HANOI – Enterprises and business associations, speaking at a seminar in Hanoi on May 28, expressed concern over Vietnam’s deeper integration into the regional and global economies.

Businesswoman Nguyen Nga described Vietnam’s intensified integration drive as a house with too many doors opened at the same time, which allows strong winds to blow into all the rooms of the house.

“How can we survive the strong winds? Are we taking risks,” asked Nga, who has been living in France for 40 years and has a plan to restore Long Bien Bridge in Hanoi.

She was replying to a question posed by lawyer Tran Huu Huynh of the Vietnam Chamber of Commerce and Industry (VCCI), the moderator at the seminar organized by the chamber. Huynh asked whether Vietnam is so eager and quick to integrate into the regional and global economies. 

Nga said Vietnam’s production remains weak while workers are only capable of assembling parts at the most basic stage.

Nguyen Anh Duong from NDS Project of the development agency ActionAid said Vietnam seems to be the most fervent country in fulfilling commitments to bilateral and multilateral free trade agreements.

Dinh Thi My Loan, chairwoman of the Association of Vietnam Retailers (AVR), said the local retail sector has got less support from the Government than other sectors like agriculture, forestry and aquaculture.

According to Loan, space rentals make up 20-25% of retailers’ total revenues and local retailers are struggling to survive. “Without the Government’s support, Vietnamese enterprises will find it tough to compete with foreign retailers,” she bemoaned.

However, Tran Huu Thanh, vice chairman and general secretary of the Vietnam Animal Husbandry Association, held a different view, saying that the automobile industry has not grown though it has been protected for years while the telecom sector has grown well in the context of fiercer competition.

“We need to open the door wide and integrate into the world,” Thanh said, adding that integration encourages members of his association to work out effective solutions. 

Tong Van Nga, chairman of the Vietnam Association for Building Materials, shared Thanh’s view, saying that exports of building materials like cement and glass have been quite good.

“I believe we can withstand given the country’s commitments to FTAs,” he said.

Nguyen Thu Trang, director of the WTO Center at VCCI, said Vietnam will have to lower and exempt import tariffs as committed to the global trade club WTO and nine FTAs with foreign partners. However, there are still many technical barriers regarding food safety, hygiene and anti-dumping.  

Vietnam has not opened all the doors, Trang said. 

Trang said a lot of support for agriculture may be no longer allowed, but the Government can assist in training and research.

“The point is many supporting policies do not seem workable… The Government needs to eliminate business conditions or simplify administrative procedures, and this is of great help for enterprises,” Trang said.

Source: SaigonTimes

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