Promoting Cooperation between Vietnamese and Uruguayan Businesses

Enterprises in Vietnam and Uruguay can cooperate in trade, services and investment, especially in agriculture, animal husbandry, agro-fishery processing, construction and biotechnology, on the basis of mutual benefits, said Dr. Vu Tien Loc, President of VCCI, in the meeting with Ms. Rosario Portell Casanova, Ambassador of Uruguay to Vietnam, on May 24 at VCCI Hanoi office.

According to the Chairman of VCCI, Economic - trade - investment relations between the two countries have progressed steadily year by year but are still not commensurate with the available potential and good traditional relations of the two countries. Therefore, the two sides should give priority to promoting two-way trade by strengthening exchanges as well as trade promotion activities and business connection, diversifying export and import goods structure of both sides, facilitating each country's strong products to penetrate each other's markets, Dr Vu Tien Loc added.

Also according to VCCI President, in 2007, VCCI signed a cooperation agreement with Uruguay Chamber of Commerce. However, in the new context, Dr. Loc suggested that the two sides could build a closer cooperation program in the coming time and sign a new agreement, build a connection channel for information exchange between enterprises of the two countries.

Agreeing with the view of VCCI President, Ms. Rosario Portell said that Uruguay is a small country but has many economic advantages. For Uruguay, Southeast Asia in general and Vietnam in particular are extremely important markets. Uruguay wants to export beef and citrus fruits to Vietnam.

Besides, one of the most powerful areas of Uruguay is software. Software produced by Uruguayan enterprises is competitive products in the market. Therefore, Ms. Rosario Portell hopes that, in the coming time, VCCI will actively coordinate with the Embassy and ​​Chamber of Commerce of Uruguay to organize business delegations, seminars, forums to facilitate businesses in Uruguay and Vietnam to exchange information in order to have specific cooperation projects increasing trade turnover between the two countries.

According to trade statistics, the two-way trade turnover of Vietnam and Uruguay in 2018 was estimated at US$140 million, up by 19% compared to 2017. Of which, Vietnam exports to Uruguay was estimated at US$82 million, up by 17.3% compared to 2017; Vietnam's imports from Uruguay were estimated at US$58 million, up 21% compared to the same period in 2017. Vietnam's main exports include sport shoes, clothing, fiber synthetic, suitcases bags, handicrafts, dry coconut. Main products imported from Uruguay include beef, leather, wood, raw materials, woolen yarn, milk, squid, cattle by-products, medicinal materials.

There is still much room for the two sides to cooperate especially in the areas of animal husbandry, agriculture and forestry, biotechnology, culture, and sports. However, distance, lack of trade information, and transport and production stages in third countries, make it difficult for Vietnamese and Uruguay enterprises to upgrade investment cooperation.

Therefore, in order to promote cooperation and improve trade turnover between Vietnam and Uruguay, enterprises of both sides need to soon implement the signed cooperation and promote more cooperation in potential areas.

According to VCCI President Vu Tien Loc, strengthening investment cooperation with Uruguay will help Vietnamese businesses gain information about new markets in Latin America. In contrast, Uruguayan businesses will have the opportunity to access the larger trade area of ASEAN. This is a good opportunity to connect the two countries' business environment. Through this relationship, cooperation between regional organizations of ASEAN and South America, as well as between East Asia and Latin America, will be strengthened.

Thu Ha