Market and product

(VEN) - In recent years, particularly since the strategic partnership between Vietnam and India was established in July 2007, the two countries have seen a rapid growth rate in trade relations. In 2009, Vietnam's export value to India grew 10.8 percent compared to 2008 and in 2010, 136.2 percent compared to 2009.

According to the General Department of Vietnam Customs, Vietnam's export value to India in January totaled US$354.7 million, an increase of 63.1 percent compared to the same month last year. Among those, Vietnam's export value to India hit US$97.4 million, an increase of 85.8 percent and the import value was US$267.3 million, 56.1 percent more than the same month of last year.

At present, Vietnam exports a wide range of products to India. (In the past, agricultural products were among the highest). In 2010, high-value products including coal (with an export value of US$78.67 million), rubber and products made from rubber (US$76.87 million), iron and products made of iron (US$76.03 million), computers, electronic products and spare parts (US$67.12 million) and other machines and accessories (US$61.15 million) were exported to India.

According to economists, although the two countries share the same types of export products (such as agricultural products, aquatic products and garment and textile products), Vietnamese products are gradually cementing their position in the Indian market.

India ranks 11th among Vietnam's export markets. Indian companies have shown specific acumen in doing business in the international market. India is the leading country in the field of processing spices. The country is one of the founders of the World Trade Organization (WTO) and the General Agreement of Tariffs and Trade (GATT). Thus, India is a potential partner for Vietnam to enhance cooperation.

According to the Vietnam Chamber of Commerce and Industry (VCCI), the Prime Minster approved the establishment of the Vietnam-India Business Forum in 2011. The forum will create positive opportunities for businesses from both sides to meet, exchange experiences and sign contracts.

Noticeably, in the 2011-2012 fiscal year, the Indian Embassy in Vietnam intends to strengthen trade promotion programs such as market research programs for high volume products and invite the Federation of Indian Export Organizations to take part in trade fairs in Vietnam.

In addition, the Indian Embassy to Vietnam will organize catalogue exhibitions at major exhibition centers in Hanoi and HCM City to help Vietnamese importers learn more about Indian products.

Vietnamese businesses should enhance their search for business opportunities in India. First, they should send their products and catalogues to take part in exhibitions and trade fairs in India. Then, they should choose Indian representatives to help them sell. Those methods will help promote bilateral trade between Vietnam and India./.