Local SMEs slow to respond to free trade pacts
Employees work at an apparel firm. Vietnamese firms, particularly small and medium-sized ones, are making no preparations to reap the full benefits of EVFTA - PHOTO: VNA
Vietnam has signed and executed multiple FTAs, creating opportunities for the local economy, Ngo Chung Khanh, deputy head of the Multilateral Trade Policy Department at the Ministry of Industry and Trade, told a conference titled “Identifying trade and investment opportunities in the context of EVFTA,” on July 10 in Hanoi.
He noted that the ministry had voiced concern over the lack of preparation among local firms on the threshold of these trade pacts, including the EVFTA.
Many firms have paid little attention to the latest trade pact. Since the EVFTA was announced to the public, the trade ministry received only two inquiries from companies regarding tariff codes and country of origin regulations. These questions were mainly raised by foreign-invested firms.
Addressing the event, a representative of the Vietnam Chamber of Commerce and Industry (VCCI) pointed out that Vietnamese firms were lax in updating their knowledge bases. It is rumored that VCCI had insisted enterprises join its training courses, rather than inviting them to do so, as the firms had shown no interest in these programs.
Even on being notified of helpful training sessions on ways to export acipensers to Thailand, both local authorities and firms expressed indifference, the VCCI representative said.
Earlier, the prime minister issued a decision to execute the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), asking ministries and local authorities to work out specific plans and send them to the trade ministry. However, the number of plans sent to the ministry remains modest to date, even after repeated requests from the prime minister.
These plans would help the country embrace opportunities and realize the benefits of the trade deals. If State management agencies continue to execute the EVFTA at the same snail’s space as the CPTPP, these opportunities will never be realized, Khanh said.
According to Khanh, companies in Vietnam have to make preparations to leverage the benefits of the EVFTA as soon as possible and focus on product origin rules, technical barriers and duties so that their products can quickly reach European consumers.
Related News
Vietnam has a trade deficit of over US$17 billion with China
15:34 | 24/04/2024 Import-Export
Export turnover reaches over US$200 billion in the first half of April
15:04 | 28/04/2024 Import-Export
Developing a strong brand contributes to increased export revenue
07:49 | 29/04/2024 Import-Export
Vietnam-China trade reaches over US$ 27 billion
09:29 | 10/04/2024 Import-Export
Latest News
Some 51,600 new firms established in four months
17:17 | 02/05/2024 Import-Export
Agro-forestry-aquatic product exports post trade surplus of 4.74 billion USD in four months
17:13 | 02/05/2024 Import-Export
Enhance the core values of the national brand
15:36 | 02/05/2024 Import-Export
Solutions for maintaining Vietnam's position as a bright spot for foreign direct investment
15:36 | 02/05/2024 Import-Export
More News
FDI disbursement in January-April period reaches five-year record
19:43 | 01/05/2024 Import-Export
Binh Duong aims to become logistics hub in southern region
19:41 | 01/05/2024 Import-Export
Digital transformation – optimal choice for Vietnamese garment & textile firms
19:39 | 01/05/2024 Import-Export
Infrastructure development creates momentum for exports to "neighboring" markets
19:36 | 01/05/2024 Import-Export
Seaports increase services to attract goods
19:35 | 01/05/2024 Import-Export
The supporting industrial enterprises transform for sustainable development
08:20 | 01/05/2024 Import-Export
Foreign investment disbursement hits record high in the first four months
13:36 | 30/04/2024 Import-Export
Vietnam textile and garment strives to increase the localization rate
06:46 | 30/04/2024 Import-Export
Central Highlands needs to develop border gate economic zones for higher export
16:41 | 29/04/2024 Import-Export
Your care
Some 51,600 new firms established in four months
17:17 | 02/05/2024 Import-Export
Agro-forestry-aquatic product exports post trade surplus of 4.74 billion USD in four months
17:13 | 02/05/2024 Import-Export
Enhance the core values of the national brand
15:36 | 02/05/2024 Import-Export
Solutions for maintaining Vietnam's position as a bright spot for foreign direct investment
15:36 | 02/05/2024 Import-Export
FDI disbursement in January-April period reaches five-year record
19:43 | 01/05/2024 Import-Export