Strong ties attested by rising investment for Vietnamese businesses in India
Strong ties attested by rising investment for Vietnamese businesses in India
From a small trade value of $200 million in 2000, India and Vietnam's bilateral trade has reached $13 billion in 2021. This is a testament to the strengths and resiliency of the economies and people in the face of adversity from both countries.
India’s cooperation with Vietnam extends to education, oil and gas, hydropower, training, space technology, and many more.
In 2021, Vietnam has emerged as the 15th-largest trading partner of India globally and the fourth-largest within ASEAN. For Vietnam, India was the eighth-largest trading partner, ninth-largest export destination, and tenth-largest import source.
Key exports from Vietnam to India are electrical machinery and equipment, chemicals, copper, products of iron and steel, and plastic. Meanwhile, Vietnam imports iron and steel, cotton, frozen meat, auto components, and seafood from India.
As of last year, India had about 351 projects in Vietnam with registered capital of over $990 million as per the Ministry of Planning and Investment with major sectors including energy, mineral exploration, agro-processing, sugar, tea, coffee manufacturing, and agro-chemicals.
Vietnam has six investment projects in India with a total estimated investment of $ 28.5 million, primarily in pharmaceuticals, IT, chemicals, and building materials.
With India’s retail market worth $1.17 trillion and over 140 million online shoppers, and Vietnam’s E-commerce market valued at $52 billion by 2025, the potential for e-commerce and retail collaboration between the two countries is exciting.
India is the largest manufacturer of generic drugs and its pharmaceutical sector fulfils half of the global demand for vaccines. India is also poised to become the third-largest auto component industry in the world by 2025. Therefore, pharmaceuticals and automotive are fit areas for partnerships.
Food processing and manufacturing are also leading sectors for cooperation between India and Vietnam as both can cooperate in many areas.
With its $191-billion IT industry and the world’s second-largest telecommunications industry, India can partner with Vietnam in digitalisation. But the cooperation opportunities are not limited to this, as Vietnamese enterprises are welcome to explore opportunities in logistics, infrastructure, electronics, chemicals, and tourism.
Thus, with the aim to enhance, develop, and improve the efficiency in cooperation and coordination in trade and investment on both sides, the Consulate General of India in Ho Chi Minh City – in collaboration with the Investment & Trade Promotion Centre of Ho Chi Minh City – is organising the Second Edition of the India-Vietnam Business Forum, held hybridly, from 9.30am on March 17 at Rex Hotel Saigon and online.
The Consulate General of India welcomes all interested businesses to explore the business opportunities in the 1.4-billion-people market.
