More impetus to expand footwear exports to India

Potential market

India is one of Vietnam's seven comprehensive strategic partners. The traditional friendship built over many years with important achievements in recent years is the basis for the two countries to strengthen cooperation, especially in trade relations. Notably, the two-way trade turnover between Vietnam and India accounts for 80% of Vietnam's total turnover compared to other South Asian countries. Vietnam is India's 19th largest trading partner in the world and 5th largest in the ASEAN region.

Among nearly 30 export items to India, footwear is recognized as a product with great potential. According to Ms. Phan Thi Thanh Xuan - Vice President and General Secretary of the Vietnam Leather, Footwear and Handbag Association, India has a rich market with many customer segments. This is a favorable condition for Vietnamese enterprises to penetrate the market.

More impetus to expand footwear exports to India - Photo: Can Dung

Statistics from the General Department of Vietnam Customs also show that in the first 6 months of 2024, domestic enterprises exported more than 93 million USD worth of footwear products to India, along with more than 77 million USD worth of leather, footwear, and textile raw materials and accessories.

When it comes to exporting footwear to the Indian market, many businesses are still worried about the competition. Because India is the second largest footwear production market in the world today with a total output of 2.2 billion pairs/year.

However, according to Ms. Xuan, Indian footwear products are mainly used for the domestic market, the export rate is very low. In particular, this country has strengths in leather shoes. Meanwhile, although Vietnam ranks third after China and India in production, it ranks second in export, after China. " We have strengths in sports shoes, which is also an advantage to boost exports to the Indian market and "avoid" direct competition ," Ms. Xuan said.

In addition, this country has been focusing on creating favorable conditions for domestic production; simplifying business operations through licensing management, online document approval, cutting administrative procedures and administrative procedure costs for businesses. This is also identified as a "favorable" factor for Vietnamese businesses to take advantage of opportunities and boost exports to India.

More impetus for exports

However, Ms. Xuan also acknowledged that although there are many opportunities, there are also many challenges for Vietnamese footwear enterprises to expand exports to India, especially with new requirements on ecological design, sustainable design and technical requirements for export goods, which are also major barriers.

Therefore, representing the leather and footwear business community, Ms. Xuan expressed that in the coming time, on the basis of the good relationship between the two countries, the Government will continue to have a voice so that India can reduce technical requirements, only then will businesses of the two countries have the opportunity to access the Indian market - a very potential market in the coming time.

In fact, in recent years, to support footwear enterprises in particular and enterprises in other industries in general to exploit opportunities and expand exports to India, the Ministry of Industry and Trade has organized many trade promotion activities in this market.

For example, last year, the Vietnam Trade Office in India opened the Vietnamese pavilion at the 7th India International Footwear Fair (IIFF) at Pragati Maidan Exhibition Center, New Delhi. This is the leading event in the footwear industry in South Asia, and is also a large and important fair in the footwear industry in India.

Participating in the fair, Binh Tien Consumer Goods Production Company Limited and Emall Trading and Service Joint Stock Company gradually realized the direction of searching, accompanying distributors to cooperate through the B2B (Business to Business) business form and will upgrade to the B2C (Business to Consumer) form.

In addition, the Vietnam Trade Office in India also organizes many trade connection activities to help businesses of the two countries understand their needs and move towards investment and export cooperation.

The Government and ministries are making efforts to expand cooperation with India. Currently, Prime Minister Pham Minh Chinh and the Vietnamese delegation, including Minister of Industry and Trade Nguyen Hong Dien, are on a State visit to India.

During this visit, Prime Minister Pham Minh Chinh and Indian leaders will discuss and propose directions for the Vietnam-India Comprehensive Strategic Partnership to develop more strongly, substantially and effectively in all fields, especially in trade and investment, with renewable energy, processing industry, pharmaceuticals, infrastructure, logistics, aviation, automobile industry, science and technology, information and telecommunications, digital technology, education and training, culture and tourism, people-to-people exchange, agriculture, etc.

Vietnam-India economic cooperation is on the rise. In the coming time, trade cooperation between the two countries is expected to develop more strongly, striving to reach the target of bilateral turnover of 20 billion USD soon.

Source: https://congthuong.vn/them-xung-luc-mo-rong-xuat-khau-giay-dep-sang-an-do-335916.html