Opportunity to Access Bangladeshi Businesses and Market

Vietnam and Bangladesh have good diplomatic relations. On February 11, 1973, Vietnam and Bangladesh officially established diplomatic relations. The two sides started exchange of visits and economic and trade interactions. Despite being kept at a low level in the 1979 - 1990 period, bilateral ties have thrived in many aspects like economics and politics since 1990. In November 1993, Bangladesh opened its Embassy in Hanoi and Vietnam reopened its Embassy in Dhaka in January 2003. The two sides have exchanged a number of high-level visits over the years. The first meeting of the Joint Commission for Economic, Trade, Cultural, Scientific and Technological Cooperation was held in Hanoi on February 6 - 7, 2006. Up to now, Vietnam and Bangladesh have signed 14 agreements on political, economic, trade, investment cooperation. The two sides also have good cooperation on international forums like the United Nations, the Non-Aligned Movement, and ASEAN.

 

According to the Vietnam Chamber of Commerce and Industry (VCCI), the two-way trade turnover between Vietnam and Bangladesh remains low. From 2007 to 2012, the bilateral trade value increased instantly, from US$47.4 million in 2007, US$64.7 million in 2008, US$82 million in 2009, US$288 million in 2010 and US$483 million in 2011.

 

The General Department of Customs said Vietnam's export turnover to Bangladesh totalled US$228.8 million in the first eight months of 2012, down 32 per cent from a year ago (US$335.5 million). Key exports included fibre and yarn (US$18.7 million, up 16.9 per cent on year); apparels (US$12.4 million, down 19.5 per cent); iron and steel (approximately US$8 million, down 52.4 per cent). In addition, Vietnam did not export rice to Bangladesh in 2012, a cause to the significant reduction of its exports to Bangladesh.

 

Meanwhile, Vietnam spent US$16.8 million on imports from Bangladesh, down 27.3 per cent compared with the same period in 2011 (US$23 million). Vietnam’s major imports from this market include pharmaceuticals (US$4.4 million, up 21.8 per cent); textile materials, garments, leather and shoes (US$4.2 million, down 9 per cent).

 

However, according to statistics, Vietnam’s export outlook with the Bangladesh market remains positive in 2012. Clinker shipment is estimated to have a good growth as cement producers in Vietnam continued to sign contracts to export to this market. Rice continues to face difficulties as the Government of Bangladesh has halted importing rice until mid-2012 and then imported the food from neighbouring countries, Pakistan and India, instead of Vietnam, because of huge parboiled rice supplies.

 

In general, according to VCCI, economic cooperation between Vietnam and Bangladesh remains weak. Currently, both sides are striving to bring economic cooperation, trade and other fields like agriculture, fisheries, industry, handicraft, finance, banking, culture, education and training , tourism and health care to match political relations.

 

On the occasion of the Vietnam visit by Bangladeshi Prime Minister and business delegation, VCCI in collaboration with the Embassy of Bangladesh in Vietnam will organise the "Vietnam - Bangladesh Business Forum" on November 3 at the VCCI headquarters in Hanoi. This is a good opportunity for Vietnamese enterprises to exchange directly with Bangladesh businesses and explore the market and business opportunities. Companies interested to participate the business forum please contact the International Relations Committee, VCCI: Dung (Mr), Tel: 04 35742022(307)/0984379881; Email: dungnv@vcci.com.vn; Lien (Ms), Tel: 0435742022(352)/0912442662; email: liendt@vcci.com.vn; fax: 04 35742020/30.