Effective implementation of FTAs "gives wings" to Vietnam's import and export; key aquatic products "prosper"

Implementation of FTAs "gives wings" to Vietnam's import and export; key seafood products grow in 39 markets... are highlights in the export news bulletin on July 31 - August 4.

Xuất khẩu ngày 31/7-4/8: Thực thi hiệu quả các FTA 'chắp cánh' cho xuất nhập khẩu Việt Nam; thuỷ sản chủ lực 'khởi sắc'

Minister of Industry and Trade Nguyen Hong Dien speaks at the first meeting of the Steering Committee for the Project "Summary of 10 years of implementing Resolution No. 22-NQ/TW dated April 10, 2013 of the Politburo on international integration". (Source: VGP News)

Implementing FTAs "gives wings" to Vietnam's import and export

On August 2, Politburo member and Prime Minister Pham Minh Chinh, Head of the Steering Committee for the Project "Summary of 10 years of implementing Resolution No. 22-NQ/TW dated April 10, 2013 of the Politburo on international integration" chaired the first meeting of the Steering Committee.

At the Conference, Minister of Industry and Trade Nguyen Hong Dien delivered a speech highlighting some general features of the results achieved, lessons learned after 10 years of implementing Resolution 22 of the Politburo and directions and tasks in the coming time.

Minister Nguyen Hong Dien said that, implementing the Party and State's policies, in recent years, international economic integration has been carried out extensively, systematically and effectively on all bilateral and multilateral foreign channels and has achieved many important achievements, contributing positively to the country's socio-economic development, increasing the country's overall strength and enhancing Vietnam's prestige and position in the international arena.

To date, our country has had official relations with 189/193 countries, economic, trade and investment relations with 224 countries and territories; signed 15 free trade agreements (FTAs) with more than 60 partners; 71 partners have recognized Vietnam as having a market economy; had cooperative relations with more than 300 international organizations; signed more than 90 bilateral trade agreements, nearly 60 investment encouragement and protection agreements.

Negotiated, signed and implemented 19 bilateral and multilateral Free Trade Agreements (FTAs) with most major economies in the world; of which 16 FTAs have come into effect with more than 60 partners, covering all continents with a total GDP accounting for nearly 90% of global GDP, making Vietnam one of the leading countries in the region in participating in bilateral and multilateral economic cooperation frameworks.

Minister Nguyen Hong Dien emphasized: “The effective implementation of FTAs in recent times has helped expand and diversify markets, supply chains and export products, creating conditions for Vietnamese goods to participate more deeply in the global production and supply chain, and increasing the export value of key products.

Promote strong growth in import-export turnover and a marked improvement in the trade balance, shifting from deficit to surplus (2022 is the 7th consecutive year of trade surplus with a surplus of nearly 12 billion USD. The first 7 months of 2023 continued to record a record trade surplus of 15.23 billion USD), contributing to increasing foreign exchange reserves, stabilizing exchange rates and other macroeconomic indicators of the economy".

In the first 7 months of 2023, state budget revenue from import and export reached 211,230 billion VND.

According to the latest information from the General Department of Customs, in July 2023, the total value of Vietnam's import and export of goods reached 57.07 billion USD, up 2.3% over the previous month. Of which, the total export value reached 30.07 billion USD, up 2.1% and the total import value reached 27 billion USD, up 2.4%.

The total value of the country's import-export turnover in the first 7 months of 2023 reached 374.36 billion USD, down 13.8% (equivalent to a decrease of 60.14 billion USD) compared to the same period last year. Of which, the total export value reached 195.42 billion USD, down 10.3% (equivalent to a decrease of 22.5 billion USD) and the total import value reached 178.94 billion USD, down 17.4% (equivalent to a decrease of 37.64 billion USD).

Vietnam's trade balance of goods in July 2023 had a surplus of 3.07 billion USD. Thereby, raising the accumulated surplus in the first 7 months of 2023 to 16.48 billion USD, much higher than the surplus of 1.34 billion USD in the same period last year.

Regarding the state budget revenue situation, the General Department of Customs said that the budget revenue from import-export activities from July 1 to July 31, 2023 reached VND 26,235 billion, down 14.6% compared to the previous month.

Accumulated from January 1 to July 31, 2023, state budget revenue reached VND 211,230 billion, equal to 49.7% of the estimate, down 19.6% (equivalent to a decrease of VND 51,423 billion) over the same period last year.

In order to facilitate people and businesses in the process of customs procedures in particular and import-export activities in general, up to now, 100% of basic customs procedures have been automated, 100% of Customs Departments and Customs Sub-Departments carry out electronic customs procedures with 99.65% of businesses participating.

Thanks to that, the declaration, reception, processing of information and decision making for customs clearance are carried out with a very high level of automation; the processing time of customs dossiers is only 01 - 03 seconds.

Notably, the General Department of Customs has coordinated with EPAY Company to deploy free customs declaration software for businesses; continue to expand nationwide the GPS electronic positioning seal system to monitor imported and exported goods transported by container, contributing to improving the effectiveness of state management of customs and creating convenience for businesses.

In addition, since 2017, the General Department of Customs has deployed the Vietnam Automated Customs Management System (VASSCM) through connecting and exchanging information with businesses operating ports, airports, warehouses, and locations subject to customs supervision.

The deployment of the VASSCM system contributes to simplifying the documents and procedures for taking goods out of port warehouses; reducing contact between customs and businesses; reducing the travel time for import-export businesses to complete procedures, overcoming congestion at port gates/warehouses; creating convenience and transparency in the management and operation of businesses.

Pangasius exports to some markets are recovering. (Source: Nguoi lao dong)

Key seafood products grow in 39 markets

According to the Vietnam Association of Seafood Exporters and Producers (VASEP), pangasius exports in the first 6 months of 2023 reached 873 million USD, down 39% over the same period last year. Of which, export value to most markets decreased, specifically, China and Hong Kong (China) decreased by 34%; the United States decreased by 61%; CPTPP decreased by 36%; Mexico decreased by 49%; Brazil decreased by 23%...

Some bright spots of Vietnam's pangasius exports recorded positive growth, including Saudi Arabia up 52%, Germany up 39%, Singapore up 6%, and the UK up 3% over the same period in 2022. China - Hong Kong (China), the United States and CPTPP are still the top 3 markets for importing Vietnamese pangasius with imports of 536 million USD, accounting for more than 61% of the total export value of pangasius nationwide.

In the second quarter of 2023 alone, export turnover reached 451 million USD, down 42% compared to the same period in 2022 and decreased in most product segments. Exports of all products recorded negative double-digit growth, specifically, frozen pangasius fillet exports decreased by 44%, fresh/frozen/dried whole/cut pangasius decreased by 15%, and processed pangasius products decreased by 56% compared to the same period last year.

Regarding the price of raw pangasius in the domestic market, the Association of Seafood Processors and Exporters said that the average price of grade I pangasius in Dong Thap in April was VND 30,000/kg, down from VND 32,500/kg in the same period last year. At the end of April and the beginning of May 2023, the price of pangasius decreased to VND 27,500/kg, down from the stable level of VND 32,500/kg in the same period last year. The price of pangasius from June 2023 to mid-July 2023 decreased to VND 27,000/kg.

By the end of June 2023, the pangasius farming area reached 3,220 hectares, an increase of 3.7% over the same period in 2022; the harvested output reached 859 thousand tons, an increase of 11.3% over the same period in 2022. The pangasius farming area certified by VietGAP reached 3,192 hectares, with an estimated output of 1.1 million tons. In addition to VietGAP certification, pangasius farming facilities implement and are certified with other standards such as Global GAP, ASC, and BAP.

The Vietnam Association of Seafood Exporters and Producers said that the year-on-year decline has gradually narrowed in most markets. Export values in the following months have also gradually increased compared to the previous month. In the second quarter of 2023, export turnover reached 451 million USD, down 42% compared to the same period in 2022, up 7% compared to the first quarter of 2023.

In the second half of this year, it is expected that inventory will gradually be cleared in the markets, with demand becoming more positive as we enter the ordering season for year-end consumption and major holidays.

In addition, some markets maintained positive growth throughout the first half of this year such as Saudi Arabia, Germany, Singapore, and the UK, which are still considered promising destinations for Vietnam's pangasius export industry, increasing from 3% to 52%.

In addition, some Southeast Asian markets are also considered potential destinations with more stable economies, lower inflation, geographical advantages, and tariff incentives under FTAs.

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