Vietnam-Bangladesh Business Forum: Towards All-round Cooperation

Vietnam-Bangladesh Business Forum was held in Hanoi on the occasion of the visit of a 32-member business delegation headed by Chairman of International Business Forum of Bangladesh (IBFB) representing different sectors namely garment, steel, financing, banking, real estate, agriculture, food, automobile, motorcycle, cold storage, import-export..

 

The delegation visited Vietnam from June 1 - 6, and attended Vietnam-Bangladesh Business Forum sponsored by VCCI and Bangladesh Embassy.

 

IBFB is a non-profit organization licensed by Bangladesh government in 2006. Its main activities are trade promotion, improvement of business environment, advising policy-makers on reform and new policy to improve business environment to attract foreign investments in Bangladesh.

According to Mr Pham Gia Tuc, VCCI Vice President and Secretary General, the forum is the chance for businesses of the two countries to meet and exchange information and cooperation opportunities to promote bilateral economic and trade relations.

 

Vietnam and Bangladesh share long lasting diplomatic and economic relations. The exchange of visits of State leaders and ministry officials has set the foundation for new development in bilateral relations including trade relations with new progress.

 

According to 2009 statistics, two-way trade value stood at US$82 million with Vietnamese export accounted for nearly US$60 million (27 percent more than 2008). Main Vietnamese exports are textile, yarn, cable and wire, urea fertilizer, steel, machines and parts. Vietnamese import worth US$23 million (28 percent more than 2008) with such items as materials for garment and footwear, tobacco, pharmaceuticals.

 

The two countries are preparing programme for all-round cooperation, first of all, accelerating economic, trade and investment cooperation. The two countries have also agreed to consider preferential treatment for imported commodities, especially taxation and direct payment. The two sides will increase   exchange of pharmaceuticals, garment, footwear, cement, machines and equipment.

Reviewing bilateral economic and trade relations, Mr Tuc said that though the two countries have similar resources, the trade value remains below the potentials.

 

For her part, Ms Ho Thi Kim Thoa, Vice Minister of Industry and Trade said that Bangladesh is a big market in South Asia with big population and consumption power. In spite of similarities in export items, there are still many areas that the industries of the two countries and compliment each other, from production to consumption.

 

Businesses of the two countries should increase exchange of information on products, markets as well as trade and investment policy, list of importers and exporters, and trade fairs. Ms Thoa believed that Vietnam and Bangladesh should review the agreements already signed such as on encouragement and protection of investments, textile and garment cooperation, banking direct payment.. and sign additional agreements to improve legal framework.

 

Mr Supradip Chakman, Ambassador of Bangladesh in Vietnam confirmed the development of bilateral economic relations and said that with potentials and joint efforts, bilateral economic relations can be developed further. The forum this time will improve the understanding as well as business cooperation between the two countries. The Ambassador said that Bangladesh has a strategic location with ASEAN, a big market of 150 million people, liberal investment policy and is promoting economic relations with East Asian countries. Many ASEAN businesses have already approached Bangladesh market. Vietnamese businesses can find opportunities in such areas as footwear, garment, agricultural produce, pulp, ceramics.

 

Bangladesh encourages foreign investments with cheapest labour in the region and low land rental. Vietnamese textile and garment businesses should promote investments in Bangladesh and export products to third countries, EU for example. Vietnam businesses can also invest in agricultural mechanics, industrialization of agriculture...

 

As Chambers of Commerce of the two countries have established joint business council to promote the exchange of information, Mr Tuc reaffirmed that VCCI in conjunction with Bangladesh Chamber will support businesses of the two countries to increase cooperation providing information on investment environment as well as FDI projects.