Saturday, December 4, 2010

Website warns exporters of future anti-dumping actions

HA NOI — A website offering early warnings of pending anti-dumping cases against Vietnamese exports was launched on Wednesday.

Available at www.canhbaosom.vn, the system was built under a cooperative agreement between the Ministry of Industry and Trade's Viet Nam Competition Authority and the Global Competition Fund of Denmark.

In the first phase, the site will focus on the sectors of textile and garment, footwear, seafood, wood products and electrical cables, and upon two major markets, the US and EU.

Eventually, information and warnings will extend to 20 sectors and 10 major markets.

Deputy Minister of Industry and Trade Le Danh Vinh, addressing yesterday's launch ceremony, said the system would help businesses cope with trade lawsuits effectively as well as warn them of the risks of anti-dumping lawsuits in their sectors.

Anti-dumping cases have caused substantial negative effects on Viet Nam's economy, not only losing export revenue for companies but also causing them to incur legal costs to litigate dumping claims.

Vinh said he hoped the new system would help Vietnamese enterprises better prepare for and take active perventative measures against anti-dumping lawsuits, reducing their losses.

The system would thereby help Viet Nam maintain and increase its export value, increasing the competiveness of Vietnamese industries on global markets, he said.

Danish Ambassador to Viet Nam John Nielsen said the Southeast Asian country would have to face the challenges brought about by freedom of trade, and the early warning system would be an effective tool to increase the awareness of Vietnamese exporters.

He urged Vietnamese enterprises to apply transparent accounting standards as proof against dumping accusations.

Viet Nam has faced 31 anti-dumping lawsuits related to tra and basa fish, shrimp and leather shoe exports since 1994, according to the Viet Nam Competition Authority. — VNS

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Friday, December 3, 2010

European free trade deal lifts bilateral trade

The negotiations and signing of the Free Trade Agreement (FTA) between Vietnam and the European Free Trade Association (EFTA) are a foundation for enhancing bilateral trade ties, said a seminar in the central coastal city of Nha Trang Thursday.

The seminar on the FTA between Vietnam and EFTA, “Negotiation possibilities and prospects for trade ties”, drew more than 40 delegates from Vietnam businesses, State management agencies and policymakers and representatives from Norwegian and Swiss embassies in Hanoi .

Vietnam – an emerging economy with a considerable improvement in infrastructure and political stability – has an annual average GDP growth of 7-8 percent.

Vietnam ’s consumption is predicted to post a 10 percent increase each year and to triple the current figure by 2025.

The trade relationship between Vietnam and the four EFTA members – Switzerland , Norway , Iceland and Liechtenstein – has recorded progress.

Vietnam is expected to export goods worth around US$2.3 billion to Switzerland and import goods worth around $559 million from the country.

First Secretary of the Norwegian embassy in Vietnam Thea Ottmann said that EFTA countries have a total population of 13 million people but achieve a GDP of nearly $1 trillion per year and EFTA is the third-largest partner of the European Union.

EFTA has signed free trade agreements with 31 nations and territories in seafood, pharmaceuticals, machinery, service and other sectors, she said.

Vietnam is a potential partner of EFTA, said Thea Ottmann, noting that both sides have established a joint group to study the feasibility of setting up the FTA and the content of negotiations.

Vice President of the Vietnam Garment and Textiles Association Le Van Dao said that Vietnam ’s garment and textiles sector posted export revenues of 9.2 billion USD last year, contributing 15 percent of the country’s GDP and more than 17 percent of the nation’s total export revenues.

The signing of the FTA with EFTA would facilitate Vietnam ’s garment and textiles exports as EFTA connects with the EU, the major market of the sector, he said.

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Government promotes e-bidding

The Son La Hydropower Plant is being built with public investment. The newly introduced online bidding process is expected to help the Goverment save money and increase the efficiency of public investment projects. — VNA/VNS Photo Huy Hung

The Son La Hydropower Plant is being built with public investment. The newly introduced online bidding process is expected to help the Goverment save money and increase the efficiency of public investment projects. — VNA/VNS Photo Huy Hung

HA NOI — Ministries, ministerial-level agencies, localities and enterprises nationwide are encouraged to take part in the trial project of an online bidding application so as to improve their operation efficiency and raise the popularity of the method , according to a conference held by the Ministry of Planning and Investment on Wednesday.

Deputy Minister Dang Huy Dong said that the trial programme proves the Government's determination to boost transparency and fight corruption during the bidding process, and increase the efficiency of public investment projects.

Le Van Tang, director of the Bidding Management Department, said that every year, the Government had to spend a lot of money, effort and time to buy goods and services for public interests.

Applying e-bidding would help save costs and time for the Government and furthermore, promote healthy competition among enterprises, Tang said.

Online bidding would facilitate enterprises' ability to access information and minimise the provision of wrong information because both buyers and sellers will have to comply with a procedure automatically part of the e-bidding system.

Tang emphasised that "the direct contact between project owners and bidders is unnecessary and it also means that there is no opportunity for corruption."

Online bidding moves to trial stage

Online bidding will be implemented on a trial basis starting on September 15 at three State organisations, namely the Ha Noi People's Committee, the Viet Nam Post and Telecommunications Group, and the Electricity of Viet Nam Group. Under Circular 17/2010/TT-BKH, issued by the Ministry of Planning and Investment, that has been in effect since last Wednesday, the trial online bidding will be applied to consulting services, goods procurement, and construction packages.

Each of the three organizations will put forth at least five goods procurements, three consulting services, three construction packages for competitive bidding.

Both the bidder and the bid organiser will have to register on the website http://muasamcong.mpi.gov.vn in order to participate and receive a digital identity code.

All electronic documents with the digital signatures of the representatives made via the online system will have the same legal value as the paper-based documents. — VNS

Online bidding would stimulate ministries and agencies to invest further in information technology infrastructure and develop electronic transactions, Tang said. This is also a significant step in the process of developing e-Government.

Deputy General Director of the Viet Nam Post and Telecommunications Group To Manh Cuong said that VNPT was planning to invite bids for 12 projects for consulting services, goods procurement and construction and will ask its subsidiaries to do the same. Cuong believed that with the group's IT network and the abilities of its staff, the online bidding process would be carried out smoothly.

Le Thiet Hung, deputy director of the Project Management Board under Ha Noi's People's Committee, said that the policy was very necessary as it would save time and cut down paper usage.

He said that the project should have been implemented earlier, but it was not too late to start now. Tang also worried that the current nationwide information technology infrastructure had not been well developed and that many problems relating to security and tranmission lines could arise.

However, Tang said the IT system was not the biggest problem, but that the greatest obstacle lay in the determination of investors because bidding over the Internet could harm the "benefits" to some people. Officials at all levels had to change their way of thinking and working so that the modern bidding method could comfortably replace the traditional one, Tang added.

According to Tang, the Ministry will collaborate with related authorities in the near future to provide training courses, increase staff abilities, complete legal frameworks and intensify the examination and supervision of bidding activities.

The Government targeted to open the bid for 15-20 per cent of total projects using State capital. — VNS

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E-bidding makes public procurement transparent

E-bidding has made public procurement a transparent and open process. It has also reduced wastefulness in public spending, saved time and bidding fees, and enabled bidders and contractors to be more proactive.

These were initial assessments by the Ministry of Planning and Investment, municipal departments, sectors and businesses which have taken part in a pilot e-bidding project, which was launched in mid-September.

E-bidding has been implemented on a trial basis at the Hanoi People’s Committee, the Vietnam Post and Telecommunication Group, and the Electricity of Vietnam via the portal http:// musamcong.mpi.gov.vn

At a conference to deploy regulations on e-bidding held in Hanoi on Sept. 22, Deputy Minister of Planning and Investment Dang Huy Dong stressed the importance of e-bidding in the e-government project.

“E-bidding is a major push to stimulate IT application in every field,” Dong said.

E-commerce and e-bidding in public procurement is an inevitable trend and indispensible way that many nations over the world are applying to build e-government.

In many ODA-funded projects in Vietnam, the donors have required beneficiaries to undertake e-procurement to ensure the transparency and effectiveness of the projects using their ODA.

Aware of the importance of this model, the Prime Minister, in September 2005, approved a master plan for the development of e-commerce in the 2006-2010 period.

He also assigned the Ministry of Planning and Investment to carry out a project to apply e-commerce in the government’s procurement.

In the framework of the project, a pilot e-procurement system for the government has been built on the basis of the integrated Korea Online E-procurement System (Koneps).

The system, which was optimized to fit Vietnam’s conditions, cost nearly 3.4 million USD, of which 3 million USD was contributed in the form of non-refundable aid by the Korean International Cooperation Agency (KOICA).

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Toshiba opens industrial motors plant in Dong Nai

A worker lubricates a motor at the new factory of Toshiba Industrial Products Asia Co., Ltd. in Dong Nai Province - Photo: Quoc Hung
HCMC - Toshiba Industrial Products Asia Co., Ltd. on Wednesday officially opened a new plant in the southern province of Dong Nai, manufacturing high-efficiency industrial motors for export.

The tripartite joint venture grouping Toshiba Corp. (60%), Toshiba Industrial Products Manufacturing Corp. (30%), and Toshiba Industrial Products Sales Corp. (10%), will turn out motors of 100 horsepower or less at Amata Industrial Park in Bien Hoa City of the province.

Initial products will be exported to the U.S., which has made legislation for high-efficiency motors, and to China, the rest of Southeast Asia, Australia, Europe and Japan, according to the company.

A growing global awareness of the need for enhanced environmental protection has spurred demand for high-efficiency motors that consume less power and emit less CO2. Governments around the world are also responding to this trend.

Key features of Toshiba high-efficiency motors include low noise, high reliability, and achieving 30% reduction of energy loss, according to the company.

“The high-efficiency industrial motors made by Toshiba Industrial Products Asia Co., Ltd are used in many countries, including the U.S. as a solution for environmental protection and energy saving,” said Norio Sasaki, president and CEO of Toshiba Corporation.

This is the fourth manufacturing base of Toshiba worldwide, after the ones in Japan, the U.S., and China.

Toshiba Industrial Products Asia Co. has spent US$29 million for the first phase among the total investment capital of US$100 million. The joint venture will disburse more to reach some US$40 million next year.

Its construction began in April 2009 on an eight hectares. In 2015, the plant will ship up to 1.2 million motors a year to the global market, and is expected to provide employment for 500 people.

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Vinachem cuts deal to supply chemicals to Unilever

HCMC - Vietnam National Chemical Group, or Vinachem, on Tuesday clinched a Memorandum of Understanding (MOU) with Unilever Vietnam to supply the latter with chemicals and to jointly develop petrochemical projects.

Unilever Vietnam and Vinachem will work on construction of new base chemicals plants and development of the petrochemical industry.

As a result, key raw materials will be produced and sourced within Vietnam to help the country reduce reliance on imports, increase exports, and enhance cost competitiveness of both parties.

This agreement signed in Hanoi is expected to generate annual total sales of US$200-250 million a year for locally-supplied and exported materials.

Unilever said in a statement obtained by the Daily on Wednesday that it now bought a number of key materials from Vinachem and its affiliates. But, the company still has to annually import over US$100 million worth of important materials for its production in this country.

To cut reliance on imports, Unilever will cooperate with Vinachem and its affiliates to develop and turn out materials including lab, sodium sulphate, soda ash light, sorbitol and zeolite. They shall establish manufacturing and supplying plants subject to competitive terms and actual demand in the future.

Besides the need for procuring key materials to replace imports, Unilever will explore opportunities for Vinachem to export these materials to other Unilever Group’s companies in ASEAN, Asia and to Unilever globally. The export will depend on competitive terms, actual demand and quality requirements of those companies.

Unilever and Vinachem will consider their cooperation expansion to cover other key materials based on the successful sourcing/supplying of the aforesaid initial materials when opportunities arise.

The partnership marked development in the original MOU and the long-term strategic cooperation agreement that the two parties signed in 2007 and 2009 respectively.

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Scientist warns of rapid land sinking in city

HCMC – Rapid urbanization and excessive exploitation of underground water have led to an alarming land-surface subsidence in many districts around HCMC, a local scientist raised a warning on Wednesday.

Professor Le Van Trung, director of the Geomatics Center of the Vietnam National University of HCMC, told a seminar here that the pace of land sinking has recently accelerated due to rapid urbanization and unchecked exploitation of underground water.

Areas vulnerable to land-surface subsidence include Thu Duc and Binh Chanh districts, as well as districts 6, 7, and 8 with an average sinking rate of over 10 millimeters a year, he said.

Trung gave this warning after he had spent 18 months to conduct a VND10-billion project using Dynamic Interferometric Synthetic Aperture Radar, or Insar technology, to detect and measure the ground surface deformation around the city.

“Some streets such as Kha Van Can in Thu Duc District, Vinh Loc B in Binh Chanh District, Ton That Thuyen and Ly Chieu Hoang in District 6 and other areas south of the city have subsided by 0.3 meter since 2000,” he said.

The professor said the easily-seen consequence of land sinking was an increase in  flooding sites around the city and that “79 out of 116 flooding sites in the city are the direct consequence of quick sinking of the land surface.”

“We all know that under the impacts of climate change, sea level is forecast to rise by 0.7 meter by 2100, while the land surface in HCMC has been subsiding by at least 10 millimeters a year. Consequently, 60% of the total area of the city could expectedly be submerged under the seawater by that time if we don’t take quick measures to cope with the matter,” he warned.

While housing development as a factor shows no signs of deceleration, enterprises at most industrial parks are drilling deeper to pump underground water for their production, which will aggravate land sinking, experts said at the event.

Trung said that to ensure a safe level of land subsidence by under 5 millimeters a year, the city needed to cooperate with other nearby provinces including Dong Nai, Binh Duong and Long An to effectively contain the exploitation of underground water.

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