10:51 | 17/08/2016 Companies
(VEN) - In Vietnam, Reed Tradex has counted its 10 year experiences with the lucid penetration, stable operation, and clear development strategy. The company has been creating and connecting uncountable number of businesses in the manufacturing sector. In a talk with Vietnam Economic News’ My Phung, Reed Tradex Co., Ltd. Managing Director Isara Burintramart shared his views on the Vietnamese market as well as Reed Tradex’s directions and goals for further development in the country.
Reed Tradex has accompanied Vietnamese support industries for 10 years. Could you share the company’s special exhibitions to mark its meaningful growth in Vietnam this year?
Reed Tradex is ASEAN’s leading exhibition organizer delivering over 20 strong brands of international exhibitions and conferences through its excelled skills and experiences in term of event strategy, financial control, operations excellence, and integrated marketing communications. This year, the 10th edition international exhibition on machine tools and metalworking solutions for production upgrade - Metalex Vietnam - will return to the manufacturers and industrialists in Ho Chi Minh City. Together with Nepcon Vietnam which is Vietnam’s only exhibition on SMT, testing technologies, equipment, and support industries for electronic manufacturing, Metalex Vietnam promises to create a new playing field for manufacturing businesses in Vietnam.
What is your view on the growth of the Vietnamese market and its effects on your company’s development?
Vietnam ranks third, after India and Singapore, among the best countries to invest in this year ranked by the World Bank. Vietnam has a favorable geographical location right at the heart of East Asia – home to a number of large and vibrant economies. The Vietnamese economy has showed a prominent momentum with the GDP growing 6.6 percent in 2015 which was the highest GDP growth over the past five years, higher than the 6.2 percent target set by the National Assembly.
With increasing disposable incomes, rapid urbanization and rising living standards, Vietnam is one of the most dynamic emerging economies in the Southeast Asian region. Retailers, in particular, have also been drawn by its relatively young population with 70 percent of consumers aged between 15 and 64 promising to be a key driver of robust market growth and drive the economic cycle.
The education system is in a transition process to train a new, international-standard generation of human resources for the country. Meanwhile, the life-style of Vietnamese people is moving up the ladder, they want reliable products that can enhance their daily lives. With increasing consumer demand, investors will soon have greater opportunities to extend its reach into this potential market.
With more than 16,300 active FDI projects that have collectively pulled in a total of US$238 billion, Vietnam has become a good destination for foreign investors. Given the positive prospects for both global and regional economies, Vietnam is expected to see the growth of small and medium investment projects which will be developed follow up the main stream of these FDI projects in order to serve the demand for locally manufactured parts and components.
Reed Tradex has been continuing to grow deeper and wider business insight, to build more connections between businesses, investors and manufacturers, creating interactions to promote trade in the Vietnamese market.
Could you share the goal and vision of Reed Tradex to develop and organize more specialized exhibitions in Vietnam?
Vietnam imports a range of products such as machinery and equipment, petroleum, steel, materials for the clothing and footwear industries, electronics, plastics, and automobiles. The purchasing power of Vietnamese consumers has grown, and manufacturers are turning to invest more in long-term production by importing more equipment and machinery that brought positive results in industrial production, with the manufacturing sector growing 10.6 percent annually. The use of quality machinery and equipment to manufacture higher-standard products meeting growing market demand also makes investors feel confident in building sustainable production relations in the long term.
Therefore, Reed Tradex intends to expand both the scale and content of specialized exhibitions involving manufacturing like Metalex and Nepcon. By bringing the persity of global brands from around the world to one event, we aim to bring more options, create more choices for Vietnamese local firms to invest and adapt to their production lines. From here, the local industrialists can shorten the distance of time and geography, to save time and have more convenience in contact with international partners. At the same time, they can also introduce their manufacturing capabilities, quality products and components to potential customers in Vietnam and overseas at the same event.
Rising incomes and an emerging middle class are generating growth in consumer-driven sectors in Vietnam. There is considerable demand for high quality as well as lifestyle-oriented products and services. Particular in the urban areas, consumer demand is surging for higher quality products and services that cannot be satisfied by local production. With the influx of foreign retailers and suppliers, consumers would have greater choice in the short term, but over a longer term domestic products can replace and serve this huge by effective investment, clear analysis plan and market development to be able to gain more competitiveness in the local market and reach beyond to the global market.
In the future, stepping up over the specialized exhibitions involving manufacturing, Reed Tradex is planning to reach out to the field of life-style exhibitions and events to better serve the Vietnamese market.