Drink industry told to lift distribution to stay trading

Sep 24th at 14:57
24-09-2015 14:57:11+07:00

Drink industry told to lift distribution to stay trading

Domestic beverage companies were urged to improve their distribution system to protect their domestic market shares amid anticipated rising competition pressure associated with intensive international integration.

As a part of their efforts to implement the task of strengthening connections in the supply chain of Vietnamese products for sustainability, the Ministry of Industry and Trade yesterday held a conference to connect producers and trading companies in the beverage industry in Ha Noi.

According to Le Thi Viet Nga, deputy director of the ministry's Domestic Market Department, the domestic beverage industry was facing with the risk of narrowing production scales due to the rising competition from foreign rivals.

Nga said the co-ordination between producers and trading companies would create significant impetus for the domestic beverage industry to expand at home market, cut costs and better serve consumers.

Nga also urged beverage companies to apply advanced technologies in production to enhance the product quality for sustainable development.

Le Hong Xanh, deputy director of Sabeco, said that many beer giants planned to expand in Viet Nam, and in comparison Vietnamese beverage companies would be less competitive and might risk losing in the domdestic market.

According to the Viet Nam Beer Alcohol Beverage Association, the growth rate of the domestic beverage industry was on a downward trend from 2012. Statistics showed that during 2008-11 period, the industry's growth rate averaged around 17 but slowed down to 6 per cent in 2012 and 4 per cent in 2014.

Nguyen Van Viet, the association's president, said one of the causes was the competition from foreign rivals which was weighing down many domestic beverage companies, especially those involved in small-scale production. Many were dissolved or taken over by foreign rivals.

The competition was anticipated to become fiercer when Viet Nam joined FTAs which would cut duties on beverage products to zero.

The association said that the supply chain from production to consumption would be an important solution for the domestic beverage industry. "The challenges need to be tackled through enhanced quality and technology renovation," Viet added.

bizhub



NEWS SAME CATEGORY

Experts discuss two-way investing

Domestic and foreign experts gathered at a workshop in Ha Noi on Tuesday to discuss establishing venture investment funds by the private sector in co-ordination...

Chinese traders hunt for decades-old sugar palm trees in southern Vietnam

You will never be able to guess what Chinese traders will add to the list of bizarre products in their highly dubious buying sprees in Vietnam in recent years.

Low-income earners burdened by high fees

Vietnamese now have to spend 21.4 percent of their total monthly living expenses, according to Numbeo, the database on living costs.

Experts identify challenges by 2035

Local and foreign experts have projected Vietnam could face high socio-economic risks by 2035 while other countries in Eastern Asia may have made breakthroughs.

Work starts on new industrial zone in Binh Phuoc

The Hai Vuong-Sikico Group started construction on the Minh Hung Sikico Industrial Zone (Anzone Industrial Zone for short) in Hon Quan district, the southern...

Enterprises urged to get creative

Besides the important role of the government in creating a favorable, transparent business environment, local enterprises should become more active and creative in...

HCM City to boost investment

According to the HCM City People's Committee, the investment budget for road traffic projects in the next five years will be VND124 trillion (US$5.5 billion)...

ADB raises VN GDP forecast to 6.5%

Viet Nam's gross domestic product (GDP) will likely to grow 6.5 per cent in 2015 and 6.6 per cent in 2016, the Asian Development Bank (ADB) said yesterday in Ha Noi.

Public debt well within Government's target

The nation's public debt was estimated at 62.3 per cent of the GDP by the year end, well within the Government's limit of 65 per cent.

Prices in Ha Noi up 0.3% from year ago

This month's Ha Noi consumer price index (CPI) report marks a 0.34 per cent increase over the same period last year.


MOST READ


Back To Top