Vietnam has developed diplomatic ties with almost all African and Middle East countries, paving the way for stronger trade, economic and investment ties between the parties concerned.
Africa and the Middle East can meet Vietnam’s demands for fuel and material supplies, market expansion, and investment, services and human resource development, said Vu Tien Loc, President of the Vietnam Chamber of Commerce and Industry (VCCI).
Middle East countries are expanding cooperation with Vietnam and receiving an increasing number of Vietnamese guest workers, Loc told the workshop.
According to the VCCI president, trade and investment ties between Vietnam, Africa and the Middle East have grown and flourished over the years.
Bilateral trade between Vietnam and Africa rose from US$2.07 billion in 2009 to US$4.77 billion in 2011 and US$1.81 billion in the first eight months of 2012.
Major exports are rice, garments, footwear, electrical and electronic appliances, mechanical staples, plastics, and chemicals. Vietnam’s key goods consumers include South Africa, Egypt, Algeria, Mozambique and Morocco.
So far this year Vietnamese businesses have invested in 17 projects in Africa with a total registered capitalisation of nearly US$1.2 billion.
Two-way trade between Vietnam and the Middle East has also increased sharply in recent times, reaching US$3.31 billion in 2010, US$5.17 billion in 2011 and US$3.95 billion in the first eight months of 2012.
Turkey, Arab Saudi, Iraq and Israel are Vietnam’s major trading partners that mostly consume mobile phones and accessories, computers, fibres, seafood, rubber, tea, milk, and pepper.
Meanwhile, Vietnam imports plastic materials, liquefied gas, metals, and precious gemstones from this lucrative market of 260 million people.
In the past eight months, Vietnamese businesses poured more than US$84 million into four projects in the Middle East.
Representatives of participating businesses pointed to difficulties they are facing in undertaking their strategies in each other’s markets.
They said they lack information about each other’s markets, and they do not feel confident in the success of their business strategies.
In addition, they said, their governments have all encouraged economic cooperation, but not introduced specific support policies and favourable administrative procedures, thus reducing the efficiency of cooperation.
Le Dang Dung, Deputy General Director of the military-run telecom group Viettel, proposed that the governments of concerned countries support their businesses by specifying policies and especially streamlining administrative procedures.
He also proposed that the ambassadors of African and Middle East countries help ease difficulties for businesses and make recommendations to their governments to support Vietnamese businesses in getting more involved in economic cooperation.
At the workshop, the Vietnam-Africa-Middle East business forum made its debut, aiming to promote trade and economic cooperation between their business communities.
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