The Department of Trade in HCM City is strengthening collaborations with relevant sectors and closely monitoring the activities of local enterprises to ensure the smooth transportation of goods to meet market demand as the Lunar New Year (Tết) approaches.
HCM CITY – The Department of Trade in HCM City is strengthening collaborations with relevant sectors and closely monitoring activities of local enterprises to ensure the smooth transportation of goods to meet market demand as the Lunar New Year holiday (Tết) approaches.
Bùi Tá Hoàng Vũ, director of the HCM City Department of Trade, emphasised that through this co-operation and supervision, the department will work with relevant local units to advise the city's People's Committee and propose solutions to relevant ministries to address challenges, ensuring a stable supply of goods before and during Tết.
The department's announcement comes amidst a significant surge in demand for products in the days leading up to Tết. Notably, traffic congestion in the city has been a recurring issue, causing difficulties for goods delivery.
As the Lunar New Year approaches, businesses and retailers in HCM City face many obstacles in shipping goods to customers.
Many companies and retailers in the city have reported challenges in delivering goods to customers due to increased purchasing, particularly in online shopping, and the current poor traffic conditions.
For example, Vũ Bích Hằng, an online seller in HCM City, shared her struggles in finding delivery services amid the current challenges. The delivery fee from her shop to District 7 has increased from VNĐ40,000 to VNĐ100,000. Despite the significant surge in rates, it has been difficult to find available delivery services on ride-hailing apps.
Companies and retailers are making every effort to ensure a steady supply of goods and timely deliveries to consumers.
Lê Hoàng Phong, deputy director of Hóc Môn Agricultural Product Wholesale Market in HCM City, forecasted that in the last five days of Lunar Year 2024, the volume of fruits and vegetables at the wholesale market will increase by 50 per cent, equivalent to 3,500 tonnes per day. Additionally, on the 26th and 27th of the Lunar December, the quantity of pork products is expected to increase by 100 per cent, equivalent to 10,000-11,000 pigs per night.
However, if serious traffic congestion persists or worsens, it could pose challenges to market stabilisation efforts.
Phong highlighted that around 50 per cent of fresh pork in HCM City comes from the market, emphasising the importance of ensuring sufficient output to prevent disruptions in the supply chain and market stability.
Therefore, he stressed, if this source does not ensure sufficient output to the market during peak days, it can disrupt the supply chain, affecting market stability. Coupled with transportation issues, spontaneous trading activities around the Hóc Môn wholesale market area also pose certain challenges to supplying goods and stabilising the market.
Echoing this sentiment, Lê Trường Sơn, deputy general director of Saigon Co.op, acknowledged the impact of transportation on essential goods, particularly fresh food before Tết.
Sơn noted that the delivery operations, including Saigon Co.op's large trucks, are currently facing difficulties, with risks of delays or partial deliveries.
Sơn emphasised that one of the most critical issues for distribution and retail during festive periods is goods distribution and delivery, especially for fresh food products that require high standards of preservation.
Although the business unit is always proactive in responding to market changes, high standards of preservation are required for the category of fresh food products, he said.
Currently, as online shopping is popular, many shops and retailers use shipping services through ride-hailing apps to deliver to consumers. Therefore, with the escalating traffic congestion in recent days, deliveries reaching consumers have been delayed, leading to stockpiling.
Many distribution and retail units in HCM City have suggested that relevant ministries and local authorities need to promptly come up with solutions to support businesses and retailers with more convenient transportation and the circulation of consumer goods to serve the Tết market, as well as in delivering orders to consumers.
While businesses always have contingency plans for transportation, distribution, and delivery, the complex situation this year requires the co-ordinated involvement of Government agencies across sectors. – VNS