A corner of Nguyen Kim Supermarket. Its shares have been acquired by Power Buy, a subsidiary of the Central Group of Thai billionaire Chirathivat. — Photo thebank.vn

HA NOI (Biz Hub) — Thai businesses have been focusing on investment in processing and manufacturing industries in Viet Nam, data issued by the planning and investment ministry's Foreign Investment Agency showed.

According to the agency, there are about 200 Thai projects in such industries, worth a total US$7 billion and comprising 88 per cent of Thailand's total investment in Viet Nam.

These sectors are followed by agriculture, forestry and seafood sectors, which have 31 projects worth $235 million. The rest are in retail and construction sectors.

As of the end of February this year, Thai businesses had invested in 428 projects in the country, with a total investment capital of $7.88 billion, ranking 11th among countries and territories that have invested the largest capital in Viet Nam.

A Thai project was worth $18.4 million on average, about $14 million more than the average value of a foreign investment project in the country.

The southern Ba Ria – Vung Tau Province attracted a high number of foreign direct investment projects from Thailand, worth $3.77 billion. It's followed by the northern Vinh Phuc Province with projects worth $744 million and the southern Binh Duong Province with $513.4 million.

The statistics also showed that Thai joint venture investments comprised 70 per cent of Thailand's registered investment in Viet Nam, worth $5.5 billion.

Viet Nam has become a favourite destination of many Thai billionaires in recent years, with many large projects and merger and acquisition transactions taking place in retail and consumption areas.

These include Thai company Berli Jucker's (BJC's) purchase of Metro Cash & Carry Viet Nam for more than $870 million; and Power Buy, a subsidiary of the Central Group of Thai billionaire Chirathivat, also acquired a 49 per cent share in New Solution and Technology Development Company NKT, the owner of Viet Nam's leading retailer Nguyen Kim Trading JSC.

Thailand has launched a fresh campaign to promote industrial exports to Viet Nam, an official said here on March 14.

Somchai Harnhiran, director-general of the industry ministry's Department of Industrial Promotion, was quoted by China's Xinhua News Agency as saying that Thai small and medium-sized enterprises were being encouraged to manufacture and export goods for the Vietnamese market, Thailand's fourth largest trade partner in the ASEAN region.

Thai products, such as electronic items, construction materials, motorcycle parts and cosmetics, besides garments, leather products and coffee beans reportedly get ample opportunities to penetrate and expand in the Vietnamese market, which purchases US$12 billion worth of Thai goods a year.

Thai SME operators have received strongly suggestions to develop their product quality and designs, and promote their brand names in the Vietnamese market, the department head said.

Viet Nam reportedly looked for variety in designs and brand names in several industrial goods, including those from Thailand, he said, adding that the department has offered to support SME operators with promotional plans for the Viet Nam-bound merchandis. — VNS