VIETNAM SEAFOOD EXPORTERS BOOST CHINESE LINKS
Vietnam seafood exporters boost Chinese links. To gain a larger market share in China, aquatic product exporters of Vietnam have been urged to target restaurants and hotels, reports the Vietnam News Agency.
In 2018, Vietnam exported 2.25 billion USD worth of tra and basa fish and 3.5 billion USD worth of shrimp products.
China has licensed 686 Vietnamese businesses to ship aquatic products to this country, according to the Agro Processing and Market Development Department (Agrotrade) under the Ministry of Agriculture and Rural Development.
To Tuong Lan, Deputy Secretary-General of the Vietnam Association of Seafood Exporters and Producers (VASEP), noted since 2017, with import turnover of more than 1 billion USD, China has been one of the four biggest markets of Vietnamese aquatic products.
Vietnam has advantages in the shipment of aquatic products to this market, including preferential tariffs and China’s plan to reduce its own aquatic farming. However, the fact that China is tightening control over product quality will pose many challenges to Vietnamese firms, not to mention competition with rivals like India, Thailand and Indonesia, according to VASEP.
Meanwhile, Deputy Director of Agrotrade Tran Van Cong said Vietnam’s aquatic products have neither a widespread presence in northeastern and western areas of China, or ties with major companies and distribution networks in the nation.
Bui Anh Dung, Deputy Director General of the Minh Phu Group – a major shrimp exporter, said the Chinese economy has developed strongly over the past years and is the biggest consumer market in the world. Therefore, Vietnamese companies should make stronger efforts to build their brands and foster partnerships with Chinese firms.
At a recent forum in Ho Chi Minh City, the China Tourist Hotel Association advised Vietnamese firms to target certain segments to expand.
It noted China has many restaurants and hotels that need high-quality aquatic products, some of them have developed their own supply chains, creating a chance for Vietnamese companies to form partnerships.
Cong said to help exporters to compete in foreign markets, State agencies are improving the business climate. In particular, Agrotrade is stepping up standard and brand building and granting codes for production regions.
Market forecasts, warnings of trade remedies against Vietnamese exports and measures to fight origin fraud will be enhanced, the official noted, adding that his agency will also keep close watch on changes in the international situation, especially US-China trade tension, to have appropriate responses.