Logistics firms endeavour to meet e-commerce demand
Logistics businesses are accelerating investment in technology to meet the rising demand for delivery of goods at home and abroad amid booming e-commerce, heard a workshop in Hanoi on April 10.
Logistics businesses are accelerating investment in technology to meet the rising demand for delivery of goods at home and abroad (Photo: tapchitaichinh.vn)
Hanoi (VNA) –Logistics businesses are accelerating investment in technology to meet the risingdemand for delivery of goods at home and abroad amid booming e-commerce, hearda workshop in Hanoi on April 10.
Tran Thanh Hai, deputy head of the Foreign TradeAgency under the Ministry of Industry and Trade, stressed that e-commerce willbe the development trend in the future, to which logistics services areindispensable.
E-commerce and logistics firms have established connectivityin recent time but the partnership faces many problems such as a lack of a lawon e-logistics, regular changes of transport regulations, complicatedadministrative procedures, shortage of skilled and experienced human resources,and low application of technology in e-logistics, Hai noted. Vice Chairman of theVietnam Logistics Association Dao Trong Khoa said apart from the government’s effort,businesses need to proactively create a favourable business environment andharmonious legal regulations. The collaboration betweentraditional logistics firms and startups in e-commerce services is essential topromote growth of the two industries, he added. Khoa pointed out that technologyis a barrier for Vietnamese logistics enterprises that prevent them fromfurther involving in the e-commerce field. He said if businesseslink up with others, they can take advantage of each other’s services andbetter meet the demand of customers. Director of LazadaExpress Vu Duc Thinh said logistics costs in Vietnam account for 30 percent ofall e-commerce revenue, which is higher than that in other countries such asIndia, where the rate is no more than 15 percent. The lack of collaborationbetween e-commerce and logistics enterprises may result in lost opportunitiesfor businesses, he said. According to the VietnamE-commerce Association (VECOM) growth in the country’s e-commerce sector wasmore than 25 percent last year, and this growth rate could be maintainedbetween 2018 and 2020.-VNA
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Logistics businesses are accelerating investment in technology to meet the rising demand for delivery of goods at home and abroad (Photo: tapchitaichinh.vn) 
