Hanoi (VNA) - Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan has signed a document recommending six solutions to foster imports and exports as shipping rates have continued to climb.
Addressed to import-export, trade and logistics associations, the Vietnam Shippers' Council, and the Vietnam Ship Agents, Brokers and Maritime Service Providers Association, the document outlines the impact of rising sea freight rates, regional port congestion in Asia, and a shortage of empty containers on trade activities.
To mitigate these challenges, the ministry emphasises in its document the importance of enhancing coordination among associations and businesses. It encourages member enterprises to develop production, transport, and export-import plans to establish long-term contracts with shipping companies.
Additionally, those trading with Europe are advised to explore alternative routes, such as multimodal ones that involve shipping to Middle Eastern ports, followed by air, rail, or road transport to Europe. The ministry also highlights the need to leverage new-generation free trade agreements (FTAs) to facilitate trade and maximise benefits from these pacts.
It urges businesses to collaborate with customs authorities and port operators to expedite the processing of backlogged goods, thereby improving the flow and handling capacity of cargo at ports.
It also suggests industry associations work with the Vietnam Chamber of Commerce and Industry (VCCI) to raise awareness and enhance the capabilities of small- and medium-sized enterprises (SMEs) in negotiating and signing international trade and insurance contracts to protect themselves against risks and losses.
The proactive development of contingency and rapid response plans to minimise risks and damage from similar unpredictable incidents in the future is also recommended for export-import associations and businesses.
Previously, in response to the escalating sea freight rates, Minister of Industry and Trade Nguyen Hong Dien sent a letter to Turgut Erkeskin, Chairman of the International Federation of Freight Forwarders Associations (FIATA), proposing support on related issues. The minister also expressed his hope that FIATA would assist the Vietnamese Government in positioning the country as a new international transit hub and production centre in Asia. He requested authorisation for Vietnamese organisations to participate in FIATA training and certification to quickly develop a professional workforce with high international market access capabilities./.
Minister asks for FIATA’s support in dealing with increased shipping freights
Minister of Industry and Trade Nguyen Hong Dien has suggested the International Federation of Freight Forwarders Associations (FIATA) provide practical measures to assist Vietnamese businesses in overcoming challenges caused by the increased shipping freight rates, port congestion, and shortage of empty containers.
