Extended closures of border markets take toll on produce: official
Extended closures of border markets take toll on produce: official
Border markets between Vietnam and China will remain shut until the end of this month given the coronavirus outbreak, disrupting bilateral trade, officials said.
The Vietnamese Ministry of Industry and Trade quoted the Consulate General of Vietnam in Guangxi as saying that authorities in this Chinese region have decided to extend the period of closure for border markets.
Also, the exchange and trade of goods among border traders of the two countries will remain suspended, reported the Vietnam News Agency.
Authorities in China’s Yunnan province have yet to make any announcements, but given the severity of the virus outbreak, they will likely make a similar move.
Hundreds of container trucks loaded with local produce, such as dragon fruit and watermelons, are stuck at border crossings due to the fallout from the outbreak, according to Deputy Minister of Industry and Trade Tran Quoc Khanh.
A number of traders have been advised to take other steps to sell their goods, but they have refused, preferring to wait for the border gates to reopen, which was initially scheduled for February 9 and 10.
The reason behind their reluctance is that a change from cross-border trade at these markets into a more formal export would require them to pay taxes, while most of the traders have yet to enter contracts with their Chinese peers.
As of February 9, more than 170 trucks carrying dragon fruit had got stuck in the northern mountainous province of Lang Son, while the figure in Lao Cai Province was 152.
Earlier, the ministry called for logistics service providers to reduce their warehousing and transport fees in an effort to support traders of agricultural products.
Goods distributors and retailers are also trying to purchase agricultural products, especially dragon fruit and watermelons, from local farmers.
