Press releases

18 May 2006

GOOD MORNING VIETNAM

Hackney businesses sign trade deals with Saigon

Hackney is a popular location for Vietnamese businesses in London, with hot spots on the Kingsland Road and Mare Street.

But earlier this month the tables were turned, and the New World Hotel in downtown Saigon was packed out with Hackney firms hoping to do business in Vietnam.

The Innovatory, an award winning business support agency based in Old Street, teamed up with the Hackney Gazette to take forty local companies on the trade visit.

During the trip they met representatives from more than one hundred and twenty Vietnamese businesses and visited factories, workshops, science and software parks.

The visitors from Hackney included the Green Bottle Unit, which creates building materials from recycled glass; Make Up and Su Augusta, who both design fashion accessories; Magnus Long, a furniture and lighting designer; Tasty, a kitchen textiles designer; Boxnewmedia and Abacus IT, who were keen to outsource website and software production, and Game Investments, a company looking for a manufacturer for their innovative board games.

Scores of matchmaking sessions took place, bringing together buyers and Vietnamese suppliers

“Vietnam is one of the fastest growing economies in the world, with export prices which are often cheaper than China,” says Neil Barklem, the CEO of the Innovatory. “Goods like clothing, furniture and footwear can often be produced in Vietnam for as little as one tenth of the manufacturing cost in the UK. Thousands of new small businesses are being formed there every year, and many are eager to export their products and services to the United Kingdom, where local companies and consumers will benefit from low prices.” For the first day of the trade event, which was supported by the European Union’s Asia Invest Fund, Innovatory advisers Kevin Davey and Jenny Sergeant explained the needs and concerns of British buyers to the Vietnamese participants - including their unwillingness to purchase from any company with low labour and health and safety standards - and delivered training in how to export successfully. On the second day, the delegation was welcomed by Mr Pham Gia Tuc, the general secretary of the Vietnam Chamber of Commerce and Industry, who thanked them for their interest in his country’s products and development, and promised to help Hackney businesses with contacts, advice and support. Scores of matchmaking sessions then took place, bringing together the UK buyers and the Vietnamese suppliers around tables in the business centre.
Representatives from a very wide range of Vietnamese companies – including clothing, footwear, ceramics, orchids, handicrafts, paint, ink, building materials, furniture,  film rights, jewellery, software skills, and sporting equipment – turned up to offer their goods and services. Samples were scrutinised, prices were negotiated, and deals began to take shape.
On the third day, the British businesses boarded people carriers and visited factories and workshops, in order to check the quality, employment practices and production techniques of the suppliers they were most interested in. “It’s been very productive for me,” said John Sealey of Game Investments. “I’ve found someone who can produce my board game, I’ve made contact with a film company that I think I may be able to represent in the UK, and I’ve also managed to broker a business partnership between a travel agent in Saigon and another in London. With three possible deals from one trip I’m very happy with the outcome.” “I was very pleased to see that the factory I visited was modern and very clean with good employment practices and health and safety standards,” said Penny Brenan from the Green Bottle Unit. “We’re now looking at the possibility of setting up a glass recycling business in Vietnam, and also at delivering some public art contracts.” “I found excellent garment makers for the new shop I am opening in Spitalfields at the end of the month,” said fashion designer Dragana Perisic. “I also got very favourable terms of payment, which will help my cashflow.” “I thoroughly enjoyed the trip,” said Michael Slater of shoe and accessory importers Mandarina Trading. “It was extremely beneficial in terms of securing new business and the match making with Vietnamese businesses on the Thursday afternoon was inspired.” All in all, talks were opened on Anglo-Vietnamese trade deals that could be worth £300,000 over the next twelve months. “The visit was a success for Hackney and Vietnam,” says Neil Barklem. “We hope to repeat the trip in 2007. Also, along with the Hackney Gazette and the Hackney Enterprise Network , we’ve offered to support a Vietnam Season of business and cultural events in London later this year, which will be another great opportunity for Hackney businesses to explore opportunities to trade with Vietnam.” The Innovatory’s Vietnam Trade Initiative can be contacted on 020 7241 7499. Read more about how one Hackney businesses got on in Vietnam: http://www.fashion-enter.com/site/news/boutique_countr.php