09:45 | 29/06/2015 Trade
As a result of the Vietnam-EU Free Trade Agreement (FTA), experts at a seminar on June 25 in Hanoi said the trade boom shows no signs of abating anytime soon and Vietnam’s exports to the EU could very well increase by 10% over the next ten years.
Speaking at the seminar,Central Institute for Economic Management (CIEM) President Nguyen Dinh Cung underscored the importance of institutional reforms in the country and the international economic integration process.
“Reforms and integration will create a healthy competitive environment and contribute to accelerating economic growth and reduce poverty,” Cung said.
The signing of the Vietnam-EU FTA will open up huge opportunities to Vietnam such as tariff reductions, trade facilitation, investment attraction, expansion of markets, sustainable development and economic restructuring.
Cung emphasized the FTA will also pose challenges including pressures to implement institutional reforms, widely open up the domestic market, improve the business climate and obey strict regulations on labour and environment.
Experts added that these challenges will become greater once Vietnam signs the FTA with the EU and other FTA’s such as the Vietnam-RoK FTA, Trans Pacific Partnership (TPP) and the Regional Comprehensive Economic Partnership (RCEP) come into force.
During the seminar, Oliver Massmann, member of Executive Chamber of Eurocham said Vietnam should fully seize opportunities to penetrate the EU market, especially in such fields as garment and textile, footwear, food processing and seafood.
The Eurocham representative affirmed Vietnam is an important trade partner of the EU as Vietnam’s export turnover to the market has increased significantly over recent years.
He was also optimistic about prospects for foreign investment from European enterprises in Vietnam, especially in the fields of hi-tech, electronics and pharmaceuticals./.
Source: VOV News