Hanoi (VNA) –The EU-Vietnam FreeTrade Agreement (EVFTA) is hoped to usher in a new period in promoting cooperation andmutual economic development between the two sides as it comes into effect inmid-2019, according to Italian experts.

In a recent interview granted to Vietnam News Agency’s correspondent in Italy, Vietnam’s Honorary Consul in Turin Sandra Scagliottiand Chairman of the Italy-VietnamChamber of Commerce Fulvio Albano stressed that the new-generation agreementmay mark the beginning of a new era in trade relations between Vietnam and the EU.

Negotiations and the legal review have been completed for both the free trade agreementand the one on investment protection. The EVFTA process is now awaiting theCouncil of Europe and the European Parliament to sign and ratify it.

The agreement will bring great advantages to both Vietnamese and EU investors,including Italy, they noted, adding that the EVFTA is said to be a win-win agreementfor both parties, creating a resoundingly positive effect for businesses andtheir long-term investment plans.

Recently, many workshops have been held in European countries to inform thoseinterested of the great potential of the EVFTA, as well as to pressure the EuropeanParliament into promptly ratifying the trade pact.

In Italy since November 2018, the Centre for Vietnam Studiesin Turin has prepared a series of workshops to affirm the significance ofthis agreement in facilitating exchange and cooperation between Vietnam andEuropean countries by simplifying customs procedures for certain products, recognising geographicalindications, and applying environmental protection standards.

Europe should not underestimate the fact that Vietnam is an important economyin Southeast Asia, the experts said, noting that thanks to its politicalstability and open-door policies to attract investment, Vietnam has risen onWorld Bank’s business rankings.

The urbanisation rate in Vietnam is increasing rapidly, with the number ofpeople in cities in 2015 accounting for 34 percent of the total population, givingan indication of the great potential of the Vietnamese market.

According to the experts, made-in-Italy brands are more and more popular inVietnam with its current trend of modernisation and great demand for building infrastructure,in which Italy holds strength. Several fields in Vietnam are also attracting theattention of Italian companies.

Regarding opportunities for Italian enterprises in the EVFTA, Fulvio Albanostated that Italy was one of the first European countries to establishdiplomatic relations with Vietnam and has always been one of its main partners throughthe friendship and open dialogue between the two countries.

In recent years, the bilateral relations have been continuously promoted. Withthe elimination of 99 percent of tariffs on exchange of goods between the twosides, the trade pact will facilitate and open a level playing field forEuropean companies specialising in export and investment.

He said Italian firms need to act quickly to seize opportunities brought by theagreement, adding that they should make themselves known in Vietnam as soon aspossible and promote their products on this new market.

Italy’s main exports – such as machinery, equipment, leather products,pharmaceutical chemicals, textiles, and food – can benefit greatly from theagreement. Moreover, big Italian companies are gradually increasing theirinitial investments in Vietnam and coming to recognise the country as their productioncentre.

President of the European Commission Jean-Claude Juncker remarked that trade andinvestment agreements with Vietnam are creating a model for Europe’s tradepolicy, and helping to further strengthen the Italy-Vietnam bilateralrelations.

Once the EVFTA agreementgoes into effect, the EU will eliminate import duties on approximately 85.6percent of its tariffs lines on Vietnamese products. After seven years, 99percent of EU tariffs will be removed for Vietnamese products. Vietnamesetextiles, footwear, and seafood products (except for canned tuna and fishballs) will incur no import duties within seven years after the agreement takeseffect.

Vietnam will eliminate 65 percent of its importduties on EU items and has drawn up a roadmap to eliminate tariffs by over 99percent over the next decade. The remaining export items will be offered tariffquotas with an import duty of 0 percent. –VNA