"Open door" to export footwear to Chilean market

As members of two free trade agreements, Vietnam and Chile have many opportunities to increase import and export turnover of goods, including footwear.

According to data from the General Department of Customs, in the first 9 months of 2024, Vietnam exported over 103 million USD worth of footwear to the Chilean market. Although not in the top 5 largest footwear export markets of Vietnam to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the 6th position also makes Chile a potential market for Vietnamese footwear.

In the CPTPP, for footwear, Chile committed to the longest tariff elimination roadmap of 4 years (list B4). However, in addition to the CPTPP, Vietnam also signed the Vietnam - Chile Free Trade Agreement (VCFTA) with Chile, which took effect in 2014. Therefore, footwear exported from Vietnam to Chile had their tariffs completely eliminated in the 5th year since the VCFTA took effect (ie in 2019).

'Open door' to footwear exports to Chile. Photo: Gia Dinh

In the Chilean market, although Vietnamese footwear products have many advantages for export, Vietnamese enterprises still face non-tariff barriers such as requirements on quality standards, food safety and hygiene certification and labeling regulations.

Furthermore, Chile is an open market, Vietnam is not the only country that wants to export here. Other countries that have good trade relations with Chile are competitors of Vietnam. Chile has different consumption habits compared to the Vietnamese market, so understanding consumer trends and customer tastes is a challenge for businesses.

To boost exports to Chile, the Ministry of Industry and Trade recommends that businesses should proactively research the market to understand consumer needs and trends, as well as update Chile's economic - trade - investment policies through state support agencies and units such as the Ministry of Industry and Trade, the Vietnamese Embassy in Chile, the Chilean Embassy in Vietnam, etc.

At the same time, actively participate in trade and investment promotion, connect trade with Chilean partners to seek business cooperation opportunities; pay attention to quality standards, food safety requirements and Chilean certificates of origin. In particular, promote the application of technology in export management and logistics to reduce costs, improve efficiency and ensure on-time delivery. In addition, focus on marketing strategies, brand building, product promotion through international media channels and events to increase the presence of Vietnamese products in Chile.

On the other hand, businesses need to understand VCFTA and CPTPP to take advantage of opportunities and incentives from the agreement, as well as master export regulations, especially trade barriers, tariffs, and customs procedures in Chile to minimize costs and avoid unexpected incidents during the export process. On the other hand, focus on sustainable development because this is an important trend in international markets, including Chile.

Source: https://congthuong.vn/rong-cua-xuat-khau-giay-dep-sang-thi-truong-chile-357795.html