Retail market rises above global crisis

Vietnam ’s retail market weathered the global financial crisis to reach a year on year sales growth rate of 18.6 percent in 2009, although the market was opened just over a year ago.

The figures are of great significance as the world’s major markets, including the US , Japan , the Republic of Korea and the European Union, saw minus growth rates, heard experts at a seminar in Hanoi January 22.

Dinh Thi My Loan, Vice President and General Secretary of the Vietnam Retail Association, reported that retail revenues recorded almost 1,200 trillion VND (64.8 billion USD) in 2009 and are expected to reach 1,440 trillion VND (77.8 billion USD) this year.

Representatives of foreign distribution and retail firms, including the Big C, praised the potential and business opportunities in Vietnam, especially since the country opened up its retail market as part of its commitments to the World Trade Organisation (WTO) on January 1, 2009.

They also unveiled plans to expand their distribution networks to many cities and provinces throughout Vietnam.

The Director of CB Richard Ellis Vietnam, Richard Leech, said that despite the adverse impact of the global economic crisis, Vietnam’s retail market still attracted big names such as Naf Naf, Morgan de Toi and Mexx in 2009. He was optimistic that other brand names will continue to come to Vietnam this year.

The Deputy General Director of the Nguyen Kim Trading Company, Huynh Van Ro, revealed that his company is planning to open 50 more shopping centres, to realise its target of becoming a national leader in the country’s retail industry.

Meanwhile, the Hanoi Trading Corporation is bent on becoming one of the country’s leading retailers in Vietnam by 2015, with two hypermarkets, five shopping centres, 60 supermarkets and 30 convenience stores.

VietNamNet/VNA

Tags: Vietnam retail market