Vietnam PM Pham Minh Chinh aims at raising bilateral trade with India to USD 20 billion

Vietnamese Prime Minister, Pham Minh Chinh, who is on a State visit to India on Wednesday praised the gains achieved by India under the leadership of Prime Minister Narendra Modi

Addressing a business event organised in the national capital, Pham Minh Chinh said that Indian businessmen have expressed interest in exploring investments in Vietnam and both countries Vietnam should expand cooperation into new areas such as digital economy, transportation and renewable energy.

He said that economic and trade cooperation has become a beacon of cooperation between India and Vietnam and both countries should work together to raise bilateral trade to USD 20 billion.

“Let’s work together, bring about better solutions to raise bilateral trade to 20 billion US dollars going forward, and continue to force stronger OEA cooperation focusing on strategic infrastructure, including transportation, energy, digital, and climate infrastructure,” the Vietnamese Prime Minister said addressing an event at FICCI in the national capital.

“India has been growing rapidly and has truly achieved gains under the leadership of Prime Minister Modi,” the Vietnamese PM said.

The country is the 23rd largest global trade partner of India and the fifth largest among ASEAN countries, with bilateral trade of USD 14.70 billion during 2022-23.

Vietnam accounts for 11.2 per cent of India’s total trade with ASEAN. Vietnam is an important destination for India’s iron and steel and agricultural and animal products, mainly meat products, animal fodder, cereals, and marine products, as per the Ministry of Commerce and Industry.

“Vietnam is a crucial partner for India’s Act East policy. Investment between India and Vietnam is growing, with bilateral relationships expanding steadily over the years,” the Vietnamese Prime Minister said in his address to the Vietnam-India Business Forum at FICCI.

The Vietnamese Prime Minister is on his first state visit to India as the head of the Vietnam government. This is also the first visit to India by a Vietnamese Prime Minster in a decade.

Going forward, he said, “I’ve spoken to many the Indian businesses. I called on them to make investments in infrastructure, including strategic infrastructure, transportation, health, education, culture, and all the rest of it.”

The Vietnamese Prime Minister also expressed the need to open up the economy for businesses and provide more direct flights to Vietnam.

He announced a new air route from Ahmedabad to Da Nang.

Emphasising the need to work together in healthcare, Pham Minh Chinh said his country would like to work with India to establish pharmaceutical infrastructure in Vietnam.

Addressing the Vietnam-India Business Forum, PM Chinh said Vietnam imports 23 per cent of its pharmaceuticals from India.

Pointing out the need to have a new methodology for trade and relations, he said that the new approach adopted by his country is a global approach.

During the event, multiple MoUs were signed, including one for the construction and maintenance of waste treatment plants, one for pharmaceutical park developments, one for the development of stem cell technology and lab development, and one for cooperation in trade promotion, among others.

The two countries share age-old historical and civilizational ties, which were elevated to a Comprehensive Strategic Partnership during the visit of Prime Minister to Vietnam in September 2016.

Furthermore, India considers Vietnam a key pillar of its Act East Policy and an important partner in its Indo-Pacific vision.

The Vietnamese PM was received at the Delhi airport yesterday by Minister of State for External Affairs Pabitra Margherita. A high-level delegation is accompanying him

He will receive a ceremonial welcome on August 1 at Rashtrapati Bhavan and following that will hold talks with Prime Minister Narendra Modi and witness the signing of cooperation agreements between the two countries.