Marko Walde, Chief Representative of the Delegation of the German Industry and Commerce in Vietnam, Myanmar, Cambodia and Laos. (Photo: VNA) In an interview granted to the Vietnam News Agency(VNA)’s correspondents in Berlin on the occasion of the three years of implementingthe EU-Vietnam Free Trade Agreement (EVFTA) (August 1, 2020), the expert notedthat Vietnamese firms would benefit more from the deal.
This is the fourth free trade agreement the EU hassigned with an Asian nation, and the second with a member of the Association ofSoutheast Asian Nations (ASEAN), he stressed.
Walde said thanks to the deal, trade between the twosides has been growing despite impacts of the COVID-19 pandemic over the pastthree years, adding it has also created more opportunities for German enterprisesin Vietnam.
However, Vietnamese businesses have yet to take full advantage of the agreement, with Vietnamese goods makingup only about 2% of the EU’s total imports, he said.
The expert pointed out that complex administrativeprocedures are a main barrier to companies from Germany in particular and Europein general although Vietnam has made efforts in streamlining them.
Other limitations are infrastructure, he said,suggesting Vietnam improve its capacity, especially in renewable energy to maintaineconomic growth, and modernise its roads, railways, seaports and airports toensure smooth business and trade operations.
According to Walde, partnerships with European businesses,including those from Germany, have facilitated technology transfer and Vietnam’sintegration into supply chains.
Vietnamese enterprises need to raise their awareness andunderstanding about standards and regulations set by the EU, he continued,suggesting them seek support from competent agencies, especially through programmeslaunched by the Government, in order to sharpen their competitiveness.
They should optimise technical support from the EU andGermany to improve supply chain connectivity, he said.
Besides, visa and work permit procedures remain achallenge, he went on, stressing the need for Vietnam to invest more in humanresources development to become more attractive to European investors who areseeking skilled labourers and long-term partnership./.
VNA
