People making handicraft products in the central province of Thua Thien-Hue. South America is a promising market for Viet Nam’s exports such as apparel, leather and footwear, handicraft, aquatic products and processed food. — VNA/VNS Photo Dinh Hue

The online Viet Nam – South America logistics trade forum has been held to help the two countries' firms expand business co-operation opportunities in the field.

Speaking at the event, deputy head of the Ministry of Industry and Trade (MoIT)’s Viet Nam Trade Promotion Agency Le Hoang Tai said South America is a promising market for Viet Nam’s exports such as apparel, leather and footwear, handicraft, aquatic products and processed food. However, its export turnover remains limited.

Recently, both sides have faced difficulties in trade due to the COVID-19 pandemic. Moreover, distance and limited transportation of goods also resulted in high logistics cost, making it hard for Vietnamese goods to compete with rivals.

Logistics firms also faced barriers related to language, cultural differences and access to market information, he said.

Vice General Secretary of the Viet Nam Logistics Business Association Nguyen Tuong said Viet Nam’s logistics sector was undergoing a digital transformation to meet development demand following the pandemic.

He proposed enterprises meet together or via agents to learn about information related to the market and demand. Embassies should also hold trade promotion trips to support them.

CEO of the Empresas Taylor Company Matthew Taylor Pollmann suggested Vietnamese logistics firms join projects on technological transformation, adoption of artificial intelligence in logistics, or switch to green energy in Chile.

Tai added that the MoIT is reviewing administrative procedures to create favourable conditions for export and logistics firms.

The ministry should also encourage logistics companies to invest in infrastructure and digitalise operations to improve competitiveness, he said. — VNS