Việt Nam accelerates drive to launch businesses in India

Việt Nam accelerates drive to launch businesses in India

The webinar drew nearly 100 Vietnamese businesses from sectors such as food, seafood, agricultural processing, electronics, furniture, logistics, tourism and technology.

The product display booth of Khanh Hoa Sanest Beverage JSC at a trade fair in India. — Photo VNA/VNS Photo

A virtual seminar on accelerating drive to launch Vietnamese businesses in India was held by the Vietnam Trade Office in the South Asian country on Friday.

The event aimed to address a key challenge facing Vietnamese firms, setting up a legal presence in the country.

The webinar drew nearly 100 Vietnamese businesses from sectors such as food, seafood, agricultural processing, electronics, furniture, logistics, tourism and technology.

Việt Nam’s Trade Counsellor in India Bùi Trung Thướng highlighted India’s vast potential as the world’s fourth-largest economy with over 1.46 billion people and a rapidly expanding middle class.

He noted that while Vietnam and India enjoy complementary economic ties, bilateral trade remains below potential, partly due to the limited presence of Vietnamese companies in India.

In recent years, several pioneering Vietnamese firms have established legal entities or representative offices in India.

Despite initial legal and administrative hurdles, these efforts have shown positive results, improving access to local partners and consumers.

Thuong stressed that expanding Việt Nam’s direct business presence in India is crucial for deepening sustainable trade relations.

Manan Agarwal, managing director of KrayMan Consultants LLP, provided practical insights into the legal framework for foreign businesses in India. He outlined procedures for registering a company, taxation, FDI regulations, profit repatriation and common mistakes for new entrants.

Vietnamese companies shared their experiences, including prolonged registration processes that delayed operations. Participants agreed that engaging experienced Indian consultancy firms would help streamline procedures, ensure legal compliance, and allow companies to focus on market entry and growth.

While some large Vietnamese corporations in services and electric vehicles have successfully set up in India, many small and medium enterprises still struggle due to differences in legal systems, complex tax and administrative requirements, among others.

The office pledged continued support through trade promotion, legal consultation, partner matching and future thematic seminars. 

Bizhub