Appropriate, efficient, and fair policy a must for beverage sector

January 25, 2023 | 09:00

(0) user say

With more than 30 years of representing businesses in the industry, the Vietnam Beer-Alcohol-Beverage Association deeply understands the role, potential, and benefits of stakeholders, and has been proactive to engage all stakeholders. Its mission is to protect the legitimate interests of members, to promote the industry’s development, and to share social responsibility.

Appropriate, efficient, and fair policy a must for beverage sector

The VBA engages all stakeholder interests to advance the sector’s growth

Promoting sustainability

Beer, alcohol, and beverages are products that serve the daily needs of consumers, often so they can enjoy cultural events and holidays. With factories operating in almost all provinces and cities, the industry contributes nearly $2.56 billion annually, which is about 3.2 per cent of total state budget revenues.

The industry promotes all links in the supply chain including agriculture, logistics, mechanical engineering, biochemistry, packaging, and services.

Highlights of the industry can also be mentioned in environmental protection activities and circular economy development towards sustainability, with typical names such as SABECO, HEINEKEN, HABECO, Coca-Cola, and Suntory PepsiCo.

The unprecedented strong support policy packages of the National Assembly and the government in 2022, and businesses’ efforts have helped the industry record a positive initial recovery.

Challenges ahead

In 2023, it is forecasted that there will be many negative impacts stemming from the micro and macro environment of previous years, challenging the recovery and development of the industry.

For example, there are inadequacies in policy considerations; the pandemic is still complicated in many areas; geopolitical crisis in Europe and elsewhere is being prolonged; and there is high inflation, economic recession, and high interest rates to contend with worldwide.

There is also the prevalence of unrecorded alcohol. This currently accounts for 60-70 per cent of the alcohol market and is causing an estimated budget loss of over $750 million per year.

Appropriate, efficient, and fair policy

While actively developing, businesses in the industry expect the state to continue to support them to maintain stability, especially in tax and fee policies in the current socioeconomic conditions. They must also continue to support businesses to recover and develop in a stable manner, and thereby contribute to the economy’s value chain.

Sustainability for all stakeholders includes sustainability for the state budget revenue, for business development, and for the healthy lifestyle of consumers. All are key for the association’s action plan in the years to come.

Beverage makers contribute to a prosperous Vietnam

The beer, alcohol, and beverage sector globally has a long history dating back thousands of years, associated with culture and life, becoming an indispensable cultural feature of festivals as well as in family reunions and among friends.

Building sustainable image for beverages

Vietnam’s beverage sector is looking for a kickstart after a turbulent couple of years. Nguyen Van Viet, chairman of the Vietnam Beer-Alcohol-Beverage Association, talked with VIR’s Thuy Nguyet about the outlook of the sector this year.