Illustrative photo (Photo: VNA)Can Tho (VNA) –More than 240 business leaders and senior executives of multi-industry small-and medium-sized enterprises (SMEs) are gathering at a workshop in the MekongDelta city of Can Tho to gain knowledge and practical training on becoming anintegral part of global value chains and regional e-commerce.
The workshop titled“Trade Facilitation: Integrating SMEs into Inclusive Global Value Chains” isco-held by the municipal People’s Committee, the US-ASEAN Business Council(US-ABC), and the Vietnam Chamber of Commerce and Industry (VCCI) on July 9-10.
The event is alsoattended by experts from the Ministry of Industry and Trade (MoIT) and GeneralDepartment of Customs.
The workshop will discussseveral topics including how free trade agreements (FTAs) can facilitate trade;reform solutions for trade facilitation in customs procedures; linking SMEs intoan inclusive Global Value Chain; and the role of logistics and digitaltechnology in trade facilitation.
Addressing the event,US-ABC Deputy Regional Managing Director Vu Tu Thanh said although Vietnam isviewed as one of the world’s top economies in terms of potential for manufacturers,only 21 percent of local SMEs are engaged in the global value chain compared tothe average 46 percent among their ASEAN peers.
Furthermore,connectivity between SMEs involved in the value chain is not close enough,meaning the benefits they have gained from the expansion of FDI enterprises interms of technological and know-how transfer as well as improved productivityare limited, Thanh noted.
Echoing Thanh’s view, Directorof the VCCI in Can Tho Vo Hung Dung outlined some of the other problems forlocal SMEs that hamper their path to joining the global value chain, including theirlack of advanced technology, funding, and skilled workforce (particularly thosecapable of performing in such high value added stages as processing, retailing,and marketing).
To tackle these issues,experts suggested that the Government accelerate institutional reforms andcontinue improving the business climate. At the same time, the SMEs were urgedto play an active role in studying markets and learning about internationalrules in order to develop a long-term business plan and raise capital frombanks and investment funds from partners.
As Vietnam is now amagnet for FDI, the SMEs should also be active in getting access tolarge FDI corporations and seeking partnerships with them, thereby making stepstowards gaining a foothold in global value chains. –VNA
VNA
