Participation in free trade agreements (FTAs) will help Vietnam improve its market economic institutions, boost both domestic and foreign investment and increase competitiveness, stated Deputy Minister of Industry and Trade Tran Quoc Khanh.

Speaking at a workshop on opportunities brought by FTAs in Hanoi on March 20, Khanh noted that Vietnam is in the negotiation process for several FTAs, including the Trans-Pacific Partnership (TPP) agreement and deals with the European Union, the Customs Union of Russia, Kazakhstan and Belarus , the Republic of Korea and the ASEAN.

He continued to say that joining TPP will make Vietnam become an element of the global value chain, while FTAs will offer the chance for the country to balance its import and export in order to avoid dependence on a single market. The Deputy Minister cited as an example the fact that Vietnam is depending on the East Asian region for more than half of its imported materials and spare parts.

Clashing interests are unavoidable as opportunities of this sector are challenges of other sectors, he said, but adding that overall, benefits gained will be bigger than losses.

Director General of the Vietnam Garment and Textile Group (Vinatex) Le Tien Truong said that without risks there will be no opportunities. He said Vinatex sees FTAs as great opportunities to expand export markets and accelerate its own modernization.

Any businesses that can take full advantage of opportunities will be able to join the global supply chain, he added.-VNA