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Thứ Hai, 28 tháng 9, 2009

The rap on Vietnamese souvenirs: too much ‘same-same’

VietNamNet Bridge – The same foreign traveler who spends $400-500 shopping in Thailand typically spends only $90-100 in Vietnam for souvenirs. Some experts conclude Vietnam is missing an opportunity because it cannot persuade foreign tourists to loosen their purse strings further.


Tourists don’t spend money on similar products

Vietnam received 2.48 million foreign travelers in the first eight months of the year. If each one had spent $500 shopping in Vietnam like in Thailand, Vietnam would have earned nearly $1.3 billion from tourists in the first eight months of the year, which rounds up to an annual total of nearly $2 billion in revenues from ‘exports on the spot’.

However, travelers do not spend much money in Vietnam, because, some experts said, Vietnamese goods are unattractively packaged and lack variety.

A reporter for newspaper Tuoi tre related that he met an Australian tourist, Nelly, at the huge Ben Thanh Market in HCM City. Nelly very liked some small statues of young women in ao dai playing the flute. At first, Nelly thought she’d buy ten statues as gifts to relatives when she returns home. After some thought, however, she finally decided to buy only five statues, because the statues seemed repetitiously similar: all the young women had dresses of the same colour and style.

T-shirts adorned with Vietnam’s landscapes ought to be attractive souvenirs for foreign tourists, but they don’t sell well. Nguyen Thi Tuyet Mai, who is in charge of public relations for the big travel agency, Fiditour, said that tourists do not like the T-shirts any more because the fabric is low quality and the patterns and images are done in a careless way.

Ben Thanh Market, HCM City Post Office, Dong Khoi and Le Thanh Ton Streets -- well known places for serving Westerners in HCM City, are now selling cards, embroidered pictures, handbags, brocade scarves, embroidered towels, clothes and food in big quantities. However, the products are monotonously, relentlessly similar. There is little or no diversification in designs.

A lot of foreign tourists want to purchase Vietnam’s coffee, which is getting famous on the world market, but they do not like bad packaging. Hung, who works as a tour guide in HCM City, says he knows many tourists who bought ‘Café Vietnam’ but were really perplexed because they did not know how to brew it. The packages of coffee they bought had no instructions on brewing, nor did they provide a Vietnamese style drip filter.

Many other Vietnamese specialities -- rice, fish sauce and dried food – are not well packaged or give no information about “sell-by” dates or the manufacturer.

“Foreign tourists very much like Vietnamese-styled souvenirs, but they do not have many choices,” said Nguyen Ngoc Van, the owner of ‘The Post,’ a souvenir shop at the Saigon Central Post Office.

To lure tourists, producers have to make heavier investment

Van said that he intends to change the way Vietnamese souvenirs are marketed to foreigners. The shop will sell coffee with a drip coffee filter and good packaging, including instructions on brewing. Van believes that convenience and diversification of goods are the factors that will lure tourists.

Similarly, Duong Thanh Thuy, the owner of the ‘Miss Ao Dai’ brand, says that to entice tourists to buy souvenirs, it’s important to pay attention to the quality of the packaging. Almost all of the craft products that Miss Ao Dai produces or orders are in attractive packages – often of good quality silk – and come with sufficient ‘technical information.’

Nguyen Vinh Thai of Rong Viet Values, which specializes in branding and analysis of consumer psychology, emphasizes that packaging plays a 50 to 60 percent role in consumer decisions on whether to purchase products or not.

However, it seems that Vietnamese enterprises do not want to ‘waste’ money in packaging. “They should think of good packaging as a kind of investment, not an expense,” Thai said.

VietNamNet/TT

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Thứ Năm, 23 tháng 7, 2009

SBV denies plan to issue compulsory bonds

VietNamNet Bridge – The State Bank of Vietnam has affirmed that it does not have a plan to issue compulsory bonds to withdraw cash from circulation as it has been rumoured.


Director of the Monetary Policy Department under the State Bank of Vietnam Nguyen Ngoc Bao told Thoi bao Kinh te Vietnam that this is just a rumour and that the central bank has no intention to issue any such bonds.

“The State Bank of Vietnam is following a flexible monetary policy with clear orientations for every period. All the new policies and adjustments will be made public to ensure the transparency in information exposure,” Bao said.

The rumour might have come from the recent information that the State Bank of Vietnam will tighten control over credit growth in the last six months of the year.

Local newspapers recently have reported that the central bank is considering taking necessary measures to prevent inflation from returning. The information may have led to the belief that the central bank might try to withdraw cash from circulation by compulsory bonds, which is what it did in 2008 to reduce the cash volume in circulation.

The bank has also lowered the targeted credit growth rate to 25-27 percent instead of the previously set 30 percent.

In fact, in its recent instructions, the State Bank of Vietnam has asked credit institutions to push up mobilising capital and expanding credit to support the national economy, while focusing on funding projects on production and business expansion.

Regarding concrete policies, the central bank has recently released a decision allowing commercial banks to use Government bonds in foreign currencies as collateral for VND loans, giving banks more opportunities to access capital sources. The State Bank has also promised to give capital support to commercial banks, if necessary, through the open market.

In 2008, the State Bank on March 17 issued 20,300 billion dong worth of compulsory bonds (the compulsory buyers were commercial banks) in order to withdraw cash from circulation (the high volume of cash in circulation was then considered the main reason behind the high inflation). However, experts say that the circumstances in 2008 were far different from the current situation and that such a bond issuance does not need to be repeated presently.

Commenting about the newly set credit growth rate of 25-27 percent, some experts say this is a ‘reasonable limit’, but it is not very important.

A finance expert said that it is not really necessary now to set a fixed rate for credit growth.

“I understand that the central bank is setting the limit in anticipation of inflation returning. However, credit growth is just one factor. I think it is more important for the central bank to direct where the credit goes and how the capital is used,” he said.

Agreeing on this, Secretary General of the Vietnam Banking Association said that the 30 percent credit growth rate should not be considered ‘hot’. The thing that banks need to pay attention to now is capital use efficiency, while they should not inject too much money in stocks and real estate.

General Director of Viet Nam Thuong Tin Bank Cao Van Duc, on one hand, said that the targeted 25-27 percent credit growth rate proves to be suitable to the current conditions of the national economy. However, it is also necessary to pay attention to the method that helps obtain the goals.


Duc also said that it is unreasonable to set the same targeted credit growth rate of 25-27 percent to all banks. He believes that it would be better to apply different credit limits to different banks based on their specific circumstances.

Meanwhile, some bankers said that credit would not grow rapidly in the last months of the year even if no credit limit were set. A lot of banks have nearly fulfilled the yearly credit growth rates (fulfilling 70-90 percent), which means that they are not under pressure to push up lending. Moreover, it is not easy to mobilise capital for lending.

VietNamNet/TBKTVN


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Thứ Ba, 12 tháng 5, 2009

Going shopping at cheap-product outlets

VietNamNet Bridge – More and more shops have appeared which specialise in selling inventory products at prices 30-50% of the prices of brand-new products.

Products are displayed on plastic chairs instead of professional shelves

Without interior decoration, professional shelves and material facilities, the outlets still can attract a lot of customers, especially youth, because of the ‘soft prices’ of the products they sell.

Cheap-product outlets attractive

People always think that they can save money if they purchase products at these outlets. At the outlet on Nam Ky Khoi Nghia road, for example, which specialises in selling products with well-known brand names like Mango (Spain), La Senza (Canada) and Charles & Keith (Singapore), a Mango brand-name dress is VND599,000 only, while a brand new one would be VND2.2mil.

Handbags, glasses, belts, scarves, wallets and jewellery items available here all have price discounts of over 50%.

The outlet specialising in selling South Korea-made products on Nguyen Dinh Chieu street is also well known for soft prices. A Cherokee T-shirt can be purchased at VND30-50,000, while earrings are priced at VND30-50,000.

There are 14 outlets in HCM City which specialise in selling discount foreign-made products. The products on display there are sourced from big shops or trade centres when the products become inventory items and cannot be sold.

The shops with no modern conveniences

Low price proves to be the only thing that can attract people to the outlets. The salesmen there do not have to wear uniforms and buyers cannot get beautiful bags to take their purchases home in.

At the outlet specialising in selling South Korea-made products, one finds South Korean petty merchants in shorts who speak to customers with body language.

Despite the poor facilities, the outlets are attracting more and more customers because they can meet people’s demands for shopping, especially youth. Young people always like going shopping and dropping into shops right on the street. And all consumers want to save money.

While foreign-made shop product outlets are mushrooming, domestic producers have not thought of boosting sales this way. In fact, Minh Long, a porcelain producer, has an outlet with a wide range of products for sale. However, the outlet is too far from customers, located in Binh Duong province.

Viet Shoes outlet in Phu Nhuan district also offers cheap products and offers attractive purchase conditions (buyers of discounted products can also get maintenance services like other customers), but still has few customers. It is because there are no signs leading customers to the area behind the main shop.

VietNamNet/SGTT

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Thứ Hai, 4 tháng 5, 2009

Colossal jade Buddha statue comes to Dong Thap

VietNamNet Bridge – The world’s largest jade Buddha statue arrived at the Van An Pagoda in the southern province of Dong Thap in the morning of May 1. Thousands of Buddhists came to the pagoda to worship the statue.

Thousands of followers flocked to the pagoda, causing traffic chaos on the nearby highway.

This is a chance for local residents to make money from services for visitors, such as parking, accommodations and food supply.

The small path to the Van An Pagoda was very crowded.

To get into the pagoda, visitors have to pass this special “bridge” – a barge.

They have to pay VND1,000 each to cross this “bridge”.

It was more crowded at the pagoda’s gate.

Everyone tried to come closer to admire, take picture and film the statue.



The pagoda provided free lunch to visitors.

After lunch, visitors tried to get out of the pagoda.

And they again paid VND1,000 to cross the barge.

And sweating like this.

VietNamNet/VNE

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Thứ Sáu, 17 tháng 4, 2009

Museum prepares for exhibition on Southeast Asian culture


VietNamNet Bridge - The Vietnam Museum of Ethnology held working sessions with three French experts to prepare for the inauguration of an exhibition on Southeast Asian culture.

Consultations by these experts were the continuation of the DSP project to preserve museum heritage in Vietnam.

Participants at the working sessions discussed and repaired writings for the exhibition; selected newly collected objects for display; analyzed newly shot videos, and adjusted several positions in the exhibition.

Experts also gave advice for the display of Indonesian pictures presented to the museum by the family of Prof. Rosalia Sciortino.

As scheduled, construction of the roof of the building for the exhibition will be completed by the end of the second quarter in 2009.

VietNamNet/CPV

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Thứ Hai, 13 tháng 4, 2009

Fears over farmland reclamation


11:26' 14/04/2009 (GMT+7)


VietNamNet Bridge - Approximately 80,000 hectares of farmland are reclaimed annually to build industrial parks, residential areas and public works. Using some agricultural land for industrial development is essential, however, this has been carried out beyond sustainable limits in some localities.

Evaluating farmland

In early 2008, there was growing concern about the approval of several land projects within only one day by Hoa Binh province, about 80km from Hanoi.

On February 29, 2008, the provincial People’s Committee granted permission to the Thanh Nhu International Trade Joint Stock Company to go ahead with a housing complex project in Dan Lap village, Yen Binh commune, Luong Son district. The same day, the company received detailed plans and an investment license from the committee.

In the former province of Ha Tay, about 15km from Hanoi, a number of decisions to grant investment licenses and reclaim farmland were issued before the province merged with Hanoi in August. Dozens of urban area projects were approved in Hoai Duc district in July alone. Notably, the former Ha Tay provincial People’s Committee even signed four decisions to reclaim nearly 700ha of land for residential area projects on July 30-31 – only two days before the province merged with Hanoi.

The question is why the two provinces were only too eager to approve these projects. With about 80,000 ha of farmland reclaimed every year, no one knows how many hectares of land have been used improperly.

Experts have not ruled out the possibility that opportunists exploited legal loopholes when evaluating the land to corner the property market. They compensated displaced farmers very poorly but raised the price of the reclaimed land to increase profits. That is why so many hectares of fertile farmland have been used for other purposes, leaving many farmers with no choice but to go on strike.

Jobs for displaced farmers

The fact is that it is difficult to create jobs for displaced farmers, as more than half of them are over 35 years old and most of them are unskilled and have low levels of education. Of the remaining half, only 3-7 percent are employed in industrial parks. Due to their simple but time-consuming work and low incomes, they quit these jobs after a while and become unemployed.

According to a report from the Ministry of Agriculture and Rural Development, 67 percent of displaced farmers still live by farming and 20 percent are either jobless or have unsteady jobs. Only 13 percent have achieved better living conditions and 53 percent lead harder lives.

Resettlement

The construction of resettlement areas has not kept pace with land reclamation, compensation and clearance. So when resettlement projects get underway, residents are forced to leave their homes. In Hanoi and Ho Chi Minh City, which have a large number of resettlement projects, the rate of households receiving compensation and moving into new houses is very low. Statistics show that Hanoi only meets 30 percent of the demand while the figure in HCM City is 40 percent.

Resolution 26 adopted at the 9th Party Central Committee emphasizes the need to create adequate conditions for displaced residents so at the very least they can attain a similar standard of living.

Similarly, the current Land Law also makes it clear that the provincial people’s committees must draw up and implement resettlement projects before reclaiming land, and ensure residents lead equal or better lives in the new places.

For farmers, land is an invaluable asset and a means of production. So any projects that require land need to be assessed very carefully before being approved.

VietNamNet/VOV

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Thứ Ba, 31 tháng 3, 2009

HCM City: More trains for national holidays


VietNamNet Bridge – To serve the increasing demand for travel during the upcoming holidays - Gio To Hung Vuong (Hung Kings’ death anniversary), HCM City’s Liberation Day (April 30) and the May Day – the Saigon Railway Station will put an additional six pairs of trains on the Saigon – Nha Trang route.

On the occasion of the Hung Kings’ death anniversary (April 4), besides a daily train (SNT72), there will be two more trains (SN4 and SN6) for the HCM City – Nha Trang route on April 3.

The SN4 train will depart from the Saigon Railway Station at 10:10pm and the SN6 train will leave the station at 11:15pm on April 3. There will be one more train to bring passengers from Nha Trang to HCM City on April 5 and 6.

For the HCM City Liberation Day (April 30), there will be an additional four pairs of trains from HCM City to Nha Trang from April 29 to May 2.

The Saigon Railway Station said that the increase of trains for the Saigon – Nha Trang routes during holidays is to serve visitors from HCM City to the central region.

VietNamNet/VNE

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Thứ Bảy, 14 tháng 3, 2009

Vietnam opposes Chinese tours of Hoang Sa Archipelago





Vietnam opposes China’s decision to allow its Zhou Jiang International Tourism Co. Ltd travel agency to launch tours to Phu Lam island of the Hoang Sa archipelago, Foreign Ministry spokesperson Le Dzung said Thursday.

Vietnam’s sovereignty would be “seriously violated,” Dzung said, adding that it was not beneficial to the ongoing negotiation process aimed at seeking fundamental and long-term solutions to maritime issues between the two countries.

Vietnam has adequate evidence and sufficient legal basis to proclaim its sovereignty over both the Hoang Sa (Paracel) and Truong Sa (Spratly) archipelagos, Dung said.

In response to Filipino President Gloria Arroyo’s signing of a decision March 10 to issue a bill on the new baseline which mandates that several islands on the Truong Sa archipelago are under the Philippines’ management, Dzung said all activities by foreign countries relating to the area in Vietnam without the country’s consent would violate its sovereignty and have no legal value.

Source: VNA

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Thứ Hai, 23 tháng 2, 2009

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