FOOTWEAR ENTERPRISES SHOULD TAKE ADVANTAGES OF TPP AND FTA

Footwear enterprises should take advantages of TPP and FTA

Vietnam’s leather and footwear industry is expected to benefit when the trans-pacific partnership (TPP)  and Vietnam – EU free – trade agreement (FTA EU) take effect.

TPP will give Vietnam several opportunities in non – FTA markets such as the U.S, Canada, Mexico, Peru, etc.

The U.S is considered at most potential market for Vietnam to push up our export turnover.

 

Especially TPP may give our footwear export an outstanding competitive power to compete with Chinese footwear in TPP member countries. Meanwhile, FTA EU (to be effective as from 2016) will also create a good advantage for Vietnamese footwear exported to EU with the import tax rate of as low as 0 per cent.

 

However, the leather and footwear industry also faces with several difficulties. According to Mr. Diep Thanh Kiet, vice chairman of Vietnam Leather, Footwear and Handbag Association (Lefaso), Vietnamese enterprises will enjoy a little benefit from FTAs. Their knowledge on legal corridor as well as their abilities in taking advantages of FTAs are still limited, but they have to meet the severe demand on quality, delivery and technical standards of foreign partners.

Vietnamese enterprises also have to compete with foreign enterprises in domestic market.

So Mr. Kiet said that Vietnamese enterprises have to enhance their competitive power to take full advantages of FTAs.

 

They should also study all contents and solutions to take maximum advantages from TPP and FTA EU, especially regulations and origin standards.
Lefaso.org.vn