Pact gives opportunities to businesses in Vietnam

HANOI－Nearly three months after the Regional Comprehensive Economic Partnership came into force, many Vietnamese companies said they have benefited from the world's largest trade deal that involves the Chinese market.

"Since RCEP took effect on Jan 1, there have been several benefits for Vietnamese exporters like our company," said Ta Ngoc Hung, chief executive officer of the Vietnamese agricultural manufacturer and exporter Vinapro.

Export procedures for RCEP members have been simplified. Exporters now just need to fill in a certificate of origin online instead of a hard copy like before.

"This is very convenient for both exporters and buyers, since the CO procedures used to be time-consuming," said Hung, adding that companies can make full use of e-commerce to reach RCEP countries.

Along with favorable tariffs for exporters, buyers or importers are also offered more incentives under the agreement. This helps reduce the selling prices of products, meaning that goods from countries such as Vietnam become cheaper for Chinese customers.

"Also, with awareness about the RCEP, local customers tend to give it a try, or even prioritize products from member countries of the agreement, so it does mean better market access for companies like us," Hung said.

To grasp various opportunities from the RCEP, Vinapro is further promoting export of items such as cashew nuts, pepper and cinnamon to China, a market with more than 1.4 billion consumers, especially through official channels.

At the same time, Vinapro is strengthening participation in trade fairs in China and South Korea. Vinapro has registered for the China International Import Expo and the China-ASEAN Expo this year and is waiting for an update from the Vietnam Trade Promotion Agency, Hung said.

The agency, which is facilitating Vietnamese companies' participation in the upcoming CAEXPO, will help local businesses further tap into China's vigorous and resilient economy, an official with the agency said. The Chinese economy has played an active role in stabilizing regional and global industrial and supply chains and promoting world economic recovery amid the pandemic.

Like Vinapro, many other Vietnamese companies are further tapping opportunities from the RCEP and in the Chinese market.

Nguyen Tat Quyen, director of Rang Dong Agricultural Product Import-Export Company, said the Chinese market has another big advantage－being close to Vietnam, which is convenient for road, sea and air transport.

Xinhua