Friday July 16, 2010

I yam not taro

RAMBLINGS
By Dr LIM CHIN LAM

A look at some food names and terms that we Malaysians use and the way these names differ from other usages.
YES, I know: the title is grammatical nonsense, but with a purpose. I yam – sorry, I am – trying to make the point that yam is not taro, and, for that matter, that some other food names and terms we use in Malaysia are at odds with those used elsewhere. Let me elaborate.
Yam vs taro
We use the word yam to refer to a commonly available tuber called keladi in Malay. Correctly, it is taro. It comes from a short plant whose aerial parts arise like a rosette of leaves springing from the ground. Just below soil level it develops a vertically longish tuber, cylindrical in shape but somewhat bulging towards mid-length. Botanically, taro is the stem-tuber of several species of the genus Colocasia, of the family Araceae.
The yam, also available in Malaysia, is a different plant altogether, of the genus Dioscorea, of the family Dioscoreaceae. Unlike the taro, the yam is a vine, its slender stem twining round the stems of woody plants or other support. The stem develops from a tuberous base which later develops into a large misshapen globose structure, a stem-tuber – which is the true yam.
Yam bean vs turnip
That which we erroneously call “turnip” is known as sengkuang in Malay, bang kuang in Chinese/Hokkien, and sah kok in Chinese/Cantonese. We in Malaysia do not have nor use turnip, which is the root-tuber of the plant Brassica rapa, of the cabbage family (Cruciferae).
Our so-called turnip is properly called yam bean – “yam” because the edible tuber develops like a yam, and “bean” because the plant, Pachyrhizus erosus, is of the bean family (Leguminosae). The name yam bean is awkward. In Latin America, it is called jicama (pronounced /hikama/).
Lady’s finger
The unfortunate name, lady’s finger – suggestive of milady’s amputated finger – is known as bendi in Malay. It is the longish, immature fruit of the plant, Hibiscus esculentus, which is eaten as a vegetable. (The botany-inclined will note that the yellow flowers of the plant are structured very much like those of the common hibiscus.) An alternative name for the vegetable is okra.
Brinjal
The brinjal (terung in Malay) is the fruit of Solanum melongena, eaten as a vegetable. (The plant belongs to the same family, Solanaceae, as the chilli and the tomato.) It is known in North America as eggplant. The term “eggplant” is unfortunate for two reasons: (1) brinjals come in several colours (white, yellow, purple) and in different shapes and sizes, not necessarily egg-shaped nor egg-sized; and (2) “eating an eggplant” suggests eating the plant and not the fruit. Another name for the vegetable is aubergine. (Incidentally, the potato (ubi kentang in Malay) is the stem-tuber of Solanum tuberrosam, which, like the brinjal, belongs to the family Solanaceae – but not the sweet-potato (ubi keledek in Malay; botanical name Ipomoea batatas) which is from a different family, Convolvulaceae.)
Banana
There have been several queries about the terms used in connection with the banana. In Malay, the harvested bunch is called tandan, the individual clusters on the bunch sikat or sisir, and the individual fruits pisang. In international trade, the corresponding English terms are bunch, hands, and fingers.
Four miscellaneous food items
Our so-called dragonfruit, the fruit of a cactus of the genus Hylocereus (e.g. H. undatus, H. ocamponis, and H. polyrhizus) is known as “pitahaya” or “pitaya” in its place of origin in Central America.
Papaya, the fruit of the herbaceous tree Carica papaya, is also known as pawpaw.
What we know as tapioca (ubi kayu in Malay; the root-tuber of the shrub Manihot spp.) is also called cassava and manioc.
With our British colonial history, we use the term maize for the cereal known in Malay as jagung (botanical name Zea mays), which yields large grains set in rows on a cob. The Americans know it as corn, arguably a better name.
After all, the following expressions trip more easily off the tongue: corn on the cob (rather than maize on the cob), cornfield (rather than maize field), cornflakes (rather than maize flakes), cornflour or cornstarch (rather than maize flour or maize starch), cornmeal (rather than maize meal), corn oil (rather than maize oil), corn silk (rather than maize silk), and corn syrup (rather than maize syrup).
Padi and rice
The word “padi”, so spelt and whether italicised or otherwise, does not appear in English-language dictionaries, but we nevertheless use the term, non-italicised, in an English context – as we would in the original Malay – in reference to the plant, Oryza sativa (as well as O. indica and O. japonica) to mean the grain in the husk. The word “rice” is then taken to mean the grain with the husk removed. Our usage, in English, of the terms “padi” and “rice” is much influenced by Malay, for which the equivalent terms are padi and beras. Malay goes one better: nasi is the term for cooked rice.
Let us see how English uses the term paddy, which patently is derived from the Malay but which has somewhat deviated from the original meaning. With reference to the Concise Oxford English Dictionary (2004), paddy (so spelt) is a field where rice is grown. (The equivalent in Malaysian lingo: A padi-field – called sawah in Malay – is a field where padi, rather than rice, is grown.) A second definition in the dictionary gives paddy as rice still in the husk. (The equivalent in Malaysian lingo: Padi is the grain still in the husk, while rice is the hulled grain, uncooked.)
Okay, English uses paddy as a generic term for the cereal, in which case the second definition in Concise OED is understandable. However, the first definition is divorced from the original meaning of the source word.
To recapitulate, the words “paddy” and “rice” used in standard English are somewhat different from the “padi” and “rice” of Malaysian usage. I think that the twain will never meet, and that we Malaysians shall continue to use the terms “padi” (still not italicised as for a foreign word not yet assimilated into English) and “rice” in the manner elaborated above.
Closing remarks
To wind up, we come to our seeming obsession, “hawker food”. There is the matter of definition. “To hawk” is to go about in a push-cart or a motorised vehicle to sell goods (e.g. pots and pans; fresh fruit and vegetables, meat, and fish; cooked food); and “a hawker” is someone who sells things from a cart or vehicle. For some strange reason, we Malaysians do not use the verb “hawk” any more; and we use the noun “hawker” almost exclusively in relation to food, as in “hawker food”, “hawker stall”, and “hawker centre”. Furthermore, “hawker” no longer carries the sense of a peripatetic occupation, so that “hawker stall” and “hawker centre” – where “hawker food” is sold in a fixed place or site – are contradictions in terms.
Incidentally, what we call hawker food is called street food elsewhere.

http://thestar.com.my/english/story.asp?file=/2010/7/16/lifefocus/6651716&sec=lifefocus

Travel scams

Believe it or not, but the planet is a fairly peaceful place. Most people - no matter culture, income, or strange language - are friendly and will only do their utterly most to help you. But then there are those few who are trying to take advantage of vulnerable travellers. Everyone can fall victim to their tricks but being aware of the most well-known travel scams will steer you clear of the worst. 

 

Card gambling scam

Risk zone: Southeast Asia, especially Kuala Lumpur, Bangkok and Bali

This scam is normally quite sophisticated and extremely well executed. First you are approached by a friendly local who invites you home for some reason (kid's birthday party, niece is moving to your home country, whatever). Back at his/her place, which is likely to be far out in the suburbs, an uncle shows up and tells you he is working as a dealer at a casino and of course knows some great tricks. He will invite you to start practicing Blackjack and you will quickly pick up his hand signal system so you can tell what the other players have. Now with the two of you being close pals and working as a team, the dealer suggests cheating this "rich guy" who is supposedly arriving for some VIP Mahjong later on. When this guy, now presented as coming from Brunei, Singapore or even the Middle East, shows up, he does not mind some petty card gambling before his real gambling, but of course you will have to play for real money. No worries though, your old mate the dealer pays up and you start to play. Because of the dealer's earlier learnt hand signal, your cheating system is wining you a lot. At some point you get 21 and know that the "rich guy" has 20. Suddenly his bets get insanely high and you, of course, can hardly believe your luck. He takes out a large bundle of cash (as in USD 10,000) and requests to see some real money from you too. You are asked to just put in as much as possible, while your dealer friend will cover the rest. With this cash now placed in a safe, the scam can go different ways. Either the game will be momentarily postponed so you can be taken to an ATM for more money, or the game will be postponed to the next day so you can bring more money from your hotel or you actually win the game but are forced to continue gambling and suddenly start losing. There is also the risk of being drugged. However the scam plays out, the point is to part with all your cash (possibly including a forced ATM withdraw).

Cheap overnight bus scam

Risk zone: Thailand

This scam is about getting tempted by the price of too cheap bus ticket for an overnight journey. But don't! Because during the night all the bags in the luggage compartment will get emptied for valuables - and some hand luggage might get the same treatment. The thief is part of the bus crew and the ridiculously early arrival time is part of the scam, with nobody realizing what has happened before the bus has left. This scam has been going on for ages. Guide books warn against it, travel forums are full of reports of it but money conscious travellers still take the super cheap buses to/from e.g. Khao San Road. For overnight journeys, either take a government bus from the bus station (not Khao San Road) or do a bit of research and go with one of the more expensive but reputable private bus companies. And while we are at it, it is always advisable investing in a bag that can be padlocked!

Chinese tea house scam

Risk zone: China

This scam comes in many disguises around the world, but here it is the Chinese tea house version and it takes place at Tiananmen Square in Beijing. You are chatted up by two sweet looking young ladies who claim to be studying English. They ask if you have some time to chat so that they can practice their language skills. Sure, why not. They will suggest some tea, so they take you to a traditional Chinese tea house. This can be done so discreet and subtlety making you believe you might actually have picked the place yourself. At the end you might offer to pay for the tea or maybe you find the girls are gone when the bill appears. In any case, the tea turns out to be extremely expensive at around 75$-200$. Of course declining any offer by anyone approaching you around Tiananmen or Wangfujing is the best way to avoid this scam, but if do find yourself confronting an outrageous bill, the best thing seems to be a laughing rejection and a stern threat of calling the police. Modesty and politeness will make things worse. And yes, the girls are in on this, no matter how cute and friendly they might seem.

Claim it on the travel insurance scam

Risk zone: Wholewide, but seems very popular in India

This scam involves you trying to scam others. Yes. A doctor, or a friend of a doctor, chats you up and suggests issuing some fake doctor bills (including rapport, official stamps, and everything) on your behalf, which you then can claim back on your travel insurance. You will of course have to pay him part of the fake bills value up-front in the belief that you will pocket the other part when the insurance claim gets through. Well well. Travel insurance companies are well aware of this kind of scams and have probably already seen a number of fake bills from your new doctor friend. Remember that no insurance company will pay out a huge post treatment claim without having been in contact with the hospital and/or doctor in question. So as tempting as it might seem at first glance, forget about financing your travels by dodgy insurance claims. Bearing in mind that a little insurance scam on the companies' behalf is likely to make travel insurance even more expensive for the rest of us, as well as the most obvious fact of this of course being illegal.

Coin collector scam

Risk zone: Asia

This is a little harmless trick performed mostly by very young kids. A "collector" will approach you and ask for any foreign coins you might have. Appearing incredibly knowledgeable about currency and nominations of your local money they thus convince you of coin-collection actually being their prize hobby. In most cases travellers will happily hand over a few coins believing they are supporting an innocent hobby. So, when a good collection of foreign coins have been accumulated, the next step is to then sell them back to other tourists for the local currency under the excuse of some tourists having paid them in Swedish Krona or Japanese Yen. Clever, right?

Credit card fraud

Risk zone: Worldwide

Oh boy, don't get us started on this one. The tricks are too many and too painful. SO... only use your credit card to withdraw cash from ATMs that look authentic or to make purchases at well established businesses (and no, that tailor down the side street in Agra is probably not well established).

Credit card fraud, part II

Risk zone: Worldwide

So now you only use your credit card at ATMs, but your sorrow isn't over yet. Smart scams range from fake fronts that swallow your card along with the PIN to more sophisticated plastic sleeves that are inserted into the card slot to jam your card and make you believe the card is swallowed after you have entered the PIN. So if at all possible, only use ATMs in connection with banks that are open. If need be, thoroughly check the ATM and see if it looks tampered with in any way. Or simply be patient and wait until you have witnessed someone else using it successfully - without losing their card.

Dirt on shirt scam

Risk zone: Europe and South America

You are walking in a crowded street and suddenly you get something on your jacket, it can be anything from coffee to dog pooh. Faster than lightning a diverse group of friendly locals appear wanting to help, offering to clean your jacket with their napkins brought for the occasion. Before you realize what is truly going on your wallet/money belt/camera/daypack is changing hands. The best advice on this one is to stay cool when it happens, firmly decline any service offered and walk away fast. You can always check out the stains in a safer place later on. If you don't realize the scam before they are freeing you from your valuables, yell out loud and act aggressively. Of course use your good judgment but trick thieves in general are rarely into attention and violence.

Donation scam

Risk zone: Worldwide

Some charity collector imposter - let it be a school kid in Sri Lanka, a monk in China or even an orthodox Jew at the Western wall in Jerusalem, approaches you pretending to represent some do-good cause asking for a donation - the scam of course being the donation ending up in their own pockets. You want to do good, but how can you tell the real charitable person from the con artists preying on want-to-do-the- right-thing travellers? Well, it can be difficult to tell but it is likely to be a hoax if the collector only targets tourists, is being very persuasive and smooth talking (and in good English) and if s/he is asking for a minimum amount while showing you a book of how much other tourists have paid (often being exorbitant amounts). Do give to the real ones and never get bullied into giving to the fake ones.

Drugged

Risk zone: Worldwide

This trick is particularly famous in the Philippines, but again it could happen anywhere from Europe to South America. At the bus or train station you are chatted up by some friendly locals. Maybe they are going on the same bus or train as you; maybe they are just waiting like you. After a while they offer some sweets which you out of politeness and respect don't feel like you can refuse. Unfortunately the sweets contain some sedative drug and when you wake up, you find yourself without any of your valuables. This one is hard to see coming and there is no reason to be paranoid. But do be wary if travelling alone or otherwise vulnerable.

Fake changes

Risk zone: China

You get offered a very good deal on goods from a street vendor near a tourist site. The price is not a nice neat round amount so you pay a bigger note and get your change back, so far nothing special. Well, maybe yes. This scam has two sides. First the obvious one that traders will never make deals which are not to their benefit. If a bargain sounds too good, it probably is. The second part is the actual scam, with the vendor giving back your change in counterfeit money. There are a lot of fake Chinese money in circulation (especially 50RMB notes) and quite a few end up in the unsuspecting hands of tourists.

Fake cops

Risk zone: South and Central America, Africa, East Europe and Central Asia

A couple of plainclothes men come up to you and present some kind of official looking police ID claiming to be "tourist police" or similar. They ask to see your passport and/or money, maybe even mentioning some obscure reason like there being fake money around. If you hand over your passport you end up having to pay up to get it back. If you hand over your money you for sure will not see all of it again. If you refuse doing either, they will ask you to follow them to the "police station" in their car, where you will get seriously robbed. So, what to do? Show them a photocopy of your passport at first and insist that if that is not sufficient, you will go with them to the nearest police station - by walking. In the meantime, try to look around for some uniformed officials, like traffic police or military, which you can try and catch the attention of. Whatever you do, do not step into a car - anything else will be a better solution. There is, of course, the very slight chance of them being real cops in a seriously corrupt country, but if so, you are probably already aware of this scam since you have chosen to travel there.

Fake cops, version II

Risk zone: South and Central America, Africa, East Europe and Central Asia

This one starts with a (fake) local tourist approaching you. While you two are chatting, a fake cop appears demanding to see passports and money of your both. Your fellow tourist will of course hand this over right away, assuring you that you should be doing so likewise. During the inspection, you will of course be relieved of some of your money. So, listen to your mother and don't trust strangers - at least with regards to you money belt.

Finder do not keep

Risk zone: Russia

This has been the going scam on the Red Square for some time. A guy passes by you on the street and accidentally drops a wad of money at your feet. Another guy comes by, picks it up, and offers you half of the stack. After sharing the money the second guy disappears and moments later the first guy returns aggressively demanding his lost money. Well, why would anyone really want to share a lot of money with a traveller like you? If it seems too good, it probably is.

Gem scam

Risk zone: Thailand and India

This is a classic Bangkok scam (but the gem part is also popular in India) and every guide book carries warnings against it and for good reasons. It typically starts with a very cheap tuk-tuk ride. Your super friendly driver wants to show you a special temple, possibly because your choice of destination is closed... because today just happen to be "Buddha day" or some other noteworthy day you are unlikely to be in a position to either know of or argue against. The driver might start talking about a special government promotion on diamonds with no tax and mentioning the promotion as only being for today. When you get to the temple of the driver's choice, you just happen to meet this friendly guy who is telling you that he is financing his honeymoon by buying diamonds under this special government endorsed promotion. He suggests that you could also make some easy money by buying some. Don't get tempted, everyone is in on this scam. The goal is to trick you to the diamond shop and sell you some close-to- worthless diamonds under the promises that you can easily sell them on back in your home country and of course with a huge profit. The moral is; if it sounds too good then it is too good. So don't get tempted by easy sounding ways of financing your trip by buying diamonds, carpets, or anything else that you don't know Jack about.

Gypsy kids

Risk zone: Southern and eastern Europe

This is a classic scam and typical in both Rome and Milan. A group of gypsy kids approach you. One sullen looking kid shoves a piece of cardboard with some text in your face. Whilst you are occupied and busy reading the text, the other kids expertly go through your pockets. Sometimes this is done so subtle you hardly feel it. Other times they really just go for it, leaving you fending for yourself. Best precaution is to simply avoid large groups of gypsy kids and to not engage with them with any sign of interest.

Money swapping taxi driver

Risk zone: Worldwide

This is quite a simple trick but unfortunately very effective. You have finished your taxi ride and pay the driver a note of ten of the local currency. The driver takes the money and then returns a/nother note to you claiming that you only gave him a note of one. You are almost certain that you paid him a note of ten, but what to do? So, in most cases you end up paying out another note of ten. Not very nice of him, is it?

Organised crime

Risk zone: Poor countries with an underground crime scene, like Albania and Cambodia

This is not actually a scam, more a reminder to stay cool when you go drinking in fancy bars while travelling in poor countries. Since ordinary locals can't afford this kind of flamboyant activity, chances are that at least one of the other guests is the son of some hotshot; a crime lord, a military general or even the country's president. Most of times they will of course just ignore a travel bum like you, but some might also find you interesting... if for nothing else but for the novelty factor. Some are friendly and they might even invite you back to their after party. Others can be drunk and dangerous and both at the same time. So this is just a kind motherly advice to avoid mingling too close with guys who drive expensive American cars in troubled countries.

Oriental carpets

Risk zone: Middle East, Central Asia, Pakistan, India and Nepal

The making of oriental carpets is an ancient art form - and so is selling them. Buying a Persian rug or an oriental carpet on a trip can be the best souvenir ever purchased... or it can turn out to be the worst spent money ever. Don't fall for the "it could pay for your trip if re-sold at home". It most likely won't. If you are going to buy any, then buy with your heart. If you like it and you have negotiated the price down to something you feel to be acceptable, then do it. But don't try to outsmart the seller and believe it is a life investment. And never ever pay extra for special features you don't have a clue about, e.g. "interesting that you should pick that one, for it is a very rare one hundred years old tribal rug made of silk dyed in vegetable pigments... ". Buy a carpet because you like it and not because the seller convinces you it is a good deal - for it rarely will be.

Ping pong banana show scam

Risk zone: Where there are strip bars

This is the Bangkok version of the classic drinks overcharging scam, not too different from the Chinese tea scam described above. It goes something like this: You are lurked into some strip bar in Patpong in Bangkok under the promises of an outrageously kinky and free show involving flying ping-pong balls (if you don't know what a ping pong banana show is, google it!). Maybe you are wise enough to ask for the drinks prices first, but still, you are likely to get very surprised when the bill arrives after a few rounds. Suddenly the price of a beer is not 100THB as promised, but 1000THB, and two big bouncers (yes, they do exist in Thailand too) want the money and they want it now. So what to do? Always ask for prices before every single order and always pay as the drinks arrive, never work up a tab. If there are other customers in the bar, some loud gesticulating talking might get you away with a more reasonable bill, or you could try with threats of calling the tourist police. Always weight up the situation carefully before deciding on the possible value of making too much of a fuzz. It seems that both Soi Cowboy and Nana Entertainment Plaza are better options for hustle-free shows.

Rape accusation scam

Risk zone: Cambodia, but probably elsewhere too

This scam is aimed at all you gorgeous boys believing you are simply just too handsome to be resisted. So you meet this local woman who thinks you are hot. You start a consensual sexual relationship under the assumption that she is not into it for the money. After a couple of happy days, you are sharing a beer with some newly found local friends, possibly a "brother" of your new "girlfriend", when she drops by. She greets you by slapping you in the face and screams loudly that you raped her the other night. The men around the table stand up and start shouting at you whilst mentioning police, jail, and worse things. As it turns out, the only solution is a trip down to the ATM... and as long as your credit card is working one trip might not be enough. So before you jump into bed with a local lady you might want to ask yourself what she gets out of it - for she is probably asking herself the same question.

Reverse exchange rate scam

Risk zone: Central America

This scam can be used anywhere but is especially prominent where the currencies are close to each other, like e.g. between Honduras and Nicaragua.

You arrive at another border crossing and want to get some local money. You might have done your homework and remember what the exchange rate should be, let's say 1.2. The dodgy-looking money guy agrees to 1.2, takes the calculator and divides your amount with 1.2. So far so good, right? Across the border, however, you find out that the rate was 1 to 1.2 and not 1.2 to 1 as what you got. The rate thus should have been multiplied, and not divided - get it? The point is to not just check the exchange rate, but also to make a mental note of which currency is worth the most. This scam can seem ridiculously stupid and obvious, but beware that chaotic border crossings can disturb even the coolest cleverest minds. And do we need to tell you to always count the bills and check for counterfeit ones?

Robbed fellow traveller scam

Risk zone: Southeast Asia

This scam is ugly because the starring con-artist is someone your instinct tells you to normally trust, namely a fellow traveller. It goes likes this; you get approached by a traveller who claims to have been the victim of a robbery. Having lost everything, he is asking for 20 USD or so to be able to fax/call/get to the embassy. Luckily the con-artist is always some dodgy looking guy and not some trustworthy-looking lady (who probably could make a fortune if she had no morals). In Phnom Penh, Cambodia, we met the same unlucky "robbed" guy with months intervals, the scam also seems popular in the more touristy parts of Thailand. So, again, use your good judgment before handing over your cash, or help by pointing them to the nearest police station so they can report the robbery officially.

Tuk-tuk scam

Risk zone: Thailand and India

This scam is essentially the same as the gem scam, but without the gems. A friendly tuk-tuk driver offers you a far too cheap ride. After a bit of sightseeing in the back alleys he takes you to a tailor, a silk, a gem and basically any you-name-it shop. "Just for looking" suddenly becomes a very persuasive sales talk in every one of the places. Even if you are genuinely interested in shopping, it will be a bad idea to bring a tuk-tuk driver since they get a commission in every shop. And no, just for the record, the shop owner is probably not the driver's uncle, brother or other relative as otherwise claimed.

Wrong hotel scam

Risk zone: Worldwide, but especially India and Vietnam

Commission rewarded taxi drivers try to convince you that the hotel you want to go to is either closed for refurbishment, torn down or simply just fully booked. Luckily your driver knows of another existing and available hotel, which of course always turns out to be overpriced and badly located (but the taxi driver gets a commission for every guest he brings there). In Vietnam they have even taken this scam a bit further by nondescript hotels being re-named to match the name of popular hotels tricking newly arrived travellers into believing that they have indeed been taken to the right hotel by the taxi driver. So never trust a taxi driver's alternative suggestions and always insist on being taken to the hotel of your choice. In the case of Vietnam, always make sure to be taken to a specific address and not just a hotel name. All shops and hotels in Vietnam have their addresses stated on their sign, so it is easy to check if the address of the hotel is correct or not.

 

 

http://www.globespots.com/scams.php#fdnk

Three Tips for Creating a Reliable Demand Forecast

And what to do in the not-so-unlikely event that it fails.
Shawn Casemore

 

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The devastating events in Fukushima earlier this year demonstrated once again the powerful impact of supply-chain disruptions. Couple these types of unplanned disruptions with fluctuating customer demand, and the ability to effectively manage becomes a seemingly futile pursuit. Regardless of the source of the volatility, however, the failure to properly predict and prepare for demand will result in lost revenue and a tarnished reputation.
There are numerous examples of highly successful organizations that have failed to meet consumer demand. The most recent publicized examples include Apple’s unexpected and prolonged shortage of the iPhone 3GS in 2009 and the iPhone 4 in 2010. In both circumstances, the impact on company revenue was significant.
To be successful, creating a reliable demand forecast must be a joint effort among the customer, supplier, and internal company stakeholders. It must be continuously monitored, modified, and aligned with both business strategy and customer preference. And it should be prominently displayed and discussed, not sheltered or hidden from view.
Here are three key steps in developing a reliable demand forecast:
1. Understand — really understand — historic demand.
Don’t just review historic demand patterns, but look at the drivers that influence demand. For example, are spikes in demand the result of one-time events such as a price adjustment, a successful marketing campaign, or the acquisition of several new customers? What are the factors that influence these events and under what circumstances might they be replicated?
2. Monitor market trends.
Avoid the tendency to make decisions based simply on media information, and instead become intimately aware of the dynamics of your marketplace. This can be done through continuous communication with friendly competitors, customers, bankers, and other individuals who are attuned to your marketplace.
One of our most successful clients operates a distribution business and maintains close contact with customers, consistently obtaining feedback. This habit, although time-consuming, has been the backbone of its success in forecasting demand. The client has collected information in several ways, including simple telephone or e-mail communications and customer surveys, as well as more-complex statistical reviews of customer order history and market trends.
The results have supported its preparation for growth. And, interestingly enough, a side effect of this process has been the positive customer relationships it has developed.
3. Identify and track key indicators.
What are the leading indicators of fluctuation in your customers’ demand patterns? For example, if you are selling fishing poles, your key indicators of demand might include the obvious, such as water levels, fish population, and weather patterns across your sales regions. More importantly, however, you will want to consider demographics. Why demographics? Consider for a moment that as the baby-boomer generation transitions into retirement, it will have more time available for hobbies such as fishing, possibly increasing your sales. Maintaining a view of the changing demographics in your sales regions can create a good window into your future demand.
Manage, but Mitigate
Of course, there are times when even the most well-thought-out plans fail to meet customer demand. Consider the inability of LG to provide screens fast enough to meet rapid demand during the launch of Apple’s iPad. Although this is a good problem to have, it reinforces the need to develop sound mitigation plans to prepare for unpredictability in customer demand.
Applying the following strategies to mitigate demand-fluctuation risk will assist in preparing for the unexpected while minimizing financial impact.

1. Consign inventory.
Seek opportunities to consign inventory with suppliers under a pay-for-use agreement. This is a particularly attractive option relative to high-value or high-cost equipment or materials. It provides a means of reducing inventory investment while ensuring safety stock is still readily available in the unforeseen event it is required.

2. Standardize.
Continuously identify means to standardize materials and processes and avoid the customization trap. One of our clients was forced to deal with the welcome, but very untimely, issue of a one-time buy that virtually eliminated its stock of clothing. Lead times for replacement product from overseas extended well past predicted demand. However, as a result of its mitigation plans to maintain standardization of garments, the client retained a small in-house garment shop. With this, it was able to quickly convert inventory of slow-moving garments into replacement products, providing sufficient cushion to meet demand until replacement stock arrived from overseas.
 
3. Put your eggs in two baskets.
As the events in Japan suggested to many companies, avoid sole sourcing at all costs. Always seek to qualify more than one potential source, even if you provide business to the secondary source only on a periodic basis in order to maintain a relationship. Developing alternate sources of supply is a sure means to maintain a consistent source of supply when unpredictable demand occurs.
Managing supply during times of fluctuating consumer demand or unforeseen circumstances can create challenges that can have a significant impact on a company’s financial sustainability. Developing and continuously revisiting demand forecasts in conjunction with the development of sound mitigation strategies will reduce not only the risk to business but also the investment required to manage the risk.

Shawn Casemore is the president of Casemore & Co., a consulting firm specializing in supply-chain management.

http://www3.cfo.com/article/2011/10/growth-strategies_create-demand-forecast-mitigate-risk?

Parliament: Malaysia Has One Million Expatriates Abroad

October 31, 2011 15:27 PM

KUALA LUMPUR, Oct 31 (Bernama) -- There are about one million Malaysian expatriates working overseas as of April this year, the Dewan Rakyat was told today.

Deputy Minister in the Prime Minister's Department Datuk S.K. Devamany said the figure was based on a joint study by the World Bank and the Economic Planning Unit of the Prime Minister's Department.

He said the setting up of Talent Corporation Malaysia Berhad (TalentCorp) was an apt move in the effort to attract them to come home.

"Among the initiatives taken by TalentCorp to reach out to them is through the Returning Expert Programme (REP)," he said in reply to a question from Salahuddin Ayub (PAS-Kubang Kerian).

He said TalentCorp would create a professional network with those who wanted to remain abroad to inform them of the job opportunities available in Malaysia and to leverage their expertise and network for the country's economic development.

"TalentCorp will reach out to them, including those in Australia, United States and United Kingdom," he said, adding that these expatriates contributed to the country's gross domestic product through remittance.

-- BERNAMA

http://www.bernama.com/bernama/v5/newsindex.php?id=623538

How to Respond to Rude Email at Work

Hopefully you'll open to find courteous messages in your in-box.

You've reread it three times and still it seems like the email message was nothing but rude. But should you call them and clarify if they meant to be rude... or not?
Netiquette at work is as important as anywhere else. Allowing the standards of politeness to slip simply because the medium used emboldens people who would usually not be so forthright in a face-to-face context is not acceptable. However, it's also important to be realistic and objective about those emails that you think are rude but might be quite something else. So, the next time your boss, co-worker, or even the head honcho at work sends you what you think is a rude email, here's what you might like to do.

Steps

1. 
   
   

   Puzzled as to whether or not it's a rude email?
   Discern what a rude email probably looks like. It's easy to misinterpret the intent, tone, and words of an email. Obviously, an email doesn't come equipped with facial expressions, voice tone, and body language, so if you're feeling swamped with work, sugar-depleted, and feel like you just want to get out of the office, it can be easy to make the mistake of assuming negative intent in an email where there was none intended. Signs that you might have a rude email include:
   • The language used is clearly abusive and/or derogatory. (If you do receive an email filled with foul language, this is likely to be a breach of your workplace policy, and it's highly unprofessional. It can also be cause for legal action depending on what is said, especially if you feel threatened, harassed, or slurred.)
   • The email is written in all capitals (yelling) or particular parts of it that express demands or condescension are written in all capitals. (Be aware that some bosses and coworkers are still grappling with the All Caps key, so they may need to be simply excused out of sheer laziness or lack of "getting with it".)
   • The email is basically a demand with no hello, please, thank you, or closing name. Not using your name and not signing off is fine for an email that is an ongoing interaction but when it's the first email for a fresh topic and it's making a demand or giving instructions, then it's impolite to leave out these small courtesies in a workplace context.
   • The email refers to you unkindly (personal digs) or levels accusations at you and/or suggests that you do X, Y, Z, or else.
   • A rude email may have a lot of exclamation marks or question marks in it. Multiple uses of "!!!!!!" and "??????" is often viewed as being rude or condescending.However, it can also be a sign of emphasis, so don't use this alone as an indicator.
   • The sender is copying in someone else who is in charge of both of you as a means of "coercing" you into doing something.
2. 
   
   

   Read the email carefully before making up your mind as to its intent.
   Read the email carefully before making up your mind as to its intent. If you simply scanned it and decided it was rude, it is vital to read it with greater care. Even if you read it carefully the first read, reread it to ensure that you haven't missed anything or you're not reading things into it that are not there. And it's a good idea to ask yourself what it is about the email that has upset you so much. This can be another clue as to what the content intends to convey to you; for example, if you're already having a dispute with a coworker or boss and this email comes at the tail-end of a heated discussion, then it's understandable that you'll view it poorly straight away. On the other hand, if there has been no indication that your coworker or boss is annoyed with you, then perhaps you're misreading it.
   • What is the intent behind the words?
   • Is this person known for poor communications or someone who is normally polite? Even with someone who is normally polite, they may be struggling to put across a message effectively using the email rather than aiming to be rude.
   • Is this person perhaps just posturing, trying to appear more forceful by email than they have the courage to be face to face? In such a case, it may be more a case of bluffing around the edges in the hope you'll do what they're too afraid to ask you to your face.
   • Are there elements of the email you simply don't understand? In this case, you're probably better off assuming nothing until you know more. People who type fast often drop words, and some people don't think that proper punctuation or spelling is needed in emails. And then there is a growing tendency to use texting in emails, which can be hard to interpret if you don't understand it.
3. 
   
   

   Avoid assuming that you know the sender's emotional state.
   Avoid assuming that you know the sender's emotional state. Check that you're not making assumptions about the sender's emotional state.^[5][6] Poor communication skills, misguided sarcasm or joking, and just plain lazy or sloppy writing can all lead a reader to think that the written piece is rude when it means nothing more than that a person wanted to say something but didn't get it out right. Realize that few people are highly skilled writers in a short space of time and most people write quickly with the intent to get the message off their to-do pile so they can get on with the next bit of work.
   • There are exceptions to this rule, of course. If you're already having a difficult time with the person in question at a face-to-face level, it's quite possible that they're letting their emotional side slip into their email communications. All the same, play it by context, not by expectation.
4. 
   
   

   Hold off replying, also known as "review, don't react".
   Hold off replying, also known as "review, don't react". Until you feel you've both understood the message objectively and calmed down, it's important not to reply. In replying quickly, you may be tempted to be just as rude, thereby compounding the problem. Even worse is to reply rudely when the original intent of the email meant nothing of the sort! So, take a breather. Close the email and take a walk. Have a cup of coffee, stretch, and do something different for a bit to clear your mind. That way, when you come back feeling a little calmer, you can reread the email and decide whether or not it's still as upsetting to you as when you first read it.
   • Never reply in anger and always sleep on an angry reply. Long-term consequences follow from having angry words in a written record form.
   • The more emotionally charged you are and the more emotionally charged the email, the more important it is to sleep on your reply.
5. 5
   

   Seek clarification.
   Seek clarification. If you can, simply pop over and talk to the person about what they meant in their email. Resorting to face-to-face communication is more likely to clear things up than any other approach. However, it's not possible for many people who work far apart from one another, or even in different locations, states, or countries. Try telephoning as the next step, if this option is open to you. Speaking on the phone will help you to clarify things much faster than having to email back and forth. And if you really have no other choice, or it simply feels more appropriate for you to reply by email, then be polite and professional in your response. For example:
   • Dear Kevin, Thanks for your message. I wasn't really sure how to interpret "Do you think you can muster the will to pull yourself away from the water cooler and start working on the Noxos report? I'm wondering if I'll be forced to reconsider your role here." I have to say that I read it as being quite brusque and lacking in recognition of my professionalism. I am aware that there is a deadline and am on track to meet it; I was merely taking a very short break to refresh before I returned to completing the report. If you are worried about my progress, then I am happy to come/phone and explain where I am up to. Yours, Nelly.
   • Or perhaps a more humorous approach (you'll need to work in the right kind of place!): Dear Kevin, Thanks for your perceptive email message. I realize that hanging around the water cooler could be perceived as time-wasting. However, you'll be pleased to know that as a result of my water cooler mini-break of precisely 2 minutes and 23 seconds, I was able to find out that Jim has already worked on the same figures as those in our report and that means I can have it finished by this evening instead of tomorrow morning. I will be happy to forward you the finished report before I leave work this evening. By the way, I love your new shoes; I spotted them under the curtain while I was at the water cooler. Nelly
6. 
   
   

   Reread your reply after you've composed it.
   Reread your reply after you've composed it. Reread it at least three times to ensure that you haven't responded with rudeness or sound overly emotional. Maintain a professional and polite tone throughout the email and remove anything from it that is unnecessary or contains assumptions about the other person's state of mind. Keep the email simple, to the point, and without any inflammatory statements. As 101 Email Etiquette Tips suggests, "type unto others as you would them type unto you."
   • Consider that you are being an example of politeness by not buying into the rudeness or any insinuations. Stern professionalism is appropriate but name-calling, cursing, accusing, and abusing is not okay; nor is using formatting in such a way as to "appear" aggressive (misuse of exclamation marks, etc.).
7. 
   
   

   Realize that it's fine not to reply sometimes.
   Realize that it's fine not to reply sometimes. Sometimes it may just be better the let the rude email go. Perhaps the sender didn't know all the facts, got out of the wrong side of bed that day, or was just not thinking straight for various reasons. If you think that it might be best to just let it go and there is no need for confirmation of what was sent, or no need to answer a question, etc., then consider just letting this one slip into the ether. Act like you never received it, provided you still do the work you're expected to.
8. 
   
   

   Oh my! You're right! That's rude!
   Talk to your boss or human resources if there appears to be a pattern of rude emails developing. You should not be subjected to rudeness, harassment, or threats in the workplace. Harassment and threats are actionable, and rudeness is simply something a well-run workplace can do without, or morale is threatened. Keep the emails that concern you as evidence of what you've been subjected to, so that you have a record and can back up what you're saying.
9. 
   
   

   Um, it was the cat's fault... I never sent that...
   Keep up your end of the bargain. If in doubt about whether or not to send an email you've written when you're feeling anxious, angry, or annoyed, and you think that your feelings might be too evident in the email, leaving you open to a charge of being rude, press draft or delete. Do not send it until you've had time to think it through. Be an example of polite and professional email usage at all times.
   
   

   http://www.wikihow.com/Respond-to-Rude-Email-at-Work

   
   

   
   

   
   

   
   

Vietnam – News and Regulations

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Massmann, Oliver <OMassmann@duanemorris.com>	Fri, Oct 21, 2011 at 2:47 PM
6. [Thank you for your interest in this topic. This communication may be considered promotional in nature.] With Compliments Oliver Massmann Rechtsanwalt General Director – Duane Morris Vietnam LLC Hanoi Office: 13th Floor, Suite 1307/08 Pacific Place, 83B Ly Thuong Kiet, Hoan Kiem District Ho Chi Minh City Office: 15th Floor, Suite 1503/04, Saigon Tower, 29 Le Duan Street, District 1 INVESTMENT – Investment restructuring – key to successful economic shift VOV Vietnam should boost its economic growth through investment restructuring, as well as its business and financial markets, said Deputy Prime Minister Vu Van Ninh. Mr Ninh made this suggestion on October 18 at a seminar in Hanoi on Vietnam’s response to current global economic issues. He said that Vietnam has taken many measures to overcome the negative impacts of the world’s economic downturn since 2008. However, the country still faces numerous difficulties in dealing with inflation and high interest rates. Delegates at the seminar raised concerns about imbalances in Vietnam’s investment structure, which relies a lot on the private sector and foreign investors.. Many experts agreed that it is necessary to reconsider investment projects to avoid inefficiency and waste. They stressed the need to issue laws on public investment and give priority to key national projects. Strict monitoring and inspections should be imposed on projects receiving investment from the State budget. According to the Central Institute for Economic Management (CIEM), in the 1995-2010 period the State economic sector consumed 60 percent of the country’s total investment, which was more than its contribution to the GDP, while the non-State sector only accounted for a fifth to a third of the investment proportion. RENEWABLE ENERGIES - Vietnam borrows $1b from US-based bank to develop wind power in Mekong Delta region Vietbiz24 Deputy Prime Minister Vu Van Ninh has recently approved Vietnam Development Bank (VDB) to sign a credit commitment letter to borrow $1 billion for wind power development in the Mekong Delta region in 2011-2015 period. The loan will be financed by the Export-Import Bank of the United States (EXIM Bank). Some coastal provinces in the Mekong Delta region such as Bac Lieu, Soc Trang and Kien Giang have potential for wind power development. Till February 2011, Vietnam had 21 wind power projects studied to conduct in central provinces of Binh Thuan, Ninh Thuan, Binh Dinh and Lam Dong with designed capacity of over 2,000 MW. Recently, the prime minister issued a decision on preferential mechanism for wind power development, including incentives on investment capital, taxes and fees, land infrastructure and electricity price support for grid connected wind power projects. In the master electricity plan VII, the total capacity of electricity sources using renewable energy will be 5.6% by 2020 and 9.4% by 2030. ENERGY - EVN reiterates power price hike proposal VietnamBusiness.Asia The Electricity of Vietnam Group (EVN) has again proposed that the Ministry of Industry and Trade approve a power price hike of 10-13 per cent from November. In early September, EVN asked for an increase in electricity price from that month, but several leading economists denied the need for it, saying that the proposal was inappropriate in the context of the country's rising inflation rate. According to an EVN official, this time, all three elements, including fuel prices, foreign exchange rate and power outputs that affect power price calculations have increased over the past three months. Under the Ministry of Industry and Trade’s regulations, EVN could hike power prices by a minimum of 5 per cent if the factors related to input costs report an increase of more than 5 per cent over three consecutive months. As the Ministry of Finance has said power prices should not be amended on a quarterly basis to avoid a negative impact on the national economy, EVN has decided to seek approval to increase power price from November instead. The latest power price hike was applied from March 1, 2011, raising the electricity rate by 15.28 per cent. Currently, EVN is facing mounting losses and spiralling debts, which it claims is due to low retail prices. The group’s debts to PetroVietnam have now surpassed VND10 trillion ($477.4 million). In addition to its debts to PetroVietnam, EVN still owes over VND2 trillion ($95.5 million) to the state-owned company Vietnam National Coal-Mineral Industries Group (Vinacomin). This means that EVN’s total debts amount to over VND12 trillion ($572.9 million). Apart from its debt problem, EVN is struggling to find capital for power projects. The Ministry of Finance recently allowed EVN to calculate its losses and to offset the losses by gradually increasing power prices in the coming years. If EVN is allowed to raise electricity price by 5 per cent per quarter, it could offset its losses by 2013. RESOURCES - PVGas faces difficulty in finding strategic partners Vietbiz24 Do Van Hau, general director of Vietnam National Oil and Gas Group (PetroVietnam) announced that PVGas has currently faced difficulty in offloading the shares to strategic partners. The main reason behind this was because the debt of 10 trillion dong that Electricity of Vietnam (EVN Group) failed to pay PVGas and PetroVietnam Power Corp (PVPower) caused debt chain among PetroVietnam’s member companies, and would worsen the financial situation of the concerning parties. In 2011, PVGas expects to reach targeted revenue of 57.165 trillion dong, equivalent to 129 percent of the year plan, pre-tax profit of 5.559 trillion dong or 128 percent. At present, PVGas has planned to list shares of PVGas and other member companies (PVID, CNG VN) on the stock market. Foreign investors seek new opportunities in Vietnam Vietnamplus The second annual Vietnam Investment Summit opened in HCM City on October 19, drawing over 100 representatives of investment funds and businesses at home and abroad. The two-day forum discusses the macro-economic environment in Vietnam and seek new investment and development opportunities in the country. Addressing the function, deputy minister of Planning and Investment Dang Huy Dong presented a strategy to attract more foreign direct investment in Vietnam, which clarifies foreign investment attraction policies, introduces the government's investment priorities and solutions to manage the monetary market and curb inflation. Meanwhile, CEO of Standard Chartered Bank for Vietnam, Laos and Cambodia, Louis Taylor, voiced the expectation of stock market investors, saying that Vietnam has potential for good development. The Vietnamese government needs to build confidence for investors through stable macro-economic policy and close inflation control, he said. Country Representative of the Asian Development Bank in Vietnam, Tomyoyuki Kimura, introduced projects which are in need of investment capital and put forward measures to attract investors in sustainable projects with his presentation on increasing public-private projects in Vietnam. Investment pledged for north-central region Saigon Times Daily Many local and foreign investors pledged to invest hundreds of millions of dollars in the north-central provinces of Vietnam at a promotion conference held in Nghe An on Monday. The conference was organised by the Ministry of Planning and Investment in cooperation with six provinces in the region, namely Nghe An, Thanh Hoa, Ha Tinh, Quang Binh, Quang Tri and Thua Thien-Hue. The event also had the participation of deputy prime minister Nguyen Xuan Phuc, 20 embassies and over 100 local and foreign enterprises. The conference witnessed investment certificates handed over to nine project owners with total investment capital of 17,144 billion dong and $45.8 million. Also, four projects invested in Nghe An Province with 18,500 billion dong in total capital were signed. Two of these projects belong to the Vietnam Cement Industry Corporation (Vicem). The corporation will construct Hoang Mai II Cement Factory with annual capacity of 4.5 million tonnes and develop Dong Hoi Port in the province. EuroWindow Vietnam will invest 2 trillion dong in an urban area and service complex, comprising offices for lease, apartments and commercial centers, located in Cua Lo Town. The remainder is Bac A Bank’s project to invest in a resort area with $160 million capital. When these projects are rolled out, the advantages and potentials of the north-central region will be promoted. Then, the region will become an attractive and secure destination for investors. This is the biggest ever promotion conference to be held in north-central Vietnam in order to project the image of the region to investors. Deputy minister of Planning and Investment Danh Huy Dong stated the region had difficulties in investment orientation due to its lack of skilled labour force and supporting areas for big foreign direct investment (FDI) projects. Meanwhile, a representative of the Ministry of Transport said the region must have its transport system improved. The region is lacking synchronous development and many national highways are deteriorating. As of now, the north-central region has had 243 FDI projects so far with registered capital of $19.9 billion which accounts for 10 percent of the country’s total FDI capital. Despite its poor performance in attracting investment, the north-central area has an advantage in the marine economy and coastal tourism with many airports and seaports. The six provinces are calling for 342 investment projects in a number of fields, such as real estate, industry, agriculture, education and entertainment. Kenmark affirms it does not run away TBKTVN The information that Kenmark Group, which invests in the project on developing the Viet Hoa – Kenmark Industrial Zone (IZ), has escaped from Vietnam leaving a big debt of 50 million dollars, has stirred up the public. However, Kenmark’s representative has affirmed that Kenmark does not run away and that there is still solution to the problem. The 4-5 storey grandiose white buildings were the things that reporters could see first when they arrived in Hai Duong province. However, the buildings were quiet with no worker at the workshops. There were only several security guards and the three sealed-off entrance doors. These are all the things which have been built over the last year, since the IZ project was kicked off. Kenmark does not run away This is the affirmation of Hwang Ding Kuo, the legal representative of KID, the Taiwanese investor of the IZ project. The statement was then confirmed by Mai Van Chon, Head of the Hai Duong IZ Management Board and Nguyen Van Thang, Director of the Quang Ninh branch of the Saigon-Hanoi Bank. “I fly to Vietnam every month to work with commercial banks and the Hai Duong IZ Management Board. Lately, on August 22, 2011, I had a working session with BIDV and other banks which gave the syndicated loan,” he said. Chon said that before officially stopping the operation, KID paid salaries and fulfilled its duties to laborers. Besides, the investor paid the land leasing fee for 50 years already, worth 2.5 million dollars. The investment certificate dated December 1, 2006 granted by the Hai Duong IZ Management Board shows that KID has the chartered capital of 29.529 million dollars and it committed to implement the project on developing the Viet Hoa – Kenmark IZ in Hai Duong which has the total investment capital of 1594 billion dong, or 98.430 million dollars. In order to mobilize more capital for the project, KID signed a contract on a syndicated loan with BIDV (Thanh Do branch), SHB (Quang Ninh branch) and Habubank (Bac Ninh branch). The total value of the loan is 52.85 million dollars and 57.5 billion dong, which is equal to 70 percent of the total capital needed for the project. Meanwhile, local newspapers reported that Kenmark has incurred the loss of 50 million dollars. After getting the investment certificate, KID began building the infrastructure of the IZ. According to Chon, the investor has completed the construction of some infrastructure items such as roads, electricity system, water supply and drainage and waste treatment system as scheduled. However, on June 20, 2010, KID sent a dispatch to local agencies, informing that it stopped the operation in the Viet Hoa – Kenmark IZ because KID met big difficulties in the global economic crisis. The information raised big worries to creditors, contractors and clients, who then sent petition to relevant agencies, saying that KID has fallen into insolvency and escaped from Vietnam. Ways-out still exist According to Bui Thi Mai, General Director of Habubank, an investor has expressed their intention to buy the whole Viet Hoa – Kenmark IZ. The investor has had working sessions with BIDV on the procedures to transfer projects and pay debts. It is expected that everything would be settled in October. Creditors, including Habubank, will have to thoroughly consider the financial capability of the new investor before deciding the methods of debt settlement. Nguyen Van Le, General Director of SHB, said that SHB has requested BIDV, as the leading bank, to contact KID’s managers and Kenmark group to discuss the solutions which help settle the current problems. Banks and KID have reached an agreement about the methods of setting debts. Malaysian Kris Sakti Holdings Group is now interested in the project, while involved parties are still discussing relating issues. Hwang Ding Kuo has confirmed that the group is looking for the partners to transfer the IZ project. Of the Japanese, Chinese investors and the investors from the Middle East, who are interested in the project, one investor has proved that it can pay all the debts and resume production quickly. ECONOMY – MPI says SOEs make heavy, but ineffective investments TBKTVN MPI says SOEs make heavy, but ineffective investments The most critical issue today is the ineffective use of the state’s resources by the state owned enterprises (SOEs), which affects the quality of growth, development and competitiveness of the economy. The Ministry of Planning and Investment (MPI), which is drafting the plan on improving the efficiency of SOEs’ operation to be submitted to the Prime Minister, has pointed out that the biggest problem of SOEs now is that they are wasting the resources. SOEs’ investments don’t have high efficiency… The MPI’s report has pointed out that SOEs have been using more resources than private enterprises, but the values of the products made by SOEs are lower. In 2009, SOEs had 37.2 percent of the total capital, 44.8 percent of fixed assets and long term investment, but they only created 25 percent of the total revenue, 37 percent of pre-tax profit and 20 percent of industrial value. According to the General Statistics Office, in 2009, SOEs had to use 2.2 dong in capital to create 1 dong of revenue. Meanwhile, non-state owned enterprises only needed 1.2 dong in capital to create one dong of revenue, and foreign invested enterprises needed 1.3 dong. “It is clear that the investment efficiency of SOEs is much lower than that of other economic sectors,” MPI said. The checking over the investments by SOEs carried out in 2008 and 2011 found out that SOEs, especially economic and general corporations, have been made “overly hot investments.” In 2008, state owned economic groups and general corporations built the investment and development plans with the capital equal to 24.8 percent of the total assets’ value and 89.5 percent of the total chartered capital. Meanwhile, the figures were 26 and 72 percent in 2011, respectively. Especially, some of them planned the investment projects with the capital 1.5-3.1 times higher than their chartered capital. MPI believes that the enterprises decided to make investment even when there were not enough conditions to implement projects, when the projects were not necessary or not urgent, or when enterprises met difficulties. “The low investment efficiency of SOEs has badly affected the investment efficiency of public investments and of the whole national economy,” MPI has concluded. Finally, when the government decided to cut public investments in an effort to curb inflation, 1445 projects of state owned economic groups and general corporations, accounting for 12.7 percent of the planned investment capital, were canceled in 2008. Meanwhile, 31 percent of projects and 10.72 percent of the planned total investment capital were canceled in 2011 The overly hot investment by SOEs has been attributed to the current mechanism which gives high power to the board of directors and general directors. …and bring high risks Statistics show that 12 percent of SOEs make losses every year, while the average proportion of enterprises in the national economy is 25 percent. However, the average loss incurred by an SOE is much higher than that of non-state owned enterprise. The Electricity of Vietnam, for example, reported the loss of 8500 billion dong in 2010. The audited finance report of the Post Corporation showed the loss of 1026 billion dong. Meanwhile, the Song Hong Construction Corporation lost 20 billion dong in the same year. Comparing the figures of the last 10 years, MPI has found out that the ratio of pre-tax profit on capital of SOEs never exceeded the 6 percent threshold, while the figure of foreign invested enterprises is about 10 percent. Meanwhile, the report by the Committee on Enterprise Renovation and Development shows that in 2010, the ROE (return on equity) of SOEs was only 13.1 percent, much lower than the interest rates of commercial loans at the same time. According to the General Statistics Office, at the beginning of 2010, a Vietnamese enterprise had the accounts payable higher by 2.1 times than its stockholder equity, while the ratio of SOEs was 3.09. Inefficient public investments hamper growth: experts Saigon Times The low efficiency of Vietnam's public investments coupled with the increased intervention by the State are among factors resulting in current economic woes, experts said at a seminar in Hanoi on Tuesday. "Vietnam's economy has become uncertain partly because public investments are too big but inefficient, coupled with the increased intervention by the State," said Le Xuan Ba, head of the Central Institute for Economic Management. Speaking at the seminar "Global Economic Prospects and Vietnam's Responses," Ba compared the average growth rates in two recent five-year periods to highlight problematic public investments. The overall investment in the economy in the 2001-05 period accounted for 39.1 percent of gross domestic product (GDP), but the annual GDP growth rate was 7.2 percent. However, in the next five-year period of 2006-10, the economic growth slowed to 6.92 percent while overall investment increased to 42.7 percent of the GDP, Ba said. He stressed that public investments made up as much as 45.7 percent of the overall investment in the past decade, which Ba said was a very high rate. As percentages of the GDP, investment from the State Budget averaged out at 9.8 percent in the past ten years, capital from State-owned enterprises some 4.8 percent, and State credits 2.5 percent. The efficiency has been quite low, as seen in the ever-increasing Incremental Capital Output Ratio (ICOR) index. Ba referred to the numerous cost-extensive infrastructure projects that are of low efficiency. He pondered why Vietnam should have 100 seaports, 22 airports including eight international airports, 18 coastal economic zones, 267 industrial zones plus 918 industrial clusters, and 28 border economic zones among others. "We have invested huge capital resources but the cost-effectiveness is low. If changes are not made, we will face more economic setbacks," he said. Ministries, State agencies and localities have submitted their lists of public investment projects for implementation next year to the Ministry of Planning and Investment, with the combined capital reaching a staggering $300 billion. "The economy's size is only $105 billion, so (the lists) show that we must set aside all GDP in three years to meet the investment demand for one year only," he commented. Ba also cited the Ministry of Planning and Investment's figures to warn of a ballooning budget deficit, saying if government bonds are taken into account, the real deficit hit 9.7 percent of the GDP rather than the formally-announced figure of 5 percent. Nguyen Xuan Thanh from the Fulbright Economic Teaching Programme drew the seminar's attention to the increasing public debts. Public debts, as calculated by the Ministry of Finance, had risen to 56.7 percent of GDP as of end-2010, far exceeding the discretionary proportion of 40 percent suggested by the International Monetary Fund for emerging economies. Speaking at the seminar, deputy prime minister Vu Van Ninh said the government had revised down the economic growth next year to 6-6.5 percent compared to the previous target of 7-7.5 percent in a bid to stabilise the economy. "The government is also determined to restructure public investments, the State sector and the banking sector in the next couple of years," Ninh added. Vietnam's GDP growth expected at 6pct this year: PM StoxPlus Vietnam's economic growth is expected to reach 6 percent this year, prime minister Nguyen Tan Dung said in his 2011 economic review and plan for 2012 and strategy for 2011-15 at the National Assembly Congress in Hanoi today October 20, state-run television VTV1 broadcast live this morning. In his report, the Vietnamese government is taking measures to stabilise macro-economy and ensure economic development. The country faces high inflation of 16.63 percent in the first 9 months of this year, and likely to curb it at 18 percent for the whole year. To curb inflation, the country has applied tightening policy both financially and fiscally, he said. Vietnam's credit growth is estimated at 12 percent, M2 at 12.5 percent this year. However, liquidity has been navigated to production sectors and was limited to non-production areas. Vietnam state budget deficit is expected to be tamed at 4.9 percent GDB in 2011 compared with the target of 5.3 percent this year. The government also focused on stabilising the forex market. The country is closely monitoring gold and dollar trading, stabilising foreign exchanges. The Southeast Asian country is expected to incur a trade deficit of $10 billion this year, or 10.5 percent export revenues, better than the target of not-higher-than 18 percent. The lower trade deficit helped support the country's balance of payment, the prime minister said, adding that the forex market is stabilising. He also said the country's public debt was at the safe level, but no specific number was given. FINANCE – Vietnam Central Bank: M&A Inevitable StoxPlus Merger and acquisitions of banks become an inevitable trend to increase competitiveness. Merger and acquisitions of banks become an inevitable trend to increase competitiveness, the central bank said in a statement on October 18, adding that M&A could bring additional benefits to banks via economies of scales, prestige enhancement, costs reduction, customer base and network expansion, the local online newspaper Tri Thuc Tre (TTVN) reported. M&A can be carried out between big banks, big and small banks or among small banks, said the State Bank of Vietnam. Vietnam has established a quite integrated and complete legal framework on M&A activity, including the Law on Enterprises, Law on Investment, Law on Competition, Law on Credit Institutions and Law on the State Bank of Vietnam. Besides, the State Bank of Vietnam issued Circular No. 04/2010/TT-NHNN dated February 11, 2011 to facilitate the mergence, integration, acquisition of credit institutions. The state agency is also willing to offer technical guidance to banks seeking for M&A deals. dong drops to record low on trade deficit, gold imports Bloomberg Vietnam's dong fell to a record low on speculation a widening trade deficit and increased gold imports have bolstered demand for dollars. government bonds declined. The trade deficit jumped to $1 billion last month from a revised $396 million in August, government data show. Vietnam has imported $1.5 billion of gold in the January through September period, Tien Phong newspaper reported October 4, citing the Ministry of Industry and Trade. The country imported about $600 million of gold in September alone, according to the report. "I expect the balance of payments to bear the consequences of the State Bank of Vietnam's decision to increase the gold- import quota," Francois Chavasseau, head of fixed-income research at Sacombank Securities Joint-Stock Co. in HCM City, wrote in an e-mail to Bloomberg. "A higher trade deficit combined with dwindling foreign-exchange reserves is putting more pressure on the dong." The dong slid 0.1 percent to 20,938 per dollar as of 4:05 p.m. in Hanoi, the weakest level since Bloomberg began collecting data on it in 1993. The State Bank of Vietnam set the daily reference rate 0.05 percent weaker at 20,733 per dollar, the ninth time this month it fixed a lower level, according to its website. The currency is allowed to trade up to 1 percent on either side of the fixing. People are moving away from the dong after the central bank forced banks to strictly comply with dong-deposit interest-rate caps and businesses are starting "to rush to unwind their dollar loans," also putting pressure on the local currency, Chavasseau said. The yield on the government's five-year bonds rose one basis point, or 0.01 percentage point, to 12.41 percent, according to a daily fixing price from banks compiled by Bloomberg. Central bank says to restructure banking system, ensure liquidity Tuoitrenews The State Bank of Vietnam said it would restructure the banking system in the next five years via mergers and acquisitions and vowed to ensure liquidity for lenders. "Mergers and acquisitions are an indispensable trend to raise competitiveness", the central bank said in a statement on Tuesday, though it said it would deals to be conducted voluntarily. After years of high credit growth, bad debts in Vietnam's banking system reached 3.04 percent of all loans at the end of July from 2.16 percent at the end of 2010, according to government statistics. Smaller banks have been facing a funding squeeze after the central bank took strict measures to maintain a deposit ceiling at 14 percent, driving depositors to withdraw cash to deposit in large lenders. Overnight lending rates have soared to between 17 and 19 percent in the past few days and the one-month rate jumped to 30 percent on Monday, the state-run news website VnExpress (vnexpress.net) said. The central bank will ensure liquidity for every lender and the safety of the banking system, it said in a separate statement. "The State Bank of Vietnam has taken... measures to support lenders to deal with temporary liquidity shortages, ensuring the liquidity safety of the system", it said in a statement. Vietnam has more than 40 partly private banks, led by VietinBank and Vietcombank, as well as four fully state-owned banks. Last month, Vietcombank said a unit of Mizuho Financial Group agreed to buy a 15 percent stake in it for 11.8 trillion dong ($567.3 million), in what could be the largest acquisition in the country's banking sector to date. Vietnam to inspect real estate and mining projects: official Vietbiz24 The Vietnamese Ministry of Planning and Investment said it will check and inspect many real estate and mining projects throughout the country, Tuoi Tre (Youth) newspaper quoted Do Nhat Hoang, head of the Foreign Investment Agency of the Ministry of Planning and Investment on Friday. Hoang confirmed that the ministry will also inspect a series of steel and cement projects in near future. Facing the situation of concerns on golf course projects using agricultural land, forestry projects, mining projects causing serious environment pollution and others, Hoang said that currently, the licensing was decentralized to the people’s committee of provinces and project management units, so if not lawful, the licensing agency shall have to take responsibility for the law and the government of Vietnam. “As for mining projects, I know some provinces have large-scale mineral deposits, but local authorities have been ‘reshaped’ these mines into the small-scale so that they can decide themselves. That is the story which needs more fundamental measures from us in the near future,” said Hoang.” Vietnam will not issue licenses to projects that ’waste energy’ VietnamBusiness.Asia Vietnam says it will not issue licenses to foreign-invested projects that “waste energy”, use outdated technology or pollute the environment, according to a statement posted on the government website today. The government will give licensing preference to high- technology projects and ones that are “friendly to the environment,” the statement said. Prime Minister Nguyen Tan Dung has ordered ministries and provinces to step-up monitoring of projects to ensure they meet the guidelines, according to the statement. Vietnam stops licensing new mining projects Tuoi Tre With little economic effectiveness gained from the large number of mining projects around the country, the Vietnamese Prime Minister has ordered ministries and localities nationwide to temporarily stop licensing new projects since August 30, 2011. The decision was the government’s effort to curb the disorderly state in the mining sector on a national scale, which has resulted in negative consequences for social development as well as the environment. Pham Quang Tu, an official from the Vietnam Union of Science and Technology Associations, told Tuoi Tre newspaper that experts and media reports have been raising alarms over the issue but the government has yet to have any solution. He said since the Mineral Law 2005 allowed localities to approve mining projects, 4,000 licenses have been granted within only five years. The licensing had boomed since most localities believed that the extractive industry would increase their budgets and contribute to local economic development, he said. In fact, since most of the minerals exploited were exported as raw materials, their contribution to the local budgets was inconsiderable. Instead, the mining projects have left the localities burdened with serious environmental problems. The government also had a loose control and management over the mining industry, he added. “The government didn’t monitor the extractive businesses’ operation after granting them licenses…Hence, we do not know how much they had exploited or exported.” He urged the government to review all of the mining projects around the country to eliminate those making no economic effectiveness but causing harm to the environment. The government should also complete the legal documents regarding the extractive industry and develop a proper plan and strategy for the mining projects before re-allowing the licensing process, he advised. INFRASTRUCTURE - PPP projects set pulses racing VIR Industry insiders are digging into recently approved public private partnership projects whose pilot implementation needs government approval. The four public private partnership (PPP) projects are southern Bien Hoa-Dong Nai expressway, a Ho Chi Minh City elevated road, Song Hau 1 water plant and a section of Hanoi’s beltway 4. These projects came from a list of 24 entries submitted by the ministries of Transport, Construction (MoC), Industry and Trade, Hanoi and Ho Chi Minh City people’s committees to get rolling under PPP form. According to Ministry of Planning and Investment’s Foreign Investment Agency deputy head Dang Xuan Quang the selection was based on projects’ attraction and other important factors such as capital recouping, private sector’s capacity to tap technology advantages as well as their management and operational expertise as seen in prime ministerial Decision 71/2010/QD-TTg providing regulations on PPP project pilot implementation. “These are just preliminary assessments. We are teaming with relevant state agencies to draw project records so as to render projects’ overall investment efficiency in a comparative correlation between PPP and state investments,” said Quang Challenges lie on the fact that the state must work on analysing expenses and interests of existing alternative investment forms from the state and private equity investor angle, from there appraising PPP form’s investment efficiency, projects’ profitability, and drafting incentives to make PPP projects appealing to investors. Besides, defining risk sharing models in each investment area should be flexible since private equity investors involve in each PPP project at different levels. The experiences of South Korea, one of four nations with high ratio of PPP infrastructure projects in 2010, show that lack of professional expertise in drafting and assessment PPP projects, vague risk-sharing schemes, and non-transparent investment incentives were holding back PPP projects’ implementation in the period before 1999, according to France-based Organization for Economic Cooperation Development’s senior economist Celine Kauffmann. Relative to one of the first four PPP pilot projects Song Hau 1 water plant MoC’s Construction Economics Department deputy head Tran Van Khoi expressed concern at water price and waste-water treatment charge setting vagueness. “The project will lose its charm to investors if those factors are not made clear and transparent for investors to draft their investment records,” said Khoi. Khoi also suggested outlining suitable PPP models to each infrastructure field. Quang voiced the need to hire professional international consultants in drafting PPP project proposals. “Prestigious consultants will make projects more lucrative to investors,” said Quang adding that after these four pilot projects got prime ministerial approval their pre-feasibility reports should be given to reputed foreign consultants. EVIRONMENT - Denmark to give $135 million ODA for green growth VNS The Government of Denmark will provide US$135 million in official development assistance (ODA) to Viet Nam during the 2011-12 period, with the funds earmarked for projects that foster green growth. Work funded by the ODA will include projects on clean water, energy efficiency, and research on climate change adaptation. Funding will be provided for improving quality and access to drinking water for poor households while also reducing water loss in the country's water supply network. John Nielsen, Danish Ambassador to Viet Nam, said climate change was an area of particular concern. "Two years ago, Denmark was one of the first sponsors of Viet Nam in the field of climate change, as we know that the country is forecast to suffer great losses caused by climate change," said Nielsen. The ODA funding will be combined with transferring high quality, cost-effective and environmentally-friendly technologies from Danish companies to their Vietnamese partners in the waste management, solar energy and wind power sectors. "We hope to establish partnerships between enterprises from both countries especially in the area of wind power, as it is considered a strength of Danish industry," said Nielsen. He added that with 125 Danish companies working in Viet Nam, he believed that it is possible for Danish companies to find suitable Vietnamese partners for the projects. When implementing the projects benefiting from the ODA, the embassy would make annual check to ensure that the projects reach expected results, he said. Since 1993 Denmark has been a key ODA partner for Viet Nam, providing more than $1.2 billion in ODA, which was provided to sectors including agriculture, water and sanitation, fisheries, justice and private business development. FOOD AND BEVERAGE - Decision to import meat makes farmers worried TBKTSG The Government finally had to allow importing meat in order to stabilize the domestic market and prevent the prices from escalating. However, farmers complained that the decision has pushed them against the wall. The decision to allow importing meat has been applauded by Vietnamese consumers, because they can buy food at lower prices. However, farmers do not feel happy at all, because the meat prices have gone down to the low levels which cannot cover their expenses. According to the General Department of Customs, by the end of September, Vietnam had imported 85,249 tons of meat, including 6000 tons of pork, 66,251 tons of poultry meat and other livestock products. The big imports, which aimed to improve the short shortage in the months from May to July, have successfully helped stabilize the market and stop the “price fever.” The pork and chicken prices have decreased significantly by 30-50 percent at the traditional markets in Mekong Delta’s provinces in comparison with the prices in May and June. At Cai Lay (Cai Lay district), My Tho (My Tho City), Vinh Kim (Chau Thanh district), Cai Be (Cai Be district) markets, the retail pork prices now range between 60,000 and 85,000 dong per kilo, a decrease of 30,000-40,000 dong per kilo. In Long An province, chicken is now priced at 30,000-35,000 dong per kilo after the price has dropped by 20,000-25,000 dong per kilo. In Vinh Long, Dong Thap and An Giang provinces, the meat prices have also decreased by 15,000-40,000 dong per kilo. Nguyen Thi Phuong, a housewife in My Tho City of Tien Giang province, said that just one or two months ago, she did not dare to purchase chicken, because it was too expensive. But now she can sigh with relief, because the prices have gone down. Yen Trang, a worker of the Thanh Thanh Cong Company in My Tho Industrial Zone in Tien Giang, also said that if the meat price continues increasing, she will not have meat for meals, because the salary is not high enough to cover her basic needs. Livestock farmers cry While consumers feel happy because the meat prices have decreased significantly, farmers feel worried stiff when the pork and chicken prices have decreased, which will cause big losses to them. A farmer complained that since the beginning of August, the meat has decreased continuously from 6-6.2 million dong per 100 kilos of live weight to 4-4.3 million dong for pork and from 60,000-70,000 dong per kilo to 30,000-35,000 dong per kilo. Tran Van Hai, a farmer in Chau Thanh district of Tien Giang province, said that with the current sale prices, farmers have incurred heavy losses, because the input costs have increased sharply, from the animal feed, electricity and water, to medicine. A representative of Than Cuu Nghia Livestock Enterprise in Chau Thanh district in Tien Giang province said that it is nonsensical if the animal feed price increases, while the poultry meat decreases. He said the food prices need to increase to truly reflect the input cost increases. “If the pork and chicken prices keep decreasing, the husbandry would fall into a crisis,” he said, warning that farmers would give up farming because the turnover is not high enough to cover expenses. Analysts have warned that the domestic shortage may occur again, if farmers give up farming, when the blue-ear epidemic still has not been extinguished. According to the Ministry of Agriculture and Rural Development, by mid October, the blue-ear epidemic had broken out in five provinces, including Tien Giang, Long An, Soc Trang, Tay Ninh and Quang Nam. Foreign food invading domestic market Tien Phong Producers and exporters from Europe, the US and Australia have been promoting the sale of farm produce to Vietnam, the country with 80 percent of population living on agricultural production. Supermarkets selling foreign food Truong Thi Yen, Director of HHAFCO, a food distribution company in HCM City, said that from October 2011, her company begins importing food products from Italia and Canada to sell domestically. The import products would include fresh, canned, frozen or bottled fruit juice, grinded fruits, olive oil and vegetables. Yen has revealed that in the immediate time, her company would import one container a month, but the volume may increase later depending on the domestic demand. Goodfood Company, a well known food importer and distributor in HCM City, is importing some 200 foreign food items, including meat of different kinds, seafood, fresh and processed fruits and vegetables, vegetable oil, sweeties and coffee, mostly from the US, Europe and Australia. The representative of Huong Thuy Trade, Service and Production Company, known as a big dairy product and food importer, has also said that the import turnover of the company has increased sharply in recent months. Importers say that the high grade products are imported to be provided to hotels, restaurants, supermarkets, groceries and pharmacy stores as well. Truong Thi To Loan from Big C supermarket chain said that the retailer has received an increasingly high number of invitations for foreign food and farm produce. However, Big C has refused the invitations because it has a specific business strategy. The representative of Coop Mart also said that the supermarket has to refuse foreign food suppliers to prioritize selling domestic products. However, market analysts have commented that the invitations show that European and American food is gradually invading the Vietnamese market. Global economic recession brings foreign food to Vietnam Experts say that foreign food from Europe, the US and Australia has been flowing into Vietnam and other regional countries, because the economic recession has led to the sharp demand falls in the country, which has forced foreign producers to push up export to other markets. Vietnam proves to be a good target market, where the demand is increasingly high thanks to the improved living standards. Bui Minh Hue, Director of Sao Viet Company, a distributor in HCM City, said that despite the economic difficulties and the dollar appreciation against the dong, big importers and distributors still can “hold out” thanks to their profuse capital. They are the people who decide the prices of import products. Analysts have predicted that foreign food would keep flowing to Vietnam in the time to come, because of the increases in the big-scale marketing activities of some governments. 73 percent of the 373 companies which participated in Food & Hotel 2011 exhibition in late September in HCM City were foreign companies. Especially, the event witnessed the presence of the businessmen from the US and Germany. The group of US agricultural representatives comprised of 15 enterprises, led by Michael Scuse, Acting Deputy Secretary of Agriculture, arrived in Vietnam to seek the business opportunities for US agricultural products. UPEMI, the organization of European meat exporters, has said it will step up the export of pork and beef of European countries to Vietnam. Germany enterprises not only try to bring food to Vietnam, but also try to approach the Vietnamese market by joining forces with Vietnamese partners to set up production bases which make products with the trademarks of German groups. Dr Rober Kloos, German Deputy Minister of Agriculture has revealed that a German company would team up with a Vietnamese partner to make sausage products under German standards which would be sold in Vietnam. Market surveys have found a surprise in Vietnam: while housewives would refuse to buy import beef because the products are too expensive, they would accept to eat the import beef at restaurants. This explains why expensive luxurious food still can be sold very well in Vietnam. LEGAL NEWS - Ministry plans to simplify income tax procedures Tuoi Tre With the tax procedures being simplified, at least 70 percent of taxpayers will be happy with them by 2015, the Ministry of Finance promises. The complaints of taxpayers and their expectations would be addressed within the next five years by the restructured tax regime, it said. For instance, the time required for completing tax procedures would come down, it said, adding it also hoped to increase the ratio of payers satisfied with tax services to 80 percent by 2020. A general Department of Taxation spokesperson, however, refused to tell Tuoi Tre about the current satisfaction ratio. The ministry also promised to reduce corporate income tax rates to attract investment and help businesses improve their competitiveness, and personal income tax. The number of items that currently had attracted just 5 percent VAT - half the normal rate - would be reduced, while many items would be added to the list subject to special consumption tariff, it said. The ministry plans to open at least 3,000 new tax offices by 2015 to facilitate payments. Tax authorities would inspect at least 3 percent of tax payers to check transfer pricing and tax evasion, the ministry said. Telecom and petroleum giants lead list of 1,000 biggest corporate income tax payers in Vietnam Vietbiz24 Vietnam Post and Telecommunication Group (VNPT), Viettel together with many other large enterprises such as Vietnam National Oil and Gas Group (PetroVietnam-PVN) and Vietnam Commercial Joint Stock Bank for Foreign Trade (Vietcombank-VCB) are in the list of 1,000 biggest corporate income tax (CIT) payers in 2011, Vietnam Report Joint Stock Co (Vietnam Report), in cooperation with the general Department of Taxation's Tax Journal and VNR500's Advisory Council, reported on October 18. List of Vietnam's 1,000 biggest CIT payers (V1000) was made public for the first time on October 22, 2010 in Hanoi. The CIT paid by the 1,000 enterprises from 2007-2009 was equal to 7 percent of total state budget revenues during this period. This year, VNPT overcome other rivals in the banking and financial sector to take the head in the list of 1,000 biggest CIT payers. PetroVietnam Exploration Production Corp. (PVEP) ranked at the second, the Vietnam-Russia Petroleum Joint Venture (Vietsovpetro) took the third, PetroVietnam at the fourth and Military-run telecommunication firm, Viettel at the fifth. The rest was other enterprises in sectors such as banking, mobile telecommunication, petroleum and coal minerals. This year, MobiFone lost the pole place last year to rank at the sixth in the top ten, Viettel from the second to the fifth and Vietcombank from the third to the tenth position in the ranking list. Some state economic groups such as Electricity of Vietnam (EVN), Vietnam Garment and Textile Group (Vinatex) and Construction Corp continued their absence in the top ten of biggest CIT payers. This assessment was conducted in three consecutive years (2008-2010), providing detailed data on the performance of tax obligations of Vietnamese enterprises. The data was updated from 250,000 enterprises and compared the data from two stock exchanges of Hochiminh Stock Exchange (STC) and Hanoi Stock Exchange (HNX). Top ten CIT payers posted a total tax contribution in 2011 of up to 64.847 trillion dong, accounting for 72.42 percent of the total revenue of 1,000 tax payers in the ranking list. Top ten biggest CIT payers: 1. Vietnam Post and Telecommunication Group (VNPT) 2. PetroVietnam Exploration Production Corp. (PVEP) 3. Vietnam-Russia Petroleum Joint Venture (Vietsovpetro) 4. Vietnam National Oil and Gas Group (PetroVietnam-PVN) 5. Military telecommunication Group (Viettel) 6. Vietnam Mobile Telecom Services Co (MobiFone) 7. Vietnam National Coal and Minerals Industries Group (Vinacomin) 8. PetroVietnam Gas Corp (PV Gas) 9. Vietnam Commercial Joint Stock Bank for Foreign Trade (Vietcombank-VCB) 10. Vietnam Commercial Joint Stock Bank of Industry and Trade (VietinBank-CTG) Labour-intensive firms to benefit from tax payment delays Saigon Times Enterprises employing more than 300 workers and cooperatives in certain sectors will have their 2011 tax payments delayed for one year, according to a prime ministerial decision. Decision 54/2011/QD-TT inked by the prime minister last week following a Ministry of Finance proposal is aimed at helping enterprises cope with current tough market conditions such as high inflation and high interest rates. In addition to labour-intensive businesses, cooperatives in sectors such as agriculture, forestry, aquaculture, textiles, footwear, electronic components, and infrastructure construction will not have to pay 2011 taxes until next year. The taxes whose payment can be delayed from the end of next month should be roughly calculated every quarter and declared in the firm's tax statements for 2011, excluding the tax on incomes from other activities than business and production. Tax payments in Q1 will be rescheduled to end-April next year, those in Q2 to end-July 2012, those in Q3 to end-October 2012, and those in Q4 to end-March 2013. Duong Thi Ninh, an official from the finance ministry, told the Daily that the ministry would issue a circular this week guiding the implementation of the decision for local tax agencies. The ministry suggested tax payment delays totalling around VND6.7 trillion for small and medium enterprises (SME) and labour-intensive companies. The ministry also suggested raising the personal income tax threshold to VND9 million per month. Those leasing out homes or providing babysitting services should have their income tax slashed by half while stock investors should be exempt from income tax. The total amount of tax breaks is estimated at VND4.2 trillion this year and VND2.2 trillion next year.   Oliver Massmann Partner Oliver Massmann Rechtsanwalt