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Intellasia - News Highlights of Vietnam – Jan 27, 2004

Contents

General news
National steering committee for bird flu control
Suspected bird flu cases rise
Authority warns over massive spread of bird flu in Vietnam
Bird flu fight continues
Japan slaps total ban on birds from flu-stricken countries
75% of HCM City poultry culled
Bird flu scare pushes up catfish prices
US favourtism for shrimp producers
Vietnam looks to nanotechnology
Invitation for Malaysian investors
Economy
January exports nudge up 2.2%
January CPI rises 1.1%
Industry & investment
Japanese businessmen to visit
Vietnam Airlines targets 20% increase in passengers
Vinaship to build 21 ships in 2004
Vinaconex plans US$3b spending spree
Finance & banking
Dong dips, gold up over Tet

General news

National steering committee for bird flu control

27/Jan/2004 VietnamNet

The Ministry of Health has requested the government to set up a national steering committee to control the outbreak of bird flu in Vietnam, which has so far spread to 27 provinces infecting more than 3.5 million poultries nationwide.

The health ministry will also coordinate with the agriculture ministry and the World Health Organisation (WHO) to identify linkages between bird flu and human flu as well as work out treatment diagram and preventative vaccines.

According to an unofficial report, from October 17, 2003 till January 26, 2004, there has been 50 cases of flu type A being found in 14 out of 64 provinces and cities in Vietnam, including 18 cases of fatalities—17 in the north and one in the south.

Six out of 16 patients hospitalised at the Clinical and Tropical Diseases Hospital are in bad conditions and have to breathe via oxygen machines.

Meanwhile, the national veterinary department reported bird flu has spread to 27 provinces and cities and around 3.5 million poultries have been culled.

Suspected bird flu cases rise

27/Jan/2004 Thanh Nien | Tuoi Tre page 4

The National Institute of Hygiene and Epidemiology (NIHE) on January 26 said it has sufficient evidence that the bird flu virus can spread to humans, the most typical of which is that most cases of deaths by flu type A (H5N1 virus) in Vietnam lived in bird flu-stricken areas.

Vice head of the institute, Nguyen Hong Hanh, said scientists haven’t worked out how bird flu spread from poultry to humans but they don’t have any evidence that the bird flu can spread from human to human.

Genetic experiments by NIHE also found the presence the of bird flu virus in humans. However, NIHE excluded two cases of death from human flu type A in southern Tien Giang province and HCM City as an exception since it hasn’t yet managed to determine if those deaths are directly related to the outbreak of bird flu in the localities.

Of 50 people suffering serious flu that were hospitalised in Vietnam since October 2003, only seven cases have been officially identified as being infected with flu type A H5N1, while some others haven’t yet had official testing and some others have been identified as suffering from normal pneumonia, said Hanh.

Till the end of January 26, 46 people are suspected to have been infected with human flu type A in the northern regions of which 19 of the cases resulted in death—15 in Hanoi, six in Ha Tay, and five in Thai Binh.

Authority warns over massive spread of bird flu in Vietnam

27/Jan/2004 Thanh Nien | Tuoi Tre page 4

Deadly bird flu has spread to three more localities: Bac Ninh province and Hai Phong city in the north and Soc Trang province in the south, reported the National Veterinary Department on January 26.

To date, bird flu has been detected in 501 communes and 486 districts in 27 provinces and cities, infecting more than 3.5 million poultry nationwide. The epidemic will mass-spread unless preventative measures are carried out properly, warns Nguyen Van Thong, vice head of the department.

The World Health Organisation (WHO) announced it will send 150 sets of specialised protective clothes to Vietnam. The consignment is scheduled to be transported to Vietnam on January 27. Meanwhile, Japan also announced it will provide Vietnam with a batch of Tamiflu, a flu vaccine, worth US$20 million.

Bird flu fight continues

27/Jan/2004 AFP

Vietnam remains on high alert to contain bird flu despite ongoing Lunar New Year celebrations, after a 13-year-old boy died taking the death toll from the virus to at least six. Millions of people were busy with lavish family meals on January 25, keeping up several days of festivities to usher in the Year of the Monkey.

Streets of the capital were near empty as many people had left for their native villages. However, virtually the entire country is at a standstill during the holidays. But the health authorities have been at work, worried by a virus that has caused an Asia-wide health scare, the World Health Organisation (WHO) spokesman Bob Dietz said.

A teenager who tested positive for the H5N1 virus died on January 25 in HCM City's Paediatric Hospital No. 2. His death from avian influenza was the first to have been confirmed in southern Vietnam. The five previous victims were all from the north, baffling officials given poultry in the south had been hit badly by the virus.

An eight-year-old girl from the former Saigon has also tested positive for H5N1 and is in critical condition at the city's Hospital of Tropical Diseases. In Hanoi, two sisters also died January 23 from severe respiratory illnesses. Their brother died on January 14 and is among a number of people suspected but not confirmed to have been killed by the virus.

According to Dietz, in addition to the six deaths, nine cases are classified as "possible" H5N1 and 27 are awaiting classification.

Japan slaps total ban on birds from flu-stricken countries

27/Jan/20004 Mainichi Daily News | 26/Jan/2004 Xinhuanet

The Japanese government has decided to suspend imports of any type of bird from counties hit by avian influenza, officials have said. The suspension, which every species of bird imported for either consumption or as pets, will take effect for imports arriving in Japan from February 1.

The countries and regions from where Japan will suspend bird imports are Hong Kong, Macao, Italy, South Korea, Vietnam, Taiwan, Thailand, Indonesia and Cambodia.

75% of HCM City poultry culled

26/Jan/2004 Vietnam News Page 3

Nearly three quarters of fowl raised in HCM City were destroyed on January 24 in the latest attempt to constrain the spread of bird flu in Vietnam. The HCM City Veterinary Division killed 1.2 million chickens, 407,000 ducks and 20,000 partridges during the cull, 71% of the 2.4 million fowl raised in the city.

Bird flu scare pushes up catfish prices

27/Jan/2004 Saigon Giai Phong page 1

The price of local catfish called basa and tra  have rebounded to levels not seen since Vietnam lost an anti-dumping claim by the US last year following consumer fears of consuming chicken as the bird flu outbreak spreads wider.

On January 26, basa and tra fish was selling at 14,500 dong a kilogram or 5,200 dong a kilogram higher than before the Tet holidays when news of the bird flu surfaced. The price is predicted to continue to increase in the next week.

US favourtism for shrimp producers

27/Jan/2004 Nhan Dan

The US Department of Commerce has handed a favour to producers of the US Southern Shrimp Alliance in the anti-dumping shrimp price lawsuit against six shrimp exporters including China, Brazil, India, Ecuador, Thailand and Vietnam despite these countries protests. Accordingly, frozen and scanned shrimp exports from these countries could be imposed duties rates ranging from 25.76% to 263.68% if the case is won by the SSA.

The decision by US Department of Commerce is seen as the first step to the primative investigation to this lawsuit, which is anticipated to end by early July 2004.

However, there is a only a slight hope for shrimp exporters if they present evidence that they do not materially harm the US shrimp producers. The International Trade Commission is expected to make a decision on January 27.

Vietnam looks to nanotechnology

21/Jan/2004 VNA

Vietnam this year will allocate US$300,000 to a national nanotechnology research project conducted by the Vietnam Physicists Association.

The project, submitted to the state for approval last year, will be headed by Prof Nguyen Van Hieu and his colleagues from science institutes nationwide.

According to the scientists, Vietnam is likely to begin studies on simulation theories and models for nano-devices, nano-crystalines magnetic materials, nano-catalyse materials and polymer materials.

Invitation for Malaysian investors

27/Jan/2004 The Star/Lao Dong page 1

Vietnam is receptive to a bigger participation by Malaysian businessmen in its large-scale development programmes, prime minister Datuk Seri Abdullah Ahmad Badawi said. This positive response came from his counterpart, Phan Van Khai, when it was suggested that more Malaysian businessmen take part in Vietnam's programmes to improve its infrastructure. Abdullah said this was one of the matters raised during his meeting with Phan Van Khai and Vietnamese president Tran Duc Luong on January 26.

Abdullah, who was on a half-day courtesy visit to Vietnam, said Phan Van Khai had welcomed his suggestion that Malaysian businessmen enhance their participation in Vietnam’s dynamic development programmes.

PetroVietnam has invested US$6.8million in a joint venture exploring oil and gas potentials offshore Sarawak. The joint venture, called PCPP Joint Operating Co, was set up in June last year by the national oil companies of Vietnam, Malaysia and Indonesia and will gather funds from the three countries for joint studies and drilling in each country. 

Petronas will have a 40% stake in the Sarawak operation while PetroVietnam and Indonesia’s Pertamina will each have 30%.

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Economy

January exports nudge up 2.2%

27/Jan/2004 Lao Dong

Vietnam earned US$1.65 billion from exports in January 2004, marking an 2.2% increase against the last January in which the foreign invested enterprises accounted for US$882 million, up by 10% compared with the same previous last year. Local firms earned US$768 million, down by 5.6% against the same last year as they turned eyes on the domestic market, where demand soared for the Lunar New Year Tet holidays.

Agri-products such as rubber, peppercom, cashew, peanut, together with electronics continue as top eport items. However, rice, tea, fruit and textiles and garments fell in quantity and value.

In January, Vietnam spent US$1.82 billion on importing machinery, industrial components, materials, steel and petroleum, increasing by 12.1% compared with January 2003.

January CPI rises 1.1%

1/Jan/2004 Ha Noi Moi page 1

The consumer price index in January including the Tet holidays increased 1.1% compared to December 2003 and recorded a 3.2% increase compared year-on-year according to the General Statistical Office (GSO).

Beverages and tobacco increased 2.9%—which are commodities that usually fluctuate the most in price—food rose 1.6% and garments and textiles and footwear increased 1.2%.

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Industry & investment

Japanese businessmen to visit

26/Jan/2004 VNA

The Japan-Asean International Centre will arrange a lengthy tour of Vietnam for Japanese businessmen to inquire into information technology investment opportunities in Vietnam. The tour is scheduled to last from February 11–18, covering Hanoi, Hai Phong, HCM City and Dong Nai Province which all are investment hubs of the country.

It is aimed at helping Japanese info-tech experts and businessmen better their understanding of Vietnam's economic development, especially in info-tech.

Vietnam Airlines targets 20% increase in passengers

23/Jan/2004 VNA

Vietnam Airlines targets carrying five million passengers in 2004, an increase of 20% over the 2003 figure, said general director of the national carrier Nguyen Xuan Hien.

The airlines transported 4.05 million passengers in 2003 (a 1% increase over 2002) and netted a profit of 318 billion dong, said Hien. Meanwhile the world aviation industry lost up to US$3 billion according to IATA statistics due to the severe acute respiratory syndrome (SARS) outbreak and the Iraq war.

Last year, the airline bought four Boeing 777-200ER aircraft. It will receive two more Boeing 777-200ER long-distance planes this year and four Airbus 321 aircraft. With these new planes, the airline’s current fleet of 34 wholly owned or leased planes will be increased to 40 or 42.

Vinaship to build 21 ships in 2004

27/Jan/2004 Saigon Giai Phong page 1

State-owned Vietnam Shipbuilding Corp (Vinaship) will build and launch 21 ships in 2004 in which 15 will be freighters of 6,500–20,000dwt, five container ships of 1,016–1,500 TEUs and an oil-tanker of 13,500dwt according to the transport ministry.

Vinaconex plans US$3b spending spree

27/Jan/2004 Ha Noi Moi page 1

Vietnam Construction and Import Export Corp (Vinaconex) is planning to invest over US$3 billion in 11 large infrastructure projects and 30 smaller sized projects this year announced the corporation recently.

The larger projects include the expansion of the Lang–Hoa Lac Highway extending out of Hanoi costing an estimated four trillion dong, up to US$168 million on the water supply network of Son Tay-Hoa Lac-Mieu Mon-Hanoi-Ha Dong, 4.7-trillion dong on the Cam Pha Cement Plant and 5.5 trillion dong on a hydroelectricity plant expected to start in February.

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Finance & banking

Dong dips, gold up over Tet

27/Jan/2004 Saigon Giai Phong page 1

The gold price jumped to 7.83 million dong a tael (1.2 oz) on January 26, increasing 30,000 dong a tael against the price on January 21. Compared with the highest gold price since early 2004, which stood at 8.12 million dong a tael, the current price is only 19,000 dong lower.

Meanwhile, the world gold price fell US$6 to US$405.3 an ounce, even lower than the domestic price.

The US dollar on January 26 was traded at 15,700 dong against US dollar in the free market, down by nearly 100 dong against the previous days.

The price of gold rose around 3.19% in January against the previous month, and by up to 24% compared with January 2003. The US dollar fell by 0.42% against the previous month but rose by 1.79% against January 2003 according to the data by the HCM City statistical department.

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