A delegation of more than 30 Nigerian companies was led by Trade and Industry Minister, Transport Minister and Chairman of Nigeria - Vietnam Chamber of Commerce and was accompanied by leaders of trade promotion agencies in Nigeria. The delegation paid a working visit to the Vietnam Chamber of Commerce and Industry (VCCI) in late April. On this occasion, the business delegation attended the Nigeria - Vietnam Business and Investment Promotion Initiative Forums recently held in Hanoi and Ho Chi Minh City by VCCI, the Nigeria - Vietnam Chamber of Commerce and Industry (NVCCI), the Vietnamese Trade Office in Nigeria and the Nigerian Embassy in Vietnam.
Opportunities for market opening
Addressing the meeting, Dr. Doan Duy Khuong, Vice President of VCCI, said Vietnam - Nigeria trade ties will be developed in many different fields. These seminars are important events for discussing measures to boost economic potentialities in both nations. “I believe that the bilateral cooperative ties will enable the two nations to ride out the economic crisis and bring trust in development prospects,” said Mr Khuong.
Africa is a new and potential market for Vietnamese businesses to make inroads into the world. “This event will create many opportunities for both nations to promote bilateral trade and help companies of the two countries boost cooperation in seeking markets and facilitate investments into Africa. At the same time, this also facilitates Vietnamese companies to expand relations and commercial cooperation not only in Nigeria but also Central Africa and Western Africa,” said Mr Khuong.
Mr Oye Akinsemoyin, President of NVCCI, added these seminars were aimed at boosting economic relations. “We always hope to strengthen friendship, economic, commercial and industrial ties with Vietnam,” he said.
Fast-growing trade
In 1980, Vietnam and Nigeria resumed political and economic relations. Vietnam exported fibres and materials to Nigeria and imported cassava, cashew nuts, peanuts and coca from the African nation. The two-way trade revenue stood at US$62 million a year on average.
Nigeria is a coastal country with 150 million residents who mainly live on agriculture. Hence, Nigeria is a potential market for Vietnamese enterprises to expand production and business cooperation on agriculture, industry and fisheries in Africa.
At present, Nigeria has the largest oil and gas reserve in Africa with 34 billion barrels and 2,000 billion cubic metres of natural gas. This is also the sixth largest oil exporter in the world and the second largest in Africa. The country is the main oil supplier for Western Europe and the United States. With the largest population in Africa, Nigeria is becoming a food importer. Its main imported food is rice. Annually, this nation imports 1.5 - 1.7 million tonnes of rice. The importation is mainly carried out by private companies and the Government regulates it through tax policies to protect domestic production.
Vietnam began exporting to Nigeria in 1995 and has imported from this nation since 1998. Vietnam’s major exports to Nigeria include garments, textiles, computers, electronic products and parts, pharmaceuticals, plastic products, auto and motorcycle parts while its main imports are unprocessed cashew nuts, cotton and timber. Since 2007, raw cashew nuts accounted for 83 per cent of total import revenue of Vietnam from Nigeria.
According to statistics from the Vietnamese General Department of Customs (GDC), the two-way trade between Vietnam and Nigeria expands year after year. Especially, following the Vietnam - Nigeria Business and Investment Forums held in Hanoi and Ho Chi Minh City in October 2008, the bilateral trade revenue climbed to US$105 million in 2008, doubling the amount of US$55 million in 2007.
Mr Sani Bako, the Charge d’affaires of the Nigerian Embassy in Hanoi, Vietnam, said: “To advance comprehensive cooperation, Vietnam and Nigeria ought to have a new look at key fields like oil and gas, maritime, mining, construction, electricity, agriculture, cement, transportation, engineering, telecommunications and education. Possibly, these are the main fields to our two-sided cooperation.” Thus, Mr Sani hoped Vietnamese investors will take the advantage to enhance operations in Nigeria. He said the Nigerian Embassy in Vietnam will provide useful information concerning key investment fields. The embassy has facilitated the issue of visas for Vietnamese businesses to visit and seek investment and trade opportunities in Nigeria, he added.
Vietnamese Deputy Minister of Trade and Industry, Le Danh Vinh, affirmed: “We believe that with the supports from the two governments and dynamic activities of companies, the Vietnam - Nigeria cooperation, especially in the fields of economy, investment, commerce and industry, will develop in both depth and dimension to mark a new era of effective cooperation between Vietnam and Nigeria in the 21st century.” Vietnam always sees Nigeria as a potential market in Africa and as a gateway to penetrate regional markets in Western Africa and Central Africa. At the same time, Vietnam always wishes to expand friendly cooperation in economy, commerce and industry with Nigeria for the sake of mutual prosperity. The Vietnamese Ministry of Industry and Trade pledges to support and facilitate Nigerian enterprises to do business in Vietnam.
Quynh Chi
Vietnamese
