Today: 25/02/2024 05:45:11 (GMT+7)

Vietnamese firms making relatively good use of EVFTA

Vietnamese enterprises are making relatively good use of the EU-Vietnam Free Trade Agreement (EVFTA), a recent survey revealed.

The survey of enterprises’ awareness of the EVFTA was conducted by the Centre for WTO and International Trade under the Vietnam Chamber of Commerce and Industry (VCCI).

Vietnamese firms, relatively good use, EVFTA, Free Trade Agreement, Vietnamese enterprises, good knowledge, most economic benefits

Processing canned pineapple at a factory of An Giang Agriculture and Foods Import Export Joint Stock Company.

It found that nearly 94% of enterprises in Vietnam had heard or knew about the EVFTA at different levels, which is the highest rate among the FTAs signed by the country at present. Three out of 10 businesses have relatively good knowledge and one in 10 have very good knowledge of the commitments related to business activities under the EVFTA.

Nguyen Thi Thu Trang, director of the WTO and International Trade Centre, said the benefits provided from the deal should be big enough to attract attention from local enterprises. Attention varies across different sectors, but this FTA may be generating the most economic benefits.

According to the survey, four out of 10 enterprises reported they had gained from the EVFTA, especially preferential tariffs for exports and imports.

The majority of respondents also said they were benefiting from new opportunities under the EVFTA in terms of forming partnerships, receiving more orders, and gaining more revenue and profits from the engagement in supply chains to serve trade with the EU.

About 17% of enterprises said they had benefited from preferential tariffs for at least one batch of exports under the EVFTA, and 16% gained this benefit for import batches.

However, up to 59% of enterprises also reported they hadn’t benefited from the agreement over the last two years, explaining that they haven’t made any transactions with EU partners during the period to capitalise on the deal. Other reasons included businesses’ limited capacity or obstacles related to the agreement in the EU and Vietnam.

Meanwhile, 4.2% of firms noted they had suffered losses under the deal, mostly in terms of increased compliance costs and greater competition pressure from EU imports.

Trang said with nearly 20% of enterprises having made use of the EVFTA in the first two years of enforcement, they had gained momentum for continued capitalisation of the EVFTA after the EU’s Generalised System of Preferences (GSP) expires. If businesses proactively learn about EVFTA-generated opportunities, they will have a smooth transition from the GSP to the EVFTA.

EVFTA helps compensate for pandemic-caused economic downturn: experts
The implementation of the EU - Vietnam Free Trade Agreement (EVFTA) has greatly helped make up for a downturn in the economy caused by the Covid-19 pandemic, experts said at a workshop in Hanoi on February 25.
FTAs provide impetus for exports
Despite pandemic-caused difficulties, Vietnam still posted a trade surplus of 4 billion USD, an impressive achievement partly attributed to free trade agreements (FTAs), especially the new-generation ones.
Vietnam urged to improve policies for effective implementation of EVFTA
Improving the policy system and legal framework based on international trade practice is one of the important factors for Vietnam to integrate more deeply into the global value chains and attract investment capital from Europe as well as create a level playing field for domestic and foreign enterprises, Ambassador Giorgio Aliberti, Head of the European Union Delegation to Vietnam, has said.
Switzerland hopes for early signing of FTA between Vietnam, EFTA
Vietnam and Switzerland have agreed to soon conclude negotiations on a free trade agreement (FTA) between Vietnam and the European Free Trade Association (EFTA), of which Switzerland is a member.
Vietnam, Israel look toward bilateral FTA next year
Vietnamese Minister of Industry and Trade Nguyen Hong Dien has hailed Israel as a promising market of Vietnam in West Asia.

Source: VNA

Vietnamese firms, relatively good use, EVFTA, Free Trade Agreement, Vietnamese enterprises, good knowledge, most economic benefits
New comment has just been added. Click here
Sort:NewBest News