FTAs facilitate Vietnamese goods to reach out to global markets
VGP – With the current 13 free trade agreements (FTAs) in effect, Vietnamese businesses are benefitting a lot from the reduction/ elimination of tariff barriers, thereby creating a big boost for Vietnamese products to reach out to global markets.
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FTAs a boost for Vietnamese goods to reach out to global markets |
According to the Ministry of Industry and Trade (MOIT), each FTA affects Viet Nam’s trade in a different way. Signing and joining FTAs have a great impact on the Vietnamese economy through the expansion of the import-export markets.
Specifically, Viet Nam’s trade revenues with partner countries have increased, while its tradition markets have also been consolidated.
In addition, the door to potential markets has been opened to Viet Nam on the basis of accelerating ties with important economic strategic partners, while improving competitiveness of domestic enterprises.
Regarding 11 traditional FTAs, Viet Nam raked in a total of US$123.11 billion in 2019 from its exports to the markets with which the country has inked traditional FTAs.
As released by the MOIT’s Multi-Border Commercial Policy Department, Viet Nam enjoyed a trade surplus of US$1.6 billion with CPTPP countries last year, from a deficit of US$0.9 billion in 2018.
Basically, Viet Nam’s exports to CPTPP member countries in 2019 registered positive growth compared to the previous year.
Viet Nam’s exports to the EU grow positively thanks to EVFTA
As for the EU-Viet Nam Free Trade Agreement (EVFTA), two months since the deal came into effect, opportunities to export goods to the EU market have begun to be materialized, bringing about the initial benefits for Vietnamese enterprises.
Many of Viet Nam’s export items to this market have reported a sharp increase in both turnover and prices.
According to statistics from the MOIT’s Import and Export Department, as of October 12, the authorized organizations have granted about 23,800 sets of certificates of origin (C/O) Form EUR.1 to Vietnamese products worth a total of US$963 million, allowing them to be exported to 28 EU countries.
The MOIT has implemented 24 level-3 administrative procedures and applied the self-certification of origin mechanism to optimally support export enterprises.
This is considered an effective solution that creates favorable conditions for businesses to reduce the number of documents and declared data and shorten the waiting time, thereby facilitating the easy and quick exports of Vietnamese commodities./.
By Vien Nhu
