Viet Nam and India have plenty of room for expanding their cooperation in both trade and investment, especially in the fields of digital tech, supporting industries, e-commerce, retail, and agricultural production, said participants at the 2nd Viet Nam – India business forum held in HCM City on Thursday.
The event was co-organised by the Indian Consulate General to the city, the Indian Chamber of Commerce (ICC), and the municipal Investment and Trade Promotion Centre (ITPC).
Pranay Verma, Indian Ambassador to Viet Nam, said economic and trade ties are important pillars of the two countries’ comprehensive strategic partnership.
Viet Nam – India bilateral trade increased rapidly from US$200 million in 2000 to more than $13 billion in 2021 and the two countries are aiming for $15 billion this year.
As of February 2022, India ranked 25th out of 140 countries and territories investing in Viet Nam with 315 valid projects worth more than $918 million, mostly in the processing industry, manufacturing, electricity production and distribution, and mining.
On the other hand, Viet Nam had nine investment projects, mainly wholesale and retail ones, in India, whose total value exceeded $6 million.
Bilateral trade and investment ties, however, are not yet commensurate with the nations’ potential, the ambassador noted, adding that as both India and Viet Nam are emerging from the shadow of COVID-19 and focusing on a rapid economic recovery, it is the perfect time to work on promoting cooperation toward better effectiveness.
The COVID-19 pandemic has caused supply chain disruptions, but it has also pushed countries and businesses to interact more with each other via technology applications, and that's where new business opportunities emerge, Verma said.
Policy similarities and the spirit of self-reliance of the two peoples are a solid basis for the countries to tap the potential for cooperation in trade and investment, said Verma.
Agreeing with the diplomat, Vo Van Hoan, deputy chairman of the municipal People’s Committee, said both Viet Nam and India are receiving large amounts of foreign investment, opening up opportunities for them to enter the post-pandemic economic recovery period.
Sumita Dawra, head of the Indian Department for Promotion of Industry and Internal Trade (DPIIT), said India has strengths in IT, pharmaceuticals, oil and gas, and experience in the production of iron and steel, footwear and cotton yarn. These fields are suitable for Vietnamese businesses to seek partnerships to develop domestic production and integrate deeper into the global supply chain.
Extensive room remains for joint work regarding investment and trade in agricultural products as well as for mutual support in processing technology, she added.
ICC Director General Rajeev Singh said Indian businesses are increasingly interested in collaborating with Vietnamese businesses.
In addition to promoting the implementation of large-scale investment projects, the ICC will work to enhance connectivity between Vietnamese and Indian SMEs to maximise the potential and strength of each side, he said. — VNS