Last updated: Monday, April 24, 2017
Vietnam, Lithuania Seek to Boost CooperationPosted: Wednesday, March 15, 2017
Lithuania is one of the three Baltic nations, together with Estonia and Latvia. After the collapse of the Soviet Union in 1992, Vietnam and Lithuania established diplomatic relations and maintained trade relations since then. However, the two-way trade value is still below the potential and expectations of the two countries.
Seeing that Vietnam is one of well-developed markets in Asia in general and ASEAN in particular, the Lithuanian ambassador to China and Vietnam led a working group of experts in Vietnam. During the working visit to Vietnam, the delegation cooperated with the Vietnam Chamber of Commerce and Industry (VCCI) to hold a meeting with Vietnamese businesses with the aim of boosting Vietnam - Lithuania trade and investment ties.
Lithuania is an EU nation with the fastest-growing GDP. It has a population over 3 million people and has the fastest economic growth rate in the world. It is ranked 5th worldwide by market liberation with economic opening. Nevertheless, very few Vietnamese and Lithuanian businesses have direct business relationships.
Lithuania has strong information technology industry, the fastest internet speed in the world while heaving strengths in agriculture, food, vegetables, services and chemicals. The opening and enabling investment environment always provides the most favourable conditions for foreign investors, with corporate income tax ranging from 0-15 per cent (0 per cent applied in special economic zones with available infrastructure). Thus, investment costs in Lithuania are low relative to other EU member states.
Lithuania wants to cooperate with Vietnam in food, beverage, information technology, pharmaceuticals, aviation, distribution (importing goods from Lithuania and distributing them in Vietnam) and tourism.
Lithuanian agricultural attaché Mindaugas Kuklierius said that Lithuania is proud to produce high-quality agricultural products such as milk and wheat. The country turns out about 2 million tonne of milk a year, of which a half is for export. Meanwhile, Vietnam needs to import a huge volume of milk. Lithuanian cheese is also a famous high-quality specialty registered at the EU level.
In the agricultural sector, Lithuania also has a big production output of pork, beef and poultry in relation to its population scale (40,000 tonnes of beef, 90,000 tonnes of pork and 90,000 tonne of poultry a year). The country can produce and process 35,000 tonnes of vegetables and fruits annually, mainly for export. It also wants to import fresh fruits from Vietnam for processing. Thus, both sides should take this field cooperation into consideration.
Ina Marciulionyte, Ambassador of Lithuania to China and Vietnam, said, Vietnam is a well-developed market in Asia in general and ASEAN in particular. Lithuania is keen to promote bilateral trade to match with cooperation potential.
She added that, after this working trip, the Embassy of Lithuania will continue to organise another working group accompanied by enterprises so as to boost direct meetings between Vietnamese and Lithuanian enterprises.