The adoption of new-generation Free Trade Agreements (FTAs) including the CPTPP, EVFTA, and UKVFTA has given Vietnam’s import and export activities a boost and allowed them to increase. Particularly, there have been beneficial effects on Vietnam’s export activity after three years of implementing the CPTPP and more than one year of implementing the EVFTA. In particular, the total value of Vietnamese exports to the EU increased by 14.2% to US$ 45.8 billion in 2020, while EU exports to Vietnam increased by 16.5% to US$ 17.9 billion. About $7.8 billion worth of used certificates of origin (EUR.1 sample C/Os) are exported from Vietnam to the EU. Let’s explore the notification in detail and Vietnam import data.
Vietnamese Agricultural Goods Market Share Boost in EU
Vietnam’s import and export activities have benefited from the adoption of new-generation Free Trade Agreements (FTAs), such as the CPTPP, EVFTA, and UKVFTA, and have been given room to grow. Particularly, after three years of CPTPP implementation and more than a year of EVFTA implementation, there have been positive consequences on Vietnam’s export activity.
Trade in both directions between Vietnam and the EU totaled US$63.6 billion in 2021 alone, a 14.8% increase from 2020. Particularly, the value of exports from Vietnam to the EU rose by 14.2% to US$ 45.8 billion in 2020, while exports from the EU to Vietnam rose by 16.5% to US$ 17.9 billion. Used certificates of origin (EUR.1 sample C/Os) are exported from Vietnam to the EU for about $7.8 billion. Get Vietnam import data.
Agriculture exports to markets covered by Free Trade Agreements are expected to rise in 2022. For instance, after nine months, Vietnam’s exports to the EU market are estimated to be worth US$ 39.4 billion, up 22.3%; to ASEAN, US$ 28.9 billion, up 24%; to Korea, US$ 20.7 billion, up 15.4%; and to Japan, US$ 19.8 billion, up 22%.
Further, Vietnam acknowledges a number of benefits of new-generation FTAs, according to Mr. Nguyen Dinh Tung, Vice Chairman of the Vietnam Fruit and Vegetable Association. The EU and other common firms have shifted their focus more toward the Vietnamese market. However, taxes and technical impediments are the present challenges when exporting fruits and vegetables to FTA markets.
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For instance, because goods exported to the EU do not require negotiation, the EU market believes it to be “easy but difficult, hard to be easy.” The EU allows all types of fruit to enter, but tightly regulates more than 30 different types of residues, according to Mr Nguyen Dinh Tung.
The ability of Vietnamese farmers to produce goods throughout the year, along with the implementation and support of several trade promotion schemes, makes exporting vegetables and fruits advantageous. However, Mr. Tung drew attention to a problem with Vietnamese businesses today that must be fixed: poor product promotion. Thailand-based businesses succeed remarkably in this market, meanwhile.
Jean Jacques Bouflet, vice president of Euro Cham, advised Vietnamese exporters to improve their processing capabilities, limit the export of raw materials, and build their brands if they wanted to see an increase in exports to the EU soon.
Tropical fruit in Vietnam has a tendency to spoil quickly while taking a while to reach distant markets. Therefore, to fully benefit from FTAs and increase the quality of agricultural products, firms in the Vietnamese fruit and vegetable industry must speed up the initial processing and preservation stages. Eximpedia provides reliable Vietnam import data, importer data Vietnam, and much more. It is the best export import data provider in Vietnam. We are always ready to assist you and expand your business if you have any questions about the Vietnam import-export data.