Sri Lanka-Vietnam trade link established in Hanoi

22 August 2014 06:30 pm Views - 4513

he first ever Sri Lanka-Vietnam official trade mechanism went live in Hanoi this week (August 21).
A six-member team led by Industry and Commerce Minister Rishad Bathiudeen is currently in Hanoi for the talks to setup this first official trade mechanism. Along with Minister Bathiudeen in the delegation are RDS Kumararatne (DG-Department of Commerce), and Bandula Egodage (Chairman & CEO-EDB). Also joining the Sri Lankan team is Ivan Amarasinghe (Sri Lanka’s Ambassador to Vietnam).





The seven-member Vietnamese official delegation is led by the powerful Minister of Trade and Industry of the Vietnam Vu Huy Hoang and joined by his top commanders-Nuuyen Phuc Nam (Head of Western Asia Markets), and Qui Hui Son (DG-Vietnam Trade Promotion) as well as Deputy Directors. RDS Kumararatne (DG-Department of Commerce) is leading the technical sessions of the first JTSC in Hanoi.

“This new beginning will open many new opportunities for both countries. I am   fully convinced that setting up of a Joint Working Group (JWG) or Joint Trade Sub Committee, would lay a concrete foundation to enhance the existing bilateral trade and economic relations  new heights,” Minister Bathiudeen said addressing the opening session of the bilateral discussions to establish the first Joint Trade Sub Committee (JTSC) between the two countries in Hanoi.

At present Vietnam is ranked the 40th export destination and the 23rd supplier, accounting for 0.43 percent of our total exports and 1.06 percent of our total imports respectively.  Total trade between both countries which   stood at US dollars 119.5 million in 2012 increased to US dollars 224.4 million in 2013, registering a remarkable growth of 88 percent. Since 2011, Petrovietnam Oil Corporation (PVOil) has supplied to its Sri Lankan partner with petroleum products.

In the field of industry, the two countries have concluded a number of important documents, creating a legal framework for further enhanced cooperation activities.
Those documents include: the MOU on Machinery Manufacturing Cooperation between the Ministry of Industry and Trade of Viet Nam and the Ministry of Industry and Commerce of Sri Lanka; the MOU on Oil and Gas Cooperation between the Ministry of Industry and Trade of Viet Nam and Ministry of Industry and Prime Minister’s Secretary Office of Sri Lanka.  

As for Vietnam, it continues to integrate more deeply into the regional and global economy. Viet Nam is an active member of ASEAN, APEC, ASEM, WTO. In the framework of ASEAN, Viet Nam is party to ASEAN – China FTA, ASEAN – India FTA, ASEAN – Korea FTA, ASEAN – Australia – New Zealand FTA. Viet Nam is now negotiating FTAs with the EU; the Russia, Belarus and Kazakhstan Customs Union; EFTA; South Korea and the Trans Pacific Partnership Agreement (TPP).

“Sri Lanka being a founder member of the GATT 1994, as well as WTO has been fully committed to liberal and market oriented Economic policies which aimed at achieving greater integration into the world economy.

 Sri Lanka has been an active participant in the Doha Development Agenda, having tabled, together with other countries, proposals on: technical barriers to trade; geographical indications; labelling of textiles, clothing, footwear, and travel goods; preferences erosion; and trade facilitation.