Export of agricultural products “in danger”

Although the prolonged Russia-Ukraine conflict has negatively affected many export industries, Vietnamese enterprises can still boost agricultural exports if they do not miss the advantages of free trade agreements. FTAs).

The value of exports to Europe and the US may double

Commenting on the advantages of the wood processing industry, Deputy General Secretary of the Ho Chi Minh City Handicraft and Woodworking Association Bui Huu Them said that currently, the US and Europe account for more than 80% of Vietnam’s export wooden furniture market share. South, but the room is still large. Therefore, if these two markets are limited or even stopped importing Russian furniture, it is an advantage for Vietnam.

Businesses need to find solutions soon to take advantage of opportunities from the effects of the war. If many countries do not import wood from Russia, Vietnam can calculate the possibility of increasing the amount of wood imported from this country at a good price, especially Russia has a large supply of pine.

According to Vice Chairman of the Vietnam Food Association Do Ha Nam, taking advantage of Western countries’ boycott of Russian products, Vietnam can import products from Russia such as fertilizers, flour, and oil products. mine… at a better price if there is an effective commercial solution, taking into account the effects of sanctions.

For example, with rice, this is a good time for Vietnam to increase rice exports and diversify agricultural and food products to the EU market by taking full advantage of the rice export quota of 80,000 tons/year. with a tariff rate of 0% according to the EU-Vietnam Free Trade Agreement (EVFTA). Along with that, Vietnam should develop high-value, high-grade fragrant rice that is popular with European consumers.

Sharing the same view, General Secretary of the Vietnam Fruit and Vegetable Association Dang Phuc Nguyen said that if the European and American markets boycott Russian products, Vietnamese enterprises can double their export value to Europe and the US if they take full advantage of this opportunity. effective use, especially strong products such as: mango, passion fruit, leafy vegetables, spices… are European products in great need.

However, according to Mr. Dang Phuc Nguyen, Vietnamese enterprises must continue to improve and improve product quality. Because, fastidious markets like Europe and the US all require GlobalGAP or equivalent quality, while the percentage of Vietnamese fruit and vegetable products meeting this standard is still modest.

Take advantage of opportunities

Assessing the market opportunities of Vietnamese exports, Dr. Vu Thanh Liem – Former Deputy Director of the General Statistics Office said that the conflict between Russia and Ukraine caused Western countries to apply sanctions and bans. investment and trade activities in Russia. This further pushes Russia away from this region and forced to reposition strategic partners outside the US and the West.

In addition, the disruption of the supply chains of Russian goods with the US and the West (mainly energy and food) due to sanctions and embargoes will also create opportunities for other suppliers. .

“Vietnam and Asian countries can take advantage of this opportunity in trade to increase import and export activities with not only Russia but also other countries around the world. These are the countries with which Vietnam has trade relations and suffered trade disruptions due to the Russia-Ukraine war. In particular, a number of essential products such as agriculture, forestry and fishery are strengths of Vietnam, so they should be focused on catching up with this opportunity,” emphasized Dr. Vu Thanh Liem.

Referring to the solution of the agricultural sector, Director of the Department of Agricultural Product Processing and Market Development (MARD) Nguyen Quoc Toan said that the agricultural sector has directed localities to keep the supply of seafood raw materials. for processing or export under any circumstances. The advantage of our country is that it has a very large fishing and aquaculture production. When there is a shortage of supply in the markets, Vietnam is completely proactive in exporting goods, especially to the EU, US and Russia markets.

This is also the time when businesses need to take advantage of the EVFTA and the UK-Vietnam Free Trade Agreement (UKVFTA). Taking advantage of favorable incentives, businesses should promote all products into these market groups.

Deputy Director of the Import-Export Department (Ministry of Industry and Trade) Tran Thanh Hai recommended that in order to make good use of export opportunities and advantages, enterprises need to continue to improve their competitiveness and create high-quality products to meet meet the strict standards of the world market. Simultaneously, focusing on innovation management, restructuring production activities, linking supply chains, applying science and technology to meet the high requirements of partner markets.