Business in brief 19/11
Vietnam will import 6 tons of gold this month, state broadcaster VTV said on Thursday, after the central bank last week lifted a ban on imports to stabilize an overheating market. So far, 1.5 tons had been imported, 500 kg each by Sacombank, ACB and Eximbank. Saigon Jewelry Corp (SJC) will import 1 ton, and 500 kg being imported by Agribank Jewelry Company will arrive in a few days, the VTV 1 Financial bulletin said.
Cavico Corp. and its joint venture partners have won a 540 billion dong (USD30.2 million) contract from VRG-Dak Nong to build the 28.4-MW Dak Sin hydroelectric project on the Dong Nai River. Cavico will build the main dam, a spillway dam, an overpass bridge, a water-intake portal, a headrace tunnel, a water diversion tunnel, a coffer dam, a vertical surge sharp tank, and service roads. Cavico said it expects to complete those projects in 27 months. Cavico’s joint venture partner, Song Da, will design the plant. Cavico’s other partner, COMA, will purchase the materials and supplies and perform mechanical installations. The plant will be built in southern Dak Nong Province north of Ho Chi Minh City. As leader of the joint venture, Cavico expects its share of revenue to total 322 billion dong (USD18 million.)
The Vietnamese Government has created a fair, healthy competitive environment for businesses involved in ICT, affirmed Le Nam Thang, Deputy Minister of Information and Communications. At the first seminar of Vietnam Comm 2009 opened in Hanoi on November 19, Deputy Minister Thang said that Vietnam has developed a modern communications infrastructure capable of providing cutting-edge services. At the two-day seminar, domestic and foreign ICT companies exchanged experiences in the transformation of 3G and 4G technology networks and new orientations for ICT development in the coming time. Nearly 30 local and foreign speakers will discuss upgrading technology and its application in business and daily life, current and future development trends and the management of the communications network during the integration process.
Mozambique has great potential for cooperation with Vietnam in rice cultivation and the growing of rubber trees, cotton and cashews. The information was released at a seminar on agricultural cooperation with Mozambique in its city of Maputo held by the Vietnamese Ministry of Foreign Affairs and relevant agencies in Mozambique. Participants in the seminar spoke highly of Mozambique’s potential in aquaculture, fisheries and seafood processing which are also Vietnam’s strengths. They agreed to facilitate the participation of their enterprises and localities in cooperation and investment in those fields. On November 17, the Vietnamese Embassy in Mozambique and the Mozambique Chamber of Commerce and Industry jointly held a “Vietnam-Mozambique Business Meeting” to help businesses from the two countries exchange information and seek partners.
EVNTelecom has awarded a contract to China’s Huawei Technologies Co. to develop a third-generation, or 3G, mobile phone network in Vietnam, Vietnam state media said Thursday. Under the contract signed in Hanoi Wednesday, Huawei will provide equipment and technology for the construction of the network, Saigon Giai Phong Online newspaper reported. The report didn’t provide details on the contract. The network is expected to be up and running from April 30. It will initially have 2,500 base stations and will provide 3G coverage to 46% of the country’s population of nearly 86 million, the report said.
The 2009 Vietnam International Fashion Fair (VIFF 2009) opened at the Hanoi Friendship Culture Palace in Hanoi on November 18. This is an event to welcome the Asian Fashion Federation’s recognition of Vietnam as its sixth member. Nearly 100 businesses joined this fair with over 300 pavilions, up by over 30% compared to the figure last year. At the fair, businesses of textile and garment and leather and footwear showcased many high-end products with diverse designs. Many fashion shows will also be held during the fair, which are jointly held by the Vietnam Garment and Textile Group (Vinatex), the Vietnam Textile & Apparel Association (Vitas), the Vietnam Leather & Footwear Association (Lefaso) and the Vietnam Advertisement & Fair Exhibition Company (Vietfair).
Foreign investors were net buyers of VND49.5 billion (USD2.8 million) of Vietnamese stocks out of a total VND3.28 trillion traded Thursday, the Ho Chi Minh Stock Exchange said. Volume traded totaled 62.6 million shares, with foreigners accounting for 6.0% of that amount, the stock market operator said. In the month to date, foreign investors have been net buyers of VND197.5 billion of Vietnamese stocks.
Vietnam Shipbuilding Industry Group (Vinashin), has been allowed to issue government-guaranteed bonds to raise VND3 trillion (USD168 million) for two of its subsidiaries. Under a government decision released on Friday, the sale of notes with maturities of between five and ten years will help finance the shipbuilder’s projects to expand the Pha Rung Shipyard in Hai Phong City and increase the capacity of Ha Long Shipbuilding Company in Quang Ninh Province. Vinashin said on Tuesday the group was facing a financial crunch as 15 percent of its contracts were canceled due to the financial crisis. General Director Ngo The Viet was quoted by newswire VietNamNet as saying that USD750 million worth of sovereign bonds lent to the shipbuilder and another USD600 million foreign loan only accounted for 40 percent of its capital demand.
Vietnam-Myanmar International Trade Fair 2009 kicked off at the Conference Centre in Yangon, Myanmar on Nov. 19. During the four-day event, 52 Vietnamese businesses introduced lots of products, including medicines, cosmetics, food, garments and textiles, footwear, electronics, office stationery, household utensils, building materials, fertilizers and rubber products. Meanwhile, 10 Myanmar businesses brought to the fair aquatic products, consumer goods, traditional handicrafts and artworks made of gemstone. Vietnam is now one of Myanmar’s 16 biggest importers, mainly for agricultural and forestry products and seafood. It exports to Myanmar products such as steel, electronics, medicines, chemicals, computers, plastics, cosmetics and diesel oil. In the past three quarters, trade exchange between Vietnam and Myanmar reached USD60 million. In 2008, two-way trade turnover fetched USD108.2 million, an increase of 11.27 percent from 2007.
