|Frontier's "Invest Mongolia Tokyo 2018"||Frontier Securities||Tokyo Japan|
|"Open to Export" ICC WTO International business award||ICC WTO||London|
On September 25, 2017, 106,408 shares of 30 firms listed as Tier I, II, and III were traded. 15 firms’ shares increased, 11 decreased in price and 4 remained unchanged. Juulchin Dutry Free JSC was the top performer, increasing 11.10 percent, whereas Ar Bayankhangai JSC was the worst performer, decreasing 12.50 percent.
On the secondary market for government bonds, 3,471 bonds with a value of MNT 364,858,570 were traded. 17,916 bonds worth MNT 1,766,516,700 were block-traded and 951 corporate bonds worth MNT 95,090,490 were traded on the secondary market, as well.
The MSE ALL Index rose 1.35 percent to stand at 1064.48. The MSE market cap stands at MNT 2,075,609,340,330.
TOKYO -- Samsung has overtaken Toyota as Asia's most valuable brand for the first time, according to a global ranking released on Monday by U.S. consultancy Interbrand.
Its Best Global Brands 2017 list features 11 from Asia -- the same number as last year. But a stronger showing by South Korean brands over their Japanese rivals illustrates an ongoing shift in the marketplace, where more dynamic Asian companies are nudging aside the once-dominant Japan Inc.
The survey also underscores the limited brand power of Chinese companies, despite their massive scale and market capitalization. For the most part, their reach is still confined to their home market.
Samsung improved to sixth place, from seventh -- no small feat considering recent setbacks, including the bribery conviction of the group's heir, Samsung Electronics Vice Chairman Lee Jae-yong. The company was also forced to scrap its Galaxy Note 7 smartphone last October after just two months on the market, due to fire-prone batteries.
"Samsung has made it a policy of strengthening its brand in the past 10 years," Interbrand Japan's chief executive Masahito Namiki said in an interview. "The policy remains unchanged, despite the turmoil at the top, helping to limit the fallout from the scandals on its brand image."
Samsung has two powerful lines of business -- flash memory and smartphones -- but still has a ways to go to catch up with archrival Apple, the world's No. 1 brand. "Everyone knows what Apple is," Namiki said. "That's not always the case with Samsung."
Toyota saw its ranking drop to seventh, just one year after it became the first Asian company to crack the top five. The Japanese automaker suffered a sales decline in the key U.S. market. At the same time, it faces rising costs for the development of self-driving cars -- a field in which U.S. technology companies like Google and Tesla have the lead.
"The question facing the auto industry is whether it will be able to maintain growth in the face of new competition from other industries," Namiki said.
Apple, Google, everyone else
Brand power, Interbrand contends, is crucial for success in business. It helps recruit and retain talent, while allowing companies to charge premium prices. The extra money earned, in turn, can be invested in new products to further strengthen brands.
"We're the generation that's been abandoned since the end of communism."
Like many other former gold and jade hunters in Mongolia, Lagva is struggling to make a living since mines across the country have been shut down.
Lagva is sitting on a treasure - owning jade stones worth between $14,000 and $19,000 - but he has yet to receive permission to sell the precious stones.
While waiting for the government's permission, Lagva scrapes a living, renting his small, 35-year-old truck to nomadic herdsmen.
Mongolia's vast steppe is home to one of the world's last surviving nomadic cultures. Herding is a way of life for over a third of Mongolians, with many of the nomads living in often-inhospitable regions.
The Darkhad (craftsmen) nomads are some of the world's most self-sufficient people, leading a gruelling life in the north of Mongolia. The herds live off the land, and the nomads live off the milk and meat of their animals.
Their life revolves around finding pasture for the herds, and every spring, in the region of Lake Khovsgol, Minjbayar and his family take almost 250 animals - sheep, goats, yaks - and all their worldly goods on a risky journey.
During the so-called transhumance, entire families play a game of chance with their animals and their health, as they cross iced rivers and travel on narrow roads at an altitude of 2,000 metres. In the icy mountains, the temperature can reach -40C and there is always the threat of wolves attacking the herd.
"The transhumance will take four or five days. It's long and strenuous, but we can't stay here. There's no snow this year. I think it's because of climate change. There's less water, and there will be a drought later on. So there'll be less grass. Since that's what the animals eat, they could be at risk," explains 20-year-old Aza.
The way off life for nomadic herdsmen on the plains of Mongolia has changed little in centuries and life has always been challenging.
"My father was a herdsman", says 60-year-old Minjbayar. "In those days he led his herds towards the USSR. I went along on these journeys from a very young age. Sometimes there were as many as 1,400 animals to move along. There was some really bad weather. We'd sometimes lose our cattle, and they would die of cold or because of the storms."
But while Minjbayar and his familiy continue to brave the transhumance and Mongolia's extreme weather each year, other nomads have taken a different route in their attempt to find a better life for themselves, nearer to the city.
In the past three decades, around 600,000 former herders have migrated to the Mongolian capital Ulaanbaatar - mainly due to the end of Soviet state support and climate change.
Increasingly dry summers have made it harder to grow and harvest grass for the herds, so the animals cannot put on enough weight to survive the winter cold.
More than one million animals died during last year's dzud, a Mongolian term for a severe winter. The 2009-2010 dzud killed about eight million animals in Mongolia, putting the livelihoods of thousands of nomads under threat as well as harming the country's food supply.
If their livestock die during the harsh winters, herders are often forced to move to the city to survive. Many families who live in remote areas also head to the capital in search of better education for their children.
"I've never been to Ulaanbaatar", says Aza, "But I'd like to go to see what a city's like. I'll definitely send my child there to study. I don't want him to be a herdsman. It's too tough."
In response to the deteriorating situation, Mongolia's National Emergency Management Agency partnered with the UN development programme and NGOs to support Mongolia's struggling nomads.
In January 2017, the UN announced that it has allocated $1.1m to help herders access essential items such as food, fuel and basic medications by providing cash grants as well as animal feed packages and veterinary first aid kits to minimise the loss of livestock as their main source of food and income.
Source: Al Jazeera...
[THE INVESTOR] E-mart, the nation’s No. 1 discount supermarket chain owned by Shinsegae Group, said on Sept. 25 it is opening its second store in Mongolia this week as part of efforts to expand its presence in Asia amid growing uncertainties in China.
The firm is renting 1,540 square-meter space at Solo Mall in west of Ulaanbaatar in partnership with local retail giant Altai Group. Its first Mongolia store, also a collaboration with Altai, has seen stunning growth, with more than double the original sales target, since its opening in July last year.
The new Mongolian outlet comes after E-mart sold off five of its six remaining stores in China to Thailand’s retail giant Charoen Pokphand Group for its possible exit from the market where its financial losses over the past four years have exceeded 150 billion won (US$132.63 million).
The company also plans to further expand its business by opening more supermarket stores in other Southeast Asian countries like Vietnam. Its first store in Vietnam reported 41.9 billion won in sales last year.
During the week spanning September 18 to September 22, 2017, MNT 18,152,438,161.10 worth of securities were traded through 5 trading sessions on the MSE. The daily average MNT volume was 3.6 billion.
1. STOCK TRADING:
A total of 57 companies’ 1,381,748 shares worth MNT 623,527,947.10 were traded.
2. GOVERNMENT SECURITIES TRADING:
On the primary market of Government securities, 184,439 units of securities were traded for MNT 16,889,005,804 in one trading session.
In the secondary market trading of Government securities, 12,474 units of securities were traded for MNT 1,239,808,820 through 12 trading sessions
On the secondary market for corporate bonds trading, 551 bonds were traded for MNT 55,100,000 through 3 trading sessions.
As of September 22th, 2017, the total market capitalization of securities listed on the MSE was MNT 2,036,153,985,176. The MSE ALL index rose by 2.21% and stood at 1050.33 units.
Chinese FM: China willing to develop healthy and stable relations with good neighborliness and friendliness with Mongolia www.akipress.com
AKIPRESS.COM - Chinese Foreign Minister Wang Yi met with his Mongolian counterpart Tsend Munkh-Orgil September 20 on the sidelines of the UN General Assembly in New York, the Chinese foreign ministry said Monday.
Wang Yi expressed that China and Mongolia are friendly neighboring countries connecting by rivers and mountains. China has always treated Mongolia with goodwill and sincerity, and is willing to develop healthy and stable relations with good neighborliness and friendliness with Mongolia. Both countries enjoy high complementation in economic structure and huge cooperative potential.
China is pleased to see Mongolia to get on China's economic express train to achieve development and prosperity at an early date. China hopes the Mongolian side to earnestly respect core interests of China, properly handle sensitive issues concerning China, and create a favorable social environment and public foundation for the development of bilateral relations.
Tsend Munkh-Orgil said that whatever happens to the domestic political situation, Mongolia will always take the development of friendly relations with China as its diplomatic priority, and this basic policy does not and will remain unchanged. Mongolia supports the "Belt and Road" initiative proposed by China, and is willing to deepen cooperation with the Chinese side under this framework.
Some of the unfriendly voices in Mongolia do not represent the mainstream Mongolian public opinion. Mongolia is ready to properly handle relevant sensitive issues, and create a sound atmosphere for the development of bilateral relations through enhancing people-to-people and cultural exchanges, media cooperation and other methods.
FM Ts.Munkh-Orgil: We strongly oppose the DPRK`s acts of destabilizing regional security www.gogo.mn
ULAANBAATAR (GoGo Mongolia) - We deliver you the highlights of a statement by Foreign Minister of Mongolia Ts.Munkh-Ogril at the United Nations General Assembly in New York.
Among global development priorities, the special needs of landlocked developing countries come front and centre for Mongolia.
Enhancing connectivity is an urgent priority that all landlocked developing economies share.
In order to improve market access to main trading partners, Mongolia is studying the feasibility of free trade agreements with the Eurasian Economic Union, the People`s Republic of China and the Republic of Korea. An Economic Partnership Agreement is already in place with Japan.
Mongolia is keen to further work together with our two neighbors and other partners to improve rail, road, air, energy networks and pipeline infrastructure and increase access to the sea.
Mongolia`s State Policy on Energy, adopted in 2015, set an ambitious goal to produce 30 percent of its energy demand from renewable resources by 2030. Our solar and wind resources are estimated at 7000 TW and 5000 TW respectively.
We are working with our partners to implement the Gobi Tech and the Asian Super Grid projects to supply renewable energy for the Northeast Asia.
Timely and effective implementation of the sustainable development agenda cannot be achieved without peace and security. However, peace is being threatened on a number of fronts.
Mongolia is deeply concerned with the escalating tension in Northeast Asia. We strongly oppose the DPRK`s acts of destabilizing regional security by conducting repeated nuclear tests and ballistic missile launches in defiance of the international community`s will and in violation of the relevant resolutions of the UN Security Council. As a country with 25-year-old nuclear-weapon-free zone status, Mongolia reiterates its principled position that the Korean Peninsula must be nuclear-weapon-free. We urge the Parties concerned to refrain from actions that could heighten the tension in Northeast Asia and resolve the issue through peaceful means.
It is beyond doubt that the only way to resolve the Korean Peninsula`s nuclear issue is through dialogue. One of the avenues of dialogue could be the Ulaanbaatar dialogue on Northeast Asian Security initiated by Mongolia in 2013. We organized its 4th International Conference in UIaanbaatar last June. Compared to previous three conferences held at Track 2 level, this year`s we held it at Track 1.5 Lebel. The dialogue discusses not only security issues in Northeast Asia but also potential projects in the energy and environmental sectors. As such, the Ulaanbaatar Dialogue is an open dialogue mechanism that ensures the participation of all countries in Northeast Asia.
TOKYO/YANGON -- In a tiny village in central Myanmar, about a two-hour drive from the nation's second largest city Mandalay, electricity does not arrive through power lines. It comes from home generators or solar panels.
But that does not stop the locals from charging their smartphones.
"How many of you have a mobile phone?" the Nikkei Asian Review asked a gathering of several dozen residents, and almost everyone's hand shot up.
The spread of mobile telecommunications across emerging Asia is being spearheaded by foreign players, which offer high-speed 4G networks, music, mobile payments and other new services. The result is enormous growth in the market, as well as a rapid shift in both marketing mindset and lifestyles in such countries.
For Myanmar, the change came in 2014 when Norway's Tenor and Ooredoo of Qatar entered the market which had been dominated by state-owned Myanmar Posts and Telecommunications. The scope of the dramatic change can be measured in SIM card prices. What used to cost several hundred dollars now go for a little over $1 apiece.
As a countermeasure, the MPT in 2014 partnered with Japanese wireless carrier KDDI and trading house Sumitomo Corp. to establish a joint venture.
The estimated market share in 2016 is 47% for MPT, the largest, followed by 37% for Telenor and 16% for Ooredoo.
The mobile penetration rate in Myanmar has jumped from 3% just five years ago to 89% in 2016.
Foreign companies' strength is not limited to their financial power and technologies.
By importing the sales know-how they have acquired over the years, they have spurred demand in the country.
According to Yoshiaki Benino, chief operating officer of joint venture among MPT, KDDI, and Sumitomo, their partnership has "drastically changed the local staff's attitudes."
Before they joined hands, MPT did not even have sales officials. In May this year, when the nationwide 4G mobile phone service launched, technical staff members and others who have moved to sales positions traveled from village to village by bike.
Benino said there has been a shift from their passive attitude that depends solely on the customer's willingness to buy.
Benino said they have started thinking seriously about the most effective ways to sell their products.
Chinese automakers are gaining an increasingly larger market share of their home market, but industry insiders said they should not be overly optimistic as there is still a long way to go.
More than 6.38 million China-branded passenger cars were sold from January to August, 4.8 percent growth year-on-year. That's more than double the growth rate of the passenger car sector as a whole, according to statistics from the China Association of Automobile Manufacturers.
Chinese brands seized 43.2 percent of the market share in the period, far higher than the runner-up, as German carmakers' products accounted for 20.5 percent of the market.
Yang Xueliang, vice-president of Geely Group, believes the upward trend will go further.
"If the momentum continues, Chinese brands are likely to have a 50 percent or even 60 percent market share in the long run," Yang said at a Chinese brands-themed automotive forum in Shandong province last week.
Geely is one of the fastest-growing Chinese automakers in China. In the first eight months this year, it sold 718,000 new cars, surging 88 percent year-on-year.
Geely now owns Swedish brand Volvo and Malaysia's Proton, and has unveiled its own brand Lynk & Co, aiming to compete with international brands such as GM and Volkswagen.
At Changan Automobile, which has partnerships with Ford, Suzuki and Mazda, the international brand cars accounted for roughly 45 percent of the group's total sales last year, according to Li Wei, its vice-president.
"Our Changan-branded cars took 55 percent. Our own brand is rising within the group, so we feel that Chinese brands as a whole are full of hope too."
Wang Xia, chairman of the Automotive Industry Committee of the China Council for the Promotion of International Trade, said Chinese brands have seized the opportunity and realized rapid growth, but they should not be complacent about what they have achieved. "Instead, they should prepare for a tug of war with international brands over a long period of time," he said.
Wang was echoed by Lu Qun, chairman of Qiantu Motor, an electric carmaker. Lu said he believes that Chinese brands could even raise their market share to 50 percent, but there is a long way to go before really getting established.
"How do we make our brands more attractive? How do we offer customers good value for money? And how do we offer them better experiences? We need to find out answers to those questions," Lu said.
Zhang Xiyong, general manager of BAIC Group, said Chinese carmakers still lag behind international big names in the industry in terms of quality and other competitive factors.
He said there were six automotive companies in the list of the 2016 BrandZ Top 100 Most Valuable Global Brands but none of them were Chinese.
Zhang suggested that Chinese companies should try to go global if they want to become global brands.
China sold 800,000 cars overseas last year, a meager 3 percent of what it sold in the domestic market.
As the Belt and Road Initiative has become widely accepted, there is huge potential overseas, said Zhang.
However, he suggested that in China, Chinese automakers should shift their focus from large cities to smaller ones, as people there are becoming major consumer groups.
Xiang Xingchu, general manager of JAC Motors, said Chinese companies should each create their own individual features to appeal to their target customers.
"It is not possible to sell your cars to everyone. Find your target customers and they will be large enough," said Xiang.
"Some say their cars are sporty, some say they excel in safety and some others say they offer premium cars. But aren't premium cars safe? Yes they are. But as a company you have to map out a different route of development."
Xiang said now is one of the best times for Chinese brands, as customers are becoming more reasonable, with growing confidence in Chinese brands.
In addition, the authorities are promulgating stricter requirements in fuel consumption and quality, which are forcing Chinese carmakers to do a better job, he said.
Fu Yuwu, chief of the Society of Automotive Engineers of China, believes new energy cars and connected cars could prove to be sectors where Chinese carmakers can gain an upper hand.
"We have the absolute advantage in smart and connected cars. China is strongly addicted to the internet, even more so than the United States. So I think that if we can make breakthroughs in electric cars as well as smart and connected cars, and if we can introduce business model innovations, then we will have the chance of creating miracles for the Chinese car industry."...
LONDON, Sept 22 (Reuters) – Kazakhstan-focused copper miner Central Asia Metals said it would buy Bermuda-based Lynx Resources Ltd in a $402.5 million reverse-takeover deal from its owners.
The acquisition would be funded by a mix of debt and cash, Central Asian Metals said on Friday as it announced a 39 percent jump in full-year core profit.
Lynx Resources, which mines zinc and lead, is owned by Bermuda-based fund Orion Co-Investments III L.P. and Swiss PE firm Fusion Capital AG.
CEO Nick Clarke said the main reasons for the purchase was the low cash costs and that zinc and lead prices were forecast to remain strong in the short to medium term.
"All that you can control is the costs, so when you know that the costs are below where metal prices could go, you are going to stay in profit," Clarke said.
The deal is subject to regulatory approval in Macedonia, among others, and Central Asia Metals expects to have control of the mine from Oct. 1, the company said.
The deal is expected to be both earnings- and cash-flow-per-share-accretive in the first full year, the company said.
Last year, Lynx mine produced 22,515 tonnes of zinc concentrate and 28,955 tonnes of lead concentrate, the statement said.
Clarke said his team had considered about 150 projects over the last three years before finding Lynx mine earlier this year.
The company also said it would change its dividend policy from paying 20 percent of revenue to a payout target range of 30 to 50 percent of free cash flow.
Central Asia Metals raised 137.4 million pounds ($185.71 million) via a share placement on Friday.
Prices of zinc are up about 18 percent while lead have added 23 percent.