VIETNAM BUSINESS NEWS OCTOBER 28/2023

Thai Airways to resume flights to Vietnam from October 29

Thai Airways will resume its services in Vietnam from October 29 following an inauguration ceremony held by the carrier and the Huong Giang Air Service Co., Ltd. (HG Aviation) in Hanoi on October 25.

Addressing the ceremony, Thailand’s Deputy Prime Minister Parnpree Bahiddha-Nukara noted that the airline’s resumption of flights between Bangkok and Hanoi and Ho Chi Minh City is important to the tourism industry and economy of each country.

Last year, Thailand welcomed more than 500,000 Vietnamese tourists, while over 200,000 Thais visited Vietnam, he said, noting that the numbers are expected to double this year.  

The Thai Deputy PM described the resumption as a major stride and a symbol of the close ties between Vietnam and Thailand, especially in the context that the two countries are celebrating the 10th anniversary of their strategic partnership (2013-2023).

Nguyen Trung Khanh, head of the Vietnam National Authority of Tourism, highlighted the bilateral tourism cooperation, saying Vietnam has learned from Thailand’s experience in tourism product development and promotion, and support to businesses, especially after the COVID-19 pandemic.

In the first 10 months of 2023, Vietnam served about 10 million international visitors, of whom 500,000 were Thais, and some 900,000 Vietnamese visited Thailand in the period, he said. He expressed the hope that Vietnam’s tourism sector and Thai Airways will coordinate to launch joint tourism products to help lure holidaymakers from third countries.

Korakot Chatasingha, a representative from Thai Airways, said with the service called Royal Orchid, Thai Airways will operate two flights between Bangkok and Hanoi and two others between Bangkok and HCM City each day.

Vietnam Airlines to open new route from Da Nang to Bangkok

National flag carrier Vietnam Airlines has announced that it plans to launch a route linking the Da Nang International Airport with Bangkok-based Don Mueang International Airport, with flights starting from November 29.

The airlines will conduct daily flights using the Airbus A321 aircraft. Flights are due to depart at 8 p.m. from Da Nang International Airport and at 5:05 a.m. from Don Mueang International Airport each day.

Vietnam Airlines is currently operating 49 direct flights per week connecting Hanoi, Ho Chi Minh City, and Da Nang to Bangkok.

The latest route linking the Da Nang International Airport to Bangkok-based Don Mueang International Airport is expected to better meet the travel demand of passengers, while simultaneously helping to develop cultural and economic exchanges between the nation and Thailand.

During the past nine months of the year, the number of passengers between the country and Thailand carried by Vietnam Airlines increased three times over the same period of 2022, highlighting the tourism recovery of the two markets.

Khanh Hoa sees surge in number of Chinese tourists

The number of Chinese tourists to Khanh Hoa province has seen an upward trajectory amid airlines increasing the frequency of flights from major Chinese cities to Cam Ranh International Airport.

Specifically, China Southern Airlines has re-operated flights from Guangzhou to Khanh Hoa from September 29 with a frequency of three round trips per week.

As of October 29, the carrier is also expected to launch daily flights from Guangzhou to Khanh Hoa, with about 10 flights being conducted each day.

Nguyen Thi Le Thanh, director of the Department of Tourism of Khanh Hoa province, said that the increase in the frequency of direct flights to the locality from the northern neighbour is anticipated to create favourable conditions for tourists, thereby further accelerating the growth in international tourists in general and Chinese tourists in particular.

Currently, local businesses are actively co-operating with airlines in order to launch new air routes and design various tourism products which will extend visitors’ length of stay, as well as increasing revenue from Chinese tourists.

Since the beginning of the year, the locality has welcomed more than 6.2 million tourists, with tourism revenue reaching nearly VND30,000 billion.

Vietnam, RoK promote science-technology partnership

The ninth meeting of the Vietnam-the Republic of Korea (RoK) Joint Committee on Science and Technology cooperation was held in Seoul on October 24 under the co-chair of Vietnamese Minister of Science and Technology Huynh Thanh Dat and Korean Minister of Science and ICT Lee Jong-ho.

Vietnamese Minister of Science and Technology Huynh Thanh Dat (R) and Korean Minister of Science and ICT Lee Jong-ho
The meeting was part of the activities to implement the action programme to realise the comprehensive strategic partnership between the two countries which was established during RoK President Yoon Suk Yeol’s visit to Vietnam in June.

Addressing the event, Lee underscored the increasingly strong impact of science and technology on life and socio-economic activities. He said that by promoting the policy coordination and cooperation in new areas, the two countries can optimise each other’s strengths and together cope with challenges they are facing.

He pointed to the considerable results of joint research between the two countries and the positive human resources exchange within typical cooperation projects, underlining that the Korean side hopes science-technology collaboration between the two countries will be further fostered through the joint committee mechanism.

For his part, Dat highlighted the great cooperation potential between the two countries in the field of science and technology.

The two sides can supplement each other in many areas, he said, affirming that the signing of the minute of the ninth meeting shows the commitment of the two countries in implementing cooperation contents within the mechanism, laying a foundation for the promotion of bilateral comprehensive partnership in the future.
  
The meeting aimed to share major policies in science and technology of the two countries, while seeking measures to expand bilateral collaboration in new areas.

During the meeting, the Korean side introduced three major strategies and 17 tasks of its 5th Basic Science and Technology Plan for the 2023-2027 period, while Vietnam briefed the Korean side on the country’s science-technology renovation policy, thus enhancing mutual understanding on each other’s science-technology policies.

Participants also evaluated their science-technology partnership over the years and discussed ways to continue beefing up their ties in the field, including expanding the scale of science-technology and innovation cooperation, diversifying collaboration forms, and supporting Vietnam to implement the second phase of the Vietnam- Korea Institute of Science and Technology (VKIST).

The RoK will share with Vietnam its database on artificial intelligence (AI), promote cooperation on AI, digital transformation and core technology as well as source technology of Fourth Industrial Revolution, and strengthen its support in capacity improvement training to Vietnam.

The two sides will work together to connect the startup ecosystems of the two countries. They agreed to continue to support the construction of the RoK’s research and development (R&D) centres in Vietnam.

The Vietnam-RoK Joint Committee on Science and Technology Cooperation meets annually following the bilateral science-technology cooperation agreement signed in April 1995. In the previous eight meetings, the committee discussed different ways of cooperation in the field of science and technology.

The two sides agreed to hold the 10th meeting of the committee in Vietnam.

Vietnam ranks second among top five suppliers of coffee to Italy

Vietnam has been placed second among the top five suppliers of coffee to the Italian market, with its coffee exports witnessing a rise in both volume and value during the initial nine months of the year, according to the Ministry of Industry and Trade (MoIT).

Statistics show the country exported 117,850 tonnes of coffee worth US$262 million to Italy, up 6.7% in volume and 10.8% in value compared to the same period last year.

The average export price of Vietnamese coffee edged up 3.9% year on year to US$2,224 per tonne.

Its major coffee products are Robusta, Arabica, and processed coffee varieties. Most notably, the export proportion of Robusta coffee rose from 93.32% in the opening nine months last year to 96.29% this year.

In contrast, the export proportion of Arabica and processed coffee dropped from 5.52% and 1.16% during the nine-month period last year to 2.56% and 1.15% this year, respectively.

According to the statistical office of the EU (EUROSTAT), Italy boosted coffee imports from Vietnam and Tanzania, although it reduced imports from markets such as Brazil, Uganda, and India in the reviewed period.

Italy increased coffee imports significantly from Tanzania, up 156.8% in volume and 154.3% in value against the same period from last year, with 14,300 tonnes worth US$35 million.

Insurance policies help Japanese-invested firms in Việt Nam retain labourers

Due to the COVID-19 pandemic and adverse impacts of the global economy, Nitori Furniture Vietnam, a Japanese-invested business operating in Quang Minh Industrial Park, Hà Nội, had to reduce its workforce by 20 per cent from more than 6,000 to 4,800. But the company has never delayed paying monthly social and health insurance premiums for its labourers.

Hà Thảo Phương, a company worker, said: “I have health insurance expenses covered and enjoy maternity benefits thanks to quick procedures supported by the human resources department.”

Japan has a concept called “lifetime employment” which means recruiting workers until they retire. Social, health and unemployment insurance play an extremely important role in retaining labourers for a long time.

Kushida Akihiro, deputy general director of Nitori Furniture, said his company started operation in 2003. His enterprise always strictly complies with Việt Nam’s legal regulations.

“The full participation in social insurance, health insurance and unemployment insurance aims to ensure workers’ benefits and create conditions for them to stay over the long term. That’s also an important requirement we have set,” he told Việt Nam News.

“We have a professional human resources department that has coordinated closely with the Hà Nội Social Security Office in paying premiums and providing benefits for employees,” he said.

The company always timely and fully updates the social insurance policies from local authorities in Việt Nam, legal consulting units and the Foreign Direct Investment (FDI) business association, he said.

The Vietnam Social Security (VSS) has supported enterprises in the settlement of social insurance regimes, especially paying sickness and maternity benefits on time. There were a few cases of money transfer delay compared to the expected results. When we gave feedback, the agency promptly resolved it, he said.

During a recent dialogue between VSS and Japanese-invested firms in Việt Nam on the implementation of social and health insurance policies, VSS General Director Nguyễn Thế Mạnh said the vast majority of Japanese businesses comply with Việt Nam’s legal policies, including those on social and health insurance.

In the difficult context of the pandemic and the post-COVID-19 period, FDI enterprises, including Japanese firms, have applied many solutions to maintain production stability and retain workers, making an important contribution to Việt Nam’s socio-economic recovery and development, he said.

The VSS has so far served 2,112 Japanese businesses in Việt Nam, with 547,100 employees participating in social insurance, including more than 545,000 Vietnamese employees and 1,600 foreign ones.

In the first nine months of this year, social insurance revenue from Japanese-invested enterprises accounted for over 13 per cent of the total revenue from foreign invested enterprises operating in Việt Nam.

In order to create favourable conditions for the Japanese business community investing and doing business in Việt Nam, as well as the Vietnamese community living and working in Japan, the two countries are conducting exchange procedures, updating information and roadmaps to prepare for the negotiation of the bilateral agreement on social insurance, which will serve as a new milestone in the two countries’ relations, Mạnh said.

Japanese Ambassador to Việt Nam Yamada Takio said in 2023, the Japanese Business Association in Việt Nam has about 2,000 member companies. This is the largest overseas Japanese Business Association in ASEAN and the second largest in the world. One of the attractions for Japanese businesses is Việt Nam’s abundant labour source.

Protecting labourers’ benefits is an important factor for Việt Nam to attract foreign investment, he said.

Along with the direct investment increase from Japan into Việt Nam, Japanese companies are required to understand and well implement Việt Nam’s social insurance regulations and policies to ensure labourers’ legitimate rights and benefits. The Vietnamese Government is amending the Law on Social Insurance, which will better protect labourers’ rights and affect investment trends of Japanese firms in Việt Nam, the ambassador noted.

He hoped the Vietnamese Government would listen to the feedback of Japanese enterprises in Việt Nam on the law amendments to make the law truly reflect the wills of Japanese employees and employers.

He believed that social and health insurance policies with the aim of better protecting the rights of labourers would promote economic cooperation between the two countries.

To help Japanese people in Việt Nam better access social and health insurance policies and facilitate them in procedures, on Tuesday, the VSS launched the Japanese version of the social insurance mobile app VssID.

Trần Hải Nam, deputy head of Social Insurance Department, Ministry of Labour, Invalids and Social Affairs, said there is absolutely no change in social insurance benefits for foreign workers in Việt Nam.

“Foreign workers participating in Việt Nam’s social insurance scheme will enjoy full benefits, the same as those for Vietnamese citizens.”

“We even have more open regulations for foreign workers. For example, foreign workers who are willing to have labour contracts terminated and enjoy lump-sum payment can submit their application. We will handle the application within five days of receiving the document, shorter than the regulation for the Vietnamese, so that they will soon receive the payment before returning to their country,” he said.

Vũ Đức Thuật, deputy director of Hà Nội Social Security Office, said FDI firms have given mostly positive feedback to the office. Thanks to the two-way feedback, the two sides can perform their tasks better.

Hà Nội has nearly 800 FDI firms, about 500 of which have foreign labourers. The foreign labourers who are qualified for social insurance scheme are all ready to join, he told Việt Nam News.

He said one obstacle for foreign labourers in accessing health insurance-covered medical services is that not all facilities have translators. The office is working to address this difficulty so that foreigners having health insurance cards in Việt Nam can enjoy the best services.

Vietnamese tourism proves widely promoted in Singapore

The Department of Tourism of Ho Chi Minh City in collaboration with the Embassy of Vietnam in Singapore deployed an array of activities aimed at promoting local tourism in Singapore from October 25 to 27.

On October 25 a roadshow on Vietnam-Ho Chi Minh City tourism in Singapore was held with the presence of Truong Hien Hoa, deputy director of the Ho Chi Minh City Department of Tourism, along with more than 20 representatives from various tourism management agencies, airlines, travel firms, and hotels of the two countries.
  
At the ongoing ITB Asia 2023, Asia’s Leading Travel Trade Show which was held in Sands Expo & Convention Centre, the Vietnamese booth has attracted plenty of visitors.

Tourists have the chance to experience traditional handicraft activities such as making tò he (toy figurines) and xếp lá dừa (folding coconut leaves), as well as finding out about the city’s tourism products, and receiving items such as bags, Nón Lá (palm-leaf conical hats), travel guides, and Vietnamese coffee as special gifts.

Furthermore, many products designed specifically for the Singapore market were introduced at the event, including resort and health care tourism, cultural-historical tourism, golf tourism, business tourism combined with entertainment (bleisure), Meeting Incentive Conference Event (MICE), health care tourism, and eco-tourism.

Vietnam welcomed nearly 310,000 tourists from the island nation in the pre-pandemic year of 2019 and 178,861 in 2022. Ho Chi Minh City alone received nearly 290,000 Singaporeans in 2019 and 114,000 in 2022, accounting for about 3.3% of the total number of foreign travelers to the southern city.

The Singaporean market has a lot of potential for further growth and has always been among the top 10 tourist markets to Vietnam over recent years.

Artificial sand production and consumption face challenges

Amid severe sand shortage, artificial sand might be a valid alternative to the natural product. However, its production and consumption have encountered many difficulties, construction industry insiders have said.

Artificial sand is crushed from natural rocks such as limestone, laterite, granite and gravel with modular particles equivalent to natural sand.

The Ministry of Construction forecasts the amount of artificial sand to reach about 15-20 million tonnes each year between now to 2030, far lower than the demand for natural sand in the construction materials market.

The unsatisfactory figures were partly due to an insufficient supply of artificial sand and a modest rate of using artificial sand in local construction projects, insiders have said.

Võ Văn Thắng, director of Xuân Long Cooperative, which is one of the two leading artificial sand producers in Thừa Thiên-Huế Province, said that consumption of man-made sand remained sluggish despite its advantages.

Thắng told vnbusiness.vn news site that his cooperative’s artificial sand production capacity stood at over 250,000 cubic metres per year, but consumption was only about 10,000-15,000 cubic metres annually.

According to Hà Huy Anh, project manager of Sustainable Sand Management in the Mekong Delta of the World Wide Fund for Nature in Việt Nam, artificial sand production in Việt Nam was still limited because the reserves of materials used to produce artificial sand, although recorded, were mainly in theoretical form, collected from localities’ reports.

Actual data which would be used to evaluate the effectiveness and cost of each material used to produce artificial sand, was not specific, resulting in unclear production orientation and supports, he told to vnbusiness.vn.

Chairman of the Vietnam Cement Association Nguyễn Quang Cung said shortage of natural sand was unavoidable, so artificial sand might be a suitable alternative. However, in the next five or ten years, sand shortage would still occur without a specific solution.

As artificial sand is crushed from rocks, the surface and edges are very sharp and not round like natural sand. Thus, using artificial sand in construction works will require more cement. At the same time, artificial sand is heavier than the natural product, so it easily erodes pipelines, requiring higher pressure pumping, Cung explained.

Cung emphaisised the importance of having a stable source of input materials and modern grinding technology to ensure the quality of construction projects and gradually reduce the use of natural sand.

Supportive policies would also be drawn up to encourage enterprises to install new artificial sand production lines, Cung said.

Most northern provinces and cities have great potential for artificial sand production thanks to their sufficient raw materials. Other localities that do not have an advantage in rocks should consider producing artificial sand from suitable materials, insiders suggested.

For example, the Mekong Delta region has a large source of agricultural waste, such as rice husks and sugarcane bagasse ash, and this is considered a potential source of raw materials for artificial sand for production.

Việt Nam is aiming to gradually limit the use of natural sand and strengthen the development of artificial sand products to meet demand until 2030, following the construction materials development strategy from now to 2030 with a vision to 2050.

The country is striving to replace at least 40 per cent of natural sand used in construction works by man-made sand, such as sand ground from rocks and sand recycled from industrial and construction wastes, by 2030.

The Ministry of Construction has also encouraged and given guidance on the production and use of artificial sand instead of natural sand for construction works. 

Digital transformation vital to enhance competitiveness

Enhancing competitiveness through digital transformation is vital for enterprises in a digital economy to create the foundation for transforming growth models and building an independent and autonomous economy, Deputy Chairman of Việt Nam Chamber of Commerce and Industry Hoàng Quang Phòng said at a forum on Wednesday in Hà Nội.

“Developing the digital economy is a long journey, while the efficiency of economic integration depends largely on the competitiveness of the economy and enterprises,” Phòng said.

“Hastening solutions to improve competitiveness for businesses is urgent, and will be the key for Việt Nam to promote innovation and digital technology application, thereby better capturing opportunities from the digital economy.”

Trịnh Minh Anh, Chief of the Office of the Interdisciplinary Steering Committee for International Economic Integration, said non-traditional business models were arising during the formation of the digital economy, which created opportunities for start-ups.

However, there were challenges, including the lack of capital, governance experience, technology and human resources, coupled with the shortage of capacity to deploy digital technologies which were hindering the transformation of production and business models.

Enterprises should be proactive in digital transformation while the Government should create favourable conditions for businesses to participate in the digital economy.

Minh Anh said digital transformation should be sped up in sectors such as energy, transport, education and training, medical treatment, e-commerce and agriculture.

He urged investments in improving the digital infrastructure system, platforms for online payments and cross-border transactions.

“Digital transformation is not the same for every enterprise. Each should have a different method, depending on its business strategy and capacity,” Anh said.

Taking advantage of new-generation FTAs was important to expand markets and promote cooperation for technology transfer, developing new business models and playing a role in the global supply chain, he said.

According to Nguyễn Trọng Đường, an expert in digital transformation from the Ministry of Information and Communications, the Vietnamese economy was significantly affected by global uncertainties due to a high degree of economic openness.

Đường cited the forecast of the Asian Development Bank that Việt Nam’s GDP growth rate would narrow from 8.02 per cent to 5.2 per cent this year.

While three growth drivers, including investment, export and construction, were struggling, it was necessary to renew growth drivers through digital transformation, he said.

Đường said experiences from previous crises showed that enterprises which were active in making transformation would be able to adapt quickly to the new circumstances, recover faster and develop better in the post-crisis period.

With more than 71 per cent of the population regularly accessing the Internet, the most effective way to reach customers was through the digital environment, he said, urging firms to be customer focused, and data and automation driven.

Bùi Thị Hải Yến, general director of the electronics company Hanel, said the competitiveness of enterprises in a digital economy is the ability to create high labour productivity. “The only key is digital transformation.”

It seemed that Vietnamese enterprises had not been well-prepared for participation in the global digital economy, Yến said, citing a report of the Ministry of Planning and Investment in 2022 that nearly 50 per cent of domestic enterprises temporarily halted digital transformation.

The first step was to increase enterprises’ understanding of digital transformation to have appropriate solutions, she said.

“The biggest challenge in digital transformation is changing mind-set and production methods that have been formed for decades, to accept completely new ways of thinking and doing,” Yến said. “However, all challenges can be small before the once-in-a-thousand-years opportunity. Only in the digital era could we have the opportunity to make giant leaps forward.”

The support from the Government was important for enterprises to implement digital transformation successfully, she said.

With a majority of firms being small and medium size, the Government should provide preferential policies to encourage SMEs to implement digital transformation, Bùi Bích Liên, director of EMcom Joint Stock Company, said. 

Quảng Ngãi aims to be international investors’ preference

With more than 130 kilometres of coastline and the Dung Quất deep-water seaport, Quảng Ngãi holds significant potential for the development of its maritime economy.

This and much more information was presented to domestic and foreign investors in the event titled “Quảng Ngãi Presentation” in Hà Nội on Wednesday, co-organised by the Ministry of Foreign Affairs (MOFA) and the Quảng Ngãi Province’s People’s Committee.

In her opening speech, Deputy Minister of Foreign Affairs Nguyễn Minh Hằng expressed her confidence in Quảng Ngãi’s potential for abundant development.

Hằng commended the province for its strategic direction, characterising Quảng Ngãi as a land of opportunity that possesses the three essential elements of “favourable timing, geographic advantage, and harmonious people.”

Promoting these elements, Hằng believes, will garner significant attention and make Quảng Ngãi a priority choice for international partners in the near future, and set it up to become a development hub not only for the central region but for the entire nation.

According to Hằng, MOFA will continue to support and accompany localities, including Quảng Ngãi, in implementing economic diplomacy to promote foreign partnerships, expand import-export markets, attract foreign direct investments (FDI), and obtain Official Development Assistance (ODA) to fuel the province’s various development drivers, such as tourism, maritime economy, logistics, trade, and industrial sectors like petrochemicals, chemicals and metal production.

Chairman of the Quảng Ngãi People’s Committee Đặng Văn Minh later provided an overview of Quảng Ngãi’s favourable factors at the conference.

Minh highlighted the province’s strategic location in the key economic region of the central coast: the province boasts developed infrastructure, including road, waterway, railway, and air transport systems, along with a network of seven seaports.

With a dynamic and growing economy, a skilled workforce thanks to its leading universities and vocational schools, rich tourism potential, and a high-calibre leadership team dedicated to its development, Minh was confident of Quảng Ngãi’s attractiveness to investors.

Minh also revealed that Quảng Ngãi has already completed its provincial development plan for the 2021-30 period with a vision towards 2050, and a general plan for building the Dung Quất Economic Zone up to 2035 with a vision until 2045.

Furthermore, aligning with the Government’s development orientation for the North Central and Central Coastal regions by 2030 and 2045, the province has identified two development focal points: “Expanding and establishing a national petrochemical and energy centre in the Dung Quất Economic Zone” and “Developing a coastal and island tourism centre in Lý Sơn.”

These priorities are expected to create numerous development opportunities for Quảng Ngãi and potential investors in the coming time.

During the conference, representatives from Japan External Trade Organization (JETRO), the Hong Kong Business Association in Vietnam (HKBAV), the European Chamber of Commerce in Vietnam (EuroCham), Bình Sơn Refining and Petrochemical Company Limited, and Doosan Enerbility Vietnam Company presented their business and investment plans in the province.

In the discussion session, delegates and Quảng Ngãi representatives exchanged views on issues related to insurance, labour, and specific investment and business policies.

Takeo Nakajima, head of the Japan External Trade Organization (JETRO) representative office, expressed the keen interest of Japanese businesses in expanding investments in Việt Nam. They are particularly interested in products with high added value and have a strong desire to explore opportunities related to highways, airports, seaports, industrial parks and more in Quảng Ngãi.

In her closing remarks, Bùi Thị Quỳnh Vân, chairwoman of the Quảng Nam People’s Council, expressed her confidence that with the province’s dedication and determination, the conference will open up various prospects for cooperation which will attract substantial investment resources to jointly create new successes and prosperity for the locality, community and businesses.

At the event, an exhibition space for Quảng Ngãi was also available for delegates, with nine exhibitions featuring the landscape and achievements of the province.

Moreover, memoranda of understanding were signed between the Department of Planning and Investment of Quảng Ngãi Province and the Hong Kong Business Association in Vietnam (HKBAV), as well as between the Management Board of the Dung Quất Economic Zone and industrial parks of Quảng Ngãi Province, and the Investment Information and Advisory Center (INVEST GLOBAL) under the Association of Foreign-Invested Enterprises (VAFIE).

Lâm Đồng seeks to promote exports of key products to the UK

The Central Highlands Province of Lâm Đồng is striving to accelerate exports of advantaged items such as tea, coffee, passion fruit, macadamia, avocado, durian and silk-made products to the United Kingdom.

Vice chairman of Lâm Đồng People’s Committee, Phạm S, said that with existing potentials and advantages, his province enjoyed many opportunities to expand cooperation with localities in the UK, especially after the UK-Việt Nam Free Trade Agreement (UKVFTA) came into force on May 1, 2021.

He suggested localities, associations, organisations and businesses of the UK strengthen cooperation with his locality in trade, investment and tourism promotion and promote consumption of the mentioned products in this lucrative market during a seminar in the West Midlands region of the UK earlier this month.

Over the past years, the trade, investment and tourism cooperation between Lâm Đồng Province and the UK has continuously developed.

Lâm Đồng is now home to four valid Britain-invested projects with a total registered capital of over VNĐ4.1 trillion (US$172.5 million), accounting for 31.7 per cent of the total foreign investment pledged in the province.

In 2022, the province exported about $7.67 million worth of goods to the UK, with major staples including coffee, vegetables, raw materials and garment products. It also spent $2.1 million on importing goods from the UK.

Last year, it welcomed nearly 5,700 British visitors. In the first nine months of this year, 4,500 British visitors arrived in the locality. This figure is expected to increase significantly soon.

For sustainable development in the integration period, Lâm Đồng invited foreign businesses, especially those from the UK, to come to learn and invest in the advantageous areas of the province on the principle of win-win cooperation, contributing to creating a breakthrough and promoting its economy to develop quickly and sustainably, local authorities said.

They added that the province is promoting administrative reform to create breakthroughs in improving the business investment environment and accompany and resolve difficulties and problems of investors, including UK ones.

SeABank to issue 42 mln ESOP shares

Southeast Asia Commercial Joint Stock Bank (SeABank) plans to issue shares under the 2023 Employee Stock Ownership Plan (ESOP) for more than 2,000 staff members.

This is the fourth time SeABank has introduced ESOP for employees, creating motivation to work effectively, increasing benefits for employees and connecting personnel.

The bank will release a maximum of 42 million ESOP shares at a preferential price of VNĐ12,000 a share (US$0.49 a share) to more than 2,000 qualified managers and employees, according to the roadmap approved by the 2023 Annual General Meeting of Shareholders. The shares will be freely transferable at 50 per cent after a year and 100 per cent after two years of ownership.

Rising oil prices lifting prospects of oil, gas companies

Soaring crude oil prices positively affect the production and business activities of many oil and gas enterprises.

The conflict between Hamas and Israel is fuelling oil supply disruption fears, pushing Brent crude to higher levels.

Brent crude futures were traded at US$87.61 a barrel at 13:10 (local time) on Wednesday, up 22.2 per cent from the bottom hit in June. Brent rose over 1 per cent last week, a second straight weekly gain.

Previously, Brent crude fell below $75 per barrel in June.

According to MB Securities Company (MBS), crude oil demand is expected to grow during 2023 – 2024, while supplies are tightening as the Organisation of the Petroleum Exporting Countries (OPEC) extended production cuts and inventories in member countries remained at low levels.

On the other hand, other economic and geopolitical factors can keep oil prices hovering at high levels. Brent oil prices could reach $93 a barrel in the fourth quarter of 2023 and $92 per barrel in 2024.

Domestically, shares of many oil and gas companies reacted positively to the rallies of the international oil prices.

However, strong corrections that recently weighed on the market negatively affected the stock group.

“Recently, oil prices have been trending higher due to the conflict between Hamas and Israel. However, given the current macro situation and stock market fluctuations, I think it will be difficult for oil and gas stocks to break out in the short term,” Lê Xuân, a HCM-based independent trader, told Việt Nam News.

“In the medium and long term, it will depend on many factors such as the foundation of the business, the recovery of the oil market, and the progress of projects.”

On Tuesday, most of the ticker symbols in the oil and gas group, except for PV Gas (GAS), closed lower, down in a range of 0.18-1.47 per cent, but they gained from the beginning of the year.

Particularly, PetroVietnam Drilling & Well Services Corporation (PVD) jumped 50 per cent from the beginning of the year to trade at VNĐ27,600 a share on Tuesday. Shares of PetroVietnam Technical Services Corporation (PVS) also soared nearly 66.4 per cent to VNĐ38,100 per share, while Petrovietnam Transportation Corporation (PVT) and Bình Sơn Refining and Petrochemical Company Limited (BSR) increased by 44 per cent and 43.3 per cent, respectively.

GAS was the only ticker symbol that saw a slight decline of 3.6 per cent from the beginning of 2023 to VNĐ81,200 a share.

Technology and innovation keys to economic development: conference

Việt Nam’s successful digital transformation and innovation require a synergy of technology, institutions and skilled labour, heard participants at a conference on how to spur the development of technology and innovation yesterday in Hà Nội.

Speaking at the event, Politburo member Prof Nguyễn Xuân Thắng said the key to speeding up the country’s socioeconomic development lies with technology and innovation, especially Việt Nam’s digital transformation process, which will improve the country’s living standards as well as its ability to compete on international markets.

He said education, training and science have been among the top priorities of the Vietnamese government in recent decades. Việt Nam’s significant investments in research and development activities have started producing promising results as the country steadily moved up the ranking of the Global Innovation Index. In 2023, Việt Nam ranked 46/132 in the index, one of only 7 middle-income countries that have made remarkable progress in the last decade.

Challenges and limitations remained, however, as there is still a large technological gap between Việt Nam and developed countries, Thắng said.

In order to turn innovation and science into sustainable, long-term economic drivers, greater efforts are required to speed up the country’s digital transformation process including the establishment of the digital economy, eGovernment and information infrastructure.

In addition, he urged the business community to take an active role in spearheading science and technology development. On its part, he said the Vietnamese government has been and will continue to provide all the required support and legal frameworks to help businesses, especially startups, minimise risk and ensure success. He also stressed the importance of building a young and skilled labour force.

At the conference, scientists and economists from within and outside the country gathered to share opinions and discuss methods to help bolster science and technology activities in Việt Nam.

They advised the government to conduct a comprehensive review of the current laws and regulations to identify issues hindering the development of science and technology.

In addition, they called for greater support from the government in promoting an innovative working culture and learning from international success stories. They said it’s high time Việt Nam took measures to enhance its capacity to absorb and master advanced technologies.

The conference, co-organised by the Hồ Chí Minh Academy and the Paris-based Association of Vietnamese Scientists and Experts (AVSE), is a biannual event aimed at connecting Vietnamese scientists around the world and gathering inputs on how to address and improve Việt Nam’s economic development.

Experts warn of deepfake scams

The growth of deepfake crime has become a major concern as technology development continues to reshape the social media and traditional media landscapes, experts said.

According to Kaspersky research based on darknet forums that cybercriminals frequent online, demand for deepfake content considerably surpasses the supply.

Kaspersky’s experts predict that deepfake scams will increase with a range of more delicate and high-quality techniques. These vary from offering a premium impersonation video with full production service to promising double cryptocurrency payments sent to scammers through broadcasting fake live streams on social media platforms using footage of celebrities.

“Deepfake has become a nightmare for women and society as a whole. Cybercriminals now exploit AI to swap the victim’s faces for pornographic photos and videos as well as in misinformation campaigns. These techniques aim at manipulating the public’s opinion by disseminating false information or even damaging an organization’s or an individual’s reputation. We urge the public to be vigilant against this type of threat,” said Võ Dương Tú Diễm, Territory Manager for Vietnam at Kaspersky.

According to Regula, an information reference system, up to 37 per cent of organisations worldwide have encountered deepfake voice fraud, and 29 per cent were the victims of deepfake videos. Additionally, deepfake is a rising cybersecurity threat in Việt Nam, where cybercriminals often use deepfake video calls to impersonate individuals and ask their relatives and friends for huge loans in urgent situations. Furthermore, a video call deepfake can be conducted in only one minute, so the victims find it difficult to distinguish between genuine and phony calls.

Although cybercriminals have abused AI for malicious purposes, individuals and organisations may still utilize AI in the deepfake detection process to minimise hazards.

Kaspersky shares solutions for users to protect themselves from deepfake scams, including using AI content detection software that utilizes advanced AI algorithms to analyze media and determine whether an image, video, or audio file has been manipulated; and by using an AI-powered watermarking technique.

The AI-powered watermarking technique acts as a copyright symbol to protect the author’s AI creations. This technique adds a unique signature to images and can be a powerful weapon against deepfake products as it can help trace the source of the AI-generated tool, it said.

In addition, users need to apply solutions for content provenance traces and video authentication.

Video authentication is a process that specifies that content in a video is authentic and the same when generated. Some emerging techniques use a cryptographic algorithm to insert hashes at set intervals during a video. If the video has been manipulated, the hashes will be altered, it added. 

Electricity imports from Laos could ease shortages

The Ministry of Industry and Trade has asked Electricity of Vietnam (EVN) to import electricity from Laos to ensure sufficient power for next year.

According to the Ministry of Industry and Trade, a serious power lack occurred in the northern region between May and June, causing rolling power blackouts. Long droughts and the sluggish pace of many power projects were blamed for the problem.

From June 23, the situation has improved as it has rained more, helping to facilitate hydropower plant operations.

From now to the year-end, electricity may be basically ensured to meet households and business activities.

However, EVN forecasted that the northern region would continue facing power shortages in the summer of 2024.

The Ministry of Industry and Trade has asked EVN to speed up electricity projects, particularly the 500kV project linking the central province of Quang Binh and the northern province of Hung Yen. EVN also needs to import power from Laos to ease the shortage.

PetroVietnam and Vinacomin have been instructed to ensure coal for electricity production.

Vietnam’s 500 most profitable businesses announced

Vietnam Report JSC and online newspaper Vietnamnet on Ocotber 26 organised a ceremony to announce a list of the 500 most profitable companies (PROFIT500) and top 10 prestigious firms in food-beverage-retail-packaging in 2023.

The top ten companies in the list are Vietnam Oil and Gas Group (Petrovietnam), Samsung Electronics Vietnam Thai Nguyen, Viettel Military Industry and Telecoms Group, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), Vietnam Technological and Commercial Joint Stock Bank (Techcombank), PetroVietnam Exploration Production Corp, Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV), Military Commercial Joint Stock Bank (MB), Vietnam Bank for Agriculture and Rural Development (Agribank), and Vietnam Prosperity Joint Stock Bank (VP Bank).

The top ten prestigious food companies in the year are Nestle Vietnam Company Limited, Mondelez Kinh Do Vietnam JSC, Orion Food Vina Company Limited, Herbalife Vietnam Single Member Limited Liability Company, Thanh Thanh Cong – Bien Hoa JSC, Quang Ngai Sugar JSC, Hoang Mai Trade and Production Company Limited, Perfetti Van Melle Company Limited (Vietnam), Bibica JSC, and Long Hai Company Limited.

At the ceremony, General Director of Vietnam Report Vu Dang Vinh highlighted that amidst the global economic downturn, the Vietnamese economy has showed signs of recovery, resulting in improved business and production activities of many enterprises.

The domestic businesses’ efforts have made significant contributions to the Vietnamese economy during tough time, he said, underlining the ceremony aims to honour the firms with effective operation, good profit, and substantial contributions to the food-beverage-retail-packaging sectors.

The ceremony also served as a launcher to help Vietnamese brands reach out to customers far and wide, he added.

Forum bolsters OECD-Southeast Asia Partnership

The Organisation for Economic Cooperation and Development (OECD) – Southeast Asia Ministerial Forum 2023 was organised under the theme of “Sustainable and Quality Investment: New Momentum for OECD- Southeast Asia Partnership” in Hanoi on October 26. 

As the most important event of the OECD-run Southeast Asia Regional Programme (SEARP) in 2023, the forum drew the participation of Vietnamese Deputy Prime Minister Tran Luu Quang, OCED Secretary-General Mathias Cormann, Vietnamese Minister of Foreign Affairs Bui Thanh Son and more than 200 ministers, deputy ministers, ambassadors and representatives from 48 OECD member states and Southeast Asian countries, and many scholars, experts and business community.

In his speech, Deputy Prime Minister Quang said that although Southeast Asia has many advantages in FDI attraction, the region is facing an array of challenges, especially in luring quality and sustainable investment; therefore it is necessary to promote linkages and effective partnership between regions, countries and enterprises.

Highlighting Vietnam’s socio-economic development achievements after nearly four decades of “Doi moi” (Renewal), Quang reaffirmed that foreign investment is an important component of the Vietnamese economy, and the Vietnamese Government is committed to accompanying investors to protect their legitimate rights, and create a sound business climate for them to expand production and business in Vietnam. 

He went on to outline five main cooperation orientations to strengthen investment collaboration between regions, with the first being promoting policy consultancy, technical support and experience sharing with Southeast Asian countries in building institutions and improving national governance capacity in sustainable investment.

Second, it is a must to create motive for investment cooperation in sustainable development in emerging and key fields such as energy transition, green growth, digital economy, circular economy and eco-agriculture.

Third, stakeholders should join hands to set up platforms for sustainable investment in the region.

Fourth, it is necessary to establish sustainable and quality investment models.

Fifth, the Deputy Prime Minister called for unceasingly consolidating a peaceful and stable environment for cooperation development which he said is a prerequisite factor.

At the forum, participants hailed Vietnam’s role as the Co-chair of the SEARP, while underscoring the forum’s significance to promoting inter-Governmental and inter-regional cooperation in realising common development goals which help promote the strengths of the OECD member states, and meet the needs and interests of Southeast Asian countries.  

The OECD countries reaffirmed the strategic importance of the Southeast Asian region in the OECD’s global policy, and committed to supporting the Southeast Asian nations in boosting inclusive, sustainable and quality investment, and promoting green transition and digital transformation for inclusive and sustainable development.

In his closing remarks, Vietnamese FM Bui Thanh Son underlined that enhancing sustainable and quality investment should become a driver for the OECD-Southeast Asia partnership, while stakeholders should give priority to new cooperation areas such as green transition and digital transformation.

Furthermore, cooperation between regions should be elevated, and implementation of the OCED’s strategic framework for the Indo-Pacific should be made in tandem with the ASEAN’s outlook on Asia-Pacific, he added.

A Vietnam – OECD investment forum will be organised in Hanoi on October 27 within the framework of the SEARP.

Roundtable talks orientation of investment flows to secure sustainability

How to orient investment flows to the right direction so as to secure fast and sustainable development for countries was the focus of a business roundtable held in Hanoi on October 26.

The event was part of a series of meetings of the Organisation for Economic Cooperation and Development (OECD) – Southeast Asia Business Network, within the framework of the OECD Southeast Asia Ministerial Forum 2023 held by the Vietnam Chamber of Commerce and Industry (VCCI), the Ministry of Foreign Affairs, the OECD, the ASEAN Business Advisory Council (ASEAN BAC), and relevant organisations.

VCCI Chairman Pham Tan Cong pointed out that the world is changing fast and complicatedly with unprecedented developments. As climate change has caused considerably negative impact on the planet’s development and survival, climate actions have become a direction in the development strategy of every country and region. Each country, organisation, and business is exerting efforts to harmonise economic growth and energy consumption increase with greenhouse gas emission reduction.

In that context, sustainable investment attraction is an important target that has great influence on the development of each country, especially Southeast Asian ones, he noted.

Cong said green growth, circular economy development, and net zero emissions by 2050 are priorities of Vietnam in the coming time. To that end, the country is focusing on perfecting the legal framework for green growth and digital transformation and accelerating energy transition. This process depends on not only businesses’ efforts or the State’s assistance but also support from people and the official and last beneficiaries of value chains.

Addressing the event, Reema Bhattacharya, head of Asia Risk Insight at global risk intelligence company Verisk Maplecroft, said despite massive efforts and finance invested in the programmes aimed at realising the Sustainable Development Goals, observable results from businesses haven’t been recorded. This is a challenge and also a chance for OECD member countries to further boost actions in the future.

There is still a lack of a framework or a method for assessing and measuring risk levels in the building of socio-economic development strategies in each country. This work needs to be carried out seriously and substantively so that investors can gain a panorama before conducting proper and feasible shift of their investment flows, she added.

Dang Thuy Ha, Deputy General Director of the Traphaco JSC, said that during the two years of the COVID-19 pandemic, businesses have become further aware of positive impact of sustainability-oriented production and business models. Sustainability is not only the “lodestar” for businesses’ development in normal conditions but also acts as the “anchor” for companies to stay firm and the “helm” for them to adapt to and recover from the “tsunamis” of crises.

Like many other businesses of OECD member countries, Traphaco hopes for reforms in proper policies and partnerships as a demonstration of the cooperation commitment within the OECD, she added.

Vietnam attends Asian int’l travel trade show in Singapore

Vietnamese travel agencies are attending ITB Asia 2023 – the leading travel trade show of Asia which kicked off at Marina Bay Sands, Singapore on October 25.

The 16th event of this kind sees the participation of over 80 tourism agencies and organisations, and over 1,800 international and regional exhibitors.

The Ho Chi Minh City Department of Tourism has collaborated with the Vietnamese Embassy in Singapore to arrange a pavilion to promote tourism in Vietnam and HCM City in particular to Singaporean businesses, contributing to expanding trade connections between the two sides.

Other Vietnamese exhibitors are units from the southern province of Binh Phuoc and the central city of Da Nang, national flag carrier Vietnam Airlines, Vinpearl, Viettravel, Saigon Tourist, Ben Thanh Tourist, TST Tourist, SacoTravel, Lua Viet Tours, Footsteps Indochina Travel, and Saigon Global Travel.

They are introducing diverse products of Vietnam such as healthcare tourism, culture-history tourism, Golf tourism, Bleisure and MICE tourism, study tourism, and eco-tourism at the three-day event.

According to Vietnamese Ambassador to Singapore Mai Phuoc Dung, the event offers a good chance for Vietnamese firms to connect and seek cooperation opportunities, as well as learn from Singapore’s experience in organising regional and international events.

Deputy Director of the HCM City Department of Tourism Le Truong Hien Hoa said through the event, the city’s tourism sector hopes to attract more tourists from Southeast Asia.

Poh Chi Chuan, Executive Director of Exhibitions & Conferences at Singapore Tourism Board (STB) said after the COVID-19 pandemic, Vietnam is one of the tourism destinations recording high growth in the region.

Both Vietnam and Singapore have recorded a tourism rebound, and the two sides have many opportunities to foster cooperation in this area, he said.

Vietnam’s rich culture, cuisine, and natural attractions make it an attractive destination for travelers around the world, he stressed.

According to the HCM City department, Singapore is one of the significant markets for Vietnamese tourism as it has consistently been among the top 10 tourist sources for Vietnam in recent years. Vietnam welcomed nearly 310,000 Singaporean tourists in 2019, and 178,861 last year.

Vietnam seeks stronger trade, investment ties with French region

Vietnamese Ambassador to France Dinh Toan Thang and trade and investment representatives of Vietnam in the European country had a meeting with leaders of the French employers’ association in Corsica region (MEDEF Corsica) in Ajaccio city and attended a seminar with representatives of the Chamber of Commerce and Industry (CCI) of Corsica in Bastia city during their trip to the island from October 23-25.

During the working sessions, Ambassador Thang highlighted promising cooperation areas between Vietnam and Corsica, affirming that Vietnam always welcomes businesses from Corsica to seek trade and investment opportunities in Vietnam, especially in sustainable development areas, green economy and tourism.

He told the French side about Vietnam’s priorities in international economic cooperation, which are strengthening cooperation for sustainable
development basing on science, technology and innovation, deepening Vietnam’s engagement in regional and global value chain, and boosting digital, green and circular economy.

The diplomat pledged to support Corsica and localities of Vietnam to foster collaboration within the decentralisation partnership.

Leaders of MEDEF Corsica and local businesses hailed the visit by the Vietnamese delegation, which, they believed, will open up new development direction for economic, trade and investment cooperation between Corsica and Vietnam.

MEDEF Corsica President Jean-Louis Albertini said that Corsica is a promising land with many strengths, especially in food processing.

He affirmed that the region hopes to make use of the long-lasting relations between the two sides to promote economic partnership between the two countries.

CCI Director Jean François Paoli said that the visit makes first steps towards a new partnership between Vietnam and Corsica in not only culture but also economy, especially tourism, and renewable energy.

Christian Giudicelli, Director of Voltaica, a company specialising in solar energy, said that he is interested in the Vietnamese market and hopes
to install its first solar power plant in Vietnam in the next three years.

Dao Quoc Cuong, Vietnamese investment representative in France said that many businesses of Corsica have shown their interest in Vietnam, especially those in the field of energy.

During their stay in the French island, Ambasador Thang and the Vietnamese delegation toured a number of local production and business facilities which boast high potential of cooperation with Vietnam.

Japanese firms interested in Ha Nam’s business climate

A delegation from Japan’s Gunma prefecture, which was joined by 29 enterprises from different sectors, visited Ha Nam on October 26 to study the northern province’s investment climate.

At a working session with the provincial authorities, Governor of Gunma Yamamoto Ichita said the Japanese firms want to know more about the local sectors of digital technology, digital transformation, processing and manufacturing industries, healthcare, and human resources training.

He proposed Ha Nam support the group in studying and investing in the locality.

The province has designated an industrial park for Japanese investors with comprehensive infrastructure and quality services, said Chairman of the provincial People’s Committee Truong Quoc Huy. 

Huy expressed his hope for more investors and businesses from the prefecture to channel their capital into the province’s priority areas like industrial processing and manufacturing, high-tech farming, tourism, services, healthcare, education, and human resources training.

A total of 110 Japanese enterprises are investing in Ha Nam, with their registered capital amounting to nearly 2 billion USD. Gunma has 56 businesses currently operating in Vietnam, including one investing in the province’s Dong Van II industrial park.

Nam Dinh calls for Italian investment in maritime, green economy

A delegation from the northern province of Nam Dinh, led by Secretary of the provincial Party Committee Pham Gia Tuc, paid a working visit to Italy from October 25-26, aiming to call for Italian investment in maritime economy and green economy.

At a conference on Vietnam-Italy partnership in the maritime economy and green economy with the highlight being Nam Dinh, Tuc said that the province always welcomes investors, especially those from Italy, to explore the local investment environment and opportunities. Nam Dinh province considers the success of investors as its own, he said.

Meanwhile, Vietnamese Ambassador to Italy Duong Hai Hung said that the presence of Nam Dinh leaders and representatives from localities in the central and southern regions of Italy, and many local businesses at the conference showed great demands and potential of cooperation between the two sides in the context that relations between Vietnam and Italy have been growing fruitfully after 50 years of establishment.

The diplomat expressed his hope that the two sides will specifically evaluate their partnership potential, thus fostering the collaboration between Nam Dinh and Italy, especially in areas of green economy, maritime economy and digital economy.

Introducing the investment environment of Nam Dinh, Permanent Vice Chairman of the provincial People’s Committee Tran Anh Dung said that the province has a strategic location, abundant workforce, stable economic growth, competitive production costs, open administrative procedures, and huge industrial land reserves.

Nam Dinh is prioritising high-quality foreign investment projects with high, new and environmentally-friendly technologies, modern governance, high added value and strong influence, and high efficiency in connecting global production and supply chains, he said.

Dung said that Nam Dinh sees investors as its honourable citizens, while standing ready to provide them with all information they need, protecting their ownership of assets, investment capital, and legal incomes, and supplying them with necessary infrastructure systems.

For his part, President of the Regional Council of Puglia Cera Napoleone said that the visit by the Nam Dinh delegation and the conference provided chances for Puglia and Nam Dinh to strengthen partnership, enabling the region to access Vietnam and Asia, one of the markets that the region is interested in, especially in the fields of maritime economy and green economy.

He noted that the maritime economy accounts for 5.5% of the region’s total economic production. Currently, an important priority of the Puglia region is to comprehensively promote marine economic awareness and capacity for local administrations, ministries, businesses, and workforces, Napoleone said.

He said that Puglia is emerging as Italia’s important hub of aviation, automation, mechanical engineering, renewable energy, and marine economy. The region can cooperate with Nam Dinh and Vietnam in the fields of sustainable exploitation of oil and gas, renewable energy such as offshore wind power, aquaculture and fishing, marine tourism, capacity building and professional knowledge on maritime management, biodiversity conservation, and marine environment protection.

Director of the Tourism Department of Prato city in Toscana region Gabrielle Bosi said that the city signed a twinned agreement with Nam Dinh in 1975, and has shared historical, cultural and people-to-people connections as well as high cooperation potential with Vietnam. The conference was a chance for the two sides to re-connect and strengthen their friendship, he said, affirming that his city hopes to welcome more delegations and businesses of Nam Dinh.

Over the years, locality-to-locality cooperation has been a highlight in the Vietnam-Italy partnership, with the establishment of many twinned relations, including between Hanoi and Lazio and Roma; Binh Duong and Binh Phuoc provinces and Emilia Romagna region; Ba Ria-Vung Tau and Yen Bai provinces and Veneto; and Lam Dong with Como.

Workshop talks sustainable shrimp industry

Experts proposed solutions and technologies to reduce emissions in shrimp farming and processing at a workshop in the Mekong Delta province of Bac Lieu on October 26.

The event was jointly held by the UN Development Programme (UNDP) Vietnam, the Ministry of Agriculture and Rural Development (MARD) and the provincial Department of Agriculture and Rural Development.

It formed part of the “Accelerating private sector engagement in climate-resilient and low-emission investment opportunities in Vietnam’s nationally determined contribution (NDC)” project rolled out by the MARD and the UNDP in the south-central province of Binh Thuan and Bac Lieu since 2021.

The workshop is expected to boost the connectivity between shrimp farmers and cooperatives, businesses, processing facilities, and management agencies towards the low-carbon, sustainable, and climate-resilient production.

Nguyen Do Anh Tuan, Director of the MARD’s International Cooperation Department, said the ministry is completing procedures to join the Emirates Declaration on Resilient Food Systems, Sustainable Agriculture, and Climate Action, expected to be approved at the 28th UN Climate Change Conference of Parties (COP28) in December 2023.

Nguyen Trung Hieu, Deputy Director of the Bac Lieu Department of Agriculture and Rural Development, briefed the participants on the province’s agricultural policies towards reducing greenhouse gas emission, developing renewable energy development.

The participating experts presented initial results of the building and implementation of shrimp chain management software under the project in Bac Lieu. They also looked into orientations for shrimp export and domestic consumption in the time ahead.

Deputy Resident Representative of UNDP Vietnam Patrick Haveman stressed that the Mekong Delta boasts substantial potential to restructure shrimp production and supply chains with high values.

He suggested the MARD put forth mechanisms to encourage small and medium-sized farms to strengthen cooperation to produce organic, ecological shrimp products in the Mekong Delta, saying local authorities should also help them in origin and carbon footprint traceability for those products, thus expanding stable supply of high-quality shrimp for upscale supply chains for both domestic and foreign markets.

According to the national action plan on Vietnam’s shrimp industry development, the total brackish water shrimp farming area is expected to reach 750,000 hectares by 2025, and the farmed shrimp output is set at over 1 million tonnes.

The sector aims to earn 10 billion USD from exports by that time as compared with 4.3 billion USD last year.

Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes