A shrimp processing factory in Vietnam (Photo: VNA)Trade expertssaid as China is the biggest exporter of goods to Vietnam, its lockdownmeasures prompted by the COVID-19 resurgence will affect the latter’sprocessing, manufacturing, and exports in the months ahead.
China’szero-COVID policy, not to mention issues in the two countries’ cross-bordertrading procedures, limited transport and logistics infrastructure in borderareas, has also led to severe goods congestion at border gates for certainperiods of time and a decline in cross-border trade in the recent past.
Besides,despite abundant orders, recovering production activities, and a stable workforce,manufacturing sectors are struggling with soaring input costs due to thepandemic and the Russia - Ukraine conflict.
Bien TanTai, Deputy Director of the Binh Thuan Department of Industry and Trade, saidaside from the Chinese market, the central province will increase aid forenterprises to take part in overseas trade promotion activities, with a focuson India, Pakistan, Bangladesh, the Middle East, and the countries that havesigned free trade agreements with Vietnam.
It will helpdragon fruit exporters directly take part in distribution networks of foreignretailers in Vietnam such as Lotte (the Republic of Korea), Aeon (Japan), andBig C (Thailand) so as to boost sales and expand their reach to foreignmarkets.
The northern mountainous province of Son La views Cambodia as one of the potentialmarkets, aside from China, Australia, the RoK and Japan, for local longan andplum because, as experts said, apart from the close proximity, Cambodia alsoshares many cultural, market demand, and consumption habit similarities with those of Vietnam.
Laos is alsoassessed as a potential market for Vietnamese farm produce and goods.
Tran VanYen, Director of the Thanh Chan fisheries cooperative in Dien Bien - a northernprovince bordering Laos, said the eight pairs of international bordergates, seven pairs of main border gates, and 18 pairs of auxiliary ones alongthe Vietnam - Laos border make it favourable for bilateral trading as both timeand costs are reduced considerably compared to trading with other countries.
Experts heldthat apart from improving product quality and meeting requirements of demandingmarkets, it is also necessary for enterprises to capitalise on nearby marketssuch as Laos, Cambodia and Thailand as changes have constantly occurred inglobal markets, especially since the COVID-19 pandemic broke out, and shippingcosts has kept rising.
In addition,as unprocessed farm produce still accounts for about 65% of Vietnam’s totalagricultural exports, the shipment of fresh commodities to neighbouring markets,which also has demand for fresh produce, will also help cut downtransportation expenses and deal with falling prices in harvest seasons./.
VNA
