On October 22, Vietnam’s Office of Notification and National Question and Answer Point on Sanitary Epidemiology and Plant and Plant Quarantine (SPS) organized a bilateral Cross-Border Logistics Conference with the participation of Chinese businesses. is IPC Seaport Group and SITC International Container Shipping Group; On the Vietnamese side, there are Mega A Logistics Company, Agricultural Bank Insurance Joint Stock Company (ABIC), Bank for Agriculture and Rural Development (Agribank) and agricultural export enterprises.
According to the Ministry of Agriculture and Rural Development, in 2022, agricultural, forestry and fishery exports will reach a turnover of more than 53 billion USD, an increase of 9.3% compared to 2021. The industry’s GDP growth rate is 3.36%, the trade surplus is over 8.5 billion USD, an increase of 30% over the previous year, there are 11 product groups with export turnover of over 1 billion USD, of which 7 items are over 3 billion USD.
In addition to shortening time and reducing costs, logistics needs to connect with the port system to bring agricultural products deep into the import market and reach higher customer segments. To do this, logistics needs to connect synchronous warehouse systems, improve the quality of specialized transportation vehicles, loading and unloading, and human resources to serve in the logistics field. Besides, logistics businesses and import-export businesses also need to have more favorable connection and coordination.
Mr. Dang Dinh Long, Chairman of the Board of Directors of Mega A Logistics Company, said that cross-border logistics will bring goods in the production area to the importing country in the fastest time without going through many inspection stages.
The main “win or lose” of agricultural products is the transportation time to bring products to high quality, increase competitiveness and increase costs. In particular, in cross-border logistics, agricultural products are insured during transportation, so farmers and export companies do not have to worry about quality reduction when going to the importing country. If the goods are damaged during transportation, insurance will be responsible. In addition, cross-border logistics will contact shipping lines to run empty one-way routes to reduce shipping costs.
| Domestic and foreign businesses signed a contract to build cross-border logistics |
On average, each year the Vietnam SPS Office receives more than 1,000 notices of changes in goods inspection, of which 80% are requests to improve food safety. Mr. Ngo Xuan Nam, Deputy Director of SPS Vietnam Office, said that in the coming time, free trade agreements will bring tariff barriers to 0%, so countries will improve product quality inspection criteria, food safety. Cross-border logistics will reduce risks from the growing area to the importing place.
Companies signing with the SPS Office will regularly have updated information to support farmers and manufacturing businesses with disease and quarantine information before exporting. Currently, the cost of agricultural logistics is about 20-25%, but cross-border logistics will complete the connection between exporting and importing countries, reducing costs by another 5-7%.
At the ceremony, the SPS Office signed a cooperation agreement with Mega A Logistics company to regularly provide information on practical changes and amendments to import policies with the goal of increasing the value of Vietnamese agricultural products. In addition, IPC Seaport Group, SITC International Container Shipping Group, Mega A Vietnam Group, Agricultural Bank Insurance Joint Stock Company (ABIC), Bank for Agriculture and Rural Development (Agribank) signed a contract. forming a chain of links to enhance communication, information exchange, and export cooperation; e-commerce development; Insurance, letter of credit guarantee…
According to SGGP.org.vn
