Domestic exporters expect to accelerate shopments of products to Chilein the wake of the recent signing of the Free Trade Agreement (FTA)between the two countries.
Vietnam and Chile signed the FTA earlier this month. Under theagreement, 83.54 percent of Vietnamese goods to Chile will be exemptedfrom the tax.
Vietnamese ambassador to Chile Ha Thi Ngoc Haforecast that Vietnam's export turnover to the market will increasesharply after the deal compared to the current modest figure.
Vietnam'sexports to Chile reached nearly 400 million USD last year from 20million USD in 2000, she said. The export value in the first nine monthsof the year was nearly 400 million USD.
Chile is considered apotential market for Vietnamese goods, particularly textiles andgarments, footwear, seafood and woodwork products. However, prior to theagreement, exports remained insignificant due to Vietnam's difficultyin competing against significantly cheaper Chinese alternatives.
The tax exemption under the FTA is expected to make Vietnamese products more competitive in the Chilean market.
Deputydirector of the Viet Tien Garment Co Phan Van Kiet said that domestictextile and garment exporters will boost trade promotion activities inthe Chilean market to take advantage of the zero-tax policy.
TheProtrade Garment Co in the southern Binh Duong province, which hasoffered products to Chile in the past but failed to find success due tocompetition with cheaper products from China, plans to resume shippingproducts to the market in the wake of the tax exemption. /.
Vietnam and Chile signed the FTA earlier this month. Under theagreement, 83.54 percent of Vietnamese goods to Chile will be exemptedfrom the tax.
Vietnamese ambassador to Chile Ha Thi Ngoc Haforecast that Vietnam's export turnover to the market will increasesharply after the deal compared to the current modest figure.
Vietnam'sexports to Chile reached nearly 400 million USD last year from 20million USD in 2000, she said. The export value in the first nine monthsof the year was nearly 400 million USD.
Chile is considered apotential market for Vietnamese goods, particularly textiles andgarments, footwear, seafood and woodwork products. However, prior to theagreement, exports remained insignificant due to Vietnam's difficultyin competing against significantly cheaper Chinese alternatives.
The tax exemption under the FTA is expected to make Vietnamese products more competitive in the Chilean market.
Deputydirector of the Viet Tien Garment Co Phan Van Kiet said that domestictextile and garment exporters will boost trade promotion activities inthe Chilean market to take advantage of the zero-tax policy.
TheProtrade Garment Co in the southern Binh Duong province, which hasoffered products to Chile in the past but failed to find success due tocompetition with cheaper products from China, plans to resume shippingproducts to the market in the wake of the tax exemption. /.
