Egypt has been considered a potential market for Vietnamese businesses, especially after Vietnam joined the World Trade Organisation (WTO). As a trade representative of Vietnam overseas, the trade office in Egypt plays its role as a bridge between businesses of the two countries to strengthen bilateral trade cooperation.
A VOV reporter interviewed Vietnamese commercial counselor to Egypt Dinh Van Thach at a recent national commercial counselors meeting in Hanoi.
VOV: What are difficulties and opportunities Vietnamese enterprises are facing when they penetrate the Egyptian market, especially after Vietnam joined the WTO?
Mr Thach: Now that Vietnam has become a WTO member, both Vietnam and Egypt enjoy most favoured nation status (MFN status) as other member countries, creating an equal play-ground for partners of the two countries. Trade relations between the two countries will develop and two-way trade turnover will increase. Many Egyptian trade organizations and businesses have paid great attention to Vietnam and have felt very pleased with Vietnam’s officially becoming the 150th WTO member.
In fact, Vietnamese businesses are facing challenges with their goods production when foreign products start to flow into the country. For example, Egypt has a good supply of agricultural products to penetrate Vietnam easily and Vietnamese businesses have to compete fiercely with Egyptian rivals. Egypt will also devise measures to protect their trade such as strict requirements on product origin and trademark, and non-tariff measures when Vietnamese products are exported to the country. Vietnamese businesses are likely to face anti-dumping lawsuits.
VOV: What should Vietnamese businesses do to overcome such challenges and expand their business operation in the market?
Mr Thach: Vietnam’s staple export items are mostly agro-forestry and aquatic products. Therefore, it is necessary to apply high maintenance technology for long-distance transport of goods from Vietnam. If Vietnam fails to meet quality requirements, its products will likely be rejected.
Vietnamese businesses, artisans and experts should gain access to the market by learning about aesthetics, customs and cultural tradition in order to export suitable products to the Egyptian market, especially highly competitive goods such as light industrial products and handicraft products. Meanwhile, they should take precautions against possible anti-dumping lawsuits filed by Egyptian partners when exporting sensitive products that are thought to affect Egypt’s domestic production.
VOV: What measures have the Vietnamese Trade Office in Egypt devised to help domestic entrepreneurs to penetrate and expand the export market?
Mr Thach: How to help Vietnamese enterprises strengthen trade ties between the two countries, particularly boosting exports to Egypt is considered is one of our important tasks. We will focus on exploring the market and enhancing propaganda activities to support trade links between the two countries. In addition, our office has published articles about the Egyptian market on printed and online newspapers.
Annually, we organise business forums to give Vietnamese and Egyptian enterprises a better understanding of their products which are the strengths of both sides.
VOV: Thank you very much.
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