Update news EVFTA
The fact that nearly 35,000 enterprises have now withdrawn from the market three months after the COVID-19 outbreak first appeared in Vietnam reveals the huge impact it has had on business and production.
The COVID-19 pandemic has already made it quite difficult for Vietnamese goods to enter the US and EU markets and the outlook for the second quarter is also gloomy, according to Cong Thuong (Industry & Trade) newspaper.
The European Union entry ban on its wide borders comes in a crucial year for Vietnamese exporters to the EU, leading to the EU-Vietnam Free Trade Agreement to become ever more important for both sides in the year to come.
Businesspeople say the impact of the COVID-19 epidemic on enterprises has been ‘beyond imagination’.
The European Union – Vietnam Free Trade Agreement (EVFTA) will be submitted to the National Assembly for discussion and ratification at the NA’s next meeting expected to open on May 20, and preparations are well underway.
TNG Investment and Trading JSC (TNG) and Thanh Cong Textile Garment Investment JSC (TCM) are expected to benefit the most from the EU-Vietnam FTA (EVFTA), according to Bao Viet Securities.
2020 is a special year for Vietnam because of the 4.0 industry revolution and Covid-19 outbreak.
The Covid-19 crisis, which has paralyzed many factories in China, offers an opportunity for Vietnam’s processed food to penetrate the 1.4 billion consumer market.
Vietnam is in need of major investors in fruit and vegetable production in order to boost processing, especially in the packaging and post-processing stages, to preserve products for longer and enhance their value.
Management agencies have put in place drastic steps in a bid to support businesses as they actively seek out sources of raw materials to be used in production whilst boosting trade promotion activities.
Within five years from the day the FTA takes effect, Vietnam pledges to consider European credit institutions’ proposals to allow them to hold up to 49 percent of shares in two Vietnamese joint stock banks.
Since the EVTFA was approved, experts have been analysing the opportunities for Vietnam to penetrate deeper into the high-value foreign markets.
Vietnam’s seafood industry has received bad news: it can no longer enjoy the preferences offered by the US to developing countries.
The domestic shrimp industry has not faced a great impact from the COVID-19 because now this industry is under production and Vietnam will enter its shrimp harvesting crop in August.
The expected execution of the EU-Vietnam Free Trade Agreement in 2020 will create great pressure on Vietnamese logistics businesses, insiders said.