BUSINESS

All posts tagged BUSINESS

Cargo flights to benefit from ASEAN Open Skies

Published มกราคม 13, 2016 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/aec/Cargo-flights-to-benefit-from-ASEAN-Open-Skies-30276771.html

Farida Susanty, The Jakarta Post  WED, 13 JAN, 2016 10:35

The country’s air cargo industry is expected to benefit from the multilateral agreement on the opening of freight services between ASEAN countries, a move that promises to help increase air cargo volume by 50 percent this year.

Indonesia National Air Carriers Association (INACA) head of cargo division Boyke P. Soebroto said that the multilateral agreement would broaden the market for Indonesian air cargo service providers.

Prior to ASEAN Open Skies, also known as the ASEAN Single Aviation Market (ASEAN-SAM), Indonesian cargo planes were required to stop over in countries like Singapore, as a hub, en route to a final destination,

“For example, there wasn’t a direct [air cargo] flight from Jakarta to Hanoi but, with the liberalization, we can fly directly from Surabaya to Hanoi,” Boyke said.

“This is a chance for Indonesian air cargo service providers to get into ASEAN industrial centers, both for imports and exports.”

Citing data, he said the country’s international air cargo shipping volume stood at around 80,000 tons in 2014, just one-fifth of domestic air cargo shipping which booked 400,000 tons during the same year.

Air cargo volume decreased by 5 percent in 2015 due to the slowing economy, according to INACA data.

“But for this year, as we will have direct flights, I think it [volume] will increase by 40,000 tons,” he said.

Service providers in the country, according to Boyke, would likely aim to increase air cargo shipping to Hanoi and Saigon, among others.

Indonesia ratified the multilateral agreement on the full liberation of air freight services in July last year.

The agreement, first approved by ASEAN in 2009, was implemented with the ASEAN Economic Community (AEC) this year.

In the agreement, Indonesia is to open seven cities to incoming and outgoing freight services, including Palembang, South Sumatra; Manado, North Sulawesi; Makassar, South Sulawesi and Biak, Papua.

Meanwhile, the Philippines has promised to open six of its cities, including Cebu, while Thailand plans to open seven cities, including Bangkok and Phuket.

– See more at: http://www.thejakartapost.com/news/2016/01/12/cargo-flights-benefit-asean-open-skies.html#sthash.L2esGo7w.dpuf

US leading trade partner of Dong Nai

Published มกราคม 13, 2016 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/aec/US-leading-trade-partner-of-Dong-Nai-30276729.html

Viet Nam News   TUE, 12 JAN, 2016 6:37 PM

DONG NAI – The United States was the leading trade partner of southern Dong Nai Province in 2015, Deputy Director of the provincial Industry and Trade Duong Minh Dung said.

Last year, the province exported more than US$4 billion worth of goods to the US while its imports from the country hit $1 billion. That had resulted in a significant trade surplus of $3 billion, Dung said.

During the reviewed period, Dong Nai’s trade turnover with Japan and six ASEAN countries including Indonesia, Thailand, Cambodia, and the Philippines, apart from Singapore and Malaysia, reached approximately $1.9 billion and over $2.1 billion, respectively, making them become the region’s two other major trade partners, besides the US.

Dung told vietnamplus.vn that the global economy’s recovery would further facilitate Dong Nai’s exports, which was expected to grow by 10 per cent this year. However, he forecast that the province trade surplus might not increase as many foreign-invested projects here were yet to be operational.

Director of the Bien Hoa City-located Ho Nai Limited Co Nguyen Van Quy said the turnover from exporting furniture to the US made up more than 90 per cent of his company’s revenue in 2015. He added that his company was inviting some other enterprises in the province to co-ordinate and fulfil large orders from the US’ partners in the future.

Meanwhile, Vietnamese Commercial Counsellor in the US Dao Tran Nhan said the Trans-Pacific Partnership (TPP), which would be inked in the future, would create great opportunities for businesses in this southern province to expand their exports to not only the US but also other TPP nations.

VN farm sector expects sales of $40bn

Published มกราคม 13, 2016 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/aec/VN-farm-sector-expects-sales-of-$40bn-30276718.html

Viet Nam News   TUE, 12 JAN, 2016 6:12 PM

Hanoi – The agricultural and rural development sector expects to gain US$39-40 billion in total farming, forestry and fishery products by 2020, according to officials.

Also, experts anticipate a growth rate of 3 per cent in the sector’s gross domestic product (GDP) by 2020, according to the Ministry of Agriculture and Rural Development (MARD).

Minister of Agriculture and Rural Development Cao Duc Phat said that the sector aims for an export turnover of $31 billion and a GDP growth rate at 3-3.5 per cent this year.

To gain its target this year and beyond, the domestic agricultural sector will focus on restructuring itself and improving its value and efficiency of production, he said.

In addition, the sector will put more investment into the processing industry, especially deep-processing and post-harvest preservation, to reduce losses after harvesting and increase the added value of farming products.

Also, the ministry will continue improving the efficiency of the quality of management for agricultural material, food hygiene and safety, to create favourable conditions for export and consumption of farm production. It will also improve controls on quality, food hygiene and safety for farming, forestry and fishery products for export.

According to the ministry, the cumulative export turnover in agro-forestry-fisheries products reached $140.6 billion, from 2011 to 2015, with an average annual growth rate of 9 per cent.

Compared to 2010, the export turnover of these products rose 54.6 per cent to $30.14 billion in 2015.

Ten exports listed in the ‘$1 billion club’ were rice, coffee, rubber, tra fish, shrimp, cashew nuts, pepper, vegetables, cassava and woodwork.

In the reviewed period, the sector’s GDP growth rate reached 3.13 per cent, surpassing the 2.6 to 3 per cent target set by the 11th National Party Congress, Phat said.

Car prices jump in VN following tax adjustment

Published มกราคม 13, 2016 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/aec/Car-prices-jump-in-VN-following-tax-adjustment-30276598.html

Viet Nam News    MON, 11 JAN, 2016 2:01 PM

HANOI

The move is a result of the new tax calculation, causing many car dealers to simultaneously increase their prices to the public for automobiles.

Under the new tax calculation, which will be changed beginning January 1, 2016, the special consumption tax for imported cars with 24 seats and below would be based on the importer’s price, but the price must not be lower than 105 per cent of the cost of an auto, which includes the car’s import price, import tax and special consumption tax at the importing point. If it is lower than this level, the tax will be fixed by a tax agency following regulations on tax management.

As for 24-seater cars assembled and manufactured in Vietnam, the tax will be based on the carmakers’ wholesale price, though this price must not be lower than 7 per cent of the average prices of automobiles.

The new calculation method is expected to cause an estimated 5-per-cent increase in the price of imported cars.

At an automobile shop on HCM City’s Cong Hoa Street, the price of a Ford Ranger pick-up truck has increased by more than VND22 million (US$1,004) compared with the previous price. Also, a Camry 2.5, which previously cost VND1.35 billion ($61,618), now costs over VND1.4 billion ($63,900), an increase of VND55 million ($2,510), the Phap luat TPHCM newspaper reported.

Linh, who intended to purchase a car, told the newspaper that some of his friends bought their cars last year, before the tax had changed, so they could pay a lower price. “Some cars now cost as much as VND1 billion ($45,643) higher than last year,” said Linh. Domestic auto importers and assemblers have also increased the selling prices of their cars. Mercedes-Benz, considered a pioneer, has seen some prices soaring.

Early this year, some Mercedes-Benz distributors announced that their selling prices on some vehicles had risen between VND20 million ($912) and VND1.8 billion ($80,000).

For example, an A200 now costs VND30 million ($1,300) more, while the price of a CLA has increased by VND20 million ($890). The highest increases are seen on imported vehicles, such as GL63 AMG 4Matic and G65 AMG, with prices surging by VND1.28 billion ($56,900) and VND1.8 billion ($82,158), respectively.

Truong Kim Phong, sales and marketing director of Ford Vietnam, said the selling prices of their pick-up trucks had increased by over VND20 million ($912) since the beginning of this year.

The 16-seat passenger Ford Transit’s price had also been increased by VND35 million ($1,597), Phong told the newspaper, adding that the costs of locally-assembled cars would also rise in the near future.

“The new calculation method for the special consumption tax, along with high US dollar exchange rates, have affected the cost of imported cars and auto parts that can not be produced for vehicles assembled in the country, forcing auto makers and distributors to increase their prices,” Phong said.

For the same reason, other auto importers have also increased prices.

The importer and distributor of BMW cars in Vietnam has announced their latest list of car selling prices, with an increase in car prices fluctuating between VND49 million ($2,236) and VND650 million ($29,668). As for the Porsche Macan and Macan S, prices increased by VND290 million ($13,236) and VND250 million ($11,410), respectively.

Although the costs of popular inexpensive cars have not been affected, according to the prediction of local auto firms, the prices of these vehicles will also rise by 2 to 5 per cent over current price levels, the newspaper said.

Suppose to fall

According to integration commitments in the free trade agreements that Vietnam has signed, the prices of cars would decrease. For example, since early 2016 the tax imposed on complete built up units imported from ASEAN countries to Vietnam would fall from 50 per cent last year to 40 per cent.

Under WTO commitments, beginning January 1 import taxes applied on automobiles would slightly decrease from 4 per cent to 2 per cent.

Therefore, auto prices should be reducing, rather than rising, the newspaper reported, adding that some businesses and experts said the tax reduction under these free trade agreements are nothing, compared to the newly-applied special consumption tax.

In addition, Vietnam mainly imports pick-up trucks from the ASEAN region, such as Chevrolet Colorado, Toyota Hilux and Nissan Navara, which are taxed at about 5 per cent, while other types of car are taxed at about 50 per cent. Therefore, the reduction of taxes on automobiles imported from ASEAN countries hardly affects the prices of these vehicles, the newspaper said.

Meanwhile, other luxury cars, such as Mercedes-Benz, BMW, Audi and Lexus, which are often sourced from Japan, the US and Europe, do not have the opportunity to enjoy the 40-per cent tax level, as do those imported from the ASEAN region.

According to Huynh The Du, a lecturer at the Fulbright Economics Teaching Programme, the new tax on imported cars, which he calls rational, should even be increased further.

“The automobile market development must be consistent with transport infrastructure development. Without policies controlling the automobile market, the economy will suffer many consequences,” Du said, adding that increasing taxes is one of the most effective solutions to limit the amount of vehicles on the road.

According to the General Statistics Office, the total import value of automobiles and automobile parts was estimated at nearly $6 billion in 2015, of which the import value of automobiles reached $3 billion.

SME stimulus ‘within 1-2 weeks’

Published กันยายน 4, 2015 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/SME-stimulus-within-1-2-weeks-30267927.html

BUSINESS

THE SECOND PHASE of the government’s latest economic stimulus package, aimed at helping small and medium-sized enterprises, will begin in a week or two, while the third phase aimed at wooing foreign investors will be initiated via a roadshow in three months’ time, said Somkid Jatusripitak, the deputy prime minister in charge of the economy.

The Cabinet yesterday approved the first phase of the package, which entails Bt120 billion worth of new capital – Bt60 billion injected into the Village Fund scheme, Bt36 billion in cash handouts to 7,000 tambon, and Bt24 billion worth of small government projects.

The package also includes the acceleration of the investment projects under the 2015 fiscal budget, worth a total of Bt16 billion, which brings the total value of the new package to Bt136 billion.

“The government has the intention to rebuild the economy from within to balance the current expansion of exports, and this [the first phase of the stimulus package] is the starting point,” Somkid said after the Cabinet meeting.

“The first phase is to ease the financial problems of the majority in this country, which will lead to the circulation of capital within the economic system, while the second phase to help SMEs will come out in one to two weeks’ time,” he said.

Somkid said the second phase was extremely important as it would encourage investment activities via the budget-acceleration process and increased incentives for the private sector. These would determine the success of this three-phase economic stimulus effort.

“All new business incentives including the work to build the seven clusters are expected to be done before December. Then the roadshows to other countries will begin because by then we will be able to tell [investors] we have to offer, how ready are we and what we have done to boost our domestic consumption and help increase the competitiveness of our SMEs and the export sector,” he said.

The Bt60-billion increases to the Village Fund programme in the first phase will come from loans via the Bank for Agriculture and Agricultural Cooperatives (BAAC) and the Government Saving Bank (GSB). The cash handout programme and the new small government projects will be partly funded by the central budget and the rest by advances from the 2016 fiscal budget.

The new projects are basically existing projects within the fiscal budget that have been put on hold from prioritisation.

Ammar Siamwalla, a scholar at the Thailand Development Research Institute, has expressed concerns that handing out zero-interest loans will exacerbate the high level of household debt. But Somkid insisted they were a needed relief measure for low-income people during this tough economic time. He also said disbursements “will be carefully monitored by the Village Fund committees in each village”.

Finance Minister Apisak Tantivorawong added that the condition forbidding the taking of the loans for re-finance purposes was designed to lower the effect on the household-debt level.

The projects under the tambon cash-handout programme will be decided by their provincial governors, while the Interior Ministry will oversee the necessity and the benefits of the projects along with its procurement process.

New projects from the cash-handout programme and the small government projects are expected to commence within the next three to four months, Somkid said.

Thailand eyes becoming regional trade centre

Published พฤศจิกายน 22, 2014 by SoClaimon

ขอบคุณแหล่งข้อมูล : ศาสตร์เกษตรดินปุ๋ย : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/national/Thailand-eyes-becoming-regional-trade-centre-30248303.html

BUSINESS

The government is amending laws to convince foreign businesses to set up their regional headquarters here, Deputy Prime Minister MR Pridiyathorn Devakula said on Friday.

The move would enable the kingdom become a regional trading centre like Singapore, he said.

He told participants attending a seminar that the amended law would be forwarded to the cabinet for approval early next year.

If passed, it would help boost Thailand’s gross domestic product to between 56 per cent in the next two years and would not cause a bubble economy in the country.

The law would also help increase the role of Thailand’s economy in relation to neighbouring countries and is also designed to encourage Thai businesses to invest internationally, said Pridiyathorn.

Development in Thailand in the past has come from private investment. This has now reached saturation due to shortages of labour and land for investment and has resulted in a slowdown in investment since 2010. This has in turn affected and the country’s GDP, which has only grown by between 3 and 4 per cent, he said.

There is therefore a need to amend the tax system to facilitate foreign businesses wishing to set up regional operating headquarters in Thailand as well as to also encourage Thai businesses to invest abroad, MR Pridiyathorn said.

The government will invest in major infrastructure projects to cater to the “digital economy,” such as establishing a massive broadband network to assist businesses, he added.

Private sector to push for business reforms

Published สิงหาคม 6, 2014 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย-ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Private-sector-to-push-for-business-reforms-30240342.html

BUSINESS

Fighting corruption also high on agenda for new Parliament

Private sector representatives in the new Parliament will push for more than 100 draft bills and legal amendments that cover business promotion, trade facilitation, mergers – and countering corruption – to be considered by the National Legislative Assembly (NLA) as part of the country’s economic reform agenda.

Tackling the problem of corruption – one of the private sector’s biggest concerns – will be pushed as a part of efforts to facilitate business.

Isara Vongkusolkij, chairman of the Thai Chamber of Commerce and the Board of Trade of Thailand, said NLA members would convene on Friday with a view to selecting a chairman and vice chairman.

Once that has been accomplished, 139 legal drafts will be pushed by the private sector, said Isara, who is a member of the assembly.

Laws on customs and urban planning are among the priorities for legal amendment, and a committee will be proposed to determine and advise on these issues.

While wages may not be raised, labour skills need improvement, he said.

Vallop Vitanakorn, vice chairman of the National Shippers’ Council, said if the problem of insufficient labour was not resolved to cope with state and private investment in the next one to two years, a labour crisis – particularly at the vocational level – could be expected in three years.

He said he expected there should at least 500,000 workers “in reserve” at the current time.

Itsakul Unahakate, a researcher at the Thailand Development Research Institute, said the draft bill on facilitation for state approval, which was approved last year, was also up for parliamentary review.

It is among the priority legal drafts that the anti-corruption agency and seven business organisations proposed to the National Council for Peace and Order for accelerated enforcement in order to cut the time and cost of doing business, fight corruption and increase transparency.

To enhance the agency’s efficiency, the legal draft should promote the Office of the Public Sector Development Commission to use standard costs to assess the cost of approval in terms of money, frequency and time, he said.

Such information should be transparent and publicly disclosed, he said, adding that a royal decree should announce the setting up of a centre for approval within a finite period of time.

“Although solving corruption in state undertakings will be a major tool to control social and economic activities, over-regulation will increase costs to society and affect national competitiveness. Complicated regulations and legal procedures with approval processes have led to delays in business operations and costs that are too high,” Itsakul noted.

Giving officials too much authority to review could lead to corruption, he warned.

Sathit Limpongpan, chairman of the Stock Exchange of Thailand’s (SET) board of governors and also an NLA member, said the bourse would propose that the new government tackle taxes levied on mergers and acquisitions (M&As) in order to strengthen listed companies as a means of paving way for the Asean Economic Community, which comes into effect at the end of next year.

“Listed companies should be strengthened for the AEC. M&As will enlarge and strengthen our companies to be able to compete,” he said.

The SET also wants to see foreign companies directly listed on the Thai stock market, he added.

SET president Kesara Manchusree said the exchange had discussed going ahead with tax adjustment to support the capital markets with the Revenue Department and related agencies.

SET vice president Chanit Chanchainarong said criteria proposed for foreign companies to list on the Thai bourse were currently subject to a public hearing, and expected to be endorsed in September.

The exchange’s goal is for the SET to become a centre for regional fund mobilisation, and it hopes to start facilitating this by examining regulations on holding companies, he said.

Based on discussions with foreign investors, he said they had gained confidence about Thailand’s situation in recent months, while the SET’s “Thailand Focus” report this month should be important in gauging their latest view on the Kingdom and its prospects.

%d bloggers like this: