HCM City (VNS/VNA) - Japaneseretailer AEON Vietnam Co.,Ltd is seeking to increase the number of localbusinesses in its supply chain system in Vietnam.

It is holding an exhibition, which openedon July 29, at AEON Mall in Ho Chi Minh City’s Tan Phu district, and workedwith 61 businesses who are potential suppliers.

The week-long exhibition showcases productsdistributed by 24 businesses, including tea, coffee, chocolate, cashew, anddried fruits.

The businesses at the exhibition andmeetings can become AEON Vietnam's suppliers if their products are foundsuitable.

The events are being organised with thehelp of the Investment and Trade Promotion Centre of HCM City (ITPC).

Pham Thiet Hoa, its director, said the ITPChad informed interested businesses about the technical specifications demandedby AEON and its Top Valu brand, and advised them on packaging and pricing.

"Products good enough for AEON Vietnammeans they are good for AEON’s outlets around the world," he added.

Nguyen Anh Ngoc, deputy head of wholesaleat DannyGreen Co. Ltd, which distributes Japanese cantaloupe, said ifVietnamese businesses could become a part of major retail chains, they couldtake their products to more foreign markets and consumers.

"Vietnamese consumers still have apreference for imported goods and perceive them automatically as better thanVietnamese goods.

“However, Vietnamese businesses arestriving to export, and the quality of their products has improved greatly.

“The appearance of domestic products on thestore shelves of foreign distribution systems is a testament to their highstandards."

To improve their competitiveness,especially with foreign goods, it was important to promote them and raiseawareness of high-quality local products amongst Vietnamese consumers, sheadded.

Seo Fumio, chief merchandising officer ofAEON Vietnam, said while consumers regard safety as a high priority, many havelimited incomes and thus prefer affordable prices.

He commended the ability of Vietnamesebusinesses to produce high-quality goods, but said many did not know how toimprove, something at which they needed to take a look.

ITPC has been organising a number ofnetworking events and exhibitions to help Vietnamese businesses enter big,modern distribution channels.

In early July Thailand’s Central Group, theowner of supermarket chain Big C, notified its 200 textile and garmentsuppliers about the termination of their contracts, leading to protests fromthem.

It took a meeting with the Ministry ofIndustry and Trade for Big C to resume purchases from around 150 of them.

Analysts have expressed worries thatforeign brands sold by large foreign retailers are taking market share awayfrom domestic goods.

Vu Kim Hanh, chairwoman of the High QualityVietnamese Product Business Association, said the situation highlighted thelack of competitiveness of domestic goods. - VNS/VNA