Sabeco has been haunted with past tax arrears, transfer pricing, and suspicious divestment. Source:Tienphong.vn Sabeco asked to pay $108.47 million in tax arrears In February 2018, while auditing Sabeco’s financial reports and related activities in 2016, the State Audit of Vietnam (SAV) directed the corporation to pay VND2.495 trillion ($184.47 million) in dividends to the state since the last round of payments in 2016. The SAV asked Sabeco to pay VND2.495 trillion ($184.47 million) to the state budget before November 20 and send receipts to the SAV’s Region IV office. According to the SAV, the interim financial statements for the six-month period ending on June 30, 2017 were audited by PwC Vietnam Co., Ltd. and as of December 31, 2016, Sabeco held more than VND2.8 trillion ($121.739 million) in after-tax profit which it had not declared tax for. In the first quarter of 2017, VND76 billion ($3.3 million) of this was divided among several funds. Thus, the remaining profit … [Read more...] about Stories Sabeco would rather forget
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BUSINESS IN BRIEF 16/4
Poultry breeding heats up again General manager CP Vietnam Montri Suwanposri said that Vietnam’s poultry prices are closer with prices of other countries; accordingly, CP Vietnam will sell chicken to Japan after finishing paper works as per the partners’ requirement. Montri Suwanposri added that C.P in Thailand is the leading firm exporting chicken meat to Japan for years with the quantity of five million a week. There has been an increase in poutry meat orders lately because many countries banned import chicken from Brazil , an exporter of chicken to Japan, after food safety scandal. These countries switched to import chicken meat from Asian countries especially Thailand. At present, prices of poultry in hi-tech farms in Vietnam is similar to chicken prices in other Asian countries, accordingly, C.P Thailand will share its orders with Vietnamese firms and C.P Vietnam has planned to sell chicken meat to Japan in 2019. In 2017, Vietnam’s livestock sector marked its … [Read more...] about BUSINESS IN BRIEF 16/4
BUSINESS IN BRIEF 21/6
PM requires careful monetary policies On June 18, PM Nguyen Tan Dung issued Instruction No. 19 on the socio-economic development plan and budget estimates for 2013, and State budget investment plan from 2013-2015. In the Instruction, the PM set targets for 2013, including economic development targets related to economic restructuring. The main tasks in developing the economy during the next year include monetary polices, credit, tax, land, administrative innovation, and improved economic growth to reach GDP growth of 6-6.5%. Restructuring the economy will focus on three main fields, including investment, the financial markets, and enterprises. The PM also urged the restructuring of State-owned enterprises, improved competitiveness and better operational effectiveness of state economic groups. Serious and explicit sanctions need to be applied to raise the effectiveness of state-owned capital and assets. Monetary policies will favour private enterprises to help them access … [Read more...] about BUSINESS IN BRIEF 21/6
BUSINESS IN BRIEF 19/5
Farmers trapped by Chinese traders: an old story The fact that many local farmers in the southwestern provinces have suffered from a sharp decline in purple sweet potato prices as Chinese traders have suddenly stopped buying is just the latest episode in a long story containing myriad similar cases reported over the last few years. While local farmers have been repeatedly trapped by Chinese traders under the same trick, no intervention or support from authorities and relevant agencies has ever been offered to protect them from the trap. So far this year, three cases have been added to the story, in which Chinese traders left local farmers with a huge unsold stock of sweet potatoes, defaulted on crab purchases, and encouraged locals to hunt leeches for them. In mid-2010, as many Chinese traders came to Vietnam to buy Japanese purple sweet potatoes at high prices, a number of farmers in the Mekong Delta province of Vinh Long began scrambling to grow the vegetable. Things were … [Read more...] about BUSINESS IN BRIEF 19/5
BUSINESS IN BRIEF 24/12
Logistics key to competitiveness With its export-driven economy, Viet Nam should prioritise investment in trade logistics to improve competitiveness, economists have suggested. Speaking at a consultative workshop on trade promotion, value creation and competitiveness on Wednesday, the World Bank economist Pham Minh Duc said it predicted the country's export volume would triple by 2020. However, poor commercial infrastructure and logistics services cost Viet Nam in terms of of time, money and reliability, making it less competitive than rival nations, he said. Meanwhile, according to the World Bank's latest report, solid infrastructure and logistics can help boost GDP by up to one per cent. It also claims that every 10 per cent reduction in logistics costs can help save resources worth two per cent of GDP. However, in Viet Nam, according to the General Statistics Office, transported goods volume increased over 12 per cent annually for the last 15 years and trade volume saw a … [Read more...] about BUSINESS IN BRIEF 24/12