Despite many challenges, Binh Phuoc provincial government has persistently worked to create a favorable business climate. This proactive approach has enabled the province to successfully attract significant foreign direct investment (FDI), including major players such as Hayat Kimya, a leading Turkish fast-moving consumer goods company. Mr. Cetin Murat, General Director of Hayat Kimya Vietnam, discussed these developments in an interview with the Vietnam Business Forum.
Prime Minister Pham Minh Chinh met with the leaders of Hayat Holding Group during his official visit to Turkey, November 2023
What have been the key achievements of Hayat Kimya Vietnam for more than three years of opening a factory and operating in Vietnam?
In 2021, we set our route to South Asia and made our first investment in Vietnam, with US$100 million capital. Since opening our factory and starting operations in Vietnam, Hayat Vietnam has accomplished several significant milestones. One of our major accomplishments has been establishing a strong presence in the Vietnamese market with our Molfix and Molped brands. This success highlights our commitment to delivering high-quality and innovative products that meet local needs. As a global FMCG company, we have responded to local market needs and continuously adapted our strategies to align with local preferences and trends. Since the first day we entered the Vietnamese market, we have been taking the pulse of mothers and working on new R&D projects that will make their babies feel more comfortable. In 2023, we presented our sanitary pad brand Molped to our female consumers in Vietnam with the same approach. Our focus on consumer satisfaction and the quality of our products has allowed us to secure an important position in the market and solidify our status as a trusted brand in Vietnam.
Moreover, our operation in Vietnam has created numerous job opportunities, contributing positively to the local economy. We are proud to support the community by providing stable employment and fostering local talent. Additionally, our investment in technology and exports has strengthened our footprint in Southeast Asia. Vietnam is our golden gate as our Asean hub. From the golden gate of Vietnam, we started exporting more than 50% our capacity to Thailand, Malaysia and to the other markets in the region via our locally established companies. This is a reflection of our dedication to supporting the Vietnamese economy and enhancing our regional presence.
We are very pleased with the progress and opportunities in this market. Our investment signifies not only our commitment but also our eagerness to actively contribute to Vietnam's economic development, fostering mutual growth and prosperity. We intend to reinvest what we generate from Vietnam back into Vietnam, in order to become one of the key players of the market in every category we exist.
Hayat Kimya is a major FDI project in Binh Phuoc province, featuring advanced technology and environmentally friendly practices. What were the key reasons for selecting Binh Phuoc as the investment location?
We chose Binh Phuoc as the location for our investment for several strategic reasons. Firstly, Binh Phuoc offers a favorable investment climate with attractive incentives for foreign direct investment (FDI). The local government's proactive approach in supporting and facilitating FDI projects was a key factor in our decision-making process. Their commitment to creating a business-friendly environment has been evident in their policies and support mechanisms.
Secondly, Binh Phuoc's strategic geographical position and well-developed infrastructure provide significant logistical advantages for our operations. The province's proximity to major markets in Southeast Asia allows us to efficiently distribute our products both domestically and regionally.
Thirdly, the availability of a skilled and dynamic workforce in Binh Phuoc aligns with our needs for high-tech manufacturing. The local talent pool is capable and eager, which enables us to maintain high standards of quality and efficiency in our production processes.
Additionally, we were impressed by the province's commitment to sustainable development. Binh Phuoc's focus on environmental protection and sustainable practices resonates with our own values and goals. Our investment in modern, safe, and environment-friendly management procedures aligns well with the province's vision for sustainable industrial growth.
Overall, Binh Phuoc offers a combination of logistical advantages, supportive government policies, skilled workforce, and a commitment to sustainability, making it an ideal location for our investment. We are confident that our presence in Binh Phuoc will contribute positively to the local economy and community while enabling us to achieve our strategic objectives.
Prime Minister Pham Minh Chinh paid a working visit to the Hayat Kimya Vietnam factory, February 2022
Facing fierce competition from long-standing competitors, what solutions does Hayat Kimya envision?
During its journey, Hayat has ventured into new geographic markets, always striving to make a difference through innovation, while closely monitoring local conditions and global trends. As a result of this innovative approach, today we stand in Vietnam with our Molfix and Molped brands.
At Hayat, we believe that our strength comes from understanding the unique needs of every market we operate in. Our experience in many countries has shown us that success is not only about entering a new market, but also about being part of it by offering products that meet local needs. We enter every market by listening, understanding, and responding to the needs of our consumers with innovative products. Even though we are a global company, we always adapt to the local market to meet its specific needs.
Our strategy in Vietnam follows the same approach. Our goal is not only to succeed as a business but also to provide benefits for generations by offering high-quality and innovative products. We invest heavily in R&D to stay ahead of the competition and continue offering new products that meet changing consumer needs. With our Molfix and Molped brands, we have already built a strong presence in Vietnam, and we are committed to supporting the local economy through employment opportunities, export capacity and technology transfer. We are proud to export our "Made in Vietnam" products and increase our dominance in the Southeast Asia region.
In summary, our success is driven by innovation, quality and consumer satisfaction.
We are also committed to sustainability by running environmentally conscious operations, which sets us apart and allows us to continue our success in Vietnam.
By continuing these efforts, we aim not just to be a regular company in the market but to be a reliable companion for consumers, providing valuable solutions that improve their lives.
Since arriving in Binh Phuoc province, Hayat Kimya has received strong support from the provincial government and local community. What are your thoughts on this collaboration, and how can the investment environment be further improved?
We have received tremendous support and cooperation from the Binh Phuoc Provincial Government and the local people. This collaboration has been a key factor in our achievements. The government provided investor-friendly policies and incentives that facilitated our operations and growth.
We believe that ongoing dialogue and collaboration between the public and private sectors are essential. To further improve the investment environment, simplifying bureaucratic processes, enhancing infrastructure investments, and developing local workforce skills would be beneficial. Such steps would make Binh Phuoc an even more attractive destination for investors.
Thank you very much!
By Ngo Khuyen, Vietnam Business Forum
Vietnamese
October 2024
Hanoi