NDO/VNA – Vietnamese and European experts pointed out opportunities and challenges that will affect local businesses and authorities once the free trade agreement between Vietnam and the European Union (EU) is signed, while at a seminar in Ho Chi Minh City on October 26.
Deputy Foreign Minister Le Hoai Trung said once it is officially authorised, the Vietnam-EU Free Trade Agreement (VEFTA) will open up numerous opportunities for Vietnam, especially for exports which are expected to profit from tax reductions.
Vietnam needs to improve its business climate in legal and policy aspects to respond to new opportunities and challenges, he noted, adding that localities should be proactive in learning about such possibilities, build business partnership, improve policy effectiveness, and enhance human resource preparations.
The official highlighted that his country and the EU signed the Partnership and Cooperation Agreement (PCA) on June 27, 2012, providing a framework for the comprehensive expansion of their cooperation.
The two sides began talks for the establishment of the VEFTA on June 26, 2012, and officially concluded negotiations on August 4, 2015. The EU became the second largest importer and trading partner of Vietnam last year.
Seminar participants evaluated the potential and effectiveness of the VEFTA once it is signed and applicable while proposing concrete measures to enhance the awareness of local authorities and enterprises’ of the deal, as they are decisive to the overall successfulness of the agreement.
As part of the event, European entrepreneurs met with Vietnamese counterparts and authorities to boost connections and seek business opportunities in the country.
Miriam Garcia Ferrer, Head of the Economics and Trade Section at the EU Delegation to Vietnam, said Vietnam is an important market of the EU and the bloc is also a market full of opportunities and potential for Vietnam. The VEFTA will substantially benefit the people and business circles of both sides, creating a legal corridor for them to have regular dialogues and ensure business stability.
At the seminar, the Vietnamese Foreign Ministry inked a Memorandum of Understanding on cooperation with the European Chamber of Commerce in Vietnam and the EU – Vietnam Business Network with the aim of increasing connectivity; promoting European firm investment, trade and business activities in Vietnam; as well as helping local companies access European markets.
