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Trade cooperation between Hanoi and provinces: Opportunities for all

Recently, enterprises in Hanoi has increased trade cooperation with other provinces, with a view to support them promoting and consume specialties, as part of the campaign “Vietnamese give priority to Vietnam goods”.

More and more effective

Since the beginning of the year, Hanoi Promotion Agency (HPA) has held 3 conferences connecting supply – demand and signed Memorandum of Understandings (MOU) with Da Nang, Lam Dong, Son La. At the Conference connecting the agricultural products consumption and tourism cooperation between Son La – Hanoi, Director of Son La Trade & Industry Department Nguyen Duy Nhuong said, with the support from Hanoi Trade & Industry Department, the 2 provinces has increased cooperation in promoting and advertising safe agricultural products of Son Lan to enterprises and citizens in Hanoi. Through 2 events of Son La goods week in Hanoi in 2016 – 2017, which attracted high attention from customers; high number of agricultural products and fisheries of Son Lan had been consumed.
 
Hung Yen's longan week 2017 in Big C Thang Long Supermarket.
Hung Yen's longan week 2017 in Big C Thang Long Supermarket.
In 2016, Hanoi has held supply – demand connection conferences with 30 provinces/cities, in which 400 Hanoi enterprises signed 350 MOU and economic contract to bring products from provinces to Hanoi’s markets. As such, Hanoi has timely supported provinces with difficult in looking for agricultural products’ output, such as lychees in Hai Duong and Bac Giang; onion in Soc trang, longan in Hung Yen and watermelon in Quang Nam.

According to Vice Director of Hanoi Trade & Industry Department Tran Thi Phuong Lan, the event connecting provinces has supported Hanoi and provinces in product consumption. It is expected that in 2017, Hanoi will consume agricultural products from provinces with value up to 17 trillion VND, at the same time, provinces will consume products from Hanoi with value of more than 6,5 trillion VND.

Big enterprises cooperate with producers

Despite provinces’ specialties have been brought to modern consumption distribution channel by Hanoi’s retailers, however, in reality, only few number of big enterprises cooperate with producers in purchasing goods and bring in distribution channels. Economic expert Vu Vinh Phu said, the connection between producers with distribution enterprises is ineffective, which lead to a high price for customers. “Meat at supermarkets and stores have gone through 3 – 4 distribution channels before customers. Until when we can develop a complete chain from production to supermarket, this will still happen” – Mr. Phu said.

Sharing the same view, Director of HPA Nguyen Gia Phuong said, the event connecting supply – demand is the tip of the iceberg to link production and consumption. Hanoi’s enterprises have advantages on technologies, so that they should support other in provinces, especially in highlands area in accessing modern technologies, so that the production chain can meet the current requirements. “Big enterprises in Vietnam has to become the center of value chain, in which they should cooperate closely with producers at provinces to bring products to customers” – Mr. Phuong said.

According to the Director of Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc, provinces/cities should be active in developing supply – demand plan, pushing forward with specialties consumption in other provinces. In particular, Hanoi’s enterprises need to continue investing  and developing the distribution network in accordance with the wholesale and retail network master plan of the  city. At the same time, Hanoi should support more in product consumption of other provinces through enterprises’ distribution channels, in turn meets the consumption demand of citizens and creates steady streams of revenue to producers. Besides, the Hanoi People’s Committee has pushed forward with infrastructure development to ensure sustainable consumption distribution channels.

Information from HPA shows, in September at the Vietnamese Goods Exhibition 2017, there will be a trade promotion conference and solution to promote supply – demand connection between Hanoi and other provinces. It is expected that on November 23, Hanoi Trade & Industry Department will organize a conference connecting supply – demand between Hanoi and other provinces in 2017, with a view to serve the market stabilization for the Tet Holidays of 2018. 
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