Transaction to be boosted to develop Indian market

With advantages in the fields of diplomacy and development cooperation, Binh Duong enterprises and Indian partners promote trade connections to elevate development potentials to the new heights.

GRASPING THE MARKET OPPORTUNITIES

After 50 years of establishing diplomatic relations between Vietnam and India, India has become one of the leading trade partners of Vietnam. In 2021, the two countries' bilateral trade was worth USD 13.2 billion for the first time, increasing by 36.5% compared to 2020. The two countries are working together towards the goal of USD 15 billion in bilateral trade in general, which is a dramatic change in trade relations between Binh Duong province and Indian partners in the coming time.

Exchange between provincial industry and trade leaders and Indian businesses at the Conference for Promoting India Trade 2022

Nguyen Van Danh – Deputy Chairman of Binh Duong provincial People's Committee, affirmed that the 2022 India Trade Promotion Conference is one of the best events when Vietnamese businesses have the opportunity to directly connect with nearly 20 Indian businesses in order to expand the international market, promote the strong economic potential of enterprises and contribute to the economic development of the two countries in various fields of agricultural products, wood, pharmaceuticals, textiles, iron and steel, renewable energy, plastic, packaging etc. in order to expand the international market, promote the strong economic potential of enterprises and contribute to the economic development of the two countries.

In the long term, in order to maintain a favorable and sustainable business and investment environment, Binh Duong province's government is actively promoting information and communication about trade between Binh Duong province and the Indian market. Promotion is to connect trade, improve the efficiency of trade promotion activities, to actively support businesses, industries, craft villages and products of the province and find partners with opportunities to exchange, trade goods and provide services with Indian partners,” affirmed Nguyen Van Danh.

According to businesses from India, the current stage as both India and Vietnam are focusing on rapid economic recovery is the golden time to focus on promoting more effective cooperation with the potentials to expand cooperation in many other fields such as pharmaceuticals, textiles, processed foods, etc. The reason is that if it is possible to develop joint venture cooperation, the two sides will help each other transfer high technologies and promote activities of exports to countries in the region.

CLEARLY ORIENTED

According to Cao Van Dong - Head of Trade Promotion Department of Binh Duong Furniture Association (BIFA), India is one of the countries with the highest GDP growth rate in the world. With a population of about 1.4 billion people and a large market, India will create many opportunities for businesses including those in Binh Duong. For 1/5 of the population of India, the Binh Duong furniture market has a very large size. However, what we need is to find out the customs, habits and aesthetics of the customers that we are targeting. In addition, there are barriers in terms of tariffs, regulations on origin of goods, etc. We are trying our best to promote the development of Binh Duong furniture market.

Notably, Karunendra Jasti - President of FAPCCI Organization from India said Binh Duong can boost the export of fruits and spices such as cinnamon, anise, pepper, wood products, and garments. In contrast, Indian businesses want to invest in producing value-added agricultural products in Vietnam to export back to the Indian market. Therefore, in trade relations, Binh Duong and India still have plenty of room for investment and trade cooperation in exporting products as well as support for processing technology.

Nguyen Thanh Toan - Director of Department of Industry and Trade, emphasized that by organizing the conference, organizers want to help Binh Duong and Indian businesses have the opportunity to learn about trade promotion, exchange and business cooperation policies in many fields according to their potential and strengths in order to promote trade connection activities, and create a restructuring of export goods in the direction of promoting the export of high value-added products, gradually reducing the proportion of raw exports. Thereon, the development of production of export products with competitive advantages is encouraged to be able to penetrate internationally and participate in the global value chain in a stable market share of the world market. Stable production and business activities are, thus, ensured and domestic market and export growth develop in a sustainable way.

Madan Mohan Sethi - Consulate General of India in Ho Chi Minh city, highly appreciated Binh Duong with advantages of favorable geographical location for investment in building synchronous and modern transport infrastructure. At the same time, with the rapid development of industry and trade in services, Binh Duong has been creating a strong driving force to rise and become one of the leading provinces and cities in the country in terms of industrial and urban development. These are very positive conditions for Indian businesses to promote investment and development cooperation in Binh Duong. Madan Mohan Sethi also highly appreciated the initiative of Binh Duong in connecting activities to develop trade in services and expected in the near future to bring the trade connection between Binh Duong and India to a higher level.

India is currently ranked 23rd out of 65 countries and territories investing in Binh Duong with 10 projects and a total investment capital of more than USD 116 million. The main investment fields are medical instruments, processing industry, manufacturing and pasteurization of agricultural products and food.

Reported by Tieu My – Thanh My – Translated by Vi Bao