April 15, at the seminar “TPP – Opportunities and challenges affecting Vietnam’s export activities” held in Ho Chi Minh City, represented Vietnamese enterprises said that they have been developing strategies for opportunities and challenges from the Trans-Pacific Partnership Agreement (TPP).
The export market is more convenient
The TPP’s general rule is to bring the import tax to 0% for all tariff lines. With a few of the most sensitive tariff lines, tariff quotas or significant forms of tax reductions can be applied, provided that all 11 countries are accepted.
On the other hand, TPP countries with 800 million people account for 40% of GDP and 30% of global trade, including large markets like the US and Japan. .. will form a new supply chain. Therefore, joining TPP will help Vietnam and other countries get new opportunities from this new supply chain.
Mr. Chu Tien Dung, General Director of Saigon Industry Corporation – one member limited liability company (CNS) said that Vietnam joining TPP will bring benefits CNS competition with businesses from non-TPP member countries.
Typically, the export market will have more advantages, when many major and important markets of Vietnam such as the US, Canada and Japan … reduce taxes about 0%. However, to facilitate import and export activities of enterprises, both state management agencies and enterprises need to promote trade promotion with potential partners, ensuring fair competition between businesses. domestic and foreign businesses.
Fisheries is one of the key economic sectors, accounting for 4-5% of GDP and 6-7% of the total national export turnover, ranking 4th in the world in terms of export. Currently, Vietnam seafood is present in 165 markets and aims to reach over 7 billion USD in 2016.
Mr. Truong Dinh Hoe, General Secretary of Vietnam Association of Seafood Exporters and Processors said that free trade agreements (FTAs) will help Vietnamese seafood. continue to open and further integrate into export markets. Typically, when TPP comes into effect, Vietnam’s shrimp products will have a competitive advantage over countries like Argentina, India, Thailand, Indonesia, Philippines and Ecuador.
Similarly, the FTA between Vietnam and Japan will bring a competitive advantage to Vietnam’s seafood industry compared to Argentina and India …
From the perspective of private enterprises, Mr. Le Phuoc Vu, Chairman of the Board of Directors of Hoa Sen Group Joint Stock Company, shares TPP to facilitate businesses. have an equal competitive environment, diversify export markets, especially markets in South America such as Chile and Mexico …
With the ability to expand export markets to South America, Hoa Sen Group will increase its competitive advantage. TPP is a great opportunity for businesses to promote their strength, competitiveness and competitiveness, to reach out to export markets.
Export catfish processing. (Photo: An Hieu / VNA)
High quality requirements for goods
Although it is considered TPP in particular and FTAs in general will create a big “boost” for Vietnamese exports as well as opportunities for market expansion for businesses. However, the production and business units also emphasize the challenges of integration. Vietnamese enterprises must make efforts to change and change to meet the increasing requirements of export markets such as food safety, traceability, environmental responsibility and protection. resources …
In particular, TPP’s regulations on rules of origin require a number of key export industries of Vietnam to have stable and good quality raw materials. , can take advantage of preferential tariffs.
To take advantage of the opportunity when TPP comes into effect in 2018, Mr. Mai Hoai Anh, Executive Director of Vietnam Dairy Products Joint Stock Company (Vinamilk) gives Currently, Vinamilk has been preparing new strategies to penetrate and develop markets in TPP member countries, in which Vinamilk determines to promote competitive advantages, first of all need to set quality goals products, technologies, production lines according to standards that are comparable to developed countries’ standards.
Besides, Vinamilk promotes trade promotion activities in TPP countries and flexibly implements small orders to establish business platforms. , bringing goods into potential markets.
With more than 15 years of manufacturing and exporting experience, Mr. Doan Van Luc, General Director of Lien Anh Rubber Production Company Limited, commented to In the rubber industry, Vietnam’s rubber export price is more competitive than some other countries, but the quality is not equal because of the variety and planting techniques as well as the limited procurement and planning. Therefore, the Ministry of Industry and Trade needs to disseminate more information to enterprises about policies and technical barriers to importing rubber from TPP countries.
In particular, departments and agencies need to consider building a 3-link model: farmers, producers and banks to support the rubber industry.
Assessing the impact of TPP, Mr. Do Thang Hai, Deputy Minister of Industry and Trade said that the impact of integration will also be different in different industries. Vietnam’s industries enjoy many advantages, including furniture, bags, leather and footwear, garments, and some agricultural products. In contrast, the disadvantaged industries will be competitive in many. Different levels.
Similarly, businesses with sufficient quality and products, suitable to consumer tastes will effectively exploit the advantages of TPP. Particularly weak production and business units will face difficulties in competition and market expansion.