Last updated: Thursday, March 23, 2017
PetroVietnam Gas Trading Company: Affirming Source Supply Leadership in Vietnam LPG MarketPosted: Friday, December 30, 2016
In 2016, PetroVietnam Gas Trading Company achieved good performances thanks to stable input and output supplies in both domestic and international markets, positive economic recovery and growth, low LPG price, and rising demand. However, the company also faced with numerous hurdles because global LPG price was 25 per cent lower than the expected price set in 2016 and dropped 21 per cent over 2015, forcing the company to revise down selling prices. Other woes included abundant gas supply, oil price slump, global economic volatility, and fiercer competition owing to the advent of many new competitors in the domestic and international markets.
But, with great efforts of all the staff, the company overcame difficulties to achieve encouraging results. Its sales volume grossed 1.3 million tonnes in the year, 29 per cent higher than the plan (completed three months ahead of schedule) and operating profit was estimated to be 181 per cent higher than the plan (completed six months ahead of schedule). Its domestic LPG market share was 50 per cent, making the company a top gas supplier in Southeast Asia.
To boost its performance in 2016, the company improved customer care policies and successfully hosted customer conferences in its places of business while maintaining and expanding relations with domestic and foreign LPG suppliers. The firm also thoroughly exercised thrift practices and waste combat. These works enabled it to save up to VND45.6 billion, 21 per cent higher than the full-year plan.
In addition to efforts to achieve the highest business results, the concern always attaches much importance to taking care of spiritual and material life of its employees to reassure them to devote to the company. In addition to applying mandatory policies, the company regularly organises training programmes to enhance their professional qualifications and expertise. Last year, it organised training for 103 employees. Furthermore, the company’s employees are also engaged in cultural, sports and mass activities to enrich their spiritual life, build up unity and cohesion - an important element to the company’s stability and development.
In 2017, the company anticipates that the LPG supply will continue to be abundant, particularly due to incentives from free trade agreements (FTAs) to which Vietnam has signed; LPG demand will continue to be stable; global LPG prices are expected to stay low and more strong competitors appear on the market.
In that context, the firm targets to sell all LPG products supplied by Dinh Co plant, expand the market share, particularly in the northern region, maintain the market share in traditional markets, seek new export markets, and prepare to take on Ca Mau LPG plant.
To achieve these objectives, PetroVietnam Gas Trading Company has actively worked out business plans and solutions to mitigate adverse effects of external factors from the market, grasp opportunities and enhance operational capacity.
Major solutions included enhancing the competency of market information analysts and price forecast experts; strengthening marketing and customer care; exercising thrift practice and boosting debt management; maintaining and promoting safety, quality and environmental systems; and applying HR management system among others to optimise efficiency in every aspect of operations, fulfil assigned tasks and consolidate its leadership in gas source supply in Vietnam.