Promoting Cooperation with Kyrgyzstan Businesses

Source: Pano feed


This information was confirmed by President of Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc in his recent meeting with Kyrgyzstani Ambassador D. Chotonov to South Korea and Vietnam in Hanoi. The event was held when the ambassador went to Vietnam from March 9-16, 2015 to prepare for a Kyrgyz delegation to attend the 132nd General Assembly of the Inter-Parliamentary Union (IPU-132).

At the meeting, the two sides discussed measures to boost bilateral economic and commercial cooperation, including solutions to the completion of legal framework, negotiations and conclusions of some important agreements like double-tax avoidance agreement, investment promotion and protection agreement.

Speaking at the meeting, VCCI President Vu Tien Loc stressed that the Vietnam-Kyrgyzstan traditional friendship has been fostered and expanded in various areas, particularly politics and foreign affairs. Vietnam always attaches much importance to developing relations with traditional friends, including Kyrgyzstan. However, the two-way trade remains modest and far below the potential of both countries, he said.

According to statistics, the bilateral trade turnover reached US$4.18 million in 2014, up 78.6 percent over 2013, of which Vietnam earned US$2.81 million from exports to Kyrgyzstan, up 15 percent, and spent US$1.36 million on imports from this country, up 25 times. The commodity structures are non-competing and complementary. The low trade value is attributed to difficult cargo transportation.

Ambassador D. Chotonov said this was his third visit to Vietnam. Kyrgyzstan treasures cooperation with Vietnam in all fields, especially in economy, trade, investment and culture. Kyrgyzstan sees Vietnam as a key partner in Southeast Asia and hopes to deepen friendly and cooperation relations with Vietnam in economy, trade, investment and culture. On February 18, 2014, the Kyrgyz Foreign Minister met with Vietnamese Industry and Trade Minister Vu Huy Hoang and the two sides agreed to tighten future cooperation to carry out measures to promote bilateral economic and commercial cooperation. During this Vietnam visit, the ambassador discussed cooperation contents and advanced the establishment of relations between Hanoi and Bishkek.

Speaking of bilateral potential cooperation, he stressed that Kyrgyzstan is an agricultural, industrial country, with agriculture contributing 45 percent of GDP. A majority of population live on agriculture, subdivided into cultivation, livestock husbandry and water resources management. Agriculture ensures the supply of foods, sugar, cotton, vegetables. Surplus agricultural products are exported to Russia and neighbouring countries. Livestock husbandry is the traditional sector of Kyrgyzstan where there are 15 big meat processors and nearly 100 small processors. This is a most profitable sector in Kyrgyzstan. Ambassador Chotonov expects Kyrgyzstan will boost cooperation with Vietnam in this field.

On investment, not many Kyrgyz companies are doing business in Vietnam. So, Ambassador Chotonov hoped Vietnam will further support Kyrgyzstan companies in Vietnam. He stressed that Kyrgyz products are favoured by the Customs Union countries. Kyrgyzstan also has an abundant supply of raw materials such as cotton and yarn for export. The country is very much interested in the Customs Union of Russia – Belarus – Kazakhstan and Vietnam has also joined in this Union. This is an opportunity for the two sides to bolster cooperation in economy, trade and investment. In addition, Kyrgyzstan also expects cooperation in other areas such as energy, scarce resources and agricultural processing.

Also at the meeting with VCCI President Vu Tien Loc, Ambassador Chotonov noted that the Governments of the two countries are advancing the establishment of Vietnam – Kyrgyzstan Intergovernmental Commission. This will be a good opportunity for both sides to boost exchanges and expand cooperation and investment opportunities. He also suggested a cooperation agreement between VCCI and the Kyrgyzstan counterpart. For his part, Dr Loc expressed his consensus with the proposal and promised to promote this idea.

Currently, both countries are WTO members; thus, trade transactions are governed by related WTO agreements. But, if the two counties sign an agreement on economic and trade cooperation, they will form a legal basis for promote bilateral economic and commercial relations. Ambassador Chotonov and VCCI President Loc affirmed the mutual support for each other on international forums and further actions for stronger investment – trade ties. The signing of economic agreements will help create a legal framework for boosting trade and investment cooperation. The two sides also agree to set up production joint ventures to increase exports to the Customs Union of Russia – Belarus – Kazakhstan.

Thu Ha

Đăng ký: VietNam News