13:34 | 14/08/2015 Cooperation
(VEN) - According to Vietnam Chamber of Commerce and Industry (VCCI) Deputy Chairman Vo Tan Thanh, Vietnamese exports to India have grown impressively in recent years, reaching US$992 million in 2010 and more than US$2.4 billion in 2014, an increase of almost 2.5 fold.
Telephones and telephone accessories are Vietnam’s largest exports to India
India currently is among Vietnam’s top ten trade partners, and Vietnam currently is India’s 28th largest trade partner, with bilateral trade revenues of more than US$1 billion in 2006, more than US$8 billion in 2014 and more than US$1.7 billion in the first four months of this year.
By the end of this June, India took 30th place among the 103 countries and territories investing in Vietnam, with 100 projects and total registered capital of almost US$380 million. Vietnam has also developed investment projects worth about US$26 million in India.
According to the Vietnam Textile and Apparel Association (Vitas), the Indian government has offered a US$300 million preferential credit package to promote cooperation in the textile and garment industry between the two countries. India will provide a maximum 75 percent of investment capital for support textile and garment projects which would use Indian equipment and services. The credit would run for 10 years at an annual interest rate of two percent and be transacted via the Vietnam Export Import Commercial Joint Stock Bank (Eximbank) under the guarantee of the Vietnamese Ministry of Finance. The credit package would help Indian businesses develop their factories in Vietnam, while at the same time fostering domestic companies which have ties with Indian partners.
Indian Consul General in Ho Chi Minh City Smita Pant said the Vietnamese economy had grown impressively in recent years and that Vietnam was a dynamic economy and an important gateway for Indian companies to strengthen their partnerships with global giants. Vietnam currently is a major pillar under India’s east-oriented policy and is a bridge of development cooperation between India and ASEAN partners, particularly in the context that the ASEAN Economic Community (AEC) will be established at the end of this year.
Also according to Smita Pant, the Vietnamese and Indian economies have many similarities and can complement each other. With a population of 1.2 billion and high purchasing power, India is a major market for Vietnamese goods and trade between the two countries has increased impressively in the last few years, particularly since the AITIG took effect in 2010 contributing to rapidly increasing Vietnamese-Indian trade revenues, bridging the trade pision between the two countries and making India one of Vietnam’s top ten trade partners.