Category: Business

Hanoi: This year is forecasted to be the second consecutive year that Vietnam’s rice exports exceed 8 million tonnes, bringing in about 5 billion USD.

The global rice supply is decreasing, and countries such as the Philippines, Indonesia, China and some other markets are all increasing rice imports to ensure food security, which creates opportunities for Vietnamese rice export this year.

After many fluctuations in supply and price last year, global rice trade continues to be “hot” from the beginning of this year.

Limited supply due to unfavourable weather, exports being banned or restricted in some countries, increased import demand in many markets, and Red Sea tensions are the main reasons why the rice market heats up this year.

Global ending inventories for the 2023-2024 crop year are forecast at more than 167 million tonnes, down 8.6 million tonnes compared to the previous crop year and the lowest inventory in the past six crop years.

India, the largest exporting country, with more than 20 million ton
nes of rice per year, has applied policies restricting rice exports since the middle of last year.

Many countries have turned to finding alternative sources of rice supply, especially from Southeast Asia, creating opportunities for Vietnamese rice to increase exports, as well as get good export prices.

Vietnam’s rice exports earned more than 4 billion USD last year, with earnings expected to rise even more this year.

Nguyen Anh Son, Director of the Agency of Foreign Trade under the Ministry of Industry and Trade (MoIT), analysed that Vietnam’s rice industry has had remarkable growth through strong transformation in both production and export. The growth in output, product quality and improved production processes have helped expand the market and enhance the position of Vietnamese rice in the international market.

Selective markets such as Europe, the US, the Republic of Korea and some new markets in the Middle East tend to favour high-quality Vietnamese rice.

The MoIT requests localities and rice indust
ry business associations to share information and propose solutions in market development, with close co-ordination between units under the ministry and Vietnamese trade offices abroad in building and implementing practical, effective trade promotion activities to support rice industry enterprises in exploiting diverse export markets, building and enhancing the Vietnamese rice brand.

The Philippines can import up to 4.1 million tonnes of rice this year, up from the previous forecast of 3.9 million tonnes. Its rice imports soared due to the drought affecting domestic rice output.

China was Vietnam’s third largest rice import partner last year, with output of 917,255 tonnes, turnover of more than 530 million USD, with an average price of 578 USD per tonne.

It is predicted that this year, this market will increase rice imports to balance import and production to ensure food security, possibly exceeding the figure of more than 900,000 tonnes last year, while export price also has room for further increases.

T
he Voice of Vietnam (VOV) online newspaper quoted Nguyen Ngoc Nam, Chairman of the Vietnam Food Association, as saying that the association recommended that the MoIT strengthened information on import and export data this year, to balance rice supply and demand of the parties favourably.

He also recommended conducting market research to conduct trade promotion programmes in markets, to promptly update information about rice exporters to best orient exports.

Also vital are efforts to research and negotiate to sign preferential trade agreements with a number of potential markets to take advantage of the progress of the agreements that have been put into effect and request partners to open up more, increasing Vietnam’s rice quota.

Finally, there is the work of raising awareness of traders implementing free trade regulations to ensure sustainable production and export in Vietnam.

With timely support policies from the Government, ministries and branches, and solutions to open the market, circulate goods and pr
omote production, the export of rice has recorded a number of positive results, contributing to the consumption of rice and commodity rice at prices favourable to farmers.

Rice prices in Indonesia soared early this year due to a serious supply shortage.

Indonesia has experienced eight consecutive months of rice supply shortage compared to demand as of February this year, with rice scarcity in supermarkets, while in the Philippines the Department of Trade and Industry (DTI) has asked people to switch to buying rice with stabilisation prices to avoid rice prices rising too high in the free market.

Despite being one of the primary supply sources for Senegal, a country with one of the highest per capita rice consumption rates in West Africa, Vietnam’s rice exports to this nation remain modest.

According to the Vietnam Trade Office in Algeria and Senegal, Vietnam shipped 12,000 tonnes of rice to Senegal last year, resulting in a turnover of 5.35 million USD, up 215% year-on-year. However, the amount is small c
ompared to the African country’s purchase of 1.3 million tonnes of rice in that year.

Senegal imports between 900,000 and 1 million tonnes of the grain annually, mostly low-priced 100 per cent broken rice. Its main suppliers include India, Thailand, China, Pakistan, Uruguay and Vietnam. Apart from serving the domestic market of over 18 million people, the country also imports rice for re-export to neighbouring Mauritania, Guinea-Bissau and Gambia.

In the context of scarce supply and Senegal gearing up for presidential elections this year, it is likely that the nation will increase imports of broken rice from Asia.

In the first two months this year, rice exports reached 920,000 tonnes, worth 640 million USD, up 2.1% in volume and 35.2% in value compared to the same period last year, which is a very positive sign in the context of global rice supply being tightened.

Vietnamese rice is currently present in more than 180 countries and territories, including demanding markets such as Europe, the US, the Republ
ic of Korea and Australia./.

Source: Vietnam News Agency

Hanoi: A Vietnam – Canada business forum was held in Hanoi on March 25, aiming to enhance the bilateral economic relations via the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In his opening remarks, Vice Chairman of the State Committee for Overseas Vietnamese (OV) Affairs under the Ministry of Foreign Affairs Nguyen Manh Dong highlighted that OVs and OV businesses have unceasingly developed and affirmed their positions in foreign countries over the past time.

The Vietnamese entrepreneur community, which has been present in 130 countries and territories across the globe with 30 associations, has worked as bridges promoting economic-trade ties between Vietnam and other nations, he said, laying a stress on the contributions made by Vietnamese enterprises in Canada to consolidating and boosting the Vietnam – Canada Comprehensive Partnership in all areas, especially when both nations are members of the CPTPP.

He went on to point out that the Vietnam – Canada Business Associati
on (VCBA) has organised various trade and investment promotion activities in both nations.

Dong expressed his hope that the forum would create opportunities for competent quarters to contribute to delivering on the goals of the two nations under their comprehensive partnership as well as the trade pact.

At the event, participants discussed and introduced potential and opportunities of Vietnamese exports in the fields of construction, garment and textiles, footwear, furniture, steel and machines, among others to Canada and the North American market as a whole.

They held that Vietnam has effectively capitalised on the CPTPP to bolster shipments to Canada where Vietnamese goods are entitled to the Most Favoured Nation (MFN) tariff and Generalised System of Preferences

However, several businesses described stringent requirements and trade barriers in Canada and the North American market as challenges for Vietnamese exporters.

The VCBA was set up in October 2022 under the direction and accompany of the Vietna
m Consulate General in Vancouver. The association has connected Vietnamese and Canadian entrepreneurs with a desire to run business and land investments in the two countries, helping enhance the bilateral economic ties./.

Source: Vietnam News Agency

Hanoi: A Vietnam – Canada business forum was held in Hanoi on March 25, aiming to enhance the bilateral economic relations via the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In his opening remarks, Vice Chairman of the State Committee for Overseas Vietnamese (OV) Affairs under the Ministry of Foreign Affairs Nguyen Manh Dong highlighted that OVs and OV businesses have unceasingly developed and affirmed their positions in foreign countries over the past time.

The Vietnamese entrepreneur community, which has been present in 130 countries and territories across the globe with 30 associations, has worked as bridges promoting economic-trade ties between Vietnam and other nations, he said, laying a stress on the contributions made by Vietnamese enterprises in Canada to consolidating and boosting the Vietnam – Canada Comprehensive Partnership in all areas, especially when both nations are members of the CPTPP.

He went on to point out that the Vietnam – Canada Business Associati
on (VCBA) has organised various trade and investment promotion activities in both nations.

Dong expressed his hope that the forum would create opportunities for competent quarters to contribute to delivering on the goals of the two nations under their comprehensive partnership as well as the trade pact.

At the event, participants discussed and introduced potential and opportunities of Vietnamese exports in the fields of construction, garment and textiles, footwear, furniture, steel and machines, among others to Canada and the North American market as a whole.

They held that Vietnam has effectively capitalised on the CPTPP to bolster shipments to Canada where Vietnamese goods are entitled to the Most Favoured Nation (MFN) tariff and Generalised System of Preferences

However, several businesses described stringent requirements and trade barriers in Canada and the North American market as challenges for Vietnamese exporters.

The VCBA was set up in October 2022 under the direction and accompany of the Vietna
m Consulate General in Vancouver. The association has connected Vietnamese and Canadian entrepreneurs with a desire to run business and land investments in the two countries, helping enhance the bilateral economic ties./.

Source: Vietnam News Agency

Hanoi: Visa, a global leader in digital payments, has provided its insights into Vietnam’s payment landscape with its latest Consumer Payment Attitudes study that highlights the surge in cashless transactions among Vietnamese consumers.

According to the study, 56% of Vietnamese respondents surveyed are now carrying less physical cash than they did a year ago, signaling a progressive mindset towards embracing new financial technologies. Particularly, young consumers are playing a pioneering role in the shift towards cashless payment, with 89% of the surveyed having successfully adopted cashless methods.

Visa also delves into the prevailing trends that shape up the non-cash economy in Vietnam, including the ascendance of mobile wallets. It said Vietnam is among the top Southeast Asian markets with rapid adoption of mobile wallets as the preferred method for making payments, contributing to accelerating the growth of digital finance. The country is poised to emerge as one of the regional leaders in mobile fina
nce as four in every five Vietnamese consumers utilise mobile wallets.

Meanwhile, real-time payments (RTPs) have gained significant momentum in Vietnam, an illustration for the nation’s embrace of cutting-edge financial technologies. The RTPs offer unparalleled convenience and efficiency, driving further digitisation of the economy. In Vietnam, RTPs are growing in popularity, with at least two in five consumers having used them. Application of the RTPs has been diversified, comprising cross-border transactions, peer-to-peer transfers, merchant/retailer payments, and bill payments.

Furthermore, buy now pay later (BNPL) is a popular service availed by Vietnamese consumers, offering flexible payment options and driving consumer engagement. Visa’s strategic partnerships with leading Vietnamese retailers for Visa Instalment Solutions demonstrate the transformative impact of such solutions in fostering financial inclusion and driving business growth.

Credit cards, although less utilised for wallet top-ups and fu
nding, are the preferred choice for BNPL plans in Vietnam. Easy to use apps, free vouchers, rewards points, and the ease of tracking payments were the key drivers for the uptake of BNPL offers.

Vietnam’s cashless payment revolution presents unprecedented opportunities for economic growth and innovation, unlocking opportunities for consumers and businesses alike in the continued shift to a cashless society.

Visa Country Manager for Vietnam and Laos Dang Tuyet Dung said Visa remains committed to driving innovation and enhancing digital payment experiences for consumers.

The findings from the Visa study affirm the growing trend towards contactless transactions, exemplified by a significant 53% increase in contactless transactions made on Visa cards, a 19% surge in purchases made on Visa cards, along with a substantial rise in the total value of cross-border transactions, she added.

Statistics from the State Bank of Vietnam (SBV) revealed that non-cash payment and digital banking activities have shown positiv
e results. As of the end of 2023, the number of individual payment accounts reached more than 182.88 million, up 21.8% year-on-year.

In January 2024, non-cash transaction surged 63.3% in volume and 41.45% in value as compared to the same time last year. Meanwhile, transactions through internet rose 57.85% in volume and 32.43% in value, and through QR codes shot up 892.95% in volume and over 1,062% in value.

The SBV has encouraged credit institutions to carry out digitalisation, promote cooperation with different sectors to form and expand the digital ecosystem, while completing legal framework, mechanisms and policies on non-cash payment./.

Source: Vietnam News Agency

Tra Vinh: The southern province of Tra Vinh has approved an investment worth 576 billion VND (23.26 million USD) to develop a petroleum storage terminal project by the Tra Vinh Petrochemical and Energy Joint Stock Company.

The project is developed on an area of more than 46ha in Kim Son commune, Tra Cu district. It will build a petroleum storage with a capacity 50,000cu.m and a terminal which is capable of receiving 20,000 tonne vessels.

The project is expected to be put into commercial operation by November 2026.

Tra Vinh has granted licences to four projects since the beginning of this year, included three domestic investment projects with a total capital of 967 billion VND and a foreign investment project worth 2 million USD.

There are 384 valid projects in the province, including 39 FDI projects worth 3 billion USD and 345 domestic investment projects worth 143.3 trillion VND.

Vice Chairman of the provincial People’s Committee Nguyen Quynh Thien said that the province is calling investments in 35 pro
jects this year, adding that Tra Vinh will strive to further improve the investment climate, administrative reform and dialogues with investors./.

Source: Vietnam News Agency

Hanoi: More than 300 domestic and foreign businesses and manufacturers will attend the Vietnam Global Manufacturing Forum 2024 (VGMF2024) to explore investment and business cooperation opportunities.

The event will take place on March 26 at the National Convention Centre in Hanoi.

With the continuous development and transformation of the global economy, smart manufacturing has become the key force driving industrial upgrading and economic growth this year.

Vietnam, as a new production link in Asia, is playing an increasingly important role in the global smart manufacturing supply chain.

In that context, VGMF2024 aims to create a platform for exchanging among Government agencies, professional associations, Vietnamese businesses and FDI enterprises.

The forum will focus on discussing the latest technology, new industry trends, investment opportunities and how to find ways to cooperate and develop in the new global economic context.

VGMF2024 is not only a window to introduce the latest technology and busin
ess models, but also a catalyst to promote smart production cooperation between Vietnam and manufacturing countries such as the US, Japan, the Republic of Korea, Taiwan, Singapore and China, which will continue to invest in the near future./.

Source: Vietnam News Agency