Vietnam's Business Sector Officially Ready for Wider Engagement with Sri Lankan Business

Vietnam, the largest economy and the market in the ‘New Asean’ (comprising Vietnam, Cambodia, Laos and Myanmar), has announced that its business sector is officially ready for wider engagement with Sri Lankan businesses and hinted that it’s time for establishment of a Vietnam-Sri Lanka Business Council in Vietnam, according to a statement from the Sri Lankan Ministry of Industry and Commerce.

Vietnam’s decision follows the decision of appointing the first Sri Lankan trade official to Vietnam.

Last month, Rishad Bathiudeen, Sri Lanka’s Minister of Industry and Commerce, led an official delegation and met Ms. Pham Thi Thu Hang, secretary general of the Vietnam Chamber of Commerce and Industry (VCCI), Hanoi.

During the meeting, Ms. Thu Hang said there is lot of business potential for bilateral trade and for Lankan manufacturers, especially, for apparel manufacturers, since the apparel sector is the largest foreign exchange earner for Vietnam.

“The proposed Trans-Pacific Partnership (TPP) agreement, which includes Vietnam and some top global trade economies, will open great opportunities for Vietnamese exporters and for Lankan businesses, and there are great indirect benefits from Vietnam TPP if they choose to invest here,” Ms. Thu Hang said.

She welcomed Sri Lankan businesses to promote their businesses in Vietnam, and added that the VCCI Chamber will establish the identity of current Vietnam-Sri Lanka business dealings and would take steps to establish a Vietnam-Sri Lanka Business Council in Vietnam.

Minister Bathiudeen, apprised the VCCI secretary general that both Vietnam and Sri Lanka have agreed to increase bilateral trade to US$ 1 billion. He sought VCCI’s assistance in working towards the goal of achieving $1 billion target.

Despite the absence of a formal mechanism, trade increases have been observed between both countries, and now a Joint Trade Committee has been set up to bridge the trade gap and increase trade volumes, the Ministry said.