Misconceptions about the Chinese market were raised by Ms. Tran Ha Trang, representative of the Consulate General of Vietnam in Shanghai during a conference with the SPS Office.
Speaking at the conference “Export of agricultural products and adapted food in the context of China implementing Order 248; 249 and strict control on the prevention of Sar-CoV2” held on August 17, Ms. Tran Ha Trang, Commercial Consul of the Vietnamese Consulate General in Shanghai raised misconceptions about the Chinese market. Country.
The first mistake that Ms. Tran Ha Trang made was the notion that China is an easy market. Accordingly, with 300 million people in the middle class, the demand for food in this market is increasing, accompanied by beautiful designs.
In addition, due to joining the WTO in 2001, China has full supervision regulations, quality standards, food safety according to international standards. Not to mention, in terms of economic structure, China is currently ranked 2nd in the world.
The next mistake is to think that trade with China is only border trade. Explaining more specifically about this statement, Ms. Tran Ha Trang said, Vietnam is China’s largest border trading partner, but trade turnover across the land border area only accounts for 20~25% of total turnover. import and export quota.
In fact, trade with the Chinese market is trade with a market that includes 31 large localities with a population of more than 1.4 billion people. In which, the East China region has a GDP of 6.45 trillion USD, accounting for 36.4% of the national GDP. China’s large domestic market has many strengths such as transportation infrastructure, logistics, distribution systems, supermarkets, e-commerce (Taobao, Hema…), large wholesale markets…
Another big misconception is the definition of “small quota” in import and export. Commercial Consul General Consulate General of Vietnam in Shanghai affirmed: “In fact, this is a form of Chinese enterprises importing in the form of exchanging border residents to take advantage of incentives.”
Although there are some advantages such as tax incentives, no contract, fast payment… but this form has many risks. Firstly, there is a constant risk of congestion of goods on peak occasions, or China applies measures to strengthen border management. Second, the risk of payment fraud, forced granting, price pressure due to no clear contract.
In addition, it also causes misunderstandings for businesses and makes it difficult for state management agencies to open the market and may affect the reputation and brand of Vietnamese goods.
Currently, border import and export is a form of Chinese enterprises importing in the form of border residents exchange. Photo: Tung Dinh.
The last mistake raised by Ms. Tran Ha Trang in trade relations with China is that many people think that this market has erratic policy changes.
However, the representative of the Consulate General of Vietnam in Shanghai affirmed that China’s policy is consistent from central to local. In addition, the promulgation of new policies must comply with WTO regulations such as consultation, collection of comments, and then promulgation.
Therefore, Ms. Tran Ha Trang said that management agencies and local authorities need to develop specific industry and brand development strategies. In addition, strengthening management and quality supervision as well as removing technical barriers to promote export turnover.
For businesses, the Commercial Consul in Shanghai said that it is necessary to learn carefully about Orders 248, 249 and immediately implement the registration of export codes. In addition, businesses also need to carefully study the demand as well as expand more forms of promotion into the Chinese market.
Another important point in the current period is the strict control of goods standards, especially the requirements of the Chinese side to prevent and control the Covid-19 epidemic.
According to Nongghiep.vn
