“South Africa has specific support policies and practical incentives in the field of investment and trade for foreign investors, including Vietnamese investors. This is a golden opportunity for Vietnamese business community to approach and conquer the South African market,” said Ms Kgomotso Ruth Magau, Ambassador of the Republic of South Africa to Vietnam, at the seminar and business matching event between South Africa and Vietnam. The event was co-organised by the Ho Chi Minh City Branch of the Vietnam Chamber of Commerce and Industry (VCCI-HCM) and the South African Embassy in Vietnam aiming to create opportunities for the two countries’ businesses to exchange and establish partnerships, striving to leverage the two countries’ partnerships and cooperation to a new level.
Belonging to the five major emerging national economies (BRICS) and a member of the British Commonwealth, South Africa has favourable natural conditions, abundant mineral resources, and modern technical infrastructure, and has been enjoying a strong growth rate. South African companies hold a prominent role in most African markets. Vietnam and South Africa established diplomatic relations on December 22, 1993. For over two decades, the friendship between the two countries has been developing in all fields, achieving significant progress, especially in trade – investment. Both countries regard this a key cooperation field for the near future. With bilateral trade volume in 2015 reaching US$1.2 billion, South Africa has become the largest export market of Vietnam in the region.
Speaking at the seminar, Deputy Director of VCCI - HCM Nguyen The Hung said that in recent years, in order to support the two business communities’ exchange and further promote bilateral cooperation, VCCI signed various cooperation agreements with the Johannnesburg Chamber of Commerce & Industry (November 2003); and the South Africa Chamber of Commerce & Industry (November 2004). In 2010, the Vietnam - South Africa Business Council was established. On this basis, several activities to support enterprises of the two countries have been implemented. Every year, VCCI collaborates with partners in South Africa, as well as the South African Embassy in Vietnam, to hold workshops and trade exchanges to promote bilateral cooperation.
According to Mr Kabelo Kenneth Malatsi, Head of Trade Promotion & Investment Office (Ministry of Trade and Industry of South Africa), the strategic location of South Africa as the gateway to the continent would bring more cooperation opportunities in investment and trade to Vietnamese enterprises as the two countries' businesses tightened economic cooperation. Specifically, South Africa would be an important gateway to help Vietnamese goods penetrate African markets. “With the goal of strengthening bilateral trade cooperation, the South African government welcomes and is willing to support Vietnamese enterprises through many incentives to help them access the South African market, especially South Africa,” stressed Mr Malatsi.
Meanwhile, Ambassador Magau emphasised the similarities in terms of culture, history, and humanity between the two countries, connecting the governments and people of Vietnam and South Africa. The South African market was having an increasing demand for “made in Vietnam” commodities. That’s the drive behind South Africa’s recent boost in Vietnamese goods import, consisting of Vietnam's advantageous items such as footwear, garments, coffee, rice, gems and metals, wood and wood products. Emphasising on the potential of Vietnam as a partner of South Africa in its efforts to promote economic cooperation, trade and investment relations with ASEAN countries, the ambassador hoped that in the next five years, the bilateral trade turnover of Vietnam - South Africa would hit the US$3 billion mark and Vietnam would stand in the rank of the top ten biggest exporters to South Africa.
As the Honorary Consul of South Africa in HCMC, Ms Do Thi Kim Lien affirmed: “South Africa has always had an important role in Vietnam's general policy for the region; however, due to distant geographic location and language barriers the potential of bilateral cooperation has yet to be fully exploited. Over recent years, the two governments’ efforts to strengthen trade - investment promotion have played an important part in improving the two business communities’ knowledge about each other. Working alongside the South African Embassy in Vietnam, we are promoting trade cooperation between two countries in high potential commodities such as agricultural produce, textiles, footwear, and others.”
At the seminar, representatives of companies which have had long partnerships in the South African market such as Topcake, Luong Gia Food JSC were enthusiastic to share their invaluable experience in doing business in this potential market.
My Chau
Vietnamese
