Middle East in general and Iran in particular are promising markets for banana exports (Source: vov.vn) Hanoi (VNA) –With a total population of more than 400million, the 16-country Middle East is a promising market for Vietnam’s farmexports, economic experts said.
Statistics released by the Ministry of Agriculture and Rural Development showthat export-import revenue between Vietnam and the Middle East reached newly 10.89billion USD in 2016, up more than 100 percent from 2011.
However, Vietnam mainly ships electronics and spare parts, andgarments-textiles to the Middle East, which make up 68.4 percent of thecountry’s export value to the region of 8.06 billion USD.
Meanwhile, the region needs about 5-7 million tonnes of rice each year, alongwith vegetables, fruits, juice and seafood, which are among Vietnam’sstrengths.
Vo Quang Huy, Director of Huy Long An Co., Ltd., said the Middle East ingeneral and Iran in particular are promising markets for banana exports, addingthat his company used to deliver bananas to the region but had difficulties inthe payment process.
To export bananas to the Middle East, a company needs high-quality post-harvestpreservation while bananas grow all across Vietnam, he said, notingtransportation as another obstacle.
Le Thanh, Director of the Institute of Vietnam Organic Agricultural Economics,described the Middle East as an “attractive paradise” for Vietnamese goods anda huge market for the country’s farm exports.
However, he said, Vietnamese exporters still face barriers regarding logisticsand payment.
Ministry of Agriculture and Rural Development Nguyen Xuan Cuong, said theMiddle East is a gateway to Europe, highlighting the potential forexport-import activities between Vietnam and the Middle East.
Tran Van Tri, Director of An Viet International Investment JSC andChairman of the Vietnam-Iran Business Council, said Iran is a promising marketfor Vietnamese electronics, garments-textiles and agricultural products likebanana, pineapple, lemon, rice and seafood.
Iran imports about 1.2 million tonnes of rice each year, he said, adding thatAn Viet International Investment JSC, the first Vietnamese firm licensed inIran, recently shipped 207 tonnes to the country and aims to deliver another200,000 tonnes in 2018.
He also said that payment issues remain the major barrier to bilateral trade.
Le Quang Nhuan, General Director of Louis Rice Import Export Co., Ltd.,suggested Vietnamese exporters cooperate with each other to hire atransportation company, explaining that transportation costs greatly impact ongoods prices.
According to the Commercial Counsellor at theVietnamese Embassy in Iran, the country imports about 600,000 tonnes of bananasand 300,000 tonnes of rubber each year, noting that Iran can buy up to 500,000tonnes of Vietnamese rubber annually.
Regarding the payment barrier, the State Bank of Vietnam said Vietnamesecommercial banks put themselves at risk when conducting payment activities inIran.
The central bank is expected to support one or two commercial banks toestablish cooperative ties and payment channels with their Iraniancounterparts.
Experts suggested Vietnam set up a production chain to ensure product quality,while paying attention to Halal certificates for the Muslim-majority countries in the Middle East.-VNA
Statistics released by the Ministry of Agriculture and Rural Development showthat export-import revenue between Vietnam and the Middle East reached newly 10.89billion USD in 2016, up more than 100 percent from 2011.
However, Vietnam mainly ships electronics and spare parts, andgarments-textiles to the Middle East, which make up 68.4 percent of thecountry’s export value to the region of 8.06 billion USD.
Meanwhile, the region needs about 5-7 million tonnes of rice each year, alongwith vegetables, fruits, juice and seafood, which are among Vietnam’sstrengths.
Vo Quang Huy, Director of Huy Long An Co., Ltd., said the Middle East ingeneral and Iran in particular are promising markets for banana exports, addingthat his company used to deliver bananas to the region but had difficulties inthe payment process.
To export bananas to the Middle East, a company needs high-quality post-harvestpreservation while bananas grow all across Vietnam, he said, notingtransportation as another obstacle.
Le Thanh, Director of the Institute of Vietnam Organic Agricultural Economics,described the Middle East as an “attractive paradise” for Vietnamese goods anda huge market for the country’s farm exports.
However, he said, Vietnamese exporters still face barriers regarding logisticsand payment.
Ministry of Agriculture and Rural Development Nguyen Xuan Cuong, said theMiddle East is a gateway to Europe, highlighting the potential forexport-import activities between Vietnam and the Middle East.
Tran Van Tri, Director of An Viet International Investment JSC andChairman of the Vietnam-Iran Business Council, said Iran is a promising marketfor Vietnamese electronics, garments-textiles and agricultural products likebanana, pineapple, lemon, rice and seafood.
Iran imports about 1.2 million tonnes of rice each year, he said, adding thatAn Viet International Investment JSC, the first Vietnamese firm licensed inIran, recently shipped 207 tonnes to the country and aims to deliver another200,000 tonnes in 2018.
He also said that payment issues remain the major barrier to bilateral trade.
Le Quang Nhuan, General Director of Louis Rice Import Export Co., Ltd.,suggested Vietnamese exporters cooperate with each other to hire atransportation company, explaining that transportation costs greatly impact ongoods prices.
According to the Commercial Counsellor at theVietnamese Embassy in Iran, the country imports about 600,000 tonnes of bananasand 300,000 tonnes of rubber each year, noting that Iran can buy up to 500,000tonnes of Vietnamese rubber annually.
Regarding the payment barrier, the State Bank of Vietnam said Vietnamesecommercial banks put themselves at risk when conducting payment activities inIran.
The central bank is expected to support one or two commercial banks toestablish cooperative ties and payment channels with their Iraniancounterparts.
Experts suggested Vietnam set up a production chain to ensure product quality,while paying attention to Halal certificates for the Muslim-majority countries in the Middle East.-VNA
VNA
