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Henig:  US state governor leads delegation to Việt Nam to promote trade

July 12, 2023 – 16:31

A visiting delegation from the US’s Nebraska state led by Governor Jim Pillen visited MM Mega Market in HCM City’s Thủ Đức City on July 11 to learn about what Vietnamese customers look for at the grocery store and distribution networks in Việt Nam.

HCM CITY — A visiting delegation from the US’s Nebraska state led by Governor Jim Pillen visited MM Mega Market in HCM City’s Thủ Đức City on July 11 to learn about what Vietnamese customers look for at the grocery store and distribution networks in Việt Nam.

Other members of the team include Nebraska Department of Agriculture Director Sherry Vinton, Chancellor Joanne Li of the University of Nebraska – Omaha and agribusiness executives, academics, and government representatives.

Bruno Jousselin, managing director of MM Mega Market Vietnam, and his staff shed light on the requirements of Vietnamese people and the prices they are willing to pay.

The delegation also had the opportunity to try some agricultural products, including durian, and was quite interested in the taste of Vietnamese fruits.

They also attended a food demonstration by MM chef brand ambassador Steven Long mainly with ingredients from Nebraska.

Pillen said: “We are in the centre of the United States and agriculture drives our entire economy.”

“Our objective is to help Nebraska businesses and companies make connections in the Vietnamese market. Nebraska has been able to cultivate some great relationships with quality Vietnamese businesses in the last several years, and we are hoping to expand upon that.

“Getting to visit MM Mega Market is a real treat. It is very informative to learn about what the Vietnamese customers are looking for at the grocery store and for us to see how our products are displayed. Understanding the two will allow us to cater more specifically to the desires of the Vietnamese consumers.”

The delegation has a goal of growing trade with a country that already buys goods worth almost US$1 billion from Nebraska.

“We hope to highlight beef from Nebraska, corn gluten, soybean meal and other quality agricultural products. Additionally, we will be promoting efforts to bring high-quality grain storage infrastructure from expert companies located in Nebraska to Việt Nam’s fertile agricultural areas.

“Further, we have representatives from our University of Nebraska system that are looking to make connections at the Vietnam National University of Agriculture'” he said.

Nebraska is one of the biggest producers of cattle, pork, dairy, corn and soybeans in the US. — VNS    LINK

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Henig:  Google works with NIC and US Mission in Vietnam launch Google for Startups Accelerator

July 12, 2023 – 12:33

Việt Nam is becoming one of South East Asia’s rising startup hubs as its online economy is forecasted to grow to US$50 billion by 2025.

HÀ NỘI — Google will continue its partnership with the Vietnam National Innovation Center (NIC) and the US Mission in Việt Nam.

The announcement came on Tuesday in Hà Nội as part of the programme “Google for Startups Accelerator”.

The programme was conducted following the success of the ‘Google for Startups, Startup Academy-Vietnam’ programme last year.

It aims to extend support for the national digital transformation effort by providing intensive training, resources and mentoring networks for local startups to hasten their business development.

Việt Nam is becoming one of South East Asia’s rising startup hubs as its online economy is forecasted to grow to US$50 billion by 2025, according to the “eConomy SEA report 2022”.

Việt Nam is home to four unicorns to date and a total of 3,400 tech-savvy startups that are well-poised to develop sophisticated digital products and solutions.

The programme this year is built on the success of the Startup Academy that was first launched and implemented across the country in 2022 for 50 selected local companies from 16 key industries.

This year, the programme will zoom in on six key industries: education, retail, agriculture, fintech, healthcare and smart cities.

The ‘Google for Startups Accelerator, Southeast Asia’ is a three-month programme that starts with a five-day BootCamp followed by five follow-up online workshops leading to Graduation and Demo Day.

The cohort will receive mentoring from Google and leading industry figures throughout the period. Given the intensity, only 20 startups will be selected across the country to participate in the in-person boot camp to ensure Google and NIC will be able to provide in-depth support throughout.

The selected startups will also be inducted into Google’s global alumni network consisting of more than 1,000 startups from various regions.

To ensure more will be able to benefit from the content of the programme, Google and NIC will co-design open-access online workshops and will be accepting up to 200 additional startups.

Speaking at the event, Trần Duy Đông, Vice Minister of Investment and Planning said “The accelerator is solid proof of Việt Nam’s commitment to supporting the innovation and startup ecosystem which is shared by Google’s mission to raise up the startup community in emerging markets.

“By providing startups with essential resources to grow and succeed, we are nurturing the next entrepreneurial generation who would join hands to accelerate economic growth and make the country a global success.

“On top of that, the selected startups will be a part of the inventive startup community working towards a common goal to connect, collaborate and learn from each other.”

Thye Yeow, Bok, Head of Startup Ecosystem SEA said: “The launch of Google for Startups Accelerator today continues our long-term commitment to support this country’s economic growth by fast-tracking local startup’s development through intensive training, mentorship, and networking opportunities for Việt Nam’s entrepreneurs.

“We are extremely excited to continue our partnership with NIC and the US Mission in Việt Nam to pool our resources together to help accelerate them to the next level, and eventually expand globally.

“While the accelerator is only accepting 20 startups, we will co-design and make available some of the group training sessions to the startup community. Up to 200 startups can apply to attend the online workshops. Collectively, Google, NIC and the US Mission in Việt Nam hope this will benefit the wider ecosystem.”

Last year’s Google Startups Academy successfully wrapped up after 15 workshops and 283 hours of mentoring with experts and renowned mentors. One of the startups that joined the programme last year, Momby has scaled up its app with 35,000 users, while another, BenKon, successfully closed a seed round with their energy-saving solution.

Trương Minh Đạt, CEO and Co-founder of BenKon said after participating in the programme, they successfully secured their seed round with the participation of a venture capitalist.

Nguyễn Hồng Ngọc, CEO of Momby said Google for Startups was not just a leadership programme, it also provided startups with new knowledge and the latest technologies. They have the opportunity to become a part of a dynamic startup community where everyone is willing to collaborate for collective growth and success. — VNS    LINK

Henig:  Việt Nam contributes to global food security: MARD Deputy Minister

July 12, 2023 – 11:24

The target to reach US$10 billion from exports of vegetables and fruits can be fulfilled in the future despite a downtrend in the area due to industrialisation, urbanisation and other factors.

HÀ NỘI — Việt Nam is contributing to ensuring food security not only for its own people but also for the wider region and the world, according to Deputy Minister of Agriculture and Rural Development Phùng Đức Tiến.

The agriculture deputy minister made this statement at a press conference this week in Hà Nội, acknowledging the agricultural sector as the “firm foundation” of the national economy.

The Ministry of Agriculture and Rural Development (MARD) held the press conference to release official information about the country’s agricultural production and exports in the first six months of the year.

Tiến said the agricultural sector implemented a plan for the first six months of 2023 to address challenges, of which, the export market for agro-forestry-fishery products, mainly for wood and aquatic products, was a particular difficulty.

He said the country still has much potential in agricultural exports and MARD will undertake flexible solutions to boost management, adapting to the new context and meeting the demands of the world market.

While ASEAN countries and the agriculture industry around the world is currently concerned about food security, Việt Nam has achieved impressive results in ensuring food security for its 100 million population while maintaining its standing in the global rice export market.

“People often believe that over time, rice yield will decrease, but this year the situation did not happen because the MARD has learned from previous experience and promptly provided technical support for farmers,” said the agriculture deputy minister.

Nguyễn Như Cường, Director of the MARD’s Department of Crop Production identified current development trends, especially the migration of the workforce to urban environments, industrialisation and exploration in different crops, as causing negative impacts on rice production.

However, with the application of scientific and technological advances in seed and seedling cultivation, along with a timely respond to climate change, the country’s agricultural sector is fully operational over the next six months of the year and in the next two years, ensuring both exports and domestic consumption.

A report from MARD shows rice and other crop production in the first six months of the year achieved good results.

The whole country planted about 4.98 million ha of rice with an average yield of 67 quintals/ha, an increase of 1.8 quintals/ha, with output reaching 22.8 million tonnes.

Rice exports in the first six months reached 4.2 million tonnes, earning $2.32 billion, including $300 million in June. The average export price of rice in the first five months of 2023 was estimated at $517 per tonne, up 5.8 per cent over the same period in 2022.

Meanwhile, VNDirect expects the export price of rice to continue to increase in 2023 thanks to the increased demand for food reserves in many countries, and Việt Nam is also focusing on exporting high-quality, good-priced rice.

According to data from the General Department of Customs, in 2022, Việt Nam’s rice exports were recovering from the impact of the COVID-19 pandemic, totalling 7.1 million tonnes, equivalent to $3.5 billion.

In the agricultural sector report, VNDirect said that rice demand will remain high in 2023 as political and economic uncertainties push up the demand for rice reserves. Besides this, climate change is still affecting rice supply in many countries, especially the Philippines, due to floods, and China, due to drought.

Analysts also expect rice export prices to continue to increase in 2023 thanks to increased demand for food reserves in many countries.

Việt Nam is focusing on producing high-quality rice to match global consumption trends since many rice-growing areas have switched to other more profitable crops.

MARD reported the area of agricultural land used for the 2022-2023 crop year in the country has decreased by 3 per cent compared to the previous crop.

Cường said although Việt Nam’s cultivation area is not large but agricultural export value is not inferior to that of many other countries, with its agricultural products present in all countries and territories in the world.

In the first half of 2023, fruit and vegetable export turnover was estimated at $2.8 billion, including $950 million in June, up 2.6 times compared to June 2022.

The fruit growing area was about 1.22 million ha, up 2.7 per cent with an increase in output of many items such as mango, oranges, rambutan and lychee while the area used for industrial crops expanded to 2.2 million ha, up 0.3 per cent with output raising in pepper, rubber, cashew, and tea cultivation.

“The target to reach US$10 billion from exports of vegetables and fruits can be fulfilled in the future despite a downtrend in the area due to industrialisation, urbanisation and other factors,” he said.

Tiến emphasised that fruit and vegetable exports have never been as high as they are now. “According to this growth momentum, it is certain that in 2023, the country’s fruit and vegetable exports will reach over US$5 billion and if investment is more focussed on deep processing and market expansion, the figure of US$10 billion from will likely be achieved,” he said. — VNS   LINK

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Henig:  Credit institutions expect positive demand for banking services

July 11, 2023 – 17:21

According to credit institutions, the liquidity of the banking system in the second quarter of 2023 remained solid and was more abundant than in the first quarter.

HÀ NỘI — Credit institutions forecast the demand for banking services will be buoyant in the remaining months of this year, of which credit growth will reach about 4.4 per cent in the third quarter of 2023 and 12.5 per cent for the whole year, according to a survey of the State Bank of Vietnam (SBV).

SBV’s latest survey on business trends of credit institutions in the third quarter of 2023 released late last week showed the business situation of the banking system in the second quarter of 2023 improved much slower than the previous quarter while pre-tax profits grew slightly but also lower than expected.

According to the assessment of credit institutions, the demand for loans, payment services and cards, and deposits improved in the second quarter of 2023, but the number of credit institutions that saw the improvement was lower than the SBV’s previous survey.

Credit institutions forecast customers’ demand for banking services will grow positively in the third quarter of 2023, but the rise will be at a slower rate compared to 2022. The demand for loans is expected to increase more than that of deposits.

Capital mobilisation of the whole credit institution system is expected to increase by an average of 3.2 per cent in the third quarter of 2023 and by 10.6 per cent in 2023.

Outstanding loans of the banking system are expected to increase by 4.4 per cent in the third quarter of 2023 and by 12.5 per cent in 2023, down by 0.6 per cent compared to the 13.7 per cent forecast of the previous survey.

According to credit institutions, the liquidity of the banking system in the second quarter of 2023 remained solid and was more abundant than in the first quarter. Credit institutions forecast the liquidity situation in the third quarter and the whole year will continue to be abundant compared to 2022.

Credit institutions also expect the average deposit and lending interest rates of the whole banking system to decrease by 0.31 and 0.42 percentage points in the third quarter, respectively; and decrease by 0.91 and 0.79 percentage points, for the whole year, respectively.

In the survey, they said the overall customer risk in the second quarter increased faster than the first, with 34.2 per cent of credit institutions identifying the overall customer risk currently being at a high level. A total of 48.2 per cent forecast the customer risk will increase in 2023 compared to last year.

According to the assessment, the ratio of bad debt to outstanding loans of the banking system showed a slight increase in the second quarter, but the rate is expected to decrease in the third.

Regarding the labour and employment situation of the finance and banking industry in the second quarter, although improving compared to the previous quarter, it did not reach the expected level. However, credit institutions expect the labour situation will be more positive in the third quarter of 2023 and the whole year. — VNS        LINK