Hanoi: The Ministry of Industry and Trade (MoIT) has ordered local firms to ensure sufficient supply of goods of affordable prices for the upcoming Tet (Lunar New Year) holiday, as demand on this occasion is forecast to increase 10% from the same time last year.
Businesses have rushed to stockpile essential items, with the volume of inventory rising 10-25% year-on-year. They have committed to launching an array of price stabilisation and promotion programmes in the runup to Tet.
Affordable goods available
Vissan Joint Stock Company, which processes and sells fresh and frozen meat and other foods, plans to provide the market with nearly 1,100 tonnes of fresh products and 3,800 tonnes of processed ones. Besides, it has increased stockpiling by 10-20% in anticipation of the scarcity of goods and rolled out 10-20% discount programmes on weekends, and will even offer an up to 30% discount on the days leading up to Tet.
Right in September 2023, renowned retailers such as GO!, Big C and Tops Market signed deals
with their partners to increase the supply of Tet commodities by 20%. They have carried out the ‘price lock’ programme on more than 10,000 consumer goods, and launched attractive discounts on over 50% of their high-quality products. Additionally, over 3 billion VND (122,500 USD) worth of awards is up for grabs in the supermarkets’ lucky draws.
Meanwhile, the Co.opmart supermarket chain has made meticulous preparation for the Tet season, with the amount of foods stocked up rising 30% year-on-year. As top priority is given to promote Vietnamese brands, Co.opmart has arranged shelves to introduce ‘One Commune, One Product’ goods.
Experts said Tet is a golden time for food businesses as customers are in good mood to splurge on items like confectionary. Currently, domestic producers are making concerted efforts to improve product quality and brand with competitive prices so as to meet the market demand and win the lion share in the domestic playground.
Orion Food Vina Company Limited will supply the market with
32,000 tonnes of confectionery at rational prices, up 5-10% from the previous Tet season. Meanwhile, the Hanoi Confectionery Joint Stock Company plans to sell 350 tonnes of goods stable prices although input costs pick up 5-12%.
High expectation for purchasing power
An array of products at stable prices are available at large supermarkets like Co.opmart, Big C, and Aeon, who are ‘holding their breath’ for the increases in the purchasing power.
They have been concerned about the market fluctuation after seeing shopping demand for the year-end season expand only 10-15% as compared to the normal days, which forced them to accelerate promotion and reduce profit on several product lines to ensure the set consumption plans.
As part of the efforts to encourage locals’ spending, competent ministries, sectors, and authorities have carried out trade promotion programmes, and the ‘Vietnamese people prioritise Vietnamese goods’ campaign.
The MoIT has directed market management authorities in localities to enhance in
spection and handle violations of speculation of goods during Tet season.
According to Acting Deputy Director of the Hanoi Department of Industry and Trade Tran Thi Phuong Lan, local enterprises have outlined plans to serve the demand for Tet commodities, with total necessary goods on supply valued some 40.9 trillion VND, up 10% from the previous season.
In Ho Chi Minh City, credit institutions have set aside around 9 trillion VND in loans with short-term interest rates of 4-6% for enterprises to carry out the market stabilisation programme for the Tet holiday./.
Source: Vietnam News Agency