German businesses are optimistic about Vietnam's economic outlook in the medium term and look forward to a year of recovery in 2021/2022, according to AHK World Business Outlook 2021 by GIC/AHK.
Vegetables and fruits are considered a bright spot in the picture of Vietnam's agricultural exports in the first months of this year. Many forecasts show that this export sector will have many development opportunities.
Talking to reporters of Customs News, Tran Le Huy, the Vice President and General Secretary of Binh Dinh Timber and Forest Products Association emphasised that with FTAs, especially new generation ones, tariff preferences are very important. However, intangible values like brand name, trust and spread are even greater, surpassing the calculation of how much a percentage of export value increases or decreases.
With many advantages in commodity production, especially agricultural, forestry and fishery products, along with a large open economy after years of actively integrating with the world economy, many multilateral and bilateral trade agreements have been signed and come into effect.
Unlike regional competition, Vietnamese branding approaches of well-established rice varieties could still see some improvements because of existing ambiguities in the product development strategies of the responsible government agenies. Nevertheless, the renowned ST25 rice could still participate in next year’s World Rice competition, and thus secure fame for one of the most important export goods of the nation.
The Vietnam-UK Free Trade Agreement (UKVFTA) will officially take effect from May 1, 2021 after taking temporary effect from January 1, 2021. Thanks to the UKVFTA, the export of goods to the UK recorded remarkable growth and are expected to increase rapidly if businesses really strive to overcome non-tariff barriers to conquer the market.
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) brings Vietnamese businesses great benefits in terms of market opportunities and exports to member countries. To make full use of this huge space, Vietnamese businesses have to increase their initiative as well as change their strategies.
With expectation to develop into a leading digital economy in Southeast Asia over the next decade, Vietnam is also witnessing a strong inflow of high-tech investment swelling performance in the region.
The Vietnam – EU free trade agreement (EVFTA) is considered an important push for the connection of businesses and exported goods to the EU market. Besides e-commerce, changing manufacturing processes and satisfying the origin of goods are also important factors for Vietnamese enterprises to take advantage of opportunities from the deal.
The total foreign investment capital in Vietnam in the first three months of this year was US$10.13 billion. According to many foreign enterprises, Vietnam is still the country with the safest and most attractive investment environment in Asia in the coming years. Meanwhile, many domestic enterprises complained that “there were still many thumbtacks under the red carpet".
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