The role of small- and medium-sized enterprises (SMEs) in today’s business landscape cannot be ignored. In the Asia Pacific region, SMEs not only account for the majority of employment and job creation, they make significant contributions to GDP in many related markets. By Hardy Diec - Managing director, FedEx Express Indochina Recent research commissioned by FedEx shows that in Vietnam, eight out of 10 SMEs that engage in imports and exports are exporting to markets outside of the Asia-Pacific, higher than the regional average of 71 per cent. Around 57 per cent of those are optimistic and believe they will see a further increase in exports beyond the region in the year ahead. At the same time, SMEs in Vietnam are even more bullish about exports within the Asia-Pacific, with almost two-thirds anticipating increased revenue growth. Clearly, there is significant opportunity for trade within these markets. SMEs are increasingly looking for opportunities to grow their … [Read more...] about SME success dependent on right market access support
Export market access
Middle East – Vietnam’s potential export market
Middle East is a potential market for Vietnam with 400 million people comprising 16 nations. The region spends $40 billion on food and it will be $70 billion by 2035. Many countries in this region are channeling their trade and investment activities to the East; accordingly it is an opportunities for Vietnamese goods to penetrate and increase its presence in this market. For years, bilateral trade between Vietnam and Middle East has grown. For instance, in 2016 and 2017, two side export-import turnover was $8.06 billion and $12 billion respectively; of the amount in 2017, exports and imports from Vietnam to Middle East totaled $9 billion and $3 billion. Vietnam sells mobile phones, shoes, textile products, rice, pepper, wooden furniture items, cashew, vegetables and coffee to Middle East. Of which, rice grew 242 percent in 2016 to achieve revenue of $97 million and vegetables increased 53.4 percent. As per the Ministry of Industry and Trade, a resident in middle east countries spend … [Read more...] about Middle East – Vietnam’s potential export market
Tricky steps lie ahead for Vietnam’s footwear export market
Vietnam maintained its position as the world's second largest exporter of shoes in 2017 for the third consecutive year, according to data from Vietnam Customs. The country exported over 1 billion pairs of shoes last year, accounting for 7.4 percent of the global market and second only to China, according to World Footwear Magazine. However, 80.4 percent of the country’s footwear export value was accounted for by Foreign Direct Investment (FDI) businesses. A zero import tax that came into effect on January 1 this year under the EU-Vietnam Free Trade Agreement, so FDI shoe companies are expanding their current factories and opening new ones, according to Vietnam’s National Institute for Finance. While opportunities lie ahead for foreign footwear companies, local firms are struggling to develop due to lack of capital and market access, the institute commented. Other challenges for local footwear businesses include rising labor costs and strong competition from international … [Read more...] about Tricky steps lie ahead for Vietnam’s footwear export market
Hanoi targets 7.5-8 percent export growth in 2018
Illustrative image (Photo: VNA)Hanoi (VNA) – Hanoihas set a target of 7.5-8 percent in export growth in 2018 as compared to lastyear, which requires stronger efforts from both the industry-trade sector and businesses.The capital city raked in 1.04 billion USD fromexports in January, up 24 percent from the same period last year. The revenue included 139 million USD contributedby the State sector (up 9.8 percent), 352 million USD from the non-State sector(up 16.6 percent), and 556 million USD from FDI firms (up 33.6 percent),according to the municipal Department of Industry and Trade.All key groups of commodities posted strongyear-on-year export growth in January such as agricultural products (13.6 percent),computer components and peripheral devices (68.1 percent), transport vehiclesand spare parts (12.7 percent), machinery and spare parts (21.8 percent), glassand glass products (25 percent).However, the sale of agricultural products toChina is facing obstacles since this … [Read more...] about Hanoi targets 7.5-8 percent export growth in 2018
Hanoi targets 7.5%-8% export growth in 2018
The capital city raked in US$1.04 billion from exports in January, up 24 percent from the same period last year. The revenue included US$139 million contributed by the State sector (up 9.8%), US$352 million from the non-State sector (up 16.6%), and US$556 million from FDI firms (up 33.6%), according to the municipal Department of Industry and Trade. All key groups of commodities posted strong year-on-year export growth in January such as agricultural products (13.6%), computer components and peripheral devices (68.1%), transport vehicles and spare parts (12.7%), machinery and spare parts (21.8%), glass and glass products (25%).However, the sale of agricultural products to China is facing obstacles since this market is tightening plant quarantine. It has also encountered strict quality and food safety requirements from the US, the EU and Japan.Meanwhile, Hanoi’s export still depends on FDI companies which dominate the production of processed and manufactured products with … [Read more...] about Hanoi targets 7.5%-8% export growth in 2018