Vietnam-India trade likely to hit US$15 billion by 2020

10:34 | 12/05/2015 Trade

Bilateral trade between Vietnam and India is predicted to reach US$15 billion by 2020 through encouraging India to invest more in the power sector, infrastructure development and oil and gas exploration.

Vietnam-India trade likely to hit US$15 billion by 2020

Deputy Minister of Industry and Trade Do Thang Hai on May 11 made the statement at a symposium in Hanoi on Vietnam-India development cooperation hosted by the Ho Chi Minh National Academy of Politics and Public Administration.

The seminar provided a detailed analysis of the achievements, limitations and barriers affecting bilateral cooperation, and proposed measures to step up cooperation in economics, trade and tourism.

Participants said the two Governments’ commitments are based on pillars- politics, economics, energy, security, defence and other sectors (culture, education, training, tourism).

Current bilateral trade valued at US$8 billion has exceeded all previous trade targets, recording a 20-fold increase over the past decade.

The two countries have cooperated effectively in the textile industry, pharmaceuticals, and tourism. However, development cooperation between Vietnam and India is still far below their full potential, particularly in economics, trade and tourism

Indian Ambassador to Vietnam Preeti Saran said having no Vietnam-India direct flights   is one of the biggest obstacles to trade, investment, tourism and people-to-people exchanges.

Jetairway flights from Ho Chi Minh City to Mumbai and New Delhi, in transit through Bangkok is a good start, the Indian diplomat said while hoping that Vietnam Airlines and Vietjet would soon open direct flights, thus facilitating bilateral economic cooperation in the time ahead.

Nearly 40 reports presented or sent to the workshop, focused on macro and micro economic fields gave a deep analysis of mechanisms and policies regarding Vietnam-India trade relations.

Deputy Minister Hai stated that Vietnam and India have signed a service trade agreement and an investment agreement under the Framework Agreement on ASEAN-India Comprehensive Business Cooperation.

These agreements to be effective as from July 1 will bring numerous opportunities to Vietnamese enterprises to have easier access to new markets.

Additionally, Vietnam and India are engaging in negotiations on the Comprehensive Economic Agreement between ASEAN states and six FTA partner countries that serves as an important legal framework and a prerequisite for economic and trade development between the two nations.

Judging from the current status of Vietnam-India economic relations, delegates suggested intensifying research and systematically assessing development potential of India, striving to elevate two-way trade turnover to a higher level, fully tapping great potential for investment cooperation and bolster affiliation in science, technology and human resource training.

                                                                                                                                                                      Source VOV News