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17

March

Why don’t exporters diversify payment currencies?

Vietnamese companies have been heavily criticised for attaching themselves to the dollar in making payments for export deals, due to which they have been suffering when the dollar devaluates. In response, the companies said that it is not easy to change the custom of using dollars in making payments overnight.

 

Rooted habit

 

 

According to the Forex Management Department under the State Bank of Vietnam, payments for up to 90% of export turnover is being made in dollars.

 

Meanwhile, in 2007, the dollar lost 9.9% of its value against the euro, and in the first 2.5 months of 2008, the dollar devaluated by 6.6% against the euro, which brought about big losses for Vietnamese exporters.

A question has been raised about why Vietnamese exporters do not diversify the currencies used in making payments in order to minimise risks caused by the dollar’s devaluation.  

 

A representative of a farm produce export company said that his company always exports products to the EU and should have used the euro as the payment currency. However, for many years, his company and the payment bank (a Vietnamese bank) both wanted to use the US dollar in making payment, and this has become a habit.

 

“100% of Vietnam’s robusta coffee is being traded in US dollars, and it is very difficult to persuade importers to use the euro instead of the dollar, including the EU importers,” said Tran Tuyen Huan, Director of ACC, specialising in farm produce.

 

Huan added that exporters set Vietnam’s robusta coffee prices based on London forward market prices, which, for the last tens of years, have been making transactions in US dollars.

 

According to Nguyen Thanh Duoc, Head of the Export Division under Dau Tieng Rubber Company, the rubber export prices are set based on the rubber prices in the Singapore or Tokyo market. Though the two markets use Singaporean dollars and Japanese yen, Vietnamese rubber exporters still convert the prices to US dollars when selling to foreign buyers.

 

“Both the Vietnamese sellers and foreign buyers have got used to using dollars in making payments. It is not so easy to persuade them to change the habit,” Duoc said.

 

There is another factor which makes it difficult to change the habit of using the dollar in payment is that most of importers (with representative offices in HCM City) are now compiling trade contracts in US dollars (100% for coffee exports and at least 50% for rubber).

Diversifying payment currencies? Not so easy

 

The State Bank of Vietnam many times has urged exporters to persuade their partners to diversify the currencies used in payment. For example, Japanese yen can be used in trading with Japanese partners, while the euro can be used while exporting products to the EU.

 

However, according to Truong Dinh Hoe, Secretary General of the Vietnam Association of Exporters and Producers (VASEP), EU partners will not accept paying euro to import seafood products from Vietnam.

 

They would be unwise to accept making payment in euro, as the dollar devaluation will help them earn money, Hoe said.

 

For example, a kilogramme of filet tra sent to the EU has the export price of $2.8. As the dollar is devaluating against the euro, importers will have to pay a sum of money equal to $3.6/kg if they pay in euro.

 

An exporter has pointed out that it is the fault of the State Bank in exporters’ habit of using the US dollar as the only payment currency. He said that for many years, the central bank has been pursuing a weak VND policy in order to encourage exports, while it has not been paying any special attention to the VND/euro or VND/JY exchange rates.

 

(Source: TBKTSG)

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02

March

Making the most of the Mekong Delta

Farmers harvest pomelos in Bac Lieu. Luxuriant orchards full of juicy fruit can be found all over the Mekong Delta.

Those who have followed the Mekong Delta’s winding waters to the region’s farthest stretches agree that the journey is well worth it. Pham Nam Giang discovers the area’s hidden delights, both natural and man-made.

Most tourists who visit the Mekong Delta make it no farther than My Tho, a day’s jaunt from HCM City, where they can float down one of the region’s many waterways and sample the famous locally grown fruit.

Those who venture deeper into the region, however, are rewarded with the rich biodiversity, history and folklore of the southwest.

Sure, no visit to the Mekong (Cuu Long) River Delta would be complete without a boat ride down the red-silt-laced waters of My Tho or a visit to Can Tho’s bustling floating market. But when I pushed beyond these cities to Bac Lieu and Kien Giang, two of the 12 provinces that make up the region, I discovered many more elements of the southwest’s unique character.

In the quiet expanses of these provinces, immense forests and nature reserves shelter thousands of species of plants and animals. Seemingly unending green rice paddies chase the horizon, and friendly local residents will tell visitors tales of their hometowns.

My first stop was Bac Lieu Province, 280km south of HCM City, a symbol of natural bounty in the region. Every year, the river system delivers fresh silt to this province in the Mekong Delta’s southernmost tip, replenishing the fertile land.

In addition to containing rice paddies and shrimp ponds that local farmers depend on for their livelihoods, the region also provides a home to tens of thousands of birds.

It is unsurprising, then, that birds have become an integral part of cultural and spiritual life for people of the delta and of Bac Lieu in particular, as evidenced by the frequent mentioning of birds in folk songs and fairy tales. People say that no rice paddy in this land is without a flock of storks overhead.

This sheds light on a Vietnamese proverb often used in reference to the lush southwestern region: dat lanh chim dau (if the land is good, birds will come).

The highlight of my tour of the province was a trip to Bac Lieu Bird Sanctuary, one of the most attractive ecotourism spots in the province and the entire Mekong Delta.

The 100-year-old sanctuary is located in Hiep Thanh Commune, 6km east of the town of Bac Lieu.

“The sanctuary, a natural salt-marsh forest ecosystem, covers an area of approximately 170ha, of which 50ha is virgin forest,” said Tu Hung, an official working there.

One of the largest bird sanctuaries in the delta, it is home to more than 60,000 birds of over 40 species, including some rare ones listed in the Red Book.

Every day, flocks of birds fly off in search of food at dawn and return to their nests when dusk comes, overshadowing the sky for the delight of the viewers below. Songs of birds intermingle with the sounds of flapping wings, bringing the whole area to life.

“It’s so extraordinary,” said Dinh Thi Kim Dung, director of Sovico Travel company in Ha Noi and one of my companions.

Dung said there were many birds in her hometown in Thai Binh Province, a natural salt-marsh forest reservation in the Red River Delta, but never before had she seen birds practically covering the whole sky like this.

But the sanctuary not only shelters birds, it is also a reserve for 150 types of animals, dozens of species of butterfly and more than 100 plant varieties, ranging from giant centuries-old trees to small ferns.

Tourists, however, are only allowed to visit a nearby buffer zone where they can use optical devices to observe the birds from afar in high watchtowers. Hung explained that human activity could adversely affect the environment for the birds, causing them to flee the area.

Mandarin-style luxury

Back in town, I experienced a taste of the delta’s history by spending a night at the palace of Cong tu Bac Lieu, the Bac Lieu mandarin’s son, a renovated facility transformed into a comfortable, one-of-a-kind hotel.

Located on the banks of Bac Lieu River, the villa retains its beautiful French-style architecture. People come not only for luxurious accommodation, but also to listen to stories about its former owners, the Tran Trinh Trach family, one of the richest families in the region in the early 20th century.

Many of these stories revolve around Cong tu Bac Lieu, originally named Tran Trinh Huy, the most famous son of the landlord Trach. The notorious playboy achieved fame not for heroic acts or contributions to society, but for his extravagant lifestyle.

According to legend, he once used money as fuel to boil water for serving tea to guests and another time used a kilogramme of green peas and sugar to make sweet porridge to impress a woman he was courting. While many Vietnamese farmers were labouring in the fields year-round to make ends meet and living without electricity, he would hire helicopters to go sightseeing with his girlfriends. He would be seen dressed in flamboyant Western attire, walking hand in hand with beautiful girls he had handpicked from the beauty contest he had organised.

These sensational stories about Cong tu Bac Lieu make staying in his house an opportunity not to be missed, and the true enthusiasts can even spend a night in his room for a price of VND600,000 to 700,000 (US$38-43), two to three times higher than prices of other rooms in the house.

The fairies’ land

Finally, I said goodbye to Bac Lieu and pressed on to Kien Giang Province, the extreme southwest of the Vietnamese mainland.

While Lung Cu in northernmost Ha Giang Province is called the roof of the motherland, defending it from rain and shine, and Dat Mui in Ca Mau Province in the southern tip is called the “the head of the Viet Nam vessel”, the town of Ha Tien is famous for its wealth of natural beauty.

Legend has it that long ago, Ha Tien had such beautiful rivers that fairies would come to dance and bathe every full moon, giving the town its name: in Vietnamese, ha means ‘river’, and tien means ‘fairy’.

While Ha Tien was a bustling port city in the 17th and 18th centuries, where European and Indian merchant ships would stop along their journeys, now it has settled into town status, without high buildings, crowded streets or noisy horns.

This new identity has served Ha Tien well: the 42,000 residents enjoy the atmosphere of tranquillity that makes this feel like a village from another era.

What’s more, without human intervention, the area’s natural beauty has remained intact. Unique from other places in the Mekong Delta, Ha Tien is surrounded by limestone formations that form a network of spectacular caves and grottoes, both on land and offshore. For this reason, sometimes people call Ha Tien “Ha Long Bay on land”, much like Tam Coc, its northern counterpart.

Among the most beautiful is Thach Dong (Stone Grotto), a piece of green stone emerging from the ground, where a fresh breeze blows through the many clefts and crevices, making strange noises.

Not far away are the fine, white sands of Hon Chong and Hon Trem beaches. Standing on Mui Nai (Deer Cape), a deer-shaped pinnacle of rock on Hon Chong facing the sea, I could see the Hai Tac (Pirate) Islets, a gathering of 16 small land formations that look like a group of pirates standing on the blue sea.

Two kilometres from Hon Trem is the ancient Hang (Cave) Pagoda, which utilises the limestone range running along the seas as natural interior design. As visitors walk inside the cave-like structure, they can admire the stalactites hanging down from the ceiling of the cave like columns of a house.

Those who pray here feel at one with nature, surrounded by the shells of sea creatures left from a time when the ocean waters encompassed this space. Yet the presence of familiar Buddhist statues add warmth to a space that might otherwise be a bit soggy and foggy, making this pagoda an exotic and inspiring place to pray for happiness and peace.

Having experienced the Mekong Delta’s most unique sacred spot, spent a night in a historical hotel and viewed rare species in the wild, I returned to Ha Noi, already planning my next trip to this bountiful region.

(Source: VNS)

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04

January

Sony SS SP40FW Channel Speakers Silver

 

Selecting the right speakers for your PC will help you create quality Hi-Fi sound in your home or office. The Sony SS SP40FW Channel Speakers are lightweight, compact, and compatible with a number of Sony products. Hear you favorite music, movies, and video games in a whole new way. These speakers provide clarity and realistic sound for an entertainment experience you’ll truly enjoy. Order yours and discover the sound of Sony quality.

  • Device Type: Left/Right Channel Speakers
  • Speaker Type: Pasive
  • Weight: 3.1 lbs
  • Color: Silver
  • Compatibility: Sony FWD-40LX1/B, Sony FWD-40LX1/S

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04

January

Sony SS SP42FW Channel Speakers Black

 

The right speakers will make all the difference in creating quality Hi-Fi PC sound in your home or office. The Sony SS SP42FW Channel Speakers are lightweight, compact, and compatible with a number of Sony products. Hear you favorite music, movies, and video games in a whole new way. These speakers provide clarity and realistic sound for an entertainment experience you’ll truly enjoy. They’re what you want and what you need. Order yours today.

  • Device Type: Left/Right Channel Speakers
  • Speaker Type: Pasive
  • Weight: 3.1 lbs
  • Nominal Output Power: 7 Watts
  • Compatibility: Sony FWD-42LX1/B, Sony FWD-42PV1/B, Sony FWD-42PV1P/B

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04

January

U.S. Robotics US Robotics USB VoIP Speakerphone

 

The USRobotics USB Internet Speakerphone works with the powerful Skype Voice-over-Internet application to enable “hands-free” and toll-free calls around the world. Simply install Skype software and plug the Internet Speakerphone into a USB 1.1 or 2.0 port to make free phone calls to any Skype user world-wide. Powerful echo cancellation technology assures high quality calls. Convenient volume and mute buttons allow you to manage your conversation without accessing the computer application.

  • Type:  USB VoIP Desktop Hands Free Kit
  • Headphones Type:   Speaker
  • Connectivity:  Wired
  • Microphone:  Integrated
  • Operation Mode:   Mono
  • Warranty:  2 Year Warranty

Free Calls to Skype Users Anywhere
Now you can call anywhere for FREE! Simply install Skype software, plug in the USRobotics USB Internet Speakerphone and dial/connect to any other Skype user in the world.

Compatible with Skype Telephony Services

  • Skype Certified to work with the Skype Voice-over-Internet application
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Excellent Voice Quality

  • Integrated echo cancellation and noise reduction technology delivers life-like conversation quality
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Easy to Install and Use

  • Simple to install – Supports Plug-and-Play so when it is attached to a computer’s USB port it automatically installs
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Ergonomically designed for intuitive operation

  • Broad Compatibility
  • Supports Windows 2000 & XP operating systems
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