The Union Minister for Commerce, Industry and Textiles Shri Anand Sharma, expressed confidence that a target of USD 7 billion for bilateral trade between India and Vietnam can be achieved by 2015, if the present rates of growth of trade are maintained. “It is a matter of satisfaction that our bilateral trade has witnessed a sustained and healthy growth over the years,” said Shri Sharma in a bilateral meeting with Dr.Vu Huy Hoang, Vietnamese Minister of Trade and Industry, in New Delhi today. Shri Sharma feeling optimistic further added: “With the implementation of India-ASEAN FTA by India and Vietnam since 1st June 2010, bilateral trade would maintain the present growth momentum and would achieve the target.” The bilateral trade between India and Vietnam was USD 3.451 billion in 2010, which rose to USD 5.017 billion in 2011. From the period of January-September 2012, the bilateral trade between the two countries has been marked at USD 3.886 billion.
Highlighting the fact that the signing of the India-ASEAN Free Trade Agreement is a landmark in the bilateral relations with the ASEAN countries and the ‘Look East’ policy, Shri Sharma was confident that FTA will further strengthen the bilateral relationship between the two countries. Shri Sharma also thanked Vietnam for ratifying the Agreement and bringing it into effect from 1st June 2010.
Shri Sharma conveyed to the Vietnamese Minister the need of an ambitious Agreement on Services & Investment, after the Comprehensive Trade in Goods Agreement. “We look forward to flexibility from Vietnam in concluding this Agreement by the targeted timeline of early 2012,” said Shri Sharma.
Shri Sharma also expressed the keenness of the Indian banks to open their branches in Vietnam, which in turn will facilitate increased trade and investment between both the countries.
Shri Sharma also expressed that he was glad that that air companies from both the countries have expressed interest in starting air operations. During the visit of President Sang in October 2011, Vietnam Airlines and Jet Airways had signed a MoU for comprehensive cooperation, including commencing direct flights in the near future.
Shri Sharma also raised problems related to land acquisition issues in Vietnam which is hampering the pace with which manufacturing industry can set up their bases in Vietnam. Shri Sharma also highlighted that the renewal of licenses in the pharmaceutical industry is lengthy, as the renewal can only be done when the old one expires.
Shri Sharma also said that India is considering to organize an ‘India Show’ in Vietnam with the participation from more than 100 Indian companies in the near future. He also added that the Apparel Export Promotion Council (AEPC) can also organise a fashion show in Hanoi and Ho Chi Minh City this year.
Shri Sharma said that India is looking forward to Vietnam’s participation in the India-ASEAN Business Fair to be held in New Delhi in December 2012, to commemorate 20 years of our partnership with ASEAN. “We invite Vietnam to participate in these events,” said Shri Sharma. Minister Sharma was also pleased to discuss that the India-Vietnam Business Forum has been launched in partnership between the Vietnam Chamber and Industry of Commerce and Industry and Indian Chamber of Commerce, Vietnam. Shri Sharma expressed confidence that “this forum will generate increased opportunities for new business partnerships between our countries.”