Vietnam is waiting for the completion of import-export procedures with China, a stepping stone for the Southeast Asian country to officially tap into the high-demand Chinese market for bird’s nests, which offers a variety of opportunities and profits. China is the largest consumer of bird’s nests in the world, according to the Vietnam Farms and Agricultural Enterprises Association (VFAEA). China's statistics show that the official import of bird’s nests into China was 180 metric tons in 2019 and 220 metric tons in 2020 while it is estimated to reach 300 metric tons in 2021. From 2015 to 2017, bird’s nest trade on Chinese social networks multiplied by 30 times. In 2017, the online sales of bird’s nests on the platform China's Alibaba Group alone reached about US$2 billion. However, China currently applies very strict regulations on importing bird’s nests, with Malaysia, Indonesia, and Thailand being the only three Southeast Asian exporters. In Vietnam, the average yearly output of bird’s nests reaches about 120 metric tons, according to the VFAEA’s vice-chairman Nguyen Van Minh. The Vietnamese bird’s nest industry only started to thrive in 2010, with the country’s production accounting for about three percent of global swallow nest production. In order to profit from the Chinese bird’s nest market, Vietnamese firms had carefully prepared before submitting their applications in April 2020 to competent agencies in China to gain official admission to this target market. The signing of protocols for official export of bird’s nests to China was originally slated to take place in December 2020. But due to the impact of the COVID-19 pandemic, the two sides rescheduled the procedure to early 2021. Inspections and review results have shown that such Vietnamese bird’s nest producers have met all requirements of international practices and Chinese partners on COVID-19 safety, while the paperwork preparation for the protocols is also almost complete. At …
Trade offs in supply chain management
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 …
VIETNAM BUSINESS NEWS FEB. 26
Vietnam needs over US$128 billion for power investment next 10 years A drone is used to inspect a power transmission system in Vietnam. The country will need an estimated US$128.3 billion for developing the power system in the next decade The Institute of Energy, under the Ministry of Industry and Trade, on February 22 continued to collect feedback over the plan from the relevant agencies. According to the plan, during the 10-year period, Vietnam will need to pour some US$12.8 billion on average into the power sector per year. The total investment for the following 15 years from 2031 to 2045 will be some US$192 billion, including some US$140 billion for power sources and US$52 billion for the grid. The draft zoning plan also revealed that Vietnam will continue to import electricity from China, Laos and Cambodia in the next 10 years. The State-run Vietnam Electricity Group is purchasing electricity from China through two 220kV power lines, with 1.5 billion kWh of power being bought annually during the 2016-2020 period. This northern neighboring market can sell up to 3,000 MW of electricity or more to Vietnam from now until 2030. Petrol prices rise under latest adjustment The Ministries of Industry and Trade and Finance revised petrol prices upwards as of 3pm on February 25, marking the first increase since the traditional Lunar New Year (Tet) holiday. The retail price of E5RON92 bio-fuel rose nearly 700 VND to 17,031 VND (0.74 USD) per litre at a maximum, while that of RON 95 increased over 700 VND to 18,084 VND per litre. Diesel 0.05S and kerosene, meanwhile, are now no more than 13,843 VND and 12,610 VND per litre, up by around 800 VND and 700 VND, respectively. According to the two ministries, the prices of petrol and oil in the global market have been rising strongly for 15 days, hence the adjustment. The two review fuel prices every 15 days to ensure domestic prices are in keeping with the global market./. Aquatic product …
