Vinachem attends a networking program with the Cape Town business community

Expanding markets, diversifying supply chains

Amid the restructuring of global supply chains, market expansion for industrial enterprises is no longer limited to trade promotion but is moving toward building a long-term cooperative ecosystem, from input raw materials to product distribution networks. Vinachem’s working visit to South Africa is seen as a step in this direction.

South Africa is the most developed industrial economy in Africa and a regional hub for mining, chemicals, and logistics. As a gateway to many African economies, it is considered a strategic market for enterprises seeking to expand in a high-potential region that still has significant room for development.

During the working program, Vinachem’s delegation, led by Chairman of the Member Council Phung Quang Hiep, worked with Kropz, a phosphate mining company owning the Elandsfontein mine in South Africa and the Hinda project in Congo. Both sides focused on exchanging information on ore quality, mining capacity, logistics solutions, and long-term supply capacity for Vinachem’s fertilizer plants.

Proactively approaching large-scale raw material suppliers shows that Vinachem is gradually diversifying its supply sources, reducing dependence on traditional markets, and improving its ability to respond to fluctuations in the global raw material market.

Notably, the delegation included many member companies such as Lam Thao Fertilizers and Chemicals JSC, DAP - Vinachem, Southern Fertilizer JSC, Vietnam Apatite CO., Ltd, LIX, and Casumina. This ecosystem-based approach helps each unit directly connect with partners suited to its production field, from fertilizers and basic chemicals to technical rubber and consumer chemicals.

Building long-term cooperation

In parallel with seeking supply sources, Vinachem also strengthened market connectivity through several promotion activities in Cape Town and Johannesburg.

In Cape Town, the delegation took part in a business matching program organized by Accelerate Cape Town, with the participation of local authorities and enterprises in chemicals, agricultural supplies, logistics, packaging, processing, and international trade.

Instead of introducing each product individually, Vinachem presented the overall capabilities of its corporate ecosystem, covering fertilizers, basic chemicals, consumer chemicals, batteries, and technical rubber.

Following that, the Vietnam-South Africa Business Matching Forum in Johannesburg, co-organized by the Embassy of Vietnam in South Africa and Vinachem, attracted businesses and representatives from the South African Chamber of Commerce and Industry (SACCI) and the Chemical and Allied Industries’ Association (CAIA). The B2B matching sessions after the forum allowed enterprises from both countries to directly exchange views on trade cooperation, investment, and market development opportunities.

A highlight of the working visit was the signing of a Memorandum of Understanding between Vinachem and CAIA. The agreement aims to establish a long-term cooperation mechanism in chemicals, fertilizers, rubber, batteries, logistics, chemical safety standards, technology transfer, and sustainable development.

Connecting with the organization representing the South African chemical industry not only helps enterprises from both sides increase trade but also opens opportunities for deeper cooperation in technology, production standards, and market development in Africa. Vinachem is also studying the possibility of establishing a presence hub in South Africa to support logistics, connect partners, and expand market reach.