports and 37.6 per cent of US general imports in 2014. By cutting over 18,000 taxes in regards to CPTPP, there would be a great benefit for American importers and exporters by enabling them to enter new markets. As the United States International Trade Commission estimates, the US exports of goods and services to the world would expand by $27.2 billion by 2032 thanks to the CPTPP, while US imports would expand by $48.9 billion. Oliver Massmann, general director of Duane Morris Vietnam LLC, pointed out …

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