Shrimp and shrimp products will have many opportunities to increase exports to the EU market after EVFTA takes effect from August 1 – Photo: PHAN THANH CUONG
Many experts and businesses (DN) have affirmed so when talking to us about EVFTA events signed earlier and effective from 1-8.
However, according to experts, EVFTA is not a “magic wand” paper for Vietnam’s exports to the EU market to increase immediately but requires businesses to make efforts, even a lot of effort to take advantage of the opportunities offered by EVFTA.
Vietnamese agricultural products are wide in the EU
More than 20 years of exporting goods to the EU, Mr. Phan Minh Thong – General Director of Phuc Sinh Joint Stock Company – said that EVFTA was signed and about to take effect is a very important event, a great opportunity for export of Vietnam to the EU, in which agricultural products are greatly benefited by European countries that love Vietnamese agricultural products.
“But with the requirements of this agreement, Vietnamese enterprises have no other way but to improve their capacity to compete with the most demanding market. And that’s a good thing ”- Mr. Thong said.
According to Truong Dinh Hoe – General Secretary of Vietnam Association of Seafood Exporters and Producers (VASEP), the analysis and prediction data of VASEP shows that after EVFTA is implemented, Vietnam’s seafood export to the EU has can be increased by 20%.
More than 200 tariff lines for seafood will return to 0% as soon as EVFTA takes effect from August 1, which is a favorable factor for Vietnamese seafood compared to Vietnam’s export rivals such as Thailand, India and Ecuador. … When taxes are reduced, importers from Europe will consider choosing goods from Vietnam more.
Some products are forecasted to have rapid growth in the EU after EVFTA comes into effect, shrimp and shrimp products, which can reach turnover of US $ 1 billion next year, compared with about US $ 700 million / current year.
“The whole shrimp products, peeled… accounted for 60% of the proportion of shrimp in Europe, with a tax rate of 0% right after EVFTA came into effect, will be items with great export advantages of Vietnam at the same time. next time ”- Mr. Hoe said, and expressed hope that EVFTA will be a push to push pangasius back to the EU more strongly.
Meanwhile, Mr. Do Ha Nam – General Director of Intimex Joint Stock Company – said that because the former tax rate was very high, from 65 – 211 EUR / ton depending on type, Vietnamese rice has almost no chance to penetrate. EU market.
“However, with the quota of 80,000 tons of milled rice and fragrant rice imported from Vietnam each year will have a tax rate of 0% after August 1, Vietnam’s rice export activities are receiving quite positive information, especially in the context of export is facing many difficulties due to lack of output ”- Mr. Nam said.
But not “magic wand”
In order to meet the quality standards for goods exported to the EU market, Mr. Truong Dinh Hoe said that Vietnamese enterprises have been making efforts to improve and gradually meet the requirements. It can be said that until now, seafood export enterprises have applied quite well the new EU regulations in EVFTA such as quality, antibiotic control, traceability, environmental protection, labor use …
However, according to Hoe, Vietnamese businesses need to discuss more with customers to update information about tax rates and other requirements to better meet the needs of the end buyer.
Mr. Phan Minh Thong also said that although bringing many opportunities but EVFTA is not a “magic wand”, do not expect Vietnam’s exports will increase sharply after EVFTA takes effect, but requires businesses to try. force, even a lot of effort to take advantage of the opportunity.
“Doing with EU customers is not easy, especially on paperwork. With the first order, it takes 3-4 months for businesses to complete the file. But we have to do it, not to export products but also to improve our capacity, to understand the customers’ culture, to make it easier for us later ”- Mr. Thong shared.
In particular, meeting EU food safety requirements is a top issue, the time for preparing goods is even less than the time for carrying out paperwork and records as prescribed. “Many Vietnamese businesses are familiar with the way they keep seeing documents, the rules are to find a way to beg or crack the door … But doing business with the EU is to meet the procedures, it takes a lot of time. do … ”- the director of an enterprise said.
At the conference on EVFTA in early July 2020, Mr. Nguyen Xuan Cuong – Minister of Agriculture and Rural Development – said that in order to make full use of the benefits from EVFTA, Vietnam must create high-quality sources to meet export criteria. Made in Vietnam, attracted investment to expand the production of products that Vietnam can compete with, but its market share in EVFTA’s partner market is small.
“In particular, the restructuring of agricultural production, enhanced supply control and production orientation associated with market signals need to be paid more attention,” emphasized Cuong.
Opportunities into global supply chains
According to the Ministry of Industry and Trade, the EU is the 2nd largest import market in the world (accounting for 14.9% of total global imports) and is the 2nd largest export market of Vietnam. However, Vietnam only accounts for about 2% of the total EU imports, so there is plenty of room for export growth to this market. For example, after EVFTA comes into effect, Vietnam’s agriculture, forestry and fishery products will be able to access a potential market with a population of over 500 million people and a GDP of US $ 15,000 billion.
With 99% of import tariff lines between Vietnam and EU being eliminated in 7-10 years, EVFTA will not only bring export growth opportunities but also leverage Vietnam’s agriculture sector to accelerate restructuring. , improving competitiveness, contributing to Vietnam’s agriculture – forestry – fishery deeper participation in global supply chains.
According to Youth
