On March 16, the Trade Promotion Agency under the Ministry of Industry and Trade and the Chinese e-commerce giant Alibaba.com reached an important agreement on selling Vietnamese goods through this channel.

In 2020, the Covid-19 pandemic caused serious consequences for the world economy. The move to digital platforms for export is no longer an option, but a must for small and medium businesses to survive and thrive.

The three Free Trade Agreements (FTAs) signed last year with the European Union (EVFTA), ASEAN and its partners (RCEP), and the United Kingdom (UKVFTA) have opened up great opportunities for businesses in the field of digital transformation to participate in global supply chains, and take advantage of innovative solutions and technologies.

Mr. Stephen Kuo, head of the Asia-Pacific division of Alibaba.com, said that Vietnam is a market with high potential but has not yet fully applied digitalization in all industries and business fields. The group wants to work with more Vietnamese businesses to transform business operations to become more sustainable, this creating long-term benefits.

Digitalization not only serves sales businesses well but also allows them to create a more sustainable business model, said Stephen Kuo.

Bringing Vietnamese goods to the world

According to the e-Conomy SEA 2021 report, Vietnam's e-commerce market is currently worth $7 billion in value with an annual growth rate of 46% from 2019 to 2020.

It is expected to reach $29 billion in 2025 with a growth rate of 34%, higher than that of other industries in Vietnam such as transport and food, online travel and online media; and higher than the average for Southeast Asia.

Through research, Alibaba.com found that the strengths of Vietnamese sellers are production capacity which improved in terms of quality and quantity, diverse product portfolio, competitive prices, and a focus on export.

Several Vietnamese goods categories have experienced impressive growth, including food, beverages, housing, gardening, beauty, personal care and agriculture.

Alibaba.com offers commitments and technical support to trad promotion organizations and small and medium-sized enterprises in digital transformation.

The Trade Promotion Agency pledged to accompany Alibaba.com in activities to improve digital transformation and e-commerce capacity, especially international skills to support trade promotion organizations and the business community.

Vu Ba Phu, Director of the Trade Promotion Department, said the program began in late 2020,. Up to 1,000 companies registered for training, more than 300 enterprises participated in export consultancy and improvement of e-commerce capacity, and over 50 promising businesses will be successfully listed in industries such as agricultural products, aquatic products, furniture, and packaged foods.

This year, training courses in Vung Tau, Quang Ninh, Hai Duong, Son La, Quy Nhon and Buon Me Thuot will be organized. With the goal of supporting 10,000 SMEs in five years and accelerating digital transformation, in 2021 Alibaba.com will work closely with local authorities and provide effective online services and solutions.

Deputy Minister of Industry and Trade Do Thang Hai said the ministry is ready to coordinate with other ministries, provinces and business associations to create favorable conditions and help them sell their goods on Alibaba.com, towards sustainable economic development through export promotion on cross-border e-commerce platforms.

D. Anh

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