SLCSMI trade mission to Vietnam

Sri Lanka Chamber of Small and Medium Industries (SLCSMI) completed a successful 15 member trade mission to Vietnam visiting Hanoi, Danang and Ho Chi Minh, having one to one meetings, visiting manufacturing units and finalizing business deals.

The mission was led by Chamber President Aloy Jayawardene.

In Hanoi, the first meeting was with To Hoai Nam, Vice President - General Secretary of the Vietnam Association of Small and Medium Enterprises.

The second meeting was with Pham Trung Nghia - Head of South Asia Division, South West Asia and Africa Market along with him was Ly Qouc Hung - Director General, South West Asia and Africa Markets.

Both were officials from the Industry and Trade Ministry of Vietnam.

Textiles and Garments is one of Vietnam's more important export sectors, with over two million workers and 2,500 enterprises. The clothing industry represents a key source of industrial employment, specially for women.

The footwear and leather products have emerged as one of Vietnam's most important export sectors.

Vietnam is a fast growing manufacturer of electronics and computer components. The U.S., Japan and Korea are major markets propelling Vietnam's overall growth of this export sector to extreme heights.

Vietnam is one of the largest exporters of rice in the world, bringing in foreign exchange of about US $ 2.9 billion.

Coffee is one of Vietnam's most important agricultural exports. Vietnamese coffee sector is very export oriented, with exports accounting to 95 percent of production. Vietnam is among the top ten world exporters of fishery products.

This sector generated export revenue of US $ 4.562 billion in the year 2008. Years of Government effort in improving the business environment has brought about Vietnam's achieving encouraging results and establishing a quite attractive investment environment for foreign investors.

With this presentation the Ministry hopes Sri Lankan enterprises will further understand Vietnam's business environment as well as its people and businesses.

Having come to Danang on the third day of the programme, our meeting was with Van Huu Thiet - Vice Chairman and General Secretary of Danang Association of Small and Medium Enterprises. Forty five members of the Association participated at the discussions. Those who participated at these discussions represented - consultant and design develop human source -processing and export of sea products- processing and trading wood - printing of books, Garments- furniture design and glass products-travel-cable and lighting industry- export and import flour- supplier for restaurants and hotel - plastic products - import and export of shoes - trading and electrical.

A leading manufacturer of electrical cables in Sri Lanka had contacted a cable manufacturer who is on the verge of closing down his factory and he is presently in communication with the owners to buy it outright or continue production on a joint venture basis.

The members visited the China Machinery Fair 2011 held at Saigon Exhibition and Convention Centre. Majority of the members showed interest in the machinery that were displayed.

The bi-lateral trade volume which stood at US $ 19 mn in 2006 has climbed up to US $ 65 mn in 2010, with a US $ 23 mn.

Trade Balance is in favour of Vietnam.

Jayawardene said the present volume of bi-lateral trade does not reflect in its full potential even on a conservative estimate and therefore this trade mission will help to achieve a desirable quantum of bi-lateral trade with benefits accruing to stakeholders in both countries in an equitable manner.