09:26 | 27/02/2018 Trade
(VEN) - The Industry Promotion and Development Consultancy Center 1 (IPC1) and the Agency for Regional Industry and Trade recently held a seminar on measures to promote the sale of Vietnamese goods in Laos. The event was part of Vietnam’s activities aimed at boosting the export of rural industrial products to its nine fellow ASEAN member states.
Vietnamese Commercial Counselor in Laos, Pham Duy Khanh, said the special political and economic relations between Vietnam and Laos, as well as the geographical proximity between the two countries, offer favorable conditions for businesses to exchange goods. The Lao government is willing to support Vietnamese investment and Vietnamese businesses have invested more than US$5.3 billion in Laos through 258 projects. The two governments expect bilateral trade to reach about US$5 billion by 2020.
Consumer goods, cultivation products, chemicals and construction materials are potential Vietnamese exports to Laos, he added.
Vo Van Dai, Management Board Chairman of the Van Phan Dien Chau Seafood Joint Stock Company, said the Van Phan brand fish sauce produced by the company is safe and of high quality as it is made in a traditional manner without using preservatives. The company produces an average 10,000 liters of fish sauce per day but still sells its products mostly in the domestic market and exports only five percent of the output. “We wish to increase our share in foreign markets, including Laos,” he said.
Le Huy Diep, Director of the Quyet Tien Engineering Company Limited, which specializes in manufacturing various types of machinery for use in industrial and agricultural production, said the company currently sells 100 percent of its products in the domestic market and seeks opportunities to export to Laos.
Vietnamese businesses still encounter difficulties in promoting exports to Laos, where laws and regulations pertaining to investment are still being amended. Investment policies applied by Lao localities lack conformity with those applied at a state level, creating difficulties for foreign investors.
The Vietnamese Trade Office in Laos pledged to assist Vietnamese firms in promoting exports to this market via official trade channels by updating them on changes in Lao trade policies and providing them with information about Lao partners and payment modes. In 2018, the office will arrange for a Vietnamese business delegation to survey the Lao market and seek export opportunities.
Helping businesses promote the export of rural industrial products has been a major task of IPC 1 in recent years. In 2017, the center spent VND3 billion to help 44 companies participate in fairs in Frankfurt (Germany) and Xiamen (China). This year, the center will continue to concentrate on implementing this task.
Pham Duy Khanh, Vietnamese Commercial Counselor in Laos:
To enter the Lao market, Vietnamese companies have to seek information about businesses there from the
Vietnamese Embassy in Vientiane in order to prevent risks, especially payment-related hurdles.