Vietnam-Bangladesh trade likely to outstrip US$2 billion by 2020

On March 6, President Tran Dai Quang and his delegation attended the Vietnam-Bangladesh Business Forum co-hosted by the Vietnam Ministry of Planning (MPI) and Investment and the Federation of Bangladesh Chamber of Commerce and Industry (FBCCI) with the participation of 300 business representatives from the two countries.

In his address at the forum, FBCCI chairman Islam Shafiul said Vietnam and Bangladesh are among the countries with huge potential for becoming big economies in the future.

Bangladesh's economy is growing at more than 7% per year with an average per capita income of US$1,600 and an export turnover of US$28 billion. Overseas remittances reach US$13 billion in 2017. Bangladesh is the largest jute producer in the world and ranks seventh out of ten nations with the most lucrative garment and textile production.

Bangladesh is carrying out reform programs in order to create favorable conditions for investment, such as establishing economic zones, reforming administrative procedures, and tax policies, Islam Shafiul said.

According to him, Vietnam has experience in agricultural product processing, industry, electronics, and manufacturing of components and telephones in which, both sides can partner.

Along with that, Bangladeshi businesses want their Vietnamese counterparts to explore investment opportunities in such fields as pharmaceuticals, footwear, jute, pottery and food processing, he said.

He also confirmed his federation's readiness to serve as a bridge connecting businessese from the two countries through which, both sides can cooperate to engage in the global supply chain in some areas of their particular strength such as garment, footwear and agriculture.

Addressing the Forum as part of his State visit to Bangladesh, President Quang said Vietnam always sticks importance to reinforcing the traditional relationship and cooperation with Bangladesh, and is willing to share experience in the fields of its strength. 

Vietnam continues to be an attractive investment destination for foreign investors and Vietnamese businesses are developing in terms of scale and access to new global technologies.The business communities play the role of initiating creative ideas, thus giving fresh impetus to stronger trade and investment links, he said.

The President emphasized that the country encourages investment in Bangladesh, especially in telecoms, IT, agriculture, food processing, garment, oil and gas, consumer goods and infrastructure, adding that Vietnam highly values the potential and opportunities for investment partnership in Bangladesh.

He also displayed his impression with the great socio-economic development achievements of Bangladesh which is seen as a successful example of poverty eradication, equality promotion, and stable economic growth. 

The Vietnamese State leader updated local businesses on Vietnam’s tremendous achievements over the three decades of reforms, especially GDP growth, trade, foreign investment attraction, improved investment climate and strongly upgraded transport infrastructure. 

Vietnamese businesses are also developing in respect of scale and access to the world’s new technologies, he said, noting that the country now has about 1,170 investment projects with a total registered capital of more than US$20 billion in 69 countries and territories, covering multiple fields such as mining, telecommunications, agriculture-forestry, information technology, finance-banking, and services.

Vietnam encourages investment in Bangladesh, especially in the areas with high potential for bilateral cooperation like telecoms, IT, agriculture, food processing, garment, oil and gas, consumer goods production, infrastructure development, and services, President Quang said.

The Vietnamese and Bangladeshi economies share many similarities and are able to support each other, which is an important condition for their businesses to intensify investment ties.

Vietnam greatly values the potential and opportunities for investment partnership in Bangladesh. Competent agencies of Bangladesh should further support and create the best possible conditions for Vietnamese firms to  enter the Bangladeshi market, he noted.

President Quang also affirmed the Vietnam State's readiness to offer optimal conditions for the business circles in both countries to partner in running long-term investment and business. He said he believes that based on good traditional friendship along with huge potential for cooperation opportunities and greater efforts of the business communities, Vietnam- Bangladesh trade ties will grow stronger in the time ahead.