Vietnamese PM targets a $20 billion bilateral trade with India

On a three-day state visit to India, Vietnamese Prime Minister Pham Minh Chinh set an ambitious target of $20 billion in bilateral trade, up from $14.8 billion in 2023, and called for stronger economic cooperation between Vietnam and India.

At the Vietnam-India Business Forum, organized by the Federation of Indian Chambers of Commerce and Industry (FICCI) and the Embassy of the Socialist Republic of Vietnam, Chinh invited Indian businesses to invest in infrastructure, digital technology, and pharmaceuticals in Vietnam. Chinh revealed to have met with several Indian companies that have pledged to invest in Vietnam.

Chinh added that upgrading bilateral relations to a comprehensive strategic partnership has opened up a new space for cooperation.

Adding that Vietnam currently sources 33% of its pharmaceuticals from India, Chinh expressed the need to establish a proper pharmaceutical ecosystem in Vietnam to help protect the health and life of our people.

Chinh is on a state visit to India from 30 July to 01 August. Accompanied by a high-level delegation, including several Ministers, Deputy Ministers, and business leaders. Chinh will hold bilateral discussions with Prime Minister Narendra Modi. External Affairs Minister Dr. S. Jaishankar will also call on the visiting Prime Minister.

While speaking at the Vietnam-India Business Forum on Wednesday, Jitin Prasada, Union Minister of State for Commerce and Industry, said that ongoing Indo-Pacific Economic Framework negotiations and review of the India-ASEAN Trade and Goods Agreement 2009 will be completed by 2025. He added, “These could further enhance economic cooperation between India and Vietnam.”

Prasada said India’s recent participation as the guest of honor at the 33rd Vietnam International Trade Fair in Hanoi indicates growing economic ties between the two nations.

In his welcome address, Sandip Somany, Past President of FICCI and chairman and managing Director of Somany Impresa Group, highlighted that bilateral trade has reached $14.8 billion, with potential for further growth.

Chinh invited Indian businesses in the semiconductors, science and technology, innovation, digital transformation, green hydrogen, pharmaceuticals, renewables, and biotechnology sectors to invest more in Vietnam and urged them to facilitate the integration of Vietnamese companies into their supply chains.

The event also saw the launch of a direct flight between commercial and educational hubs in Central Vietnam, Da Nang, Viet Nam, and Ahmedabad, Gujarat, India.