Room remains for Viet Nam to boost exports to Hungary
Room remains for Viet Nam to boost exports to Hungary
Trade between Viet Nam and Hungary has grown continually over the past years, and it is believed that there remains room for Viet Nam to fuel exports to this European nation.
Thanks to the EU - Viet Nam Free Trade Agreement (EVFTA) that took effect on August 1, 2020, bilateral trade topped US$1 billion for the first time in 2020 to hit $1.3 billion, surging 73.88 per cent from the previous year. The turnover included $925 million in Viet Nam’s exports, shooting up 126.69 per cent, according to the European-American Market Department at the Ministry of Industry and Trade.
Due to the COVID-19 pandemic, bilateral trade dropped 15.2 per cent to slightly over $1 billion in 2021. Viet Nam exported $570 million worth of goods to Hungary and imported $529 million in return, respectively declining 38.4 per cent and rising 42.4 per cent.
Pham Van Cong, Trade Counsellor and head of Viet Nam’s trade office in Hungary, said trade between the two countries has increased in recent years, with electronic devices making the largest contribution. Besides, agricultural and food products are also potential commodities.
Notably, Viet Nam’s shipments to Hungary in 2020 increased over 8-fold from 2016, he noted.
He held that goods from Viet Nam, especially agricultural products still have room to expand their presence in Hungary. In particular, the EVFTA has been giving tariff advantages to Vietnamese commodities compared to rivals from other countries.
Cong recommended enterprises proactively learn market information via the internet and trade promotion organisations of the two countries. They can also gain help from Viet Nam’s trade office in Hungary to minimise business risks.
Meanwhile, Pham Ngoc Chu, Chairman of the Vietnamese Business Association in Hungary, stressed that to enjoy good sales, products must meet requirements on quality, packaging, and language on package. Besides, enterprises also need to guarantee uninterrupted supply and consistent quality.
With their complementary advantages, the two countries definitely have room to explore chances for further enhancing their economic - trade ties in the future, he added.
