Japan, DPRK hold working-level talks in China

– Japan and the Democratic People’s Republic of Korea (DPRK) began working-level talks on August 11 in the northeastern Chinese city of Shenyang.

The two-day meeting is aimed at working out details needed to implement a June deal for solving disputes ranging from the abductions of Japanese nationals to Tokyo ’s sanctions against Pyongyang, according to Kyodo news.

The two countries’ envoys who are holding the talks said that discussions in their first session in the morning covered their respective overall positions.

The DPRK’s is represented by its ambassador for normalisation talks with Japan, Song Il Ho, while Japan’s envoy to the talks is Director General of the Japanese Foreign Ministry’s Asian and Oceanian Affairs Bureau Akitaka Saiki.-

Australia, Malaysia conduct joint maritime exercise

Sydney (VNA) – Australia and Malaysia commenced on August 11 a combined maritime warfare exercise, named Mastex in waters north of Darwin, according to Australian Department of Defence.

Adelaide Class Frigate HMAS Melbourne with an embarked Seahawk helicopter and Armidale Class Patrol Boat HMAS Maryborough, alongside Royal Malaysian Navy ship KD Jebat with a Super Lynx helicopter will be participating in the week long exercise.

Australian Air Force will support the exercise with Hawks from 79 Squadron and one P-3 Orion from 92 Wing, the Department said.

The Mastex exercise aims to progress interoperability in areas common to both Navies and will be comprised of a wide range of security and warfare exercises and evolutions, the Department added.-

Singapore, Australia sign defence cooperation pact

- Singapore and Australia on August 12 signed a defence cooperation agreement to further expand bilateral defence ties.

A Memorandum of Understanding on the collaboration was signed by the Prime Ministers of both countries, Kevin Rudd and Lee Hsien Loong, reported the Straits Times of Singapore.

The agreement serves as a framework to manage existing areas of defence cooperation and promote the new ones.

It builds on the extensive interactions between the Singapore Armed Forces and the Australian Defence Force to further expand military cooperation, including military exercises, developing military expertise, and resource sharing, added the Straits Times.

The newspaper also quoted a statement of Singapore’s Defence Ministry that the MOU further reaffirms the value of regular policy dialogues to exchange views on security and defence issues, and cooperation in defence technology research and development in areas of mutual interest.

“It also demonstrates the importance both countries place on bilateral military interactions and the political support from both countries for the various training arrangements between their armed forces,” the statement said.-

China: Floods, landsliles kill at least 28 in Yunnan

– The Yunnan provincial government said on August 12 that severe rainstorms have caused flash floods and landslides that killed at least 28 people and left eight missing in southwest China, according to Xinhua news agency.

The civil affairs bureau estimated that disasters triggered by tropical storm Kammuri from August 7 affected about 1 million people in Yunnan and forced 11,200 people to evacuate their homes.

Kammuri, the third tropical storm to hit China this year, landed in the southern province of Guangdong on August 6, and swept across the Tonkin Gulf to Guangxi Zhuang Autonomous Region before moving west to Yunnan.

About 2,700 homes in Yunnan were destroyed and 13,000 were damaged, with officials estimating losses at 549 million yuan (80 million USD), mostly from damaged crops, the bureau said.

In one of the worst-hit areas, Maguan county in Yunnan’s Wenshan Zhuang and Miao prefecture, a landslide on August 9 left nine people dead, two missing and five injured after they were swept up in a 300-metre landslide, Xinhua reported.-

Thai court issues arrest warrants for Thaksin

Bangkok (VNA) – Thailand’s Supreme Court on August 11 issued arrest warrants for ousted Prime Minister Thaksin Shinawatra and his wife Pojaman, local media reported.

The warrants were made after the couple failed to appear on early August 11 at the Supreme Court’s Criminal Division for Holders of Political Positions to fight charges on the Bangkok land scandal which occurred in 2003, the Thai news agency (TNA) said.

The court also decided to confiscate the former PM’s bail totaling 13 million baht (about 389,000 USD).

In a faxed statement to NBT Channel, the former PM said he had to flee to England because he and his family did not receive justice in courts, which had been interfered by his political opponents, the “Nation” paper said.

He also said that there were attempts to assassinate him.

The couple left Bangkok last week after the court allowed them to attend the opening ceremony of Beijing Olympics on August 8. –

Employers neglect injured labourers

Labourers without hardhats climb scaffolding at a construction site in northern Phu Tho Province. Many workers don’t have company health insurance cover. —VNA/VNS Photo Huu Viet

HCM CITY — Labourers are being cut short of compensation for workplace accidents as unscrupulous employers take advantage of their lack of knowledge about the Labour Code.

One mason Hoang Nhu Xuan (not his real name) had to amputate one of his legs after an accident at work. While he appealed to the construction company for compensation, they responded with deaf ears.

Knowing his rights, he lodged a complaint to inspectors at the HCM City Labour, Invalids and Social Affairs Department against the company.

Xuan’s case is not exceptional.

With masons being hired for short periods of time as seasonal labourers, many construction companies are paying out wages without offering social insurance.

As a result, many contractors and construction companies have not reported workplace accidents to relevant offices. Instead, they bring labourers to hospitals on their own.

“Eighty per cent of labour accidents are reported by local police, and the rest by enterprises,” says deputy chief inspector Nguyen Quoc Viet.

According to a senior inspector, almost no workplace accidents have been reported by enterprises in recent years.

Under existing laws, construction companies either have to pay for medical treatment or provide compensation for workplace accidents. Labourers should also receive further compensation according to the Social Insurance Law, once employers buy them social insurance as dictated by law.

Construction companies are asked to compensate victims if authorities find that these construction companies did not pay social insurance fees for labourers who have worked with them for more than three months.

The law also states that labourers who are employed to work as seasonal workers for less than three months will be paid extra to cover social insurance fees.

However, a significant number of construction companies have neglected to pay seasonal workers for social insurance fees.

Lawyer Nguyen Van Hau says that many seasonal labourers are not paid social insurance fees because they are not allowed to sign work contracts with their employers.

As a result, they cannot be compensated according to the Social Insurance Law.

“It is a loophole of the Labour Code,” Hau says, adding that verbal contracts are not valid.

For fear of loosing prestige or being fined, many construction companies have come up with a solution by compensating the victims’ relatives.

“The number of complaints is very few,” Hau says. “The HCM City Bar Association receives only 10 complaints or disagreement over compensation per year.”

Chief inspector Huynh Tan Dung at the HCM City Labour, Invalids and Social Affairs Department says inspectors cannot pursue if a victim’s relatives do not lodge a complaint.

Dung says co-ordination between relevant offices has not been close enough.

Most hospitals have yet to classify patients of workplace accidents. They only list them as patients with injuries as a result of accidents.

Only the Cho Ray General Hospital has set up a channel with city inspectors to inform them of workplace injuries.

Dung says it has been difficult to uncover contractors who have violated the law because victims’ relatives usually agree to concessions. It has also been difficult to find out where to lodge complaints, Dung adds.

He says city inspectors will continue co-ordinating with relevant offices to examine labour safety and inspect workplace injuries. Efforts will also be made to supervise enterprises employing seasonal labourers, Dung says. —

Fuel-efficient cars top auto sales in July

Workers assemble car at the Ford Viet Nam’s plant in the northern province of Hai Duong. Overall auto sales in the January-July period registered an outstanding growth rate of 120 per cent at 77,067 units. -VNS Photo Viet Thanh

HA NOI — Rising fuel prices accelerated sales of fuel-saving passenger cars, which were up by 60 per cent year on year to 2,237 units sold in July, bringing the total sales of eleven car makers in Viet Nam to 8,458 units, a 31 per cent rise over the same period last year, an industry group reported yesterday.

According to the Viet Nam Automobile Manufacturers’ Association (VAMA), which represents the country’s 17 leading auto makers, the costly fuel was also slowing the growth of fuel-thirsty car sales, such as sport utility vehicles (SUV), multi-purpose vehicles (MPV) and commercial vehicles, which once led overall sales.

SUV/MPV and commercial vehicle segments registered only 20 per cent and 24 per cent growth rates in July with 2,237 and 3,955 units sold, respectively, the association said.

Passenger car specialists Toyota retained top position, as it has for several years, with 2,431 units sold, up 37 per cent year on year and accounting for 28 per cent of the market share.

Toyota’s growth momentum is led by its seven-seat Innova, which scored record sales of 1,523 units sold last month, followed by the five-seat Vios with 443 units.

Truck and bus expert Vinamotor sold only 1,265 units in July, accounting for 15 per cent of the market share, followed by rival Truong Hai, with 1,008 units and a share of 11 per cent.

Honda has ousted Vidamco to drive into fourth position, thanks to outstanding sales of the Civic sedan, its only model, with 746 units.

Meanwhile, overall auto sales in the January-July period registered an outstanding growth rate of 120 per cent at 77,067 units.

However , auto sales were down 13 per cent from June to July after the government raised several taxes in a bid to curb imports.

While Toyota and Honda this month raised prices for their vehicles, blaming price hikes on input costs, Mercedes Benz and Ford reduced their prices.

Toyota Viet Nam announced a price increase on their vehicles of between $100 to $1,000 per unit across all models, with the retail price of the Toyota Camry 2.4 and 3.5, one of the company’s best selling models, rose to $51,100 and $67,600 respectively

The Toyota Innova increased by $500 to $30,600. This is the second time Toyota Viet Nam has increased prices this year.

Meanwhile, Mercedes Benz Viet Nam, who regularly offer discounts before the annual motorshow which will begin next Thursday, reduced prices on its fleet of vehicles by $1,000 and more, with the C200 Advantgarde model seeing the biggest price cut of $4,900.

Ford Viet Nam, the second American auto maker in Viet Nam to GM Deawoo, cut prices by $1,000 for its Focus sedan and $250 for all of its other models including Everest, Escape, Ranger and Transit. —

Argentinian companies show interest in investing in VN

HA NOI — Representatives from leading Argentinian companies expressed interest in the investment and business climate of Viet Nam, during a conference held in Ha Noi yesterday.

During the event, co-organised by the Viet Nam Chamber of Commerce and Industry and the Argentinian Embassy in Viet Nam, Argentinian enterprises said they hoped to foster co-operation with Vietnamese firms in trade and tourism sectors.

Vice Chairman of the Chamber, Hoang Van Dung, said that there were many investment opportunities awaiting Argentinian enterprises, as the country seeks foreign investment of US$140 billion by 2010. He highlighted nine key sectors for investment – infrastructure, energy, agriculture, seafood, light industry, mining, transport and engineering.

Despite existing difficulties, such as poor infrastructure and a shortage of highly-skilled workers, foreign investors would be offered favourable conditions, to entice investment in Viet Nam, said Dung.

Addressing the conference, Deputy Minister of Industry and Trade Do Huu Hao applauded Argentinian efforts in cementing and promoting bi-lateral trade ties. He also described the conference as a good chance for enterprises from the two countries to seek new business opportunities.

Argentina is Viet Nam’s leading trade partner in South America. Two-way trade reached $450 million in 2007, a five-fold increase over 2000. However, Viet Nam still has a trade deficit with Argentina.

Vietnamese exports to Argentina include sports footwear, machinery, electric appliances and rubber products. —

Russia’s Mirax opens Ha Noi office

HA NOI — One of Russia’s leading construction groups said that Viet Nam was a promising investment destination as the group opened a representative office in Ha Noi yesterday.

Dmitri Lutsenko, a member of the Russian Mirax Group board of directors, made the statement, saying that the country was especially promising with its young potential source of labour.

He continued to say that he believed more and more Russian businesses would come to Viet Nam to seek investment opportunities.

The opening of a representative office in Viet Nam, part of Mirax’s long-term plan to expand its business in Southeast Asia, should help link the group with Vietnamese and international companies.

Earlier, the People’s Committee of Khanh Hoa central coast province licensed Mirax to build a five-star hotel and villa complex in the provincial Cam Ranh Peninsular with a total investment capital of US$200 million. Construction of the 16ha complex is scheduled to begin this year and should take 20 months to complete.

The company said that it plans to build more high-end buildings and complexes in Ha Noi and HCM City, the country’s two economic hubs, in the future and hopes to receive the support of the Vietnamese Government.

Established in 1994, Mirax is one of five leading construction groups in Russia. The company posted $1.3 billion in revenue in 2007, more than double last year’s figures. —

Credit Swisse to advise on Mobifone share offer

HA NOI — Banking giant Credit Suisse will act as consultants for the equitisation of Mobifone, a major mobile phone service provider in Viet Nam, according to the Ministry of Information and Communications.

The group was selected from 10 candidates after a year of bidding. Among interested parties were Deutsche Bank, Goldman Sachs, Morgan Stanley, Rothschild and UBS.

Mobifone plans to complete its equitisation by the end of the year and make its initial public offering (IPO) in early 2009 – one year after its intended IPO date. VNPT will keep a one-third stake in the company, while strategic investors will hold another third. The remaining shares will be sold to the public.

France Telecom, Vodafone, BT, Singtel and Telenor earlier voiced interest in buying Mobifone shares and forming a strategic partnership with the Vietnamese mobile service provider.

Mobifone was selected by local E-chip Mobi magazine as Viet Nam’s favourite cellphone service provider and the network with best after-sales and non-voice service in 2007. Mobifone currently has nearly 20 million subscribers, representing around 30 per cent of the market. Its main rivals are the military-run Viettel – currently the market leader – and State-run Vinaphone, which is also controlled by VNPT.

Equitising Mobifone is considered to be the first step in restructuring the telecom industry. However, progress has been slow due to legal reforms and obstacles. —