Although Vietnam businesses have taken the initiative to seek cooperation opportunities with Russian partners, no national level projects have been formed between the two sides.

The information was announced at a seminar on assisting exporters to Russia held in Ho Chi Minh City on December 23.

Participants at the seminar said as Russia is an open market with hidden risks and there is always a tough competition, in both goods consumption and investment, Vietnam’s exports to the country account for a small proportion of goods.

Nguyen Quoc Thang from the Vietnam Investment Construction and Trading Jsc said his company faces difficulties in payment methods as letter of credit is not popular in Russia and there are many tariff and non-tariff barriers.

Speaking at the seminar, Nguyen Ngoc Quan from the Europe Market Department under the Ministry of Industry and Trade (MoIT) said the Ministry will help businesses export their products to Russia by improving the role of the Trade Promotion Agency, promoting exchange of information between the two countries’ businesses through seminars and talks, and introducing finance-support policy for trade promotion programmes in the country.

Over the past three years, the Vietnam-Russia export-import turnover has doubled to reach US$1.8 billion per year and is expected to increase to US$3 billion in 2012. Vietnam exports light industrial, textile and garment, footwear, farm, and aquatic products to Russia while it imports petrol and oil, steel, fertilizer, chemical substances, and machineries.

Under the Vietnam-Russia inter-governmental agreement which will be valid till 2030, the Vietsopetro Joint-Venture Enterprise will continue its oil exploration and exploitation on the continental shelf of Vietnam and participate in oil projects in other countries.

Source: VOV