The Trans-Pacific Partnership Agreement is a driving force for Viet Nam to further promote the restructuring of its agriculture industry, economist Pham Chi Lan told Nong thon Ngay nay (Countryside Today) newspaper.
Quite a few experts have expressed their concern about the proposed signing of a TPP. Do you agree?
The signing of a TPP presents both opportunities and challenges.
For agriculture – our primary industry – we have to try hard to seize this opportunity.
Why? The reason is very simple: At present our agriculture is small and scattered. In addition, the poor quality management and traditional methods are a stumbling bloc for our produce to enter difficult markets.
Meanwhile, other TPP negotiating countries have set up their requirements regarding food security. If we don’t adopt a basic change in our agricultural practice our primary industry will not be able to make the best of the TPP opportunity.
Experts have said beef, lamb and dairy products from the US, Australia and New Zealand will flood our market when the TPP agreement comes into effect. In such a situation, Vietnamese livestock producers would face many more difficulties. Do you agree?
Our consumption habits are quite different from others. Years ago chicken wings from the United States and Mexico were imported in large quantities and sold in supermarkets and restaurants. But nowadays the market segment for foreign chicken wings has shrunk markedly.
The demand for US, New Zealand and Japanese meat is still there, but on a modest scale. So, to avoid these concerns we need to research the impact on the Vietnamese market following the signing of the TPP. There’s no doubt our dairy market will face tough competition from foreign products.
Under the TPP, tariffs will be removed and it is forecast that agricultural products exports will double. Is that good news?
At present the export turnover of our agricultural products to our main importers – the US is US$20 billion and Japan, $10 billion. However, following the signing of the Viet Nam-US Bilateral Agreement and Viet Nam becoming a member of the World Trade Organisation, our export turnover to the US and Japan increased sharply. A case in point is the export of tra fish. Its export turnover jumped to $1 billion dollars from several million dollars.
The case of Vietnamese coffee is different.
We should not separate each commodity when we assess the effectiveness of an agreement. As we all know, gains and losses are intertwined. The issue here is how to make the best of the opportunity when it is presented to us while curbing its limitations. I don’t think our agriculture will grow if we simply
export raw materials and then lament that no opportunity came to us to increase exports. What we should do now is increasing the export of processed agriculture products. TPP will then become a driving force for our agriculture to further develop.
Is TPP an opportunity for Viet Nam to restructure its primary industry?
Yes, it is an occasion for us to speed up the restructuring process, to switch the production from small to large scale with an increase in adding value. We should focus on a certain sector and products that have comparative advantages in the process of TPP integration.
What makes me worry most at present is the food safety barrier of other TPP markets. If we are successful in controlling food safety, it will not only be good for exports but also for domestic market. I’m confident that we can do it, if the producers, farmers and managers are committed to the task. — VNS
Đăng ký: VietNam News