Breakthroughs in Export to Argentina

Statistics of the General Department of Customs shows that there has been a big increase in trade exchange between Vietnam and Argentina in recent years. Export witnessed an impressive growth of 100.5 percent, reaching a turnover of US$71.6 million with a breakthrough in Quarter 2 of 2011.

 

Thanks to a significant growth in export to this market, the trade deficit of Vietnam with Argentina has been narrowed in the first six months of 2011. This is a very good signal in the trade relationship with Argentina since statistics in recent years reveal that Vietnam’s trade balance is always in an import excess status when doing business with this largest South American market. In 2010, Vietnam’s import excess hit US$734.7 million, up 38 percent against 2009 and 8 times bigger than Vietnam’s export turnover to Argentina in 2010.

 

In 2010, the export – import value of Vietnam with Argentina witnessed sharp increases. Import of goods to this market reached US$91.6 million, up 64 percent compared to 2009, ranking the eighth largest export market of Vietnam in America and the 54^th largest import market of Vietnam in the world (it ranks the 61^st in 2009). The sharp increase in Vietnam’s export to Argentina in 2010 was attributed to the growth in export of such items as footwear products, garment and textile products, rubber, leather wallets, hats and umbrellas, etc. It is also attributed to increase in general import of this country. According to WTO’s figures, Argentina’s import turnover is US$56 billion, up 46 percent against 2009.

 

Though not as high as the increase in export turnover, Vietnam’s import from Argentina in 2010 also reached US$826.3 million, up 41 percent compared to 2009 and Argentina ranked the 16^th amongst countries supplying goods for Vietnam. Goods imported by Vietnam from Argentina in the previous year included animal food, materials, vegetable oil and animal fat, raw materials for garment and textile industry, leather and shoes, etc. According to statistics from WTO’s April 2011 report, total export value of Argentina in 2010 reached US$69 billion, up 23 percent compared to 2009. As such, goods imported from Argentina by Vietnam only accounts for 1.4 percent of the total goods export value of this nation. However, Argentina is always a market supplying imported goods source for Vietnamese enterprises, 2^nd largest in the America, ranking after the US.

 

In the first six months of this year, export of goods from Vietnam to Argentina continues to be boosted, which brings Argentina to the 44^th rank amongst Vietnam’s export markets. In the America only, Argentina surpasses Chile and ranks the 7^th largest export market of Vietnam.

 

The robust increase in Vietnam’s export turnover to Argentina in the first two quarters of 2011 is mainly attributed to export of garment and textile products and footwear products (over 100 percent).

 

Vietnam Customs leaders believe that above achievements are attributed to Vietnam’s endeavors in exploiting new markets and potentials in addition to traditional markets including the EU, Japan, etc. which are currently facing economic difficulties. The attraction of this new market will motivate Vietnamese enterprises to promote trade and boost transactions with nations in this region.