Illustrative photo (Source: VNA)

Hanoi (VNA) – The newly-signed Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CP TPP), is expected to create many opportunities and challenges for Vietnam’s agricultural sector, including the breeding industry, stated Hoang Thanh Van, head of the Department of Livestock Production under the Ministry of Agriculture and Rural Development.

Van said that as CP TPP will cut import taxes, breeding products of countries strong in the industry such as Canada, Japan and Australia will enter Vietnam, harming the breeding sector.

He stressed the need to focus on improving quality of strong products, as the production cost of Vietnam’s breeding sector is higher than in developed countries.

He said that the CP TPP will allow national branded products to be exported to all member countries without limited quota as long as they meet the countries’ requirements. This will pressure domestic production, but also benefit the country as Vietnam’s products will access more markets, he added.

Van asserted that domestic farms should change their management method for integration. Import tax for breeding equipment will also be reduced, cutting production costs.

Vietnamese agriculture is attractive as the economy is growing and consumption trends are changing, bringing opportunities to lure foreign investment, Van said, noting that many firms are looking to pour capital into building a genetic research centre in Hoa Lac hi-tech park.

Institutional reform is another urgent need for Vietnam when CP TPP becomes effective, he said, underlining the significance of reviewing technical standards.

After thoroughly studying the deal, Van affirmed that CP TPP will bring more benefits than negative impacts to Vietnam.

Van revealed that the Department of Livestock Production will hold several national conferences on developing production chains for pork and chicken meat, while reviewing cow breeding methods to restructure the breeding industry.

The CPTPP was signed in Chile on March 8 (local time) by representatives of 11 countries - Australia, Brunei, Canada, Malaysia, Mexico, Japan, New Zealand, Peru, Singapore and Vietnam.-VNA