SLEDB to Participate Vietnam Expo 2008

(February 25, Hanoi, Sri Lanka Guardian) “The Embassy of Sri Lanka in collaboration with Sri Lanka Export Development Board (SLEDB) is making arrangements for Sri Lankan Companies to participate at the Vietnam Expo 2008, to be held from 9th – 13th April 2008 in Hanoi. EDB expects to bring a delegation of experts representing Sri Lankan companies in areas such as tea and beverages, spices and essential oils, agricultural products, healthcare, personal care and health preparations, leather products, electronic component, clothing accessories, processed food products, biscuits, chocolate and other confectionary, gem and jewellery, rubber products, services such as IT , shipping etc. Sri Lankan companies are to exhaust their production at the trade fair with a view to explore the possibility in Vietnam,” according to official statement released by the Sri Lanka Embassy in Vietnam

With the liberalization of the Vietnam economy as well as due to the lifting of the trade embargo by the United State Government, a considerable level of economic development has been recorded in Vietnam in recent years. Vietnam during the last two decades has achieved over 8% annual economic growth. Last year the country attracted over US$ 20 billion of Foreign Direct Investment (FDI). The investment has poured into the country’s key economic sectors like industry, construction, electronics infrastructure and high technology. Investors have shown their interest in services, urban development and construction of industrial zones section. The year 2007 has been considered as a “Bumper harvest” year for high technology sector with many large scale projects. As a result of theses massive socio-economic development purchasing power of the nation with 84 million of population is growing rapidly pushing the people for a modern lifestyle and higher consumption pattern.

Further, due to rapid economic development registered in the last few years, a new urban middle class with growing purchasing power is being emerged creating a good market for foreign consumable products. During the past few years, the middle class (having monthly income of US$ 250-500) has expanded both in the capital Hanoi and the commercial city Ho Chi Minh City by about 15 million of the total Vietnamese population.

Bilateral trade relations between Sri Lanka and Vietnam continue to register a reasonable growth specially following the opening of Vietnamese economy and the Vietnamese admission into World Trade Organization (WTO) in November 2006.

“Potential for further expansion of trade, investments and tourism between the two countries are growing and the business community of both countries should make use of these opportunities. Vietnam tariff structure is currently under review and more liberalized tariffs in accordance with WTO regulations are expected. Currently Sri Lanka enjoys favourable import duties for Sri Lankan products as Vietnam extends MFN status to Sri Lanka,” the statement said.

Sri Lanka currently export diamond, dyed and crocheted fabrics, natural rubber and non-cellular rubber, tea, textile materials, knitted and crocheted synthetic fabrics, apparels and clothing accessories to Vietnam.