Vietnamese businesses can expand export market share in Latin American market

Head of the Ministry of Industry and Trade’s Europe-America Market Department Ta Hoang Linh said Vietnamese businesses have many opportunities to expand their export market share in the Latin American market.
Vietnamese businesses directly contact international buyers to expand export capacity

Vietnamese businesses directly contact international buyers to expand export capacity

He made the statement at the Vietnam - Latin America Trade Forum organized by the Ministry of Industry and Trade

According to the Ministry’s statistics, two-way trade turnover has doubled in just the past 5 years from US$14.2 billion in 2018 when the first year the Vietnam - Latin America Trade Forum was held to $23 billion in 2022.

Particularly from the beginning of 2023 until now, the economic downturn has had a certain impact on Vietnam's export turnover to the Latin American market. Specifically, the bilateral trade turnover between Vietnam and Latin America reached $13.4 billion, down 14 percent over the same period in 2022.

However, this is not worrying as economist Mario Schuff, Director in charge of Vietnam - Argentina relations of the Asian Chamber of Commerce, added that the current decline in import and export is stopping. Markets with leading exchange turnover in the region such as Brazil, Mexico, Argentina, and Chile and many emerging markets such as Panama, Colombia, Peru have been ideal destinations for Vietnam's trade exchange with the US. Latin.

Also at the forum, some 30 Latin American and Vietnamese business delegations participated in the direct B2B connection session. Business groups in the Latin American market such as Coppel from Mexico, Cencosud from Chile, and Renner from Brazil have provided necessary information about standards, number of orders, and product types that they need Vietnamese businesses to supply. These corporations also directly support Vietnamese businesses in strategies for product development to suit the general needs of this market in the coming time.

Many Vietnamese businesses also shared their practical experiences in trade transactions with Latin American countries. In particular, businesses must learn about consumption habits, distribution channels and geographical conditions because this is a remote market, requiring long travel times, so products need to be given the best chance to survive long haul shipments; plus, packaging must be suitable for consumption patterns and distribution channels in Latin America. Regarding payment, Vietnamese businesses should open L/C to support both import and export.

Currently, Latin America is still among the most important markets for Vietnamese exporters. Not only is it a potential export market for Vietnam's strong products such as textiles and garments, footwear, and agricultural and aquatic products, but Latin America is also an important raw material supply area for the manufacturing industry of Vietnam with strong products such as corn, soybeans, and animal feed.

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