Vietnam’s aquatic exports are forecast to hit 11 billion USD in 2022, according to General Secretary of the Vietnam Association of Seafood Exporters and Producers (VASEP) Truong Dinh Hoe.
Shrimps have so far earned 4.3 billion USD, an increase of 30% from the same period last year. Meanwhile, the export value of tra fish has topped 2 billion USD, a year-on-year surge of more than 80%, and is likely to reach 2.5 billion USD for the whole year.
For the first time, tuna export turnover surpassed 1 billion USD. The export turnover of most aquatic products has recorded double-digit growth, ranging from 18% to 77%.
According to Hoe, Vietnam’s seafood exports have fully recovered after the COVID-19 pandemic. The EU, US, China and Japan account for 74% of Vietnam’s total aquatic export turnover.
Notably, Vietnam, for the first time, has raked in 2 billion USD from shipping aquatic products to the US market. Meanwhile, the UK has become the 7th largest importer of Vietnamese seafood products.
Aquatic exports are forecast to face difficulties in 2023 as the Chinese market is not likely to re-open any soon. However, if the market recovers by the end of the first quarter of the year, the export value can still surpass 0 billion USD in 2023, he said.
Hoe advised exporters and processors to better prepare for production operations, seek ways to reduce production costs, and improve the quality of products towards speeding up the recovery and rapid development of the sector in the coming time.
Vietnam raked in 9.5 billion USD from exporting aquatic products in the first 10 months of 2022, up 34% year-on-year, VASEP reported.
Vietnamese ships to conquer the global supply chain seas
As the global container market remains highly profitable but showing signs of weakening amid high inflation and strong commodity prices, a green logistics platform is being promoted by Vietnam, with the country aiming to develop a shipping fleet and of its own. However, its implementation still has a long way to go.
The results of the Vietnam Logistics Forum in the northern city of Haiphong at the end of last month did not meet expectations, following the absence of government members and key agencies who were supposed to take crucial steps to develop Vietnam’s fleet.
Increasing the exports of goods and winning back part of the benefits from international shipping lines are some goals, but the industry, trade, and agriculture industries – all closely related to Vietnam’s import and export of goods – are far from sketching out a plan through seaports that is suitable as supply chain shifts become more profitable and the benefits are increasingly concentrated on the world’s shipping lines.
The project for developing Vietnam’s shipping fleet was presented by the Ministry of Transport (MoT) at the forum, and the initial reaction was disappointment. Even a representative of a logistics company said that this scenario would “create new employment plans for foreign businesses” rather than domestic ones.
Deputy Minister of Transport Nguyen Xuan Sang signed the project’s plan a month ago under Decision No.1254/QD-BGTVT, stating the goal of developing a dedicated container fleet. The project is hoped to increase Vietnam’s transport market share in Asia to 10 per cent by 2026 and 20 per cent by 2030, laying what it says is a solid foundation for the exploitation of long-distance transport routes.
The development of Vietnam’s shipping fleet would be carried out in two phases. From now to 2026, the focus would be on amending and supplementing regulations on purchase, sale, registration of ships; and price management of maritime services and container transport activities of foreign shipping lines in Vietnam. After 2026, the focus would shift to support Vietnamese container shipping lines to expand internationally to Japan, India, Europe, and the US, as well as introduce a mechanism to link container shipping lines to increase competitiveness, along with promoting and supporting the use of clean fuel.
The prospects of developing Vietnam’s own fleet stand good, as over 80 per cent of global trade volume is transported by sea, according to the World Trade Organization.
As of December 2021, the fleet of ships under Vietnamese flag has counted just over 1,500 units, with a total capacity of about 7.1 billion GT and a total tonnage of about 11.7 million DWT. But among the 1,032 specialised vessels with a total tonnage of about 6.3 million GT and 10.6 million DWT are mainly small ships of less than 5,000GT, and some medium ships of less than 10,000GT.
Lien Khuong to become 5-million-passenger international airport by 2030
The structure, capacity, and capability to accommodate aircraft at Lien Khuong Airport in Lam Dong province will undergo considerable changes over the coming years.
The Vietnam Civil Aviation Authority (CAA) has recently filed a report to the Ministry of Transport (MoT) on authorising the modification of Lien Khuong Airport’s planning for the 2021-2030 period, with a view to 2050.
The location and purpose of Lien Khuong Airport within the national civil network are consistent with an international airport and it serves both civil and military purposes. This is one of the most crucial aspects of the report, as the State Administration of Aviation has proposed to align the planning of Lien Khuong Airport with the Master Plan for Airports System Development and national airports, which has been submitted to the prime minister and Lam Dong province by the MoT.
The overall land needed for Lien Khuong Airport between 2021 and 2030 is 340.8 hectares and will be expanded to 486.8ha by 2050.
By 2030, Lien Khuong Airport will have airport level 4E (according to the International Civil Aviation Organization’s standard code) and military airport level I. It will cater for a capacity of five million passengers per year, 20,000 metric tonnes of cargo, and provide a minimum of 21 aircraft parking spaces.
Vietnam and Korea sign 16 agreements worth $15 billion
16 MoUs on corporation and investment agreements worth $15 billion were signed in the framework of the Vietnam – Korea Business Forum on December 6.
The forum was organised as part of the official visit of State President Nguyen Xuan Phuc to South Korea. Ministries, related authorities and localities of the two countries also signed eight MoU on promoting bilateral co-operation.
The event attracted over 500 representatives of businesses from the two countries, including Korean enterprises operating in infrastructure, electronics, finance, transport, and education that expressed their interest in the Vietnamese market.
Along with these sectors, Deputy Prime Minister Pham Binh Minh encouraged Korean groups to expand investment in Vietnam in digital technology, electronics, infrastructure, and industrial zones.
Previously on December 5, President Phuc received representatives of large enterprises from South Korea, such as LG, Samsung, CJ, Lotte, Hyundai Motor, and Daewoo E&C. Many of them committed to investing additional billions of dollars in Vietnam.
Budget collection from real estate sector slows in H2
Though the tax revenue from the real estate industry has exceeded the year’s goal, it has kept sliding since June.
According to General Department of Taxation data, revenue from housing and land in the year to November had accounted for 17.2% of the total tax collection, at over VND222.6 trillion, surpassing the full-year target by 36.9% and up 130.5% over the same period in 2021.
Of the total, tax collection from land use rights shot up 134.8% year-on-year to nearly VND183.7 trillion, while taxes on land rent soared 110.2% to around VND35.4 trillion.
The tax authority attributed the impressive results to the housing market being in full swing from late 2021 until the end of the first quarter of this year, coupled with the competent agencies’ efforts to collect taxes and combat tax losses in real estate transfers.
Road and bridge proposed for linking Haiphong and Quang Ninh
Haiphong has proposed expanding Provincial Road No. 352 and building the Lai Xuan Bridge crossing the Da Bach River with an estimated investment of VND1.3 trillion to connect with Quang Ninh Province.
With a length of 786 meters, the Lai Xuan bridge will be developed to replace the Lai Xuan ferry service, connecting national highways 18 and 10 in Haiphong and Quang Ninh.
The approach roads to the Lai Xuan Bridge will be around 1.8 kilometers long and 12 meters wide. One road spans 1.2 kilometers in Haiphong, and the other spans 602 meters in Quang Ninh.
The city will upgrade and expand Provincial Road No.352 with a length of 13.4 kilometers and a width of 12 meters, starting from National Highway 10 and ending at Lai Xuan Bridge.
The two projects require a total VND1.32 trillion, funded by the city’s budget. Some VND792 billion will be spent on construction, while VND254 billion will be for site clearance.
According to the plan, Quang Ninh’s authority will pay VND13 billion for site clearance in the province.
Ha Tinh to have VND950-billion beltway project
The Management Board of Ha Tinh Construction Investment Projects plans to start work on Ha Tinh’s East Beltway Project with an investment of VND950 billion.
The project was approved on December 8, 2020, by the Ha Tinh People’s Council. The investment of VND950 billion will come from the central budget and other funds mobilized by the contractors.
The total length of the beltway is roughly 16.4 kilometers, starting at Provincial Road 9 and ending at National Highway 1, with a width of 35 meters. The project is expected to be completed by 2025.
The aim of the project is to promote Ha Tinh’s socioeconomic development and urban expansion and effectively tap the surrounding land resources and the improvement of Ha Tinh’s infrastructure.
Rail industry expects to make profit in 2023
Vietnam Railways Corporation (VNR) plans to shift operational priorities from passenger to freight transport to minimize losses and earn profits beginning next year.
As of November, the proportion of freight transport accounted for roughly 55% of the total. The sector rose by 26% compared to the 2019 figure, with earnings soaring by 50%.
VNR has sought to start making profits from 2023 with a focus on freight transportation as part of its plan for the following five years, the local media reported.
The company intends to merge several subsidiaries, improve technology applications and launch railway tourism initiatives and other solutions to enhance operational effectiveness.
The State-owned business has recently reported a loss of VND350 billion, 35% less than the VND550 billion predicted for 2022.
In 2020, VNR’s loss exceeded VND1,327 billion. It was reduced to VND565 billion for 2021.
Hiring demand in HCMC forecast at 320,000 workers next year
Enterprises in HCMC are forecast to recruit 300,000-320,000 new employees if the global economy bounces back, according to the Center of Forecasting Manpower Needs and Labor Market Information (FALMI).
The demand for new employees will depend on different scenarios of the global economy next year, Do Thanh Van, deputy director of FALMI, said yesterday, December 7.
If the global economy slows down, export orders will be negatively affected. However, the city’s economy will continue to grow as domestic consumption is expected to offset the decline.
In this scenario, the demand for new laborers will reach 280,000-300,000 people.
If the global economy picks up, the number will be estimated at 300,000-320,000 people. Specifically, the city will need 79,000-87,000 new workers in the first quarter of next year.
HCMC identifying industrialization focuses
The industrialization and modernization processes of Ho Chi Minh City are based on its internal resources and advantages, typically the tremendous values of both land and human resources, the latter of which are quite innovative and highly adaptable for a sustainable economic growth.
Making good use of the Resolution in the 6th session of the 13th Party Central Committee on continuing to foster the national industrialization and modernization processes until 2030 with a vision to 2045 and Resolution No.24 by the Politburo on socio-economic development in the Southeast region, HCMC now has an ample opportunity for restructuring its foundation and develop comprehensively.
Particularly, the Resolution issued on December 2 by the Politburo after its working session with the Standing Committee of HCMC Party Committee clearly displays the directions and mission for the city’s growth, including becoming a modern industrial-service city; a leader in both digital economy and society; a center for economy, finance, trading, science-technology, and culture of Southeast Asia by 2030. In 2045, HCMC will be one of Asian centers for economy, finance, services; an ideal economic and cultural destination with high living standards; and on par with major metropolitan areas in the world.
To fulfill those missions, traffic facilities for inter-regional connection should be the top priority. All possible measures must be carried out to complete HCMC’s Ring Road No.2 and Metro Route No.1 and 2, to start constructing Ring Roads No.3 and 4.
Smuggling of live buffaloes, cows into Vietnam must be strictly handled
The Vietnam Ruminant Husbandry Association has recently requested the Ministry of Agriculture and Rural Development (MARD) to check and re-evaluate the information posted online that imported live cows that have not been checked, quarantined, disinfected, and decontaminated but still have quarantine paper; if it is true, there will be a risk of spreading many dangerous diseases to domestic livestock, causing great damage to the domestic livestock industry.
Mr. Phung Duc Tien, Deputy Minister of Agriculture and Rural Development, has sent documents to request the People’s Committee of provinces and cities to strictly control and handle violations to prevent illegal trade and transportation of live buffaloes and cows into Vietnam.
Especially, the provinces bordering Laos and Cambodia must strictly handle cases of violations of legalizing the origin of smuggled buffaloes and cows and faking import veterinary certificates and animal quarantine papers for transportation between provinces.
Currently, domestic livestock production can only supply 40-45% of beef consumption demand, and the rest must be imported.
Local carriers to start transport service of apricot, peach blossoms for Tet
National flag carrier Vietnam Airlines (VNA) and low-cost airline Pacific Airlines will transport apricot and peach blossoms for the upcoming lunar New Year Festival (Tet) on domestic flights from December 26, 2022 -February 5, 2023 (on the 4th day of the last lunar month – 15th day of the first lunar month).
A passenger will be allowed to check in with 1-2 branches of apricot or peach blossoms, measuring a maximum of 150cm x 40cm x 40cm as a special ‘Luggage Consignment Service’.
The transportation fee will be VND450,000, not including VAT. Other container-grown trees will be transported in accordance with the requirements for cargo to ensure flight safety.
VNA, Pacific Airlines and Vietnam Air Services Company (VASCO) plan to provide millions of seats on domestic and international routes from January 6-February 5 (on the 15th day of the last lunar month – the 15th day of the first lunar month) in the next year.
Tickets have been available on Vietnam Airlines’ website, mobile app and official ticket offices and agents nationwide since August 15.
Viettel deploys 5G network infrastructure in India
Viettel High Technology Industries Corporation (VHT) and United Telecoms Limited Group (UTL Group) on December 8 signed a strategic agreement on comprehensive R&D and deployment of 5G network infrastructure in India and an export contract to the Indian market.
The terms of the deal will see Viettel provide and deploy IP Router equipment on Internet Service Provider Gwave’s telecommunications network in the Indian market.
The IP transmission device supports 100bps speed that is capable of meeting the requirements of Viettel’s 5G network.
Viettel represents the first unit to conduct research on IP Router in Vietnam that is capable of meeting the standards of the EU’s CE marking and the United States’ Federal Communications Commission (FCC). It has also been fully assessed and certified by the Ministry of Information and Communications of Vietnam.
Raja Mohan Rao Potluri, group chairman of UTL Group, said that he had selected Viettel as its partner to deploy the 5G network in India for the first time for India’s national carrier Bharat Sanchar Nigam Limited (BSNL).
VinFast selects T-Mobile as exclusive global connectivity provider for EVs
Vietnamese electric vehicle (EV) maker VinFast unveiled on December 8 that the company has selected T-Mobile, the leading telecommunications company in the United States, as the exclusive provider of connectivity for smart EVs in North America and Europe.
The long-term co-operation deal is worth tens of millions of US$ and is expected to provide VinFast customers with a personalised experience and the ability to leverage near-real-time telemetry data for timely maintenance and service decisions.
Under the terms of the agreement, T-Mobile will provide connectivity for VinFast’s EVs models in both North America and Europe.
The VF 6, VF 7, VF 8, and VF 9 models will all feature built-in capabilities that power connected services, such as remote vehicle services; streaming media and gaming on-the-go; safety features, including live traffic information; Wi-Fi hotspot data on select models to help passengers stay connected; as well as over the air firmware and software updates.
Vietnamese apparel industry seeks opportunities in Indian market
The Trade Office and Embassy of Vietnam opened a pavilion at Intex South Asia, an international textile sourcing show held on December 8 in New Delhi.
The local garment firms participating in the event include Service and Trading Co. Ltd, Max Blue Vietnam Co. Ltd, and Beevalue Import – Export – Production Co. Ltd, all of whom came to showcase a range of fashion items, along with fabric, yarn, and accessories in the textile – garment sector.
Intex South Asia is being held by Worldex India Exhibition and Promotion Private Limited and the Federation of Indian Chambers of Commerce and Industry (FICCI), with sponsorship from the Indian Ministry of Commerce and Industry and the Ministry of Micro, Small and Medium Enterprises.
The function is a leading international textile sourcing show in South Asia and has taken place nine times in Sri Lanka, Bangladesh, and India since 2015, according to Rajesh Bhagat, head of the fair’s organizing board.
These events have connected more than 35,000 buyers from more than 15 countries, with more than 1,350 textile and garment suppliers, thereby gradually establishing itself as one of the leading international textile and material supply exhibitions throughout the region.
This year, more than 100 major suppliers of fibre, yarn, fabric, apparel accessories, dyes, and chemicals are participating in the show, which also includes a series of workshops and networking events for firms to participate in.
Viet Nam targets to realize all WTO’s Trade Facilitation Agreement Articles by end of 2024
Viet Nam has realized 21 among the 24 Articles of the World Trade Organization’s Trade Facilitation Agreement (TFA), reported the General Department of Customs at a meeting on December 7.
The country planned to implement all Articles of the TFA by the end of 2024, said the customs agency, adding that Viet Nam has actively taken actions to realize the TFA since it took effect on February 22, 2017.
The TFA creates a driving force to boost global trade and brings common benefits to WTO member states, especially developing ones.
Entry to the agreement will help step up the reform, simplification, and improvement of transparency in customs procedures; assist small- and medium-sized enterprises in exports; and attract more foreign direct investment in manufacturing and export.
The TFA was adopted by WTO member states at the ninth WTO Ministerial Conference on December 7, 2013 and has become part of the organization’s compulsory agreements since November 2014.
It is the first multilateral agreement signed in the 21year history of the WTO, marking an important milestone in global trade systems and encouraging trade liberalization.
Apax Holdings’ shares on the slide following tax enforcement
Apax Holdings JSC (HOSE: IBC) is witnessing its stock prices plummet following the enforced collection of tax debts applied to the company last month.
On November 16, the Tax Department of Hà Nội placed a tax lien of VNĐ5.6 billion on the company’s bank accounts for reasons of tax arears. The tax authority has sent 17 decisions to nine relevant banks to get the job done.
Following the enforcement, IBC prices have begun to fall session by session. Remarkably, the stock ended the Wednesday session at VNĐ7,070 per share, losing roughly 58 per cent of its prices in one month.
Apax Holdings JSC said IBC hitting floor prices for five consecutive sessions could be attributed to the unfavourable market sentiment amid uncertainties and the grim outlook of the economy.
Regarding complaints against its subsidiary Apax English, the company said it had investigated the complaints and found them reasonable. It admitted that the complaints arise from Apax English’s internal issues and said the two companies are working together to handle the issues.
Apax Holdings JSC is a company operating mainly in education, owning Apax English Corporation, Igarten Education JSC, and Firbank Australia School JSC. It is also affiliated with Education Infrastructure Group JSC, CMS International Creative and Intellectual Education JSC, and STEAME Inter-level School Infrastructure JSC.
In its consolidated financial statement in Q3/2022, Apax Holdings JSC post a revenue of VNĐ374 billion. Its after-tax profit hit VNĐ776 million, down 85 per cent year-on-year on account of mounting overheads.
In the first nine months of 2022, the company made a total after-tax profit of VNĐ23.7 billion, of which VNĐ17.3 billion came from Apax English. It is also worth noting that the former holds 66.36 per cent ownership in the latter.
Nguyễn Ngọc Thủy, founder and chairman of EGROUP Education Group JSC, Apax Holdings’ parent company, expressed his regrets for the recent delays in liability fulfillment.
He requested shareholders to give him two to three more years to turn the situation around since educational centres owned by the company, which had to cease operation between 2020 and 2021 due to the pandemic, need time to recover.
He also said the company has been overstretched by various financial liabilities, including payroll, overhead and rent, resulting in occasional failures to fulfill obligations.
BIDV launches digital platform to support SMEs
The Bank for Investment and Development of Vietnam (BIDV) has launched BIDV SMEasy digital platform, sponsored by the Asian Development Bank (ADB), to support domestic small- and medium-sized enterprises (SMEs).
Accounting for more than 97 per cent of domestic enterprises, and over 60 per cent of the workforce in Viet Nam, many SMEs face difficulties, including a lack of experience in managing and operating businesses.
Understanding these difficulties, as part of the project “Technical assistance to support SMEs” funded by the ADB, BIDV selected MVV Academy to consult and develop SMEasy digital platform.
BIDV aims to develop a sustainable ecosystem exclusively for SMEs. The launch of the SMEasy digital platform is one of the most awaited initiatives of the year. This SME-specific digital platform is expected to contribute to increasing the internal resources and financial health of SMEs, especially in the current economic recovery period.
The SMEasy digital platform demonstrates BIDV’s clear policy towards women-owned SMEs, through the development of financial and non-financial programmes exclusively for women leaders.
Developing plantation areas, origin traceability critical to increase export to China as standards set
Developing plantation areas and ensuring origin traceability were important factors for Viet Nam to increase the export of farm produce to China which had tightened hygiene and safety standards for imported food.
China was no longer an easy market. There were dramatic changes since the General Administration of Customs of China issued Decree 248 on regulations for the registration and administration of overseas producers of imported food and Decree 249 on administrative measures on import and export food safety in April 2021 which took effect from the beginning of 2022.
After a year, there were a number of problems that needed to be tackled in order to expand exports to China, a conference on granting plantation area codes and origin traceability heard on Wednesday.
The Ministry of Agriculture and Rural Development said that the ministry and the General Department of Customs of China signed five protocols on plant quarantine for agricultural products, including durian, banana, passion fruit, sweet potato and edible bird’s nest. This opened a large opportunity for Viet Nam’s agricultural products to expand in the world’s most populous market.
There were challenges, however, as China tightened requirements on food quality and safety, the ministry said.
Hoang Khanh Duy, deputy head of the Management Board of Dong Dang Border Gate Economic Zone, Lang Son Province, said many enterprises had not carefully studied decrees 248 and 249, thus, they were confused when implementing the registration, leading to delays in customs clearance.
Duy said that there was also fraud in declaring codes of plantation areas and packing facilities which would negatively affect exports to China.
Polish food firms seek to enter Vietnamese market
Viet Nam and Poland are both exporters of agricultural products, but their products complement each other, offering opportunities for the two countries to enhance cooperation in the sector, according to the Viet Nam Chamber of Commerce and Industry.
Speaking at the Viet Nam-Poland business meeting in the food sector in HCM City on December 7, Nguyen Huu Nam, deputy director of VCCI in HCM City, said the traditional friendship between Viet Nam and Poland has always been continuously strengthened in all aspects, including trade and investment, adding that the implementation of the EU-Viet Nam Free Trade Agreement has also helped boost their trade ties.
Bilateral trade between the two countries has increased significantly in recent years to reach nearly US$2.6 billion last year, a year-on-year increase of 22 per cent. Of this amount, Viet Nam’s exports to Poland accounted for over $2.1 billion, up 17 per cent over 2020, while Viet Nam’s imports from Poland jumped 49 per cent to reach over $500 million.
Higher demand drives consumer prices up ahead of Tet
Consumer prices have been slightly rising in the last quarter of this year because of the increasing demand ahead of Tet (Lunar New Year) holidays.
The Ministry of Finance said on December 8 that the domestic market recovered significantly in November after two years of the COVID-19 pandemic, and the consumption demand has risen after that.
The rapid, complex developments of the world situation have also pushed the prices of fuels, materials and some others up, the ministry added.
The finance ministry said it has coordinated with other ministries and agencies in assessing and forecasting the factors impacting inflation, outlining scenarios and price management solutions, and making reports to the Government, stressing that the price situation remains under control.
Notably, petrol prices have been adjusted in line with global price developments, but stayed lower thanks to the flexible use of the price stabilisation fund, plus the decrease in environmental protection tax.
The supply of essential goods like food and foodstuff has also remained abundant, the ministry said, stressing that production is going on for both domestic and foreign markets.
Petrovietnam sets new records in revenue, pre-tax profit
By the end of November, the Vietnam Oil and Gas Group (Petrovietnam) had completed all targets of finance and oil and gas exploitation and production in 2022 ahead of schedule, and set new records in revenue and pre-tax profit, according to its General Director Le Manh Hung.
The crude oil output in the first 11 months of 2022 reached 9.91 million tonnes, exceeding the yearly target by 13%.
The group’s total revenue in 2022 reached the highest ever level of 854 trillion VND (over 36.22 billion USD). It contributed 134.5 trillion VND to the State budget, completing the plan set for the year ahead of six months.
As of November 16, the group fulfilled the mining development plan set for the year, putting five new mines into operation, actively contributing to increasing output, ensuring stable exploitation from mines of the group in 2022 and next years.
In the context of complicated fluctuations in crude oil prices, plunging world oil prices, and decreasing oil demand in Europe and the US due to the impact of the economic recession, Petrovietnam still achieved positive production and business results in November and the first 11 months of 2022 thanks to taking effective and timely solutions.
Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes
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