Vietnam, successful model of trade liberalization

10:26 | 27/04/2016 Cooperation

(VEN) - World Trade Organization (WTO) Director-General Roberto Azevedo expressed his impression about Vietnam’s great economic development and saw Vietnam as a successful model of trade liberalization.

Vietnam, successful model of trade liberalization

The development of SMEs will significantly contribute to the country’s economic growth - Photo: Can Dung

Enhancing the position

The first WTO leader’s visit to Vietnam showed the interests to the country’s trade and economic development projects and strategies, and growth targets.

At a meeting with Vietnamese new Minister of Industry and Trade Tran Tuan Anh, Roberto Azevedo expressed his impression about Vietnam’s great economic development. “Vietnam is seen as one of successful models of trade liberalization with high economic growth and remains potential in developing trade, services and investment,” Roberto Azevedo said.

He suggested that Vietnam be more active in the Doha Round, especially in issues directly related to the country.

The most outstanding issue is small and medium-sized enterprises (SMEs) that account for more than 90 percent of total labor force. However due to small production scale and administrative procedure problems, SMEs have faced difficulties in the international economic integration process. Vietnam can also make a suggestion in terms of e-commerce regulations and investment liberalization. “As a developing country, Vietnam should be more active to participate in international trade,” Roberto Azevedo said.

Making the most of opportunities

Vietnam Chamber of Commerce and Industry Chairman Vu Tien Loc said that Vietnam’s international economic integration process and trade liberalization marked two key milestones including participation in the WTO in 2007 and negotiations of free trade agreements. Vietnam’s participation in the WTO has contributed to changing the face of legal frameworks and policy institutions as well as economic management methods following international standards. However Vietnam has missed many opportunities in terms of economic growth, agricultural development and export-import structure changing.

Roberto Azevedo confirmed that Vietnam has not missed any opportunity since its participation in the WTO. Vietnam is the most benefited member with around US$3.6 billion provided by WTO activities.
Vietnam has committed to promote innovation since participating in the WTO. The country has made the most of opportunities from the implementation of WTO commitments and has created a success story in which trade has contributed remarkably to national development.

The WTO Director-General said that Vietnam and WTO members needed to meet factors such as preferential policies and legal stability to attract the interests of foreign investors. In addition, the friendly and transparent business environment is also needed.

Vietnam’s participation in a series of free trade agreements will benefit the country. However multilateral negotiations will more benefit Vietnam as it avoids overlapping in terms of regulations and standards.

To overcome barriers in trade liberalization and implement new commitments, Vietnam needs to strengthen institutional capacity. And the WTO is always ready to help Vietnam promote institutional reforms.


Nguyen Phuong