The swelling number of state-provided cars in Vietnam is a luxury that the country’s struggling economy cannot afford, experts say

A state-provided car (C) in Ho Chi Minh City. The increasing number of state-provided cars in Vietnam is a luxury that the country’s struggling economy can ill afford, experts say.

Bureaucrats all over the world are famous for their penchant for showering themselves with largesse at the tax payers’ expense, and a recent report from the Public Asset Management Department shows Vietnam is no exception.

The department estimates that as of June 24, 2010, Vietnam had around 26,000 cars valued at about VND13 trillion (US$680 million) meant for official use. Ho Chi Minh City led the pack with around 1,000 state-provided autos, followed by Hanoi with 800 cars, the report said.

In July 2006, when around 19,300 state-provided cars were recorded nationwide, Prime Minister Nguyen Tan Dung applied the brake on further purchases, but released it in July 2009.

The report points out that many provinces and cities have spent more money than they were allowed to on buying official vehicles. Provinces are only authorized to purchase cars that cost less than VND700 million each; many have ignored the regulation, the report said.

“The increasing number of illegitimate state-provided cars has done nothing but confirm the egregious squandering of the state budget,” said Dr. Le Dang Doanh, an economist with the Hanoi Economic College.

“This is a huge paradox compared with the size of Vietnam’s economy,” Doanh said.

Around 70 percent of all Vietnamese citizens still depend on agriculture for their livelihood. Per capita income is about $1,000 and the minimum government salary is VND730,000 ($38) per month.

The World Bank has also said that Vietnam’s budget deficit was “very high” at 8.4 percent of gross domestic product (GDP) in 2009. “I think this is not just a question of money. People would need a clear and transparent explanation for the use of state-provided cars bought with their tax money,” Doanh said.

Unhealthy privilege

Recent media reports have highlighted how state-provided cars have been used for different unofficial purposes.

A bunch of official cars, distinguished from others by their green license plates, were found parked in front of many schools in Hanoi and HCMC last month when the national college entrance exams took place.

In February this year, state-provided cars thronged the site of a major lunar festival in the Mekong Delta province of An Giang. The cars were spotted littering closed streets and halting traffic throughout the city.

“Ordinary people can easily spot a green-plate car parked at a restaurant or a wedding party,” Doanh said.

Those traveling in official cars are apparently immune from punishment for any traffic law violation, Doanh said.

“This is a very unhealthy privilege which should be stripped,” he added.

‘The government knows all’

“26,000 cars and VND13 trillion are indeed startling figures,” said Nguyen Minh Thuyet, a prominent parliamentarian.

Both Thuyet and Doanh urged a comprehensive probe of all state-provided cars to ensure they have been used properly.

But they remained doubtful that drastic and serious measures would be taken against the misuse of state-provided cars.

“Punitive measures will only work when they are enforced frequently and seriously. Otherwise they will turn out to be just lip service,” Thuyet said.

“I think the government knows all about the squandering of money [in buying state-provided cars] because it is nothing new,” he added.

Thuyet recalled a plenary session of the National Assembly in 2005 when the then Finance Minister Nguyen Sinh Hung took the floor to address the issue of wasting money in buying state-provided car.

Hung, now the deputy prime minister, was then quoted by the media as saying that officials who waste state money on buying cars should not get any promotion or nomination for awards.

“But I have not seen anyone punished until now,” Thuyet said.

Festivals should be interactive and engage their communities in their planning, ambassador to Vietnam, Mitsuo Sakaba, told Thanh Nien Weekly as he spoke about the festivities being held to mark the 1000th anniversary of Thang Long on October 10.

Thanh Nien Weekly: Vietnam will celebrate the 1,000th anniversary of Thang Long-Hanoi in October. How should Hanoi organize the event?

Mitsuo Sakaba: A street march with the participation of 1,000 people in the costumes of the Ly Dynasty, 1,000 years ago, would be a good idea. The march led by a famous actor and actress portraying King Ly Thai To and his queen may be interesting.

To lure many visitors, the event must be big.

The organization board should coordinate with travel agents to promote the event. It is scheduled to start in October, but the detailed agenda has not yet been announced. Vietnam should announce the schedule soon, so that there is time to promote the event abroad.

To attract the participation of local youth, the event should have a history contest. Students from all high schools nationwide could participate in the Thang Long history contest. The two best teams will compete in the final round of the contest on the anniversary day. The contest will make high school students more interested in the event and the history of Thang Long. Vietnamese youths are now not so interested in Vietnam’s history.

The organizing board must coordinate with media agencies to promote the event

What’s the difference between festivals in Vietnam and Japan?

In Vietnam, people’s committees of localities often preside over festivals. Meanwhile, in Japan, people’s organizations, with the assistance of the government, hold festivals. In Japan, festival expenditures are funded only partially by local people’s committees while they are also financed by firms and individuals.

In Vietnam, if people’s committees of localities are in charge of holding festivals, people don’t have to care about expenses, about sponsors. But there are problems that could arise in holding Japanese-style festivals, and people have to solve many issues.

If people do not volunteer to plan, organize and participate in the festival, it will be difficult to hold it.

In Vietnam, residents often watch festivals, they do not directly partake in them. What should Hanoi do so that people can participate in the upcoming 1,000th anniversary of Thang Long in an active manner?

Vietnam should hold festival programs that residents can participate in. In Japan, groups of local people, not the government, hold festivals. The events are organized around participatory activities. Local residents can register to participate in the programs. Festivals in Japan often have street marches, in which people can perform traditional dances, or martial arts.

Festivals in Japan are cheerful, but they are time-consuming and difficult to prepare. It is simpler to organize festivals in the Vietnamese style, and the preparation time is also shorter.

In Vietnam, historical events are often re-enacted by actors and actresses on the stage. Is the situation in Japan the same?

Japan has two kinds of festivals, annual festivals and great festivals. There are three great festivals which lure 1-2 million of visitors each. One great festival will be held this year to celebrate the 1,300th anniversary of Nara, the ancient capital of Japan.

During some festivals in Japan, residents wear costumes of the historical period, and stage recreations of famous events in history. There is almost no usage of stages, actors and actresses, and stage directors in doing this.

This spring, I visited a festival in Bac Ninh (of Vietnam), in which more than 3,000 young people staged creations of historical events. The participation of volunteers have made the festival is very cheerful and interesting.

However, it takes a lot of time and effort to prepare for a festival with the participation of many people. In Japan, volunteers prepare for their festivals for six months. So, the problem is finding enough volunteers to prepare events for such long periods of time.

Many local and foreign visitors will rush to Hanoi during the upcoming festival of the city. So, what should Hanoi do to deal with environmental and transport issues?

When Japan holds street marches during festivals, we have to take measures to limit traffic in streets, such as banning cars and some other vehicles, so that people can comfortably partake in the events. After festivals, a lot of waste needs to be cleaned up. In Japan, the streets are cleaned up after festivals by groups of volunteers.

If Vietnam had such groups, you could deal with the environmental issue. In addition, it is necessary to improve the awareness of local people about environmental hygiene, as many people just litter all the time.

What are Japan’s contributions to the event of Vietnam?

We issued a publication of “Hanoi-Japan, towards a new vision”, and will hold a series of cultural and art events, such as a film festival, music performance and exhibitions of pictures and photos, to welcome the 1,000th anniversary of Thang Long.

 A Vietnamese farmer pulls off dying rice plants in Ben Tre province

The rivers that should nourish his thirsty rice paddies are too salty, and the rains are late this year. Dang Roi does not know if he will be able to salvage anything from this spring’s crop.

Vietnam is the world’s second-biggest rice exporter and the Mekong Delta, where Roi farms, accounts for more than half of its production.

But Roi’s paddy fields in Ben Tre province are burning up during a drought which meteorologists say is the worst in decades.

The dry season should have ended already, but in the yard of Roi’s house in Que Dien commune, barrels that collect rainwater for his family’s cooking and washing show the desperate situation. They are half-full, or empty.

Experts say Vietnam is one of the countries most threatened by climate change, whose effects are seen in worsening drought, floods, typhoons, exaggerated tides, and rising sea levels.

The country is planning for a one-meter (three feet) rise in sea levels by 2100, which would flood about 31,000 square kilometers (12,400 square miles) of land – an area about the size of Belgium – unless systems such as dykes are strengthened, said a UN discussion paper released last year.

It said the threat of floods is greatest in the Mekong Delta, where 17 million people live.

If that land becomes unusable there are “serious implications” for the region, Helen Clark, administrator of the United Nations Development Program (UNDP), told AFP last month.

She said Vietnam faces a “huge challenge” from climate change.

Over the past 50 years the sea level has already risen by 20 centimeters (eight inches) along Vietnam’s coast, according to the increasingly worried communist government.

While delta farmers cope with drought, they are also challenged by sea water intrusion, which experts also link to climate change.

There is little water in the rivers near Roi’s fields “and it’s salty so we can’t pump it” for irrigation, he says.

Recalling easier times on his 1.2 hectares (three acres), Roi says, “The rice fields weren’t dying like this.”

The Vietnamese government emphasizes the role of climate change in disrupting its agricultural environment, but experts do not rule out an effect from dams upstream in China. That impact could be worsened by the opening of more dams further south in Laos and Cambodia, they say.

“The Chinese dams have made the system fragile, but the impact of the downstream dams will be cumulative,” said Marc Goichot, of the WWF.

Goichot said a delta is influenced by three forces which affect one another: subsidence, which causes the delta’s bed to fall; coastal currents; and sediment brought down by rivers.

Dams retain sediment, reducing the amount that collects where the coastal current and waves are strongest downstream, meaning the salty water can more easily penetrate, he said.

The impact of sediment needs to be better understood, Goichot added, calling for a suspension of dam projects pending further research.

China has eight planned or existing dams on the Mekong River, but rejects activists’ criticism that the hydropower dams contribute to low water levels downstream.

There are proposals for another twelve dams in the lower Mekong countries.

Vo Tong Xuan, a leading Vietnamese rice expert, said the flow of the Mekong River – whose long journey ends at the delta – is “extremely reduced” this year.

He is concerned about the impact of Chinese dams, but also blames Vietnam’s increasingly intensive methods of rice growing.

As the delta’s population has expanded, farmers have gone from planting one to two and sometimes three rice crops each year.

Xuan says that too many farmers plant three crops, draining crucial water from provinces such as Ben Tre during the dry season.

Ultimately, he says, the Delta may need new varieties of rice more adapted to a dry and salty environment.

Roi, 64, grows rice only twice a year and is not waiting for new strains.

Squatting beside his sorry-looking paddies, he points out about 30 baby palm trees he has planted along the edge of the rice field. They are better adapted to the delta’s harsh environment.

“If one day we can’t grow rice any more, we’ll grow coconut palms,” he says.

Farmers, lawyers baffled by provincial farmers’ association reluctance to take river polluter to task

A portion of the Thi Vai River in 2008, much of which was polluted by the illegal wastewater discharge of Taiwanese MSG manufacturer Vedan Vietnam.

Nguyen Lam Son was angry, puzzled and relieved.

His lawyer had just told him that he is likely to win a lawsuit against Vedan, the company that had destroyed his livelihood by dumping untreated wastewater into the Thi Vai River in the southern Dong Nai Province for 14 years.

“The prospects are bright. This is totally different from what I was told a week ago,” Son said.

At a meeting between some 100 representatives of 5,000 farmers from Long Thanh and Nhon Trach districts in Dong Nai on July 7, the provincial farmers’ association reiterated its stance that members stood little chance of winning a lawsuit against Vedan.

Despite the fact that province was hardest hit by the pollution caused by the Taiwanese MSG maker, the association asked affected farmers to drop the case, and continued to “negotiate” the compensation with the company.

“I was shattered by that. It seemed that we have no choice but to accept something that has already been set up,” Son told Thanh Nien Weekly.

At the July 7 meeting, all the farmers accepted that they would drop the case.

Except Son

Shrimp farmer Nguyen Lam Son of Dong Nai Province’s Nhon Trach District said he would sue Vedan on his own, despite warnings from the local farmers’ association.

“I was frustrated as the association just clung to the lack of evidence claim to talk the farmers out of pursuing the lawsuit. They kept saying that we had to present all the invoices and documents certifying that our business had suffered heavy losses due to Vedan,” Son said.

“But I would dare anyone who can find such documents as evidence. Most of the farmers in my commune are illiterate and their business transactions are based solely on mutual trust and word of mouth.”

Son, a shrimp farmer, said he decided not to drop the case because he has had enough of putting up with the “crime” Vedan has committed.

“Vedan’s crime happened right in front of me for years. Now I will never ever let them do it again,” said Son, who had been breeding shrimp by pumping water directly from the Thi Vai River since 1996.

Devious ploy

In September 2008, government inspectors found Vedan Vietnam dumping untreated wastewater into the Thi Vai River in the southern province of Dong Nai. The company had avoided detection by hiding pipes under ground and in the river, and had been discharging toxic liquids through them for 14 years, massively polluting the surroundings.

A study authorized by the Institute of Environment and Natural Resources found in December 2009 that Vedan was responsible for 77 percent of the pollution then plaguing the Thi Vai River.

The report said Vedan should compensate farmers in Dong Nai Province, Ba Ria-Vung Tau Province and Ho Chi Minh City with a total of VND1.7 trillion (US$89.2 million) for the damages it has caused, including the destruction of marine farms and damage to land crops on the banks of the river.

But the company rejected the figures about the extent of damage as “groundless”. Vedan claimed it had inspected and assessed the damage by itself and offered far less compensation than the government-sponsored study said the farmers are entitled to.

Earlier this year, farmers’ societies from HCMC, Ba Ria-Vung Tau, and Dong Nai, agreed that they would take the company to court and demand fair compensation.

Lawyer Nguyen Van Hau, who will defend HCMC farmers in the upcoming lawsuit, said he could see what Vedan was up to in trying to delay the bargaining process.

“After September 15, two years after the company was caught red-handed, if no lawsuit takes place, demanding even a penny from the company would be a tough task,” Hau said, referring to a statute of limitations.

But the Dong Nai farmers’ association made a u-turn early last month, saying it would persuade the farmers to drop the case due to lack of evidence.

The association also agreed in principle to accept “financial assistance” worth VND15 billion from Vedan without consulting the farmers.

Lawyer Hau said he found the decision of the association incomprehensible.

“I’m baffled. Dong Nai farmers are the hardest-hit and they should receive the largest support [from the association]. I just don’t understand.”

Hau said he did not think suing the Taiwanese company would be that tough.

Son’s lawyer, who wished to remain anonymous, said he has found the way out not only for Son but for other farmers hit hard by Vedan. However, he declined to spell out specific measures, saying, “Let’s just wait until we get to the court.”

The farmer’s willingness to go against the stated odds has impressed 47-year-old Hoang The Dung, another shrimp farmer in Dong Nai’s Nhon Trach District.

Dung said he would also follow Son in taking legal action against Vedan.

Dung said he was not consulted when the Dong Nai farmers’ association held a meeting on what action they should take against Vedan. “That just made me livid,” Dung said.

“I don’t trust the association anymore. I will go on my own.”

‘Certain to win’

Nguyen Van Phung, chairman of the HCMC’s farmers’ association, said he was not in a position to judge the decision of his Dong Nai counterparts.

“But I just don’t agree with them.”

Phung said he was glad that the two farmers in Dong Nai have shown their determination to take the case all the way.

“The court officials have told me that they all know about the ploy by Vedan to buy time. They urged us to expedite the process so that the court hearing could take place in time,” Phung said.

“We are certain to win.”

The Tuoi Tre newspaper quoted Nguyen Quoc Cuong, chairman of the Vietnam Farmers’ Association as saying that they would strongly support the farmers.

“Any farmers’ association should be protecting the right interests and benefits of the farmers,’ Cuong was quoted by Tuoi Tre as saying.

“Perhaps because Vedan is located in Dong Nai Province, the farmers’ association there need to take their relations with the company into consideration,” he surmised, referring to the reluctance of the local farmers’ association to pursue the case against the company.

 For expats in Vietnam immersion is the best way to learn Vietnamese

Vincent Milliot was late, again.

“He spent at least 15 minutes trying to tell the taxi driver where to meet us,” complained his friend, Frank Picatto. “Finally the guy got it.”

Picatto didn’t understand what took so long. The fact is, his pal Milliot, a French diplomat, was practicing his Vietnamese.

Like many other expats who have just arrived in Vietnam, Milliot took every opportunity to try his hand at the language.

He is not alone.

Four expats told Thanh Nien that when they first arrived, they took language lessons at least two times per week (the price of a private lesson ranges from US$5 to $15) and sought to practice Vietnamese everywhere with everyone. But in many cases, this “fever” doesn’t last forever.

In fact, there are many expats who live in Vietnam without speaking Vietnamese.

“I think if an expat works in Vietnam for more than two years they have to study Vietnamese seriously,” said Alberto Fabeiro Linares, trade adviser of Spanish economic and commercial office in HCMC, Embassy of Spain. “My contract to work in HCMC is nine months, and at first I [studied] Vietnamese at university. Then when I tried to speak Vietnamese with people like taxi drivers, I suddenly felt like people do not understand. “English” they asked so I started speaking in English,”

Last week, Linares and his friends gathered in his apartment to watch their home team battle the Portuguese. A note pad on the door offered pointers on how to buy fruit and ask for directions. The sign offers the only trace of that initial enthusiasm to learn Vietnamese.

Alberto’s colleague, Joan Navarro, IT manager of Spanish Economic & Commercial office in HCMC agreed with him. “I studied Vietnamese for the first three months during my nine months in Vietnam. I find it is very difficult to study. I could always speak English with my friends. Now I only use Vietnamese to order food, ask for directions, and deal with money. If I lived in Vietnam for two years I would learn more.”

Joan Navarro said that he travelled from HCMC to Hanoi on train, bus, and motorbike. “These were moments that I really wished I could speak Vietnamese more than ever. During the trips to small villages, I enjoyed discovering the place but I could not speak to the people there.”

As a language with six distinct tones, Vietnamese can quickly discourage expats who work here for a short time. For those who live here for a long time, learning Vietnamese allows them to break into all aspects of Vietnamese society.

Sarah Johnson started working in HCMC two years ago as a journalist. “When I got to Vietnam, I was determined not to learn Vietnamese because at the beginning I planned to stay for just nine months,” she said. “But then I changed my mind and I found out that learning Vietnamese would make life easier. For three months, I took private lessons with a tutor. Then as I made more friends I practiced Vietnamese with them and people on the street.”

Jon Dillingham, an American editor also agreed with Sarah. For his first three years in Vietnam he kept picking up and dropping Vietnamese classes. At first, he felt very stupid for living here and not speaking the language. “You can speak English with middle and upper class people but there are so many more other people outside these classes,” Dillingham said. “At first I learned on my own and I did not pay attention to the tones and that was stupid. After two months, my tones became better. I was lucky to have lots of encouragement from my friends.”

Encouragement and help from friends are important contributing factors to learning Vietnamese. But, the main factor is you.

Chantelle Woodford is one of many expats who can speak Vietnamese quite well. When this young diplomat makes a speech in Vietnamese, she receives high praise from Vietnamese audiences.

Chantelle Woodford has been working as Vice Consul (trade, economic) to the Australian Consulate-General in HCMC for one and half years. It is her first overseas diplomatic post. She was so passionate about her job that, in her first year, she studied Vietnamese every day for three to four hours.

She says she now spends around one hour per week studying with her teacher. She makes a point of reading Vietnamese newspapers, listening the radio and watching Vietnamese TV. “Now that I can speak Vietnamese I understand people more and Vietnam is more accessible to me. I can integrate with people from all corners of life. I like to talk with children and people in the market and school.”

Woodford says she is a long way away from fully understanding Vietnamese culture but speaking the language is an essential tool.

 Tran Thi Hoan stands in front of the US Supreme Court in 2008. Hoan is a victim of Agent Orange, the herbicide laced with dioxin-tainted defoliant that was sprayed across huge swaths of Vietnam between in the 1960s and early 1970s, and she fears that she could pass on the poison that saw her born without legs and with a withered hand to her children.

At 23, Tran Thi Hoan dreams the dreams of a typical young woman: find a good job, start a family and, as a native of a country long ravaged by war, live in peace.

But Hoan is a victim of Agent Orange, the herbicide laced with dioxin-tainted defoliant that was sprayed across huge swaths of Vietnam between in the 1960s and early 1970s, and she fears that she could pass on the poison that saw her born without legs and with a withered hand to her children.

So she’s let go of part of her dream.

“Maybe my children will be disabled like me. So I don’t believe I can get married,” Hoan told AFP after she became the first Vietnamese victim of Agent Orange to testify before the US Congress.

“I’m worried,” she added quietly.

“I’m scared.”

Hoan had just read a three-page testimony in English to US lawmakers in a packed hearing room.

“I am not unique, but am one of hundreds of thousands of people whose lives have been marked by our parents’ or grandparents’ exposure to Agent Orange,” she said.

“I was born as you see me: without legs and missing a hand.”

But in spite of her handicap, and in spite of her fears that nobody would want her as a wife, Hoan told the packed hearing called by Congressman Eni Faleomavaega, a veteran of Vietnam, to try to determine how to meet the needs of Vietnam’s victims of Agent Orange, that she was “one of the lucky ones.”

“I’m missing limbs, but my mental functioning is fine,” she said.

Some Agent Orange victims do nothing but sleep, she said. Others fall ill with a slight temperature change. Still others die young, at age 10.

“Many babies, children and young people live lives of quiet agony. They are trapped in bodies that do not work. Their brains remain in infancy even as their bodies grow.

A ribbon supporting Agent Orange victims. Today, Agent Orange and dioxin, which is known to increase the risk of cancer, immune deficiency disease, and reproductive and developmental disorders, still contaminates the land and water of Vietnam.

The American Public Health Panel estimates that some 77 million liters of herbicides, including 49.3 million liters of Agent Orange containing dioxin-contaminated defoliants, were sprayed over 5.5 million acres (2.23 million hectares) in what was then South Vietnam by the United States military.

The aim was to destroy the densely wooded hiding places of the Vietnamese liberation forces.

Today, Agent Orange and dioxin, which is known to increase the risk of cancer, immune deficiency disease, and reproductive and developmental disorders, still contaminates the land and water of Vietnam.

Vietnamese medical doctor Nguyen Thi Ngoc Phuong told the hearing that studies she has conducted have found that up to 4.1 million Vietnamese were directly exposed to Agent Orange during the war and more than three million have suffered its effects.

Babies are exposed through their mother’s breast milk. Others have been exposed by living in or near contaminated areas called “hotspots,” such as Da Nang, where the United States had a base during the war.

The United States, which reestablished diplomatic ties with Vietnam 15 years ago, is funding a program to “remediate” dioxin at Da Nang, or burn it at ultra-high temperatures of 350 degrees Celsius (662 Fahrenheit), which causes it to vaporize.

Not doing anything would mean dioxin, which has a half-life of 100 years – meaning it will take 100 years for it to fall to half its initial strength – would still be tainting the land and people’s lives next century.

“My gosh,” said Faleomavaega, “We’ll all be dead and it’ll still be there.”

Though Hoan’s life has been marked by an event that happened decades before her birth, she insisted Agent Orange victims have to look to the future.

“We can look at the past and see the consequences of war, but we don’t want to stay in the past. We have to look to the future and see what we can do,” she told AFP.

And she added another wish to her wish-list.

“We want those responsible for the terrible consequences of Agent Orange to hear our pain and respond to us as humans,” she said, speaking not only for Vietnamese victims but for “the children and grandchildren of Americans who were exposed to Agent Orange and who are suffering like us.”

In the audience, a veteran of the Iraq war cried. Another applauded quietly.

One of the chemical companies that made Agent Orange, Dow, says on its website that manufacturers were compelled by the government to produce the herbicide.

In 2007, Dow said there was no evidence to link Agent Orange to Vietnam veterans’ illnesses.

And last year, a US embassy spokeswoman in Hanoi said there has been no internationally-accepted scientific study establishing a link between Agent Orange and Vietnam’s disabled and deformed.

Members of the French Vietnam-Dioxine Collective gather in Paris on June 18 to show their support on the same day the US Court of Appeals held a hearing in New York related to a lawsuit filed by Vietnamese victims of the chemical Agent Orange against several US chemical companies that manufactured the toxic material. Agent Orange, a dioxin-containing defoliant used during the Vietnam War, caused disfiguring birth defects, cancer, and many other health problems to those exposed.

Officials call for more regulation amid shady dealings between Docs and Drug Suits

Inpatients at Nguyen Trai Hospital in Ho Chi Minh City. Several experts and policymakers have said that Vietnamese hospitals are paying unreasonably high prices for medicine.

Vietnamese hospitals are paying unreasonably high prices for medicine, according to several experts and health policymakers.

Critics have alleged that backroom deals between drug manufacturers and hospitals have resulted in doctors prescribing drugs that patients don’t need in exchange for kickbacks.

The recent dust up goes back to December of 2009 when inspections in public hospitals turned up irregularities and outright scams.

Officials and Ho Chi Minh City residents were outraged this spring when city inspectors revealed that doctors at the 115 People’s Hospital had pushed outpatients to purchase medicines at the pharmacy for inflated prices. The hospital had not complied with laws requiring it to hold competitive bidding prior to purchasing pharmaceuticals.

In March, investigators from the Drug Administration of Vietnam found that a HCMC University Medical Center physician had received VND528 million ($27,687) in July last year in kickbacks from the US Schering Plough Pharmaceutical office for selling hepatitis medicine.

He was not alone.

Legislators have found that public hospitals have purchased pharmaceuticals, particularly imported drugs, at 150-300 percent mark-ups, said Nguyen Duc Thu, deputy head of the Social Affairs Section at the National Assembly Office.

“Some hospitals have spent more on medicines than one would at local retail outlets. Such high prices have badly hurt patients and health insurance companies,” he said at a June 26 health policy seminar in the northern Vinh Phuc Province.

“Patients have not benefited from pharmaceutical promotions aimed at wholesalers and prescribing doctors,” he added. Thu claimed to have evidence that many hospitals hadn’t held competitive bids and that it was difficult to prevent backdoor deals.

In Vietnam, everything from unemployment to health insurance is regulated by a governmental body, Vietnam Social Insurance (VSI). Representatives from VSI are fuming about the rising costs of medicine.

The organization recently reported that drug costs account for 60 percent of its annual health expenditures.

“This is an unreasonably high proportion,” said the agency director Le Bach Hong. “Several countries in the region spend far less. China pays 45 percent, Indonesia pays 38 percent and Thailand pays 35 percent.”

Experts are concerned that health insurance policyholders are paying exorbitant prices for medicine due to poor management of public hospitals.

Hong said that many hospitals paid between 10-30 percent more than their retail value. “Wholesale prices are higher than retail. It is really unreasonable,” he said.

In Vietnam, the government used to cover all health costs for those who could not pay their way. This included the nation’s poor, children under six years old, orphans and those who contributed to the nation’s fight for independence.

Early this year, a new health insurance law changed all of that. Several members of this group now have to cover between 5-20 percent of their health care costs.

Where’s the bid?

In 2007 the ministries of Health and Finance passed a law requiring public hospitals to hold competitive bidding before purchasing a specific drug and prescribing it to patients.

Experts have charged that some hospitals have agreed to buy medicines at unreasonably high prices and have kicked back commissions from drug manufacturers.

Vietnam’s state insurance provider is left footing the bill.

“The insurance agencies bought these medicines,” said director Hong of VSI. “But the high prices were negotiated by the hospitals and pharmaceutical firms.”

Critics have offered, as evidence, the lack of consistency in prices. Ta Van Bang, a senior official at VSI’s Health Insurance Department, said that some public hospitals paid exponentially more for the same drug than others.

Experts also said certain doctors over-prescribe medicines in the hope of receiving large illicit dividends.

Hong said that, in a recent case, a 70-year-old man was prescribed nine different drugs—some of which he did not need. “This means patients paid more for drugs that could do more harm than good,” he said.

“The insurance agency could save VND1 trillion per year if hospitals cut 10 percent of [unreasonable] prescriptions. With that money, we could cover 2.5 million of the nation’s poor,” he said.

Poor management

In a recent report to the National Assembly, Vietnam’s legislature, the Drug Administration of Vietnam committed to take action to control medicine prices. The agency vowed to establish maximum retail prices and promotion rates.

By law, pharmaceutical companies and importers are required to report a product’s price to authorities before it goes on the market. Manufacturers are required to announce all rate increases. Authorities reserve the right to demand that manufacturers lower prices that are deemed unreasonable.

The Drug Administration has admitted, however, it could not tackle such a Herculean task.

Vietnamese authorities oversee more than 22,000 pharmaceutical products. They have not, thus far, established maximum prices for all of these drugs, much less established a definition for “unreasonable cost.”

Some members of the government are suggesting that VSI should assume control of negotiating purchases.

Dang Nhu Loi, deputy head of the NA’s Social Affairs Committee, said the Health Ministry should prevent unreasonably high drug prices at public hospitals “at the root of the problem by allowing the insurance agencies to hold open bids before public hospitals buy medicines.”

He said the arrangement could eliminate the risk of doctors favoring certain medicines for the wrong reasons.

Doctor Tran Van Ban, a member of the NA’s Social Affairs Committee, argued that the Drug Administration should be able to obtain information on the production costs of imported drugs rather easily. Based on that information, he said, they should be able to establish “reasonable” prices inside Vietnam.

Ban added that India dealt with a similar problem in 1975. Costs were reduced by making the purchasing process more transparent, he said.

Reducing drug prices benefits all: WHO official

The Vietnamese government and its people, particularly the poor, would all equally benefit from policies aiming to reduce drug prices, Dr. Jean-Marc Olivé (photo), the World Health Organization Representative for Vietnam told Thanh Nien Weekly in a phone interview.

Thanh Nien Weekly: How do drug costs in Vietnam rank, regionally

Dr. Jean-Marc Olivé: I think that there are very limited surveys [on drug prices] that have been done in Vietnam. [My] recommendation would be to continue to do surveys. It is important to analyze the insurance  claims of the expenditure on medicines, and all of this should be monitored by the government as well as the price of the top 20 medicines reimbursed by health insurance. The idea is that the government should adopt a general policy for drugs and monitor prices of medicine. That is what it is all about.

But in a recent report sent to the National Assembly, the Drug Administration of Vietnam pointed out many difficulties in monitoring the drug prices in Vietnam. Do you think the job of monitoring drug prices will be tough for Vietnam?

To adjust and monitor the price of medicine and ensure the price is affordable is a challenge faced by many countries like Vietnam that are growing very fast.  One of the recommendations that we have made to the government is to monitor drug prices. I think many of the instruments are in place, and should be used to monitor and find ways to reduce prices, as other countries have done. Just by monitoring you can achieve a lot.

Is the WHO aware of any untoward or illicit activity on the part of pharmaceutical companies selling medicines to Vietnamese public hospitals?

No, the WHO has not done any study in this area. We are giving support to the Ministry of Health, developing guidelines and regulations for appropriate drug use in hospitals. That’s the only thing we are doing. This is the business of the government, we are not involved.

We are just technical advisors. It is up to the government to implement laws and guidelines. It is not the role of the WHO.

What should the Vietnamese health authorities do to better protect poor and vulnerable patients?

I think the big challenge for the government is covering 100 percent of the Vietnamese population. One easy way would be to reduce the price of drugs seeing as they total 60 percent of reimbursement. [But] this is still far more than most developed countries where the proportion of drugs that are reimbursed overall is 10-15 percent.

It will be difficult to sustain this because of the cost of healthcare that increases regularly, and the higher proportion of drugs to be reimbursed by health insurance in the future.

One very good way to ensure sustainability and reduce costs of medical expenses would be to reduce the costs of drugs.

From what I understand, the government is trying very hard to address this issue; one of the priorities of the government is [to] increase access to healthcare for all Vietnamese while giving priority to the poorer ones. They have dramatically increased the coverage and now they are trying to ensure that the poorer people have the same access to healthcare as the wealthy. This is easier said than done. Many poor people are in remote regions and there are difficulties to do with transport and accessing healthcare. But we are on the right track. By increasing access to health insurance, you will include all the strata of the population, particularly the poor. (Reported by An Dien)

Inquiry follows wave of Agent Orange interest in wake of Senators’ visit

Tran Thi Hoan, 23, with her friends at Peace Village in Ho Chi Minh City’s Tu Du Maternity Hospital, a home for Agent Orange victims. Hoan, who was born without two legs and a hand due to her mother’s dioxin exposure, is testifying about the plight of Vietnamese Agent Orange victims at the US House of Representatives this week.

The United States House of Representatives is set to hear the testimony of the first Vietnamese Agent Orange victim to ever speak on capital hill this week.

Tran Thi Hoan, a 23-year-old 2nd generation victim told Thanh Nien Weekly her testimony on July 15th would focus on the agonies she and her peers have suffered, “and the aspirations of Vietnamese Agent Orange victims to be fully redressed by the US government and chemical companies.”

Hoan’s testimony coincides with a rising tide of US interest in Vietnam and its estimated 3 million Agent Orange victims. Hoan was born without a hand and both legs, which doctors have attributed to her mother’s exposure to Agent Orange.

According to an article written by Charles Bailey, Director of the Ford Foundation’s Special initiative on Dioxin/Agent Orange: “Between 1961 and 1971, the US sprayed close to 20 million gallons of Agent Orange and other herbicides over 10 percent of what was then South Vietnam.” Bailey added that the chemicals contained Dioxin, defined as a “persistent organic pollutant that even in tiny amounts (parts per trillion) can seriously harm the health of anyone exposed and potentially their offspring and future generations.”

Nearly 50 years later, members of the US government are stepping forward and taking ownership of the act.

“We as a country and a government formulated this policy of using this chemical toxic substance to supposedly fight the war in Vietnam only to find out that the consequences were just unbelievable,” Congressman Eni Faleomavaega (D -Am. Samoa) chairman of the House Foreign Affairs Sub-Committee on Asia, the Pacific and the Global Environment told Thanh Nien Weekly.

Faleomavaega used the words “chemical warfare” to describe the US spraying campaign.

The Congressman was stationed with the US Army in Nha Trang from 1967-68. He summoned the first congressional hearing on Agent Orange that included the US-Vietnam dialogue group in 2008. He called another in 2009. In this third hearing, members of the House will come face to face with the consequences of the spraying.

“When I see these children in the hospital there in Vietnam who are deformed, it’s almost like being exposed to nuclear radiation in a way,” he said.

Rep. Faleomavaega is the second US official in two weeks to acknowledge a direct moral obligation on behalf of the US government to increase aid to Vietnamese Agent Orange victims.

The Samoan Congressman was unaware that a group of three US Senators had visited Vietnam last week and toured Agent Orange treatment centers in and around Da Nang.

During the delegation’s visit, the Tuoi Tre newspaper reported that Sen. Tom Harkin (D-Ia.) expressed a desire to raise the current allotment of $3 million to $20-30 million.

“[What] I want to do is to get the money for the compensation for the same illnesses here as we are doing in the US,” he was quoted as saying.

In an e-mail, Sen. Harkin’s staff said they could not commit to a specific number. “Sen. Harkin is working hard to increase funding,” a spokesperson said.

Senators Bernie Sanders (I-Vt.) and AL Franken (D-Minn.), who accompanied Harkin to Vietnam last week, declined repeated requests for comment on the nature of their trip and plans for future action.

During the fiscal year of 2007, Congress approved $3 million for Vietnamese Agent Orange victims. The amount was approved again in 2009 and 2010.

“This 3 million is just pittance,” Rep. Faleomavaega said. “I really hope that we’re gonna see what we can do to increase our efforts.”

Both Harkin and Faleomavaega independently praised the work of the Ford Foundation, a charitable organization that has worked to develop a $300 million clean-up plan with the US – Vietnam Dialogue Group on Agent Orange/Dioxin. The plan requires funding largely by the US government –money that has yet to arrive.

“I don’t know where this is going to end up,” said Rep. Faleomavaega. “I’m just doing the best I can. Hopefully there will be members who will see the rightness of the issue and say we just need to correct it that’s all.”

Dr. Nguyen Thi Ngoc Phuong, who will testify alongside Hoan and was the first Vietnamese citizen to speak on the issue before congress in 2008, said the money that comes into Vietnam for Agent Orange assistance needs to be used properly.

“The money should be directed to Vietnamese NGOs for better distribution. As far as I understand, the already meager assistance has been trimmed by US NGOs tasked with bringing the money to Vietnam,” said the former president of HCMC-based Tu Du Maternity Hospital and current vice chair of the Vietnam Association for Victims of Agent Orange/Dioxin (VAVA). Phuong has conducted extensive research on the impact of Agent Orange on breast milk in Vietnam.

“Imagine how much Vietnamese Agent Orange victims would receive given the fact that such [US] NGOs often come to Vietnam in large delegations and stay in five-star hotels.”

SHOW ME THE MONEY

Congressman Faleomavaega was the first to hold a hearing on Agent Orange that included the Vietnamese government. He served in the US Army from 1967-8 and was the first Asian-American in the history to chair a sub-committee on Asia and the Pacific.

In 1989 he was elected to Congress by the people of American Samoa. They have been re-electing him ever since.

During an extensive interview with Thanh Nien Weekly, Congressman Faleomavaega spoke on a range of issues, excerpted below.

We’re gonna spend another $100 billion on the 100,000 soldiers we’ve got on the ground in Afghanistan. And we’re right in the middle of saying, are we justified, does this smell of Vietnam again?

... Every time I read about the billions and billions of dollars that have been wasted on the war on Iraq and out of Afghanistan... that really burns me up, you know?

... We can’t account for billions and billions and we can’t spend a few million to alleviate [Agent Orange]? Billions and billions we can’t even account for? Give me a break. That’s not right.

In my review of the situation, this started under the Kennedy Administration, these major chemical companies like Monsanto... They pointed the finger at the Department of Defense. They are both responsible for what happened.

... What makes it worse is that this didn’t go on for a few months, it went on for close to 10 years!

... I have to put the ball squarely on the pentagon and those officials who conducted the war effort are responsible for what happened.

A Son Dong sage passes on the art of Chinese calligraphy

The 69-year-old retired farmer and veteran Nghiem Quoc Dat practices writes Chinese calligraphy, which is helpful for people to perfect their character

Every Sunday afternoon, nearly a hundred students gather to listen to the teachings of Nghiem Quoc Dat.

On a recent afternoon, the old man sat in the cramped quarters of his living room—his former classroom. A blousy kerchief hangs from the slight 69 year-old man’s neck like a flag. A large plush blazer ruffles against his narrow shoulders as he paints the beautiful tapered lines of a single Chinese character.

Dat, a retired farmer and former soldier, is perhaps his village’s most vital mind.

Five years ago, he began teaching the lost art of Chinese calligraphy. “I principally began doing this because I wanted the children in my family to carry on our traditional love of learning,” Dat says. “But, what’s more, my village is famous for its lacquered boards and wood panels which are all engraved with the complex characters. The younger generation needs to know about this so they can preserve the village’s traditional trade.”

Located some 25 kilometers from Hanoi, Son Dong Village has long been a home to craftsmen and artisans. The town boasts a number of Confucian scholars still capable of rendering and interpreting the nearly 4,000 year-old pictorial alphabet.

The characters first appeared in Vietnam in the first century BC.

Because the language is character-based (each word is represented by a symbol that must be memorized to be understood) it requires intense study to master. Modern Chinese dictionaries contain more than 47,000 symbols; a “literate” adult may only know between 3,000-4,000.

Portuguese missionaries began developing the current Romanized script in Vietnam in the 16th century to advance evangelical efforts. By the late 19th century, the Chinese alphabet had all but disappeared.

Since then the art has been carried only by artisans and scholars.

Startled by the possibility of its disappearance, Dat consulted the small educational board chaired by his extended family (the Nghiem clan). They encouraged him unanimously to begin teaching at the end of 2006.

The old man shelled out a huge chunk of his meager monthly pension to buy ink and brushes for his students.

He refused to accept any money from the children’s families and cleared out his 25 square-meter living room to make space for students.

The first class was made up entirely of Nghiem kids. He called it Sao Khue, after the Chinese astrological constellation that has served as symbol of art and literature in Chinese and Vietnamese culture.

Dat had no teaching experience when he began his Sunday lectures. But he soon found himself peppering his lessons with poems, puzzles and stories. The old scholar’s lessons don’t merely focus on the technical aspects of classical calligraphy. When teaching a given character, he inevitably delves into its complex Confucian meaning. For example, the symbol for “rest” combines the symbol for “man” and “tree.” Thus, a man sitting near a tree is deemed to be at rest.

His method worked. The floor of Dat’s living room swelled with students crowding onto the floor. He was forced to cap classes at 20 pupils until a local secondary School principal offered him the use of a classroom.

Dat believes in the old Vietnamese adage: net chu net nguoi - literally, “handwriting reveals your character”.

Dat’s tutelage has won praise from satisfied parents.

“We all know that Dat has a profound knowledge and, more than that, lots of personality,” said Van Thi Duyen whose ten-year-old son attends the old teacher’s class. “We all love watching naughty children improve under Dat’s moral guidance.”

In addition to kids, Dat’s classes are frequented by teachers, artisans, farmers, and Buddhist priests who attend whenever they can. Shocked by their dedication, Dat tends to gush when speaking about his pupils.

In some cases, it seems as though the old man’s calligraphy lessons have given some men a new hope in life.

“Tien is a war invalid,” Dat said. “But for the past two years he has driven his three-wheeler some 20 kilometers to come to class. He used to be a hot-tempered man but after a while in my class, he has developed a patience that extends into all things.”

Nguyen Phuc Hiep was born to a poor family in Dong La Village— some 15 kilometers away. Though he loved to learn, Hiep had to leave school to begin working at the age of 13. He now works on construction site and is one of Sao Khue’s top students.

“Studying calligraphy is very interesting,” said Hiep, who enrolled in the class three years ago. “Besides studying the meanings behind each character, I’ve fallen in love with the act of writing them. I really enjoy every lesson and want to organize a class to teach people in my village”

Several Sao Khue alumni have gone on to pursue calligraphy professionally. Thrilled by their success, Dat has no plans of stopping. “I still want more students,” he says. “I will continue to teach free until my health forces me to stop. The biggest reward for me is seeing my students absorbed in their work.”

Vietnamese authorities prepare to crack down on online gaming

A young boy plays online games at an Internet shop on Tran Quang Khai Street in Ho Chi Minh City’s District 1. Vietnamese authorities are poised to issue a stringent clampdown on the online gaming industry, a move decried as unfeasible and unwise by critics.

Vietnamese authorities are poised to issue a stringent crackdown on the online gaming industry.

Authorities claim that the move is aimed at protecting the nation’s youth from perceived social ills. Critics of the measures have decried them as unfeasible and unwise.

On July 16, the Ho Chi Minh City People’s Committee, the municipal administration, submitted a proposal to Prime Minister Nguyen Tan Dung asking that he tighten the screws on online gaming.

In the request, the city government noted that the number of licensed online games has increased from only two in 2006 to more than 65 today. The city hall claimed that 43 of the currently licensed games are violent in nature.

The city government proposed a halt on the importation of new online games and an end to their advertisement “in any form.” It further proposed that all new games be screened for violent, gambling or pornographic content. All existing licenses should be re-evaluated; those that fail to meet the new content standards should be revoked, the city officials recommended.

At the same time, deputies at a meeting of the Hanoi People’s Council, the municipal legislature, called for laws that would force Internet providers to pull the plug on Internet cafés from 11 p.m. to 6 a.m.

The snowballing municipal ire has worked; the central government is honoring many of their requests.

Starting September 1st Internet access at public cafés will cease from 11 p.m. to 6 a.m. While the central government will not enact all of the proposals put forth by the Hanoi and HCMC administrations, it looks as though Vietnam’s cyber-junkies will be getting a lot more sleep this coming fall.

“How could they do that?” asked the owner of an Internet shop on Bui Vien Street in HCMC’s backpacker area. She said her business mainly depended on tourists who visit the shop after spending the day sightseeing.

Two other shop owners in the same neighborhood said they wouldn’t mind the move.

“It won’t hurt us much,” said Hung an employee at the Hoang Hao Internet shop on Do Quang Dau Street. “There aren’t many customers at night.”

Unfeasible

HCMC’S PROPOSALS ON ONLINE GAME MANAGEMENT

- All existing licenses must be reevaluated – those that fail to meet the new content standards should be revoked.

- A halt on the importation of new games

- No advertisement of online games “in any form”

- All new games must be screened for their violent, gambling or pornographic content

- Applications for the approval of new games must include a “social impact assessment” that would quantify the game’s potential for harmful social effects.

- Local online game providers must shut down online gaming servers from 11 p.m. to 6 a.m. [Current regulations require Internet shops to comply with local cyber curfews, though such laws are seldom enforced.]

- Provisions for suppliers to limit each gamer to three hours of game play per day [Current law requires game providers to create virtual deterrents for players who exceed three hours of game play. Players are able to dodge these penalties by signing into different virtual profiles –they can create as many as they like.]

- The government will now encourage the development of locally-made games that educate players about Vietnamese history and culture.

Many officials, experts and gamers consider the new regulations unfeasible and unreasonable.

Luu Vu Hai, head of the Broadcasting and Electronic Information Bureau under the Ministry of Information and Communications said that even if a domestic ban on online games were to be instituted, gamers could still play games on foreign servers.

“We cannot ban the games completely,” Hai said. “We plan to come up with a solution that will maximize the benefits of online games and reduce their harmful impacts.”

He said the Ministry of Information and Communications is trying to create an initiative to encourage local firms to produce “positive and healthy” games.

According to the Vietnam Software Association (VINASA), Vietnam is the biggest online game market in Southeast Asia; 22 domestic game suppliers generated $130 million worth of revenue in 2008 alone.

Generally speaking, these companies purchase the rights to games and invest in large computer servers to run them on. Most of the games run by Vietnamese providers are produced abroad. Most of the games have their own currency. Players can enter the virtual worlds for free but, in order to advance, they purchase virtual items and powers for real-world currency.

Many of the games are designed in China and South Korea. They are streamed through Vietnamese servers that translate the language. However, Vietnamese gamers are able to download software that enables them to play foreign games on foreign servers.

Pham Tan Cong, VINASA General Secretary, said online games, like all forms of entertainment, have their good and their bad sides.

“People have vilified online game companies without considering their potential for good,” Cong said. He believes that the government should encourage domestic game developers to work on games that educate players about Vietnamese history and affirm its cultural identity.

“The concept of limiting game play time flies in the face of the borderless nature of Internet,” he said. “We can only manage games that are being run off servers inside the country,” he said.

Management failure

Khuat Thu Hong, head of the Institution for Social Development Studies, said cutting off Internet access at game shops will prove ineffective and signify a failure of the concerned management agencies.

“Online games are not guilty,” Hong said. “They are an advanced technological product. We can’t deny their entertainment value or their capacity to develop players’ reaction time and problem solving skills. Of course, any form of abuse will have negative consequences,” she said.

“We have to educate our kids about avoiding addiction to online games and select suitable games to play” Hong said, adding that many of the supporters of the new measures are parents who have ultimately failed to educate and supervise their children.

Worried companies

Domestic game providers have claimed that the proposed crackdown will prove unfeasible, impede the lawful adult enjoyment of a legal product, and damage a fledgling online gaming industry.

Hoang Trong Hieu, deputy director of VTC Games, an online game subsidiary of Vietnam Cable Television, said banning online games will not affect youth violence.

“When I was at school, there were no online games but fights still broke out. [Violence] is a big picture problem that starts with family, school and the whole society,” he said.

Nguyen Dac Viet Dung, deputy director of FPT Online, an online game supplier, said it would be difficult to issue an account for each gamer and manage their maximum game play per day. Putting online game servers on hiatus [from 11 p.m. to 6 a.m. every night] will badly hurt providers, he said, as they will be forced to backup databases and fix errors caused by regular shut downs.

Dung added that the proposed regulations will not affect Vietnamese gamers who play online games on foreign servers, but local providers will lose foreign customers who wish to play during the new cyber curfew hours.

Gamers divided

Thanh Nien Weekly spoke to several gamers who seemed concerned about hostile behavior exhibited by the youngsters who frequently crowd Internet cafes. Beyond such concerns, however, is a large community that appears frustrated with the government plans.

Dinh Hoang Minh, 28, said he often plays online games to relax after a long day at work. “A ban on online gaming at night would deny adults [who hardly qualify as ‘addicts’] a valuable entertainment outlet,” the HCMC gamer said. “They should find another way of preventing vulnerable children from becoming addicts.”

Minh added that his friends often play games supplied by companies abroad at home and the new regulations would not have any affect on their activities.

Nguyen Thanh Luan, a 21-yearold Vietnamese student in Paris expressed his concern that he would no longer be able to play online games out of his native country – due to the time difference. “Didn’t they take Vietnamese gamers living abroad into account?”

MINISTRY HALTS THE LICENSING OF ONLINE GAMES

The Ministry of Information and Communications is about to put the hurt on the officially reviled online gaming industry.

On July 27, the central governing body held a closed government meeting discussing a draft of new restrictions on the burgeoning industry, according to Luu Vu Hai, head of the Department of Broadcasting and Electronic Information under the Ministry of Information and Communications.

Subsequent to the meeting, Hai said no new licenses will be issued to companies that operate online game servers inside Vietnam.

Furthermore, the ministry will instruct Internet service providers to cut service to online gaming shops in accordance with local cyber curfew laws.

“Actually, a 2008 decree requires all Internet shops to close after 11 p.m.,” Hai said. “The new measure will make its enforcement more effective.”

He added that the regulations have been in place for a long time. Due to the abundance of Internet cafes and shops, he said, the laws have been impossible to enforce until now. He believes the new measure will make enforcement more effective.

Hai told the Tien Phong newspaper that regulations on cutting Internet access for Internet shops after 11 p.m. will take effect September 1.

He said that the Ministry of Information and Communications and the Ministry of Culture, Sports and Tourism are drafting regulations that will add provisions for the management of off line video games. A task force is currently in the making designed to assess the content of currently licensed online games and new games.

From South Africa to Laos, authorities are cracking down on traders in endangered flesh

Environmental police seize two frozen tigers and one frozen panther from a house in the north-central Nghe An Province’s Dien Chau District on June 22. Conservationists have called for more efforts to stop the trade of endangered species.

Experts are lauding the recent seizure of two frozen tigers and a frozen panther in the north-central province of Nghe An. Still, they say more must be done to stop Vietnamese traffickers plundering the world’s precious fauna.

In an extensive response sent to Thanh Nien Weekly, Douglas Hendrie, technical advisor for Education for Nature-Vietnam (ENV), the country"s first local nongovernmental organization (NGO) to focus on conservation of nature and the environment, said that a more holistic approach is needed to staunch the loss of wildlife.

Vietnamese authorities must collaborate across borders to take down the international networks responsible for the trade, he said. At home, they must make sure local markets are free of the illicit products.

“We are focused too much on the act and too little on the enterprise,” Hendrie said.

Thomas Osborn, coordinator of the wildlife trade monitoring network TRAFFIC’s Greater Mekong Program, said that the environmental police have demonstrated once again their dedication to halting the illegal trade in protected species such as tigers.

“If we hope to save the country’s remaining tigers and other threatened species, it will take ever increasing vigilance from authorities and a strong commitment by the government to support and promote existing wildlife laws.”

As few as 30 wild tigers are estimated to survive in Vietnam.

Despite their protection under Vietnamese and international law, tigers and panthers continue to be illegally hunted and traded across Vietnam and Southeast Asia. On the black market, tiger parts are sold as food, souvenirs and the components of medicine. According to a TRAFFIC statement released on July 2, tiger bone wine remains in high demand throughout the region.

Tiger farming

On June 22, environmental police entered the farm of 53- year-old Le Xuan Thoan in Dien Chau District in the north-central province of Nghe An. VietNamNet news website cited reports from the local Forest Protection Agency that Thoan’s farm housed two rhinoceroses and a host of other wild animals.

Inside his house, they discovered a menagerie of a different kind.

In addition to the trio of frozen feline carcasses, police seized the skeleton of a wild animal believed to be a lion and around five kilograms of wildlife bones.

Senior Lieutenant Colonel Nguyen Viet Nhi of the provincial environmental police said this was the biggest case of frozen wildlife ever to rock the region. He said police will continue to investigate the matter.

RECENT WILDLIFE
SMUGGLING CASES

From April 14 to May 19 in 2010: Seven young bears were seized in three separate cases in Dien Bien, Ha Tinh and Nghe An provinces. All three cases involved smuggling from Laos to Vietnam.

From April 29 to May 28 in 2010: Hai Phong City customs officials busted four smuggling cases. They confiscated around 4.7 tons of elephant tusks in total.

March 2010: Lao Bao Border Guards in the north-central Ha Tinh Province seized the body of a 95-kilogram tiger and a 27- kilogram black panther being transported across the border to be sold in Vietnam.

October 2009: Vietnam Environmental Police seized two frozen tiger carcasses weighing a total of 130kg and arrested five suspects in Hanoi.

(Source: Education for Nature – Vietnam)

Several conservationists have said that Thoan is not the first “wildlife farmer” to be caught in the illegal trade.

ENV has taken aim at the tiger farming.

The NGO recently issued a study that found three out of seven tiger farms across Vietnam are involved in illegal tiger smuggling. Some farm owners opt not to report the number of newborn and dead tigers so they may trade them on the black market, it said.

“Tiger farming in Vietnam should be banned. Only licensed zoos and qualified and strategically planned tiger conservation facilities should be permitted to keep tigers,” ENV’s Douglas Hendrie told Thanh Nien Weekly.

“Most tiger farmers in Vietnam would be better named ‘tiger businessmen’ because they are hardly farmers like the public thinks, but rich businessmen, most of which have purchased their tigers illegally, and nearly all of which are suspected or confirmed to be illegally selling tigers out the back door of their farms, while crying to the public that they are only trying to help save tigers by breeding them for conservation,” he said.

Rhino smuggling

Though tiger numbers in Vietnam are dwindling, rhinos have been forced to the brink of extinction. This April, the carcass of a Javan rhino was found hornless and bullet-ridden in the forest in the Central Highlands Lam Dong Province.

Biologists are still trying to determine whether the corpse represents the last of its kind in Vietnam.

Meanwhile, the thirst for rhino horns prevails.

On March 29, South African authorities seized a Vietnamese national named Xuan Hoang at O.R. Tambo International Airport. Of the seven rhino horns found in Hoang’s possession, several matched the DNA of a rhino that had been poached just a few days earlier.

The horns weighed 16 kilograms, and were valued at approximately US$117,000 according to a press release issued by South Africa-based NGO Endangered Wildlife Trust (EWT).

The South Africans hit the Vietnamese trader hard.

According to the EWT’s press release, Hoang pleaded for mercy and tried to convince the court to levy a fine for his crimes. Magistrate Prince Manyathi responded by saying that fines would no longer suffice as a measure of discouraging future such crimes.

On June 30, the magistrate sentenced Hong to ten years in prison for possessing the horns. “A message needs to be sent to Vietnam,” he said.

Last week, three Vietnamese citizens applied for bail in South Africa. The trio were arrested on the opening night of World Cup 2010 on June 11 with a total of 25 rhino horns, EWT told Thanh Nien Weekly via email. Their court case is due later in July.

“[Hoang’s] sentence will be setting a norm in the courts for future sentencing of similar cases and will hopefully be a deterring factor to the poaching. It is very significant that such a large number of horns get smuggled out of South Africa into Vietnam undetected and it is our aim to see that better detection of such horns becomes the thing of the future,” said Faan Coetzee, Executant of EWT’s Rhino Security Project.

 Marc Moynot, 66, in his HCMC chocolate lab in Tan Binh District

Marc Moynot, 66, stands in the garden of the French General Consulate during a Bastille Day celebration.

The little old man’s soft, gentle face seems to disappear behind his trove of handmade chocolates. They are white and black, milky and dark. Some have the yielding texture of truffles. Others feature firm shells that burst open to yield tropical bonanzas: passion fruit jam, orange peel marmalade and kumquat liqueur.

Cinnamon and other piquant spices swirl through the buttery softness of these little marvels and a je ne sais quoi that is distinctly Vietnamese.

The following day, I decided to trek out to the small workshop he shares with his Vietnamese partner and her two children out in Ho Chi Minh City’s sprawling Tan Binh District.

The intoxicating aroma of 50 kilos of chocolate almost knocks me out as I step through the door of 27 Nguyen Van Mai Street – Moynot’s home and the headquarters of Astair Chocolates private company. The ground floor of the private home features Moynot’s neat laboratory. Shelf after shelf of pots and trays line the walls. The slight man slinks along a long stainless steel table and goes to work.

Moynot’s production team consists solely of his partner, Nguyen Thi Mai Huong, her two children and a maid. Together, the crew is endlessly experimenting with new fillings based on distinctly Vietnamese flavors - white honey from Da Lat, kumquat, mango, peppercorns.

The nose knows

Laurent Severac has made a living scouring Vietnam for thrilling smells. For the past 16 years, the stout Frenchman has tromped through the nation’s forests in search of seeds, leaves and aromatic woods that delight the senses. He makes his livelihood distilling his finds into essential oils and selling them to Western perfume designers.

For this olfactory epicure, Moynot’s chocolate is sui generis.

Last year, Severac ordered around 200 boxes of kumquat chocolates to give to friends and clients for the Lunar New Year. “Marc’s chocolate surprises me most with its purity and simplicity,” Severac said. “I’ve been in Asia for 22 years. Every time I come home, my father asks me to bring him two things: Tiger Balm and Astair chocolates.”

When Severac tries to slip a French-made truffle to his staff in Hanoi, they turn up their noses.

“I prefer chocolates from your friend in Saigon,” they say.

Moynot has agreed to customize chocolates to suit Severac’s thirst for Vietnamese flavors. In his small lab, he’s whipped up fillings derived from ingredients harvested in the mountains of the north: star anise, wild pepper, and wild ginger – to name just a few. “They are simply the best I’ve eaten in my life,” Severac said.

Moynot B.C. (before chocolate)

The master candy man once made his living as an Apline guide, leading ski trips, forays and search parties into the mountains in Savoir, France. He was busiest during the snow-packed four- month winter season. The rest of the year was slow and Moynot got by on taking tourists hiking and camping.

In 1993, he decided to visit Vietnam on a one-month holiday.

After returning to France, he was determined to change his life. In 1995, he moved to HCMC and took a teaching job. He didn’t care much for the work and toyed with the idea of becoming a water sports instructor in Mui Ne. During the transition, Moynot’s friend, a successful HCMC caterer tried his two standby dessert recipes: chocolate mousse and dark chocolate truffles.

His friend was blown away.

“I had these two recipes when I was in France,” Moynot says. “I learned them from a box of chocolate.”

The apprentice

Moynot’s caterer friend helped him import ingredients and supplies from France. Seeking further guidance, Moynot approached Serge Rigaredin, the former head chef of Sofitel Saigon Hotel, to learn more chocolate recipes. (Rigaredin has since returned to France and could not be reached for this article).

The budding chocolatier felt very lucky at the time. “Serge Rigaredin was a very kind, skillful and devoted teacher,” said Moynot. “He also loaned me several good books.”

In 2001, the standard for chocolate was fairly low in southern Vietnam; Moynot worked hard to change that.

Around the same time, he met his partner in Da Lat. Soon after the meeting, the two began making chocolate together. Huong said that it was difficult to enter the field at the time. Step by step, she added, things became easier.

After a few months their chocolates were being served at some of the finest restaurants and hotels in HCMC.

A tiny, happy empire

After nine years, Moynot’s empire is confined solely to the four walls of his little lab.

He has played a role in every aspect of his operation. He sketched out a design for the heated cauldron he uses to mix the chocolate and built the device he uses to cut wrapping paper.

His major problem has been marketing. “When I started I had very little money for marketing but I am conscious that we need a marketing team for our chocolate,” he said. “Many of the hotels in HCMC make their own chocolate these days.”

Moynot still takes orders from luxury hotels, but he’s on the lookout for new customers across Vietnam. Though he sometimes finds himself pining for the quiet of the Alpine forests, he remains a satisfied man in busy HCMC.

“I have a happy family here and I make something that other people like,” he said.

The history of Vietnam-US relations is still crazy (after all these years)

Former US President Bill Clinton is greeted on the street in Hanoi, Vietnam on Wednesday, December 2006

In the days following the liberation of Saigon, Nayan Chanda, the young Saigon correspondent for the Far East Economic Review, thought he had a scoop.

He went to the man he hoped would be his source: the editor in chief of the Vietnamese Communist Party’s Nhan Dan (The People) newspaper, Hoang Tung.

“I said I know that a lot of official US documents were left behind in Saigon, which your government now has in its possession. Would you help me get access to these documents?” Chanda told Thanh Nien Weekly via phone.

Tung’s answer was no.

“I was surprised,” said Chanda. “He [Tung] said: ‘Look, the war is over, there is no reason to throw salt in the American wounds.”

According to Chanda’s history of postwar Indochina Brother Enemy: The War after the War, American banks and oil companies were invited to Hanoi as early as 1976 to explore possibilities of trade and financial relations. “They [the Vietnamese government] wanted to seek everyone’s help. It was this [US-imposed] embargo that prevented western countries from helping Vietnam,” he said in the interview.

This July 11 marks 15 years since the US decided to open its doors and lift the embargo.

Warren Christopher, US Deputy Secretary of State 1977-1981 and Secretary of State 1993-1997 (during normalization) wrote to Thanh Nien Weekly via email:

“In 1995, with the war almost two decades behind us, I believed that the time had come to establish a working relationship with Vietnam, to recast the word in the American consciousness as a place rather than a war.”

What took so long?

After the fall of Saigon, Vietnam was invaded by the Khmer Rouge several times. Vietnamese-led forces then crossed into Cambodia and ousted Pol Pot in 1978, ending a genocide that had killed two million Cambodians.

The US was not pleased. In 1981, US Secretary of State Alexander M. Haig Jr. said the US would not recognize Vietnam because of its actions against Pol Pot and the Khmer Rouge.

Edwin A Martini, author of Invisible Enemies: The American War on Vietnam, 1975-2000 and Associate Professor of History at Western Michigan University, told Thanh Nien Weekly what the US was up to in Cambodia at the time:

“The US was providing all these supplies and materials to what they called the ‘non-communist resistance’ when everybody knew full well that most of those supplies and most of those materials were going to the Khmer Rouge.”

This relationship made normalization seem virtually impossible for the Vietnamese.

“After the war, the US led a coalition of nations to establish a political blockade and economic embargo on Vietnam, preventing Vietnam’s development of regional and international relations,” recalled vice chair of the National Assembly’s Foreign Affairs Committee Ngo Quang Xuan, who served as Vietnamese ambassador to the United Nations during the normalization process.

Martini added that even ostensibly non-political organization like the IMF and World Bank, whom Vietnam had invited into the country post-1975, were under the influence of the US and couldn’t work here under the embargo.

But now, with Vietnam a World Trade Organization member and major trading partner with the US, Xuan considers the large economic gap between the two nations to be their greatest challenge.

However, even given the richness of the friendship, Xuan still felt relations were not yet “comprehensive.”

“I believe that US-Vietnam relations will only be comprehensive once the Agent Orange matter has been resolved.”

Flying high

In a press conference on June 29, US ambassador Michael Michalak announced the winner of the anniversary logo contest: a soaring kite, made up of the two nation’s flags.

Michalak went on to describe the various millions of dollars the US government has invested in Vietnam since the end of the embargo: including $46 million that had been donated since 1989 to help the disabled.

“I feel very strongly that relations between the US and Vietnam have never been stronger,” he said in his closing remarks.

‘Propaganda’ no more

Seated at her District 1 office in confident repose, Madame Ton Nu Thi Ninh, retired diplomat and former vice chair of the National Assembly’s Foreign Affairs Committee, seems comfortable in the light of Vietnam’s bright future. She plans to open a major new private university and is always happy to speak with the press.

Though she holds no grudges, Ninh remembers the harshness of the embargo with great clarity.

The stateswoman told Thanh Nien Weekly that a high-ranking UNICEF official had explained to her that even for a multilateral body, normal relations with the US were an important prerequisite for serious cooperation.

She considers Agent Orange the only problem between the two nations. “But AO will never capsize the boat,” she said.

To illustrate how far the two nations had come, Ninh recalled that years ago, a former US ambassador had dismissed Vietnam’s Agent Orange toll as “propaganda.”

“No US ambassador will use that word anymore,” she said.

Encouragement

Nguyen Duc is perhaps Agent Orange’s most famous victim.

He was joined at the leg, from birth, to his brother Viet – who remained bedridden following their 14-hour separation surgery.

Viet never fully recovered following the operation. He died in 2007.

Now, Duc walks with one leg.

He is married and living in a home made possible by international donations and the salary he earns as a computer technician.

He was just a child when relations normalized. “Over the past 15 years, I have seen remarkable progress in the relations between the two countries,” he said over the phone. He was encouraged by the recent arrival of four US Senators willing to discuss dioxin cleanup and hopes that the Vietnamese government will continue to lean on the US for a resolution to the Agent Orange problem.

“If I had a chance to speak with the US leaders, I would tell them to stop all other wars waged elsewhere in the world,” he said.

Freedom fighter

Nguyen Kim Phuong, 80, fought in the guerilla resistance movement against both the French and Americans. His father was killed by the French and his father-in-law was confined at Con Dao prison, notorious for its infamous “tiger cages.”

Like most Vietnamese, Phuong is forgiving about the war and is happy to see US-Vietnam relations moving forward.

“Since normalization, the lives of our people and our economy have both improved. Our relations are mutually beneficial. The Vietnamese people are grateful to the generous support from the US,” Phuong said.

“But... history cannot be forgotten.”

The authors of a ten-year plan to battle the effects of Agent Orange have witnessed the first trickle of US funding and hope for more

Two children affected by Agent Orange at Peace Village in Ho Chi Minh City’s Tu Du Maternity Hospital, a home for Agent Orange victims. Despite growing declarations of goodwill from high-level US officials, funding for Vietnamese Agent Orange victims remains elusive.

The US House of Representatives has just approved a War Spending Bill which includes US$12 million for dioxin clean-up at Da Nang Airport during this fiscal year. The bill, passed on July 27, also approved an additional $13.3 billion in funding for US Veterans affected by the same chemical. The money symbolizes the first step in funding a $300 million, decade-long effort to remediate the effects of a chemical campaign waged by the US military during the Vietnam War.

“It’s a good start,” Congressman Eni Faleomavaega (D-AS), chairman of the subcommittee on Asia, the Pacific and the Global Environment told Thanh Nien Weekly by phone. “More needs to be done.”

In June, the US-Vietnam Dialogue Group on Agent Orange and Dioxin, an independent consortium of scientists, private donors and policy-makers, issued a comprehensive ten-year action plan for the clean-up of highly toxic “hot spots” and the treatment of disabled people throughout Vietnam.

The group set a $30 million annual target to fund comprehensive restoration efforts - from the re-forestation of defoliated countryside to an improvement in the diagnosis and treatment of cancers. The hope was for the US to take the lead on the funding and spur private donations from American companies doing business in Vietnam.

The recent approval of spending signifies something of a victory for those who have worked hard to increase US funding to Agent Orange victims inside Vietnam - though it is unclear how far the money will travel. The language of the bill approves the $12 million in “assistance for Vietnam to support the remediation of dioxin contamination at the Da Nang Airport, which poses extreme risks to human health and welfare, and related health activities.”

In a release made subsequent to the approval, Susan Hammond, director of the US-based War Legacies Project wrote: “How much, if any, of the funding recently allocated will go towards the ‘related health activities’ is not yet known.” Hammond added that some analysts have estimated that the cost of cleaning up the former base alone will run to $34 million.

The airport has received a great deal of attention of late.

Early this month, a delegation of three US Senators visited the Da Nang Airport, where American soldiers once loaded more than 11 million gallons of the dioxin-laced defoliant to be sprayed all over the country. The senators then toured a local facility designed to assist deformed and disabled victims of the fat-soluble chemical. According to the US-Vietnam Dialogue group’s action plan, the American Institute of Medicine has linked dioxin to “cancers, diabetes, and nerve and heart disease among people directly and indirectly exposed, and to spina bifida among their offspring.”

Because the known carcinogen is slow to break down, it can persist in soil, ponds and streams for generations. One study in Vietnam discovered high concentrations of the chemical in fatty tissue samples taken from fish and livestock living in heavily sprayed areas.

In an interview with a Vietnamese newspaper, Sen. Tom Harkin (D-IA) told reporters he was aiming to raise between $20-30 million for victims here, a sum that represented a tenfold increase of the $3 million annual allotment that the US had set aside in the fiscal years of 2007, 2009 and 2010. During a recent interview, Rep. Faleomavaega (D-AS) referred to the $3 million as “just a pittance.”

In response to a list of questions sent by Thanh Nien Weekly, Sen. Harkin’s staff backed away from an exact figure, and confirmed only that Harkin would “continue to seek funding” for AO victims. “Things can change,” a staffer noted in the response.

Meanwhile, at home, the US is trying to reconcile stark projections for the care of its retired soldiers and their offspring. Early this year, the US office of Veterans Affairs projected a $42.2 billion increase in domestic Agent Orange-related medical claims over the next decade.

Those affected in Vietnam have not been nearly as fortunate.

According to a report prepared last year by Michael Martin of the Congressional Research Service, much of the initial funding was spent on scientific research and did not reach Vietnamese victims. Since then, there has been greater interest in involving Vietnamese organizations in the effort. There is a hope among those involved in the process that future funding will have more of an impact on the day-to-day lives of the disabled and afflicted here.

Martin’s report closed with a suggestion that the United States could stand to benefit from more generous involvement in the Agent Orange remediation efforts: “US military interventions in Afghanistan and Iraq have undermined its global image,” it said; and to restore its image, “the United States should more actively engage in ‘soft power’ exercises, such as humanitarian assistance to Vietnam to address its ‘war legacy’ problems.”

Last week, during a visit aimed at discussing regional security, Secretary of State Hillary Clinton made similarly vague pledges to increase funding for Vietnamese victims.

"We"ve been working with Vietnam for about nine years to try to remedy the effects of Agent Orange,” Clinton told reporters. “I will work to increase our cooperation and make even greater progress together."

A State department spokesman declined to elaborate on any developments.

“We are increasing our funding,” P.J. Crowley told Thanh Nien Weekly. “I don’t know whether it will get to [$30 million per year].”

Phil Sparks, a spokesman for the Agent Orange in Vietnam Information Initiative, a lobbying group, said that a Senate appropriations committee has included $10 million in Vietnamese Agent Orange funding for the 2011 fiscal year. “[The $10 million] will be considered between now and the end of the year,” Sparks said.

He attributes the sudden rise in funding to the publication of the report by the US-Vietnam Dialogue Group.

“They’ve opened the dialogue,” Sparks said.

Despite a lack of firm commitments from private donors, members of the Vietnam-US Dialogue remain optimistic and hopeful.

Charles Bailey can remember arriving in Vietnam as the country liaison for the Ford Foundation in 1997, eager to take on the long-debated problem.

“It was a logjam,” Bailey said. “People [on both sides] were not allowed to talk about it for various reasons.”

Since that time, the Ford foundation has been lauded as one of the principal groups advancing the Agent Orange cause inside Vietnam. Based on figures released in the US-Vietnam Dialogue Group’s plan of action, “the Ford Foundation has provided $11.7 million in grants to develop treatments and support for affected Vietnamese, test and contain contaminated soils, restore landscapes and educate the US public and policymakers on the issue.”

Bailey said he is not concerned that no additional private funding has been committed since the plan’s publication last month: “It’s still early days.”

Bailey did stress the need for “an increased sense of urgency” on the part of policymakers and potential donor corporations.

“There’s a new spirit of hope,” he said of the atmosphere created by the publication of the action plan. “It’s good for people with disabilities; it’s good for US-Vietnam relations. It’s a window of opportunity and, as we know, windows open and they close.”

David Devlin-Foltz, director of the Advocacy Planning and Evaluation Program at the Aspen Institute (a major player in the International Dialogue group), said that he is firmly convinced of the United States’ liability in Vietnam.

On a recent visit to Da Nang Airport, Devlin-Foltz and his colleagues recounted how they had been asked to don disposable shoes to protect themselves from the toxic chemicals that continue to seep up out of the ground.

“We could see and smell how negative the impact was,” Devlin-Foltz said. Not far from where they stood, children continued to play in a pool of water.

Despite the overwhelming evidence, the US has been calling for increased research on the actual effects of the chemical on the Vietnamese population. While it has come to acknowledge 13 conditions and diseases as associated with Agent Orange exposure in its own veterans, it has not done so for those who were on the receiving end of the spraying. Devlin-Foltz has attributed the long delay in US Agent Orange money to a fear of similar claims from war victims all over the world.

“[The refusal to extend US veteran benefits to Vietnamese victims] has largely to do with concern that it could be interpreted as an admission of legal liability that could open [the US government] up to massive damage claims,” he said in a taped press conference.

Devlin-Foltz told Thanh Nien Weekly that he remains patient.

“The action plan calls for activity over a ten year period,” he said. “If it ramps up over time, that’s fine. What we are hoping to do with the [plan] is to make real change in the lives and livelihood of Vietnam.”

For thousands of years, farmers in Vietnam’s rural communes have supplemented their incomes by producing handicrafts in the post harvest season.

These villages tended to specialize in a specific craft item: from fine crockery to baskets to traditional lacquered woodwork. The trade secrets have been passed from generation to generation.

At the moment, these villages are finding it increasingly difficult to survive in the new global economy. Complicated procedures have hindered them from accessing subsidized bank loans and government efforts to expand this cottage industry have proven ineffective. General Secretary of the Vietnam Association of Craft Villages, Luu Duy Dan sat down with Thanh Nien Weekly to explore the bigger picture.

What is happening these days in Vietnam’s handicraft villages?

Vietnam’s handicraft villages have developed in line with Vietnam’s rural economic growth. According to last year’s statistics from the Ministry of Agriculture and Rural Development, Vietnam is home to 2,790 craft villages which produce 200 kinds of products.

However, these craft villages have stayed afloat largely on their own. Cooperation is weak among the small scale operations. They face a whole host of difficulties: limited production spaces, poor production infrastructure, unqualified laborers, unstable material sources, you name it. What’s more, the limited coordination between these production households has prevented some craft villages from securing big contracts.

Kids coming up in these villages often love the traditional careers, but they avoid them due to the low income involved. These children end up leaving their villages to work in cities as construction workers, motorbike taxi drivers, and stevedores.

We are not doing enough to save this crucial aspect of our society. Many of our policies are not in line with the reality these craftsmen face. Local authorities have proven unmindful and irresponsible towards these communities. As a result, some investors flinch at the prospect of investing in these villages.

In a glaring catch-22, craft firms wishing to secure government subsidized loans must employ 50 laborers or more, under current policy. Meanwhile, most of the firms are small and cannot expand production because they don’t qualify for subsidized loans.

If we don’t start paying more attention to them, many handicraft villages will be lost or continue to limp on in this half-dead manner.

What role do craft villages play in the rural economy

Craft villages have made an important contribution to the export economy. But, most importantly, they create jobs in rural areas. In 2007 craft exports accounted for only US$760 million of the country’s total export revenues of $35 billion. On the other hand, craft villages generated jobs for 11 million people, including the disabled, the elderly, and children. As more and more arable land is seized for large development projects, handicraft production is emerging as the only viable endeavor for rural farmers.

A thriving village economy can help reduce social ills, foster close sentiment among villagers, and attract visitors curious about Vietnam’s traditional culture. Many craft villages have become successful tourist destinations.

Under current policies, some craft villages are thriving, while others are stagnating. What are the reasons for this?

It all comes down to production planning. Bat Trang craft village has a pottery market. Its production is organized under existing business law and the small firms operating there have a good understanding of that law. The village market promotes trade, promotes technological advances in production, and has secured stable material sources for its manufacturers. As a result, Bat Trang has been able to net large contracts from straight-laced companies. What’s more, the village’s pottery makers have managed to infiltrate the overseas market, while at the same time attracting domestic buyers with reasonable prices.

After the economic recession (in 2008), some craft villages succeeded in tapping the domestic market, where there’s a large demand for stone, wood, and bronze products that bear cultural significance.

Don’t some craft villages become even poorer after following their traditional career?

That’s a serious problem. Some craft villages are struggling right now. Non Chuong Village is a good example. Each production household in the village makes about two or three hats per day. They cannot possibly survive in the new global economy using their traditional production model. This should be cause for alarm. We still lack many things. We have not yet developed a school that specializes in the training of craftspeople; we only have general policies [on handicraft village development]. Meanwhile, production space in the villages is shrinking. Many villages have no ponds or sewers - a circumstance that poses grave risks to the environment.

So, what should we do to deal with these issues?

The main difficulty is the trajectory of capital and development. We need to have a long-term vision for these villages.

The procedures for accessing bank loans should be simplified, advanced technology should be applied, and we should work towards tapping both the domestic and overseas markets. Current regulations on capital need to be brought in line with reality.

Craft villages also face difficulties in terms of manpower, and material sources. The government has planned to train one million laborers for craft villages between now and 2020. We (the Vietnam Association of Craft Villages) have proposed three training models: training laborers for developing new craft villages, training laborers for production of materials and improving manpower in production areas.

Now, most craftspeople are trained by skilled veterans. The training is not officially organized with the support of local authorities or the government.

We should regard the development of these villages as a rural and social development issue, which will help generate jobs, contribute to poverty reduction and reduce social evils.

Shady Libyan construction firms and crooked labor brokers are allegedly exploiting Vietnamese workers!

Vietnamese workers at a construction site in Tarhoona, Libya. Hundreds of Vietnamese guest workers in the Northern African nation say they are working under harsh conditions for pay that often comes in low and late.

Every day, Dai, a 26-year- old Vietnamese construction worker, wakes up and works 11 hours under the hot Libyan sun.

For the past four months, Dai has endured sandstorms and siroccos – the notoriously hot and dusty winds blowing out of the Sahara desert. What keeps him working is the hope that he will provide a better life for his relatives back home in the northern province of Ninh Binh.

But, here in Libya, there are no guarantees that his hard work will pay off.

Dai and hundreds of Vietnamese workers in the Northern African nation are working under harsh conditions for pay that often comes late. When pay does arrive, workers said, it is lower than the contracted amount. There is no compensation for overtime.

Before arriving in Libya, some of the poor rural men said they had been fleeced by fake labor brokers in Vietnam. Others say they had bribed employees at “legitimate” personnel firms in order to secure positions with “good” companies abroad.

Long road to Libya

Can Van Chien, a 24-year-old carpenter from Hanoi, said he had faced a number of difficulties before being sent to work at a residential construction site in Souq Al Ahad, some 80 kilometers to the south-east of Tripoli.

In 2006, he said, a man posing as a labor broker took him for VND10 million. Chien had been promised a job in the Czech Republic. A year later, he failed to qualify for a mechanic’s position in Egypt with the Vinaconex Company. Chien says that Vinaconex collected application fees from Chien and promised to send him to Algeria to work. After five months of waiting, he was told that his contract in Algeria had been canceled. But there was work in Libya.

Like many other workers, Chien had to take out bank loans to cover broker fees and his plane ticket. Interest on the loans continued to accrue during the months that he waited for his assignment to come through.

Khuong, a construction worker in Souq Al Ahad, said he and seven other workers were sent to Libya last year by Vinaconex after bribing a company representative in Libya VND2 million each. Khuong said he and the others were told that the man could arrange them to work for a Turkish company in Libya that was supposed to be better than others.

Underpaid

After overcoming all odds, the workers have complained that their payment has come in low and late.

In October 2009, late payment prompted 500 Vietnamese workers (80 percent of the STFA Construction Company workforce) to strike for three days. The workers complained that the company had delayed the transfer of funds to their accounts for five consecutive months. They claimed to have lost between US$10 and $100 per transaction.

In another case, 91 Vietnamese employees at the Ahua Company said they had signed contracts to work eight hours a day for $260 a month. They claimed to have been paid just $240 a month in Lybian dinar.

“For four months we worked an extra three hours a day and weren’t paid for it,” a worker said.

At the Hadsa construction site, owned by South-Korean Halin Company, 27 Vietnamese workers reported a similar story.

Bang, a 37-year-old worker from the northern mountainous Son La Province, said he and his co-workers signed contracts for $260 a month but the company only paid 260 Lybian dinar, equaling only $208. What’s more, Libya took a 20 percent tax bite out of their checks.

Desert hope

For workers from the tropical Vietnam, Libya’s desert-like climate proved to be an unforgiving working environment.

The 41-year-old carpenter Minh prepares for his daily work by covering himself tightly, from head to toe, in ninja-like garb. “Everyone dresses like this,” he says. “You will know why when going out. The construction site is just like a pan of boiling fat. Any uncovered body part will be immediately badly burnt by the sun.”

The construction site is surrounded on all sides by endless sand dunes. Without a tree in sight, the whole place heats up quickly under the scorching sun.

Minh said that 300 workers from his village, Huong Ngai in Hanoi’s Thach That District, were sent to work as plumbers in Libya. Nearly half of them developed respiratory diseases soon after arriving due to the dusty working conditions, he said.

Khoai, a 39-year-old construction worker, said he spent his days painting a layer of mazut oil onto formwork to prevent them from sticking to plaster. “The smell of oil in the unbearable heat has made my nose bleed,” he said. “Some pass out due to sunstroke.”

Quyen, a Vietnamese plumber who has been working in Libya since early this year, said he accepted the gig despite regular underpayment in order to support his family.

“I hope my daughter will pass the university entrance exam this month so she won’t have to work hard like her parents,” he said.

Workers build a ship for delivery later this year at a Vinashin shipyard in the central province of Quang Ngai. The government has decided to restructure the state-owned shipbuilder, whose debts totaled more than US$4 billion.

Loss-making shipbuilding giant Vinashin has admitted its massive expansion efforts over the past few years had been overconfident and had led to the “necessary” restructuring it is now undergoing.

“We want to apologize to the Party, the government, the public and everyone who put their faith in Vinashin,” CEO Tran Quang Vu said in a series of reports published by Tien Phong newspaper last weekend. “We have failed to live up to expectations.”

As shipbuilding is a comprehensive industry, comprising many other sectors like steel, machinery and paint, Vinashin had created “an ambitious plan” to build a well-rounded business in order to control quality and cut production costs, said Vu, who took the CEO position at the state-owned company on July 1.

“However, we have to admit that we became overindulgent. Besides shipbuilding, which is our core business, we also invested in stocks, real estate and insurance markets.

“Since our business was based on loans, Vinashin faced difficulties when the economic crisis hit the global market, severing the company from its financial plans.”

Vu said the company regretted being “too confident” about raising funds that never materialized.

“If we could have forecast accurately and took aggressive preemptive measures, we would not be in this situation today.”

Overhaul

The situation that Vinashin finds itself in now is indeed dire. The government said last week that the shipbuilder’s debts totaled more than VND80 trillion (US$4.2 billion).

As a result, it has to be restructured so that it can focus only on its core business, the government said. Projects that are not necessary to the company’s development will be transferred to other state-owned enterprises, like Vietnam Oil and Gas Group (PetroVietnam) and Vietnam National Shipping Lines (Vinalines).

“When we are no longer capable, it’s better to transfer our subsidiaries to other companies that still want to make investments,” Vu said.

“This is a reasonable decision and will benefit the whole economy; much better than us just holding onto them.”

But not everyone thinks that the restructuring plan is a good one. Economist Pham Chi Lan, a former advisor to the government, called it “problematic.”

“Passing parts of the debt on to other companies doesn’t make the debt go away,” she said in an interview published on Nguoi Lao Dong newspaper on Monday. “Moreover, it’s not rational for the government to continue offering loans to Vinashin while the company hasn’t made any change yet to prove their competence. The new capital flows can become new debts in the future.”

“The government has chosen the easiest rescue plan for Vinashin by passing the debt burden to the economy, other businesses and, in the end, tax payers,” she said.

‘Too lenient’

MARKET IMPACTS

Le Trong Nhi, independent financial analyst, talks with Thanh Nien Weekly about how Vinashin’s loss has impacted Vietnam’s bond and equity markets.

“Vinashin’s VND80 trillion, or US$4 billion, in losses has affected Vietnam’s bond and equity markets. State-owned Vinashin issued US$750 million with guarantees by the government. The big loss has downgraded bonds issued by state-owned businesses and the government on the international market. It will also affect bonds to be issued by the sector and other private corporations in the coming time. PetroVietnam, or National Oil and Gas Group, plans to issue bonds on the international market this year. The group was assigned to share the loss with Vinashin as the latter’s affiliates were ordered by the government to merge into the group. The affiliates have also undergone some losses. The group’s bonds will be cited as more “expensive” after the Vinashin “scandal.”

From what I know, some local banks and financial funds invested in projects introduced by Vinashin, or indirectly in those financed by Vinashin. The loss has shaken financial investors such as the banks and funds which hold listed shares in Vietnam. Some international financial funds which operate in Vietnam have faced pressure from shareholders to divest from the market. This combination will create more pressure on the stock market in the country.”

Vinashin was established in 1996 with a charter capital of VND100 billion, according to a government report. The company has made great strides over the years, turning Vietnam into one of the strongest shipbuilders in the world.

But due to the economic downturn, Vinashin faced numerous financial difficulties. Many customers canceled shipbuilding contracts or delayed payments, the government said.

Analysts have said that Vinashin’s failures created a storm of outrage among a public that had been kept almost entirely in the dark about the company’s operations.

People knew almost nothing about the state-owned company, except that it was “a major shipbuilder,” until they found out it was on the verge of bankruptcy and needs a serious overhaul. Many in fact assumed the company was strong.

Analysts said the public had the right to know about the operations of a state-owned company that uses state funds.

Like many state-owned enterprises, the shipbuilder barely disclosed its financial figures, leaving the public oblivious to what was going on, even when it incurred huge losses of billions of dollars.

The issue of ineffective business at Vinashin and other state-owned enterprises has been raised many times but concerned agencies did not pay enough attention to it, Lan said.

“I think both Vinashin and government agencies have to take responsibility. Specific individuals and agencies have to be held accountable because public funds are not charity funds,” she said.

“Censure would be too lenient a penalty for Vinashin. Legal actions should be taken against those accountable for the losses and debts at the company.”

Favor?

“The government should have let inspectors and auditors find out what Vinashin had been doing over the years, particularly as pertains to its debts, losses and excessive investments,” Lan said, noting that the state-owned company had taken advantage of preferential treatment from the government.

Inspections of several large companies, including Vinashin, were delayed last year when the government decided to give the firms more time to recover from the global economic downturn.

Lan said the lack of oversight had allowed Vinashin to always demand large land areas for its projects, which she called “a waste”.

In what other experts have called preferential treatment, the government raised $750 million by selling bonds in 2005 and then lent the proceeds to Vinashin. The company late last year won government approval to sell as much as $600 million of bonds overseas to fund construction of new ships.

The government has already rejected speculations that it showed a preference for Vinashin.

Pham Viet Muon, deputy head of the Government Office, told a press briefing last week that the government has supported the shipbuilding sector as it is one of the key industries for the country’s development.

“However, the government has not favored Vinashin. The company, like any other business, has to operate in accordance with the laws.”

Muon said while Vinashin’s business was affected by the global economic crisis, the company had its own weaknesses in financial management.

“The decision to restructure Vinashin aims at four goals: to maintain and develop the shipbuilding industry; to use resources and infrastructure effectively; to prevent negative impacts on credit institutions; and to ensure jobs for workers,” he said.

“The lesson learned is that the government has to monitor the operations of businesses closely even after they are given autonomy,” he said.

Restructuring a company or an economy is a normal task, Muon said, noting that after Vinashin, other companies will undergo reforms to improve their operations.

BAD REPORT CARD

The authorities have censured Vinashin Chairman Phan Thanh Binh for irresponsibly using state funds and pushing the company towards bankruptcy. According to the Inspection Commission of the Party’s Central Committee, Binh also appointed his family members to key positions in the company against state regulations.

These violations have caused serious consequences, inspectors said, noting that Binh may have acted out of his own self-interest.

The Inspection Commission also said Vinashin was dishonest in financial reporting and had invested aggressively beyond its major business of shipbuilding, causing losses to the government’s budget. According to a report in Tuoi Tre newspaper Wednesday, Binh was appointed CEO of Vinashin in 1996 and two years later he also took the post of the company chairman. Holding the highest authority in the company, Binh made many investment decisions which other managers and board members said they did not know of, the report said.

For instance, Binh decided on his own to buy a ship worth VND1.39 trillion (US$72.8 million) in 2007 and the purchase had not been reported to concerned ministries beforehand, the report said. Binh also appointed his son Pham Binh Minh, 30, to multiple key positions, including chairman of Vinashin Design Company and deputy general director of Vinashin’s Dung Quoc Shipyard, expected to become the largest shipyard in South East Asia.

About ten Vietnamese children continue to drown every day; concerned agencies scramble to address the crisis

A group of children play by the Hoan Kiem Lake in Hanoi. Concerned agencies are seeking to reduce drowning rates among children in Vietnam as about ten children die of drowning every single day of the year on an average.

Two children drowned on July 11 while picking snails with their grandmother on a riverbank in the south-central Khanh Hoa Province.

Nguyen Thi Trang Nha, 14, and her younger sister, Nguyen Thi Anh Huyen, 10, fell into a deep underwater hole along the bank of the Tac River in Nha Trang’s Phuoc Dong Commune.

Neither child could swim.

The sisters’ horrible end is just a piece in a larger tragedy: about ten Vietnamese children die from drowning every single day. It is the leading cause of injury-related deaths in children and adolescents in Vietnam. Official statistics found that over 3,500 children and adolescents, aged 0-19, died from drowning nationwide in 2008.

“[Drowning] accounts for about 50 percent of injury-related mortalities among children and adolescents,” said Jean Dupraz, UNICEF Acting Representative in Vietnam, told a conference in Hanoi on July 16. The conference was aimed at building a communications campaign to battle the epidemic.

“They die close to their homes and close to their playgrounds, often left alone without adult supervision and care,” Dupraz said. “Compared to other countries in the region, Vietnam has the highest fatal drowning rate. This reflects the extent of the problem in Vietnam, which requires urgent and strong action from all of us.”

“Evidence has shown that creating a safe environment for children can help to save them from drowning,” he said.

Seeking solutions

At the conference, the leaders of 15 provinces where the problem is most acute signed a commitment to reducing child drowning cases.

The leaders pledged to raise community awareness about the urgent demand to prevent drowning deaths and call for the urgent action from families, community and local leaders to address the issue. In the meantime, representatives from the central government pledged their full support.

“The Ministry of Labor, War Invalids and Social Affairs will cooperate with other ministries and mass organizations to guide and monitor the implementation of child drowning prevention activities in the 15 provinces with the highest rate of child drowning” said Dam Huu Dac, Deputy Minister of Labor, War Invalids and Social Affairs.

“It’s important that all children and adolescents live in safe and secure environments”, he added.

Dupraz said UNICEF would continue to aid Vietnam in the prevention of child drowning.

“We will continue to work closely with the government in its efforts to protect children from injury in general and from drowning in particular”, he said.

Over the last couple of years UNICEF has continued to play its part by supporting the government of Vietnam in its efforts. Recently, they helped fund programs to teach children how to swim and perform first-aid.

The Ministry of Labor, War Invalids and Social Affairs reported that other countries have succeeded in reducing drowning casualties by building fences, covering water jars, and stressing child supervision.

Positive examples are found in cities and provinces such as Da Nang, An Giang, Dong Thap, where due to leadership commitment, regular swimming classes are offered to children in addition to other prevention activities. The measures have helped to dramatically reduce the number of child drowning deaths in those provinces in recent years, the ministry said.