(VEN) - The first meeting between Vietnamese Deputy Prime Minister Hoang Trung Hai and Russian First Deputy Prime Minister Igor Ivanovic Shuvalov as the co-chairs of the Vietnam-Russia Inter-governmental Committee was held on November 21 in Hanoi. At the meeting, the two parties addressed possible measures to strengthen and further boost bilateral economic, trade and science-technology ties, particularly in the area of energy.
Deputy Prime Minister Hoang Trung Hai said that the meeting was important as it was launched after the two countries agreed to appoint deputy prime ministers as co-chairs of the Vietnam-Russia Inter-governmental Committee, and after Vietnam successfully organized the 11th Congress of the Communist Party of Vietnam, the election of the 13th National Assembly Legislature, and the elections of people's councils at different levels. The meeting was also held on the occasion of the 10 year anniversary of establishment of the strategic partnership and traditional relations between the two countries. Hoang Trung Hai believed that the partnership and the friendship between Vietnam and Russia would continue to grow strongly.
The two parties acknowledged new progress in the economic and trade ties between the two countries in recent years. Two-way trade reached US$2.45 billion in 2010, marking a 400 percent increase from 10 years ago. Vietnamese businesses have invested US$1.7 billion in almost 20 projects in Russia. Russia sold black metals, chemicals, machinery, equipment and fertilizer to Vietnam and bought seafood, textiles, garments, footwear, rubber, coffee and more in return.
Russian First Deputy Prime Minister Igor Ivanovic Shuvalov said that Vietnam was Russia's strategic partner and that Russia wanted to expand its ties with Vietnam in many new areas. He also hoped that the trade between the two countries would reach US$3 billion in 2012. However, he said that the goal did not match the potential in the two countries, and that the next goal would be US$5 billion in two-way trade by 2015.
To reach these goals, the two parties want to set up a free trade area for Vietnam and Russia, to create new opportunities for Vietnamese commodities in the Russian market and vice versa. The free trade area would also break down non-tariff barriers, help businesses reduce operational costs, sharpen the competitive edge of their products, and create a good environment for investment, services and tourism development in Vietnam and the countries in the Russia-Belarus-Kazakhstan Customs Union.
The two deputy prime ministers also agreed to further enhance cooperation in industry, finance, banking, agriculture, telecommunications, science & technology, education & training, and more. In addition, the two countries will strengthen their ties within the framework of the ASEAN-Russia cooperation mechanism and APEC (Asia Pacific Economic Cooperation). The deputy prime ministers also showed strong determination to improve activities of the Vietnam-Russia Intergovernmental Committee and to organize the 15th session of the committee in 2012 in Moscow.
The deputy prime ministers emphasized the important role of the cooperation in energy as a major and strategic area for joint work between the two nations. For now, Vietnam and Russia are deepening cooperation in petroleum. Beside the VietsovPetro petroleum joint venture, which has run very well, newly-established Vietnamese-Russian joint ventures - Rusvietpetro, Gazpromviet and Vietgazprom - are actively working together to explore and extract oil and gas in Vietnam, Russia and third countries. The Rusvietpetro oil and gas joint venture extracted the one millionth tonne of oil in the north of Khoseydayuskoie in Nenets, Russia, in August 2011, and began commercial oil extraction in Visovoye, Russia, in July 2011.
The Vietnam National Oil and Gas Group and the Gazprom fuel gas group of Russia are working together in the Vietnamese continental shelf. The Russian TNK-BP and Lukoil oil groups are also taking part in oil and gas projects in Vietnam.
In addition, the deputy prime ministers said that nuclear power would be the next strategic and potential field of cooperation between Vietnam and Russia. Deputy Prime Minister Hoang Trung Hai spoke highly of the signing of an agreement on Russian credit for Vietnam to build Ninh Thuan 1 Nuclear Power Plant, in addition to Russian assistance, funds will be provided for Vietnam to carry out a feasibility study for this important project.
The deputy prime ministers believed that the project would go smoothly, symbolizing the comprehensive cooperation and strategic partnership between the two countries. The co-chairs also agreed on future cooperation in building a nuclear science and technology center in Vietnam.
After the meeting, the co-chairs attended a signing ceremony for several important agreements on cooperation in the areas of industry, finance & credit, nuclear technology and more./.
Source: Vietnam Economic News
