The sugar industry is facing many challenges and unfair competition from imported and smuggled goods, experts told a conference held in Hanoi on December 1.

The Regional Comprehensive Economic Partnership (RCEP) would not worsen the trade deficit Vietnam was running with signatory markets, according to the Ministry of Industry and Trade.

VOV.VN - Domestic enterprises face numerous difficulties in terms of sugar consumption due to fierce competition caused by cheap imported sugar from Thailand, according to figures compiled by the Vietnam Sugarcane and Sugar Association (VSSA).

While local sugarcane farmers have been taking a fair dent from the effects of the pandemic, regional competition fuelled by the commitments of the ASEAN Trade in Goods Agreement has further put pressure on them, leading to a daunting situation for the already declining sector.

Tariffs cut to zero under the ASEAN Trade in Goods Agreement (ATIGA) from January 1 this year and the COVID-19 pandemic have made for a tough year for the sugar industry, heard an online seminar held by Nhan Dan (People) e-newspaper on September 16.

The General Department of Vietnam Customs must work with ministries, sectors and localities to tackle sugar smuggling and sugar trade fraud, Prime Minister Nguyen Xuan Phuc has said.