Business Briefing

Gold rate

On the morning of September 1, the domestic gold price continued to decrease. SJC gold bars is bought at VND 65.8 million per tael and sold at VND 66.45 million per tael, down VND 200,000 in the buying transaction and VND 50,000 in the selling price.

Photo: Zing

Export news: UK a promising market for Vietnamese vegetarian food export

The market for plant-based foods is surging globally after the pandemic, presenting an opportunity for Vietnamese vegetarian food exporters, of which the UK is a promising market. Last week, Dong Thap Province-based Binh Loan vegetarian food factory exported two tonnes of canned vegetarian food to the UK with the support of Longdan, the biggest importer of Vietnamese goods in the UK. This is the first vegetarian food factory in Dong Thap Province that has exported canned vegetarian food to a foreign market. Exported products included vegetarian brown rice with lotus seed and six vegetarian beancurd skins with different flavors.

According to Thai Thanh Binh, owner of the Binh Loan food facility, Longdan has approached him and made the export order. Vegan diet and plant-based foods are gaining popularity among EU and UK consumers, and the UK supermarket chains believe this is a promising market for Vietnamese vegetarian food producers. Binh said the export procedures to the UK were simple and convenient with the backing of Longdan, especially when the factory’s foods meet the Sanitary and Phytosanitary measures (SPS).

He said all products are produced without preservatives and the fermentation processes are made traditionally, ensuring food safety and hygiene. This is a rare thing in canned products which are preserved for a long time. Health concerns after the pandemic are driving consumers globally to change their diet to plant-based food. According to market insiders, this is an opportunity for Vietnamese food processors with sustainable development strategies to enter new markets, especially with the backing of free trade agreements that Vietnam has signed with many countries, including the UK.

The UK-Vietnam Free Trade Agreement (UKVFTA), which officially came into force on May 1, 2021, has created favorable and transparent conditions for the import of agricultural products, food, beverages, and other products subject to SPS measures to the UK.

A survey of consumers in seven European countries, conducted by Switzerland-based V-Label GmbH, has found a growing number of respondents are looking to eat more plant-based foods post-COVID-19. At the height of the pandemic, sales of meat alternatives were reported to rise 265% over a period of eight weeks. Investments in alt-protein also rose sharply to reach US$4.8 billion in 2021, representing a 102% year-on-year growth.

According to Vu Kim Hanh, chairwoman of the Business Association of High-Quality Vietnamese Goods (BSA), from the perspective of market researchers, the rising trend of vegetarianism is an opportunity for Vietnamese agricultural products but it also requires more business bravery, which is to create a trend and create a market.

Data on vegetarian foods export as an independent sector is not available. Currently, Vietnamese enterprises export vegetarian food and meat alternative food together with other groups of industries, such as fish sauce, soy sauce, instant noodles, and vermicelli. The development of Vietnam's vegetarian and meat alternative food brands to the global market has also not been constructed. However, Hanh said not only for vegetarian food but also for processed food export in general, strict adherence to the SPS standards is important to export to fastidious markets like the UK.

Photo: VNA

Policy news: Vietnamese tax agency asks Netflix to pay taxes

The General Department of Taxation has sent an official dispatch requesting Netflix to fulfill its tax declaration and payment obligations in accordance with Vietnamese tax law. On August 31, the tax body said that it had coordinated with relevant authorities to collect information and data related to Netflix – a Netherlands-based company providing online television entertainment services in over 100 countries, including Vietnam.

On that basis, the agency has asked Netflix to fulfill its tax declaration and payment obligations in accordance with the provisions of Vietnamese tax law. The total number of pay TV subscribers via the internet of cross-border platforms such as Netflix and Apple TV was announced earlier, with about 1 million subscribers and estimated revenue of nearly VND 1,000 billion (US$41.6 million).

As for Netflix, in 2020, its representative said that the governments of the countries where this platform operates have full authority to decide on tax policy and Netflix always complies with Vietnam’s applicable laws. “We support the implementation of necessary mechanisms so that foreign service providers like Netflix can fulfill their tax obligations in Vietnam, but such a mechanism does not yet exist,” the representative said.

Regarding this issue, the General Department of Taxation officially launched a portal for foreign suppliers on March 21. On this portal, foreign suppliers can send dossiers and look up and receive tax authorities' notices on tax identification numbers, tax amounts, and tax payment codes, which helps simplify information about tax payments and helps taxpayers easily make tax payments anytime and anywhere. As of August 15, 30 foreign suppliers had successfully registered and declared tax.

Photo: Zing News

Aviation news: Some Vietnamese air carriers stop checking baggage tags at airports

Some local airlines have stopped checking tags of checked baggage at the exit of domestic arrival terminals to save time, reduce procedures, and create a smooth flow for passengers. These air carriers include Vietnam Airlines, Pacific Airlines, and the Vietnam Aviation Service Company (VASCO).

For the convenience of luggage identification, they advise passengers to personalize their luggage such as attaching a name tag with the name and phone number information on the suitcase. Vietnam Airlines provides free name tags for passengers at the check-in counter. Passengers are not advised to put valuable items in their checked baggage. They should carefully check their luggage before exiting the airport.

According to the carriers, checking baggage tags at the arrival terminal has stopped at many international airports around the world. At Vietnamese airports, this was applied at domestic terminals by some airlines during the Covid-19 outbreak. Along with this, airlines and airports have implemented additional measures to control checked baggage, and prevent the mistaken taking and losing of luggage.

Airlines randomly check the checked baggage at the exit, instead. Many surveillance cameras have been installed at the baggage claim and exit area at the Hanoi Noi Bai International Airport. Previously, passengers would be required to produce the tags of their checked bags when they exited airports, and airline staff collected the tags from passengers.

Weather Forecast

On the National Day holiday, all provinces across Vietnam enjoy light sunny and pleasant weather. However, there can be sudden thunderstorms in some places.

Northern region: On September 3, the highest temperature of the day is from 32-35 Celcius degrees. On September 4, the highest temperature of the day is from 32-35 Celcius degrees.

Central region: The highest temperature is from 32 to 35 Celcius degree. There will be showers and thunderstorms

South Central coast: The highest temperature is from 32 to 35 Celcius degrees.

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