Boost for Lanka-Vietnam trade
A trade agreement between Sri Lanka and Vietnam was signed in Hanoi
Today's beginning will open opportunities for both countries. Setting
up of a Joint Working Group (JWG) or Joint Trade Sub Committee, will
help strengthen bilateral trade and economic relations and my Ministry
will closely monitor progress, Industry and Commerce Minister Rishad
Bathiudeen told the opening session of the bilateral discussions to set
up the first Joint Trade Sub Committee (JTSC) between the two countries.
The discussions took place at the Ministry of Industry and Trade in
“We commend and appreciate Sri Lanka's economic and social
development strategies since the end of terrorism. We also appreciate
Lanka's improvement in the Human Development Index rankings.
Vietnam is keen to learn about the five hub strategy in Sri Lanka for
the social development of our country,” said a Vietnamese trade
“The Vietnamese economy like the Sri Lankan economy faced
difficulties due to global recession. Despite this, Vietnam recorded
strong GDP growth of 5.32% in 2013 and 5.5% in the first seven months of
this year,” he said.
“Our inflation rate which was at 6.2% in 2013 fell to 1.45% in the
first seven months of 2014. Our total international trade which stood at
US $ 266 billion in 2013, is expected to rise to US $300 billion.
We brought our household poverty rate to 9% by 2013,” the official
“Sri Lanka and Vietnam have much potential for economic cooperation
and investments. Present trade volumes are modest and not on a par with
the strong bilateral cooperation that exists between both countries.
"I call upon the Sri Lanka Ministry of Industry and to set up a Sub
Committee on the Sri Lanka side and work with us,” he said.
“We will engage with the relevant agencies in Vietnam in this
exercise and both sides will continue exchanges in this regard.
Following the setting up of the JTSC the possibility of setting up the
Preferential Trade Agreement between both countries should be explored,”
the official said.
“At present Vietnam ranks as the 40th export destination and the 23rd
supplier, accounting for 0.43% of our total exports and 1.06% of our
total imports,” a Commerce Ministry official said.
Trade between the two countries which stood at US $ 119.5 million in
2012 increased to US $ 224.4 million in 2013, registering a growth of
Since 2011, PetroVietnam Oil Corporation (PVOil) has supplied its Sri
Lankan counterpart petroleum products.
In the field of industry, the two countries have concluded a number
of important agreements, creating a legal framework for further
The agreements include, the MoUs on Machinery Manufacturing
Cooperation between the Ministry of Industry and Trade of Vietnam and
the Ministry of Industry and Commerce of Sri Lanka and Cooperation in
the fields of oil and gas exploration between the Ministry of Industry
and Trade of Vietnam and Ministry of Industry and Prime Minister's
Secretary Office of Sri Lanka.