Many Vietnamese businesses seek to export animal products to Argentina

Deputy Minister Phung Duc Tien remarked that the 51-year partnership between Vietnam and Argentina has seen favorable developments in numerous sectors, including agriculture. The two countries have become significant partners as a result of the significant emphasis on trade. Vietnam highly values Argentina's status as a member and gateway to the South American Common Market (Mercosur). Vietnam prioritizes agricultural cooperation with Argentina, with a particular emphasis on agricultural trade and science and technology cooperation, which are the primary areas of collaboration at present.

Ambassador Marcos Antonio Bednarski of Argentina recognized the strategic significance of Vietnam to his country and the potential to enhance trade relations between the two nations.

Mr. Agustín Tejeda Rodriguez, Chief Economist at the Buenos Aires Grain Exchange, is responsible for the Economics, Agricultural Estimates, Technological Prospective, and Training departments. He expressed Argentina's intention to investigate investment opportunities between the two countries. Rodriguez has announced that the Argentine Ministry of Agriculture, Livestock and Fisheries will establish an agricultural advisory office at the Argentine Embassy in Vietnam. This office will be one of six such offices worldwide.

Argentina is currently experiencing a significant transition period, as its new government has implemented a variety of policies regarding trade and economics. These policies include the elimination of numerous trade barriers, the promotion of exports and imports, and the reduction of taxation.

Specifically, the Argentine Deputy Secretary declared that Argentina is committed to advancing negotiations for a free trade agreement between Vietnam and the Mercosur bloc, which is one of the top priorities of the new government. Furthermore, there is a focus on the continued advancement of the bilateral agenda to increase the market access of products from both countries.

Deputy Minister Phung Duc Tien confirmed that Argentina's decision to establish an agricultural advisory office in Vietnam is a wise decision, as Vietnam's agriculture is thriving despite the ongoing economic challenges. The MARD leadership underscored the importance of fostering agricultural trade with countries, such as Argentina.

Nevertheless, the trade imbalance between the two nations continues to be substantial. The disparity between Vietnam's exports to Argentina and its imports to Argentina reached 95 times in 2020, with Vietnam's exports totaling only USD 24.6 million and its imports increasing to USD 2.34 billion.

Therefore, Vietnam aspires to a mutually beneficial equilibrium in agricultural trade. The objective is to advance toward a Vietnam-Mercosur free trade agreement, thereby enhancing the relationship and achieving significant, sustainable trade advancements. 

To foster cooperation, including in agriculture (agricultural trade and science and technology), Deputy Minister Phung Duc Tien suggested that both parties maintain the effective operation of the Intergovernmental Committee between the two countries. He encouraged Argentina to actively provide solutions and support the expedition of the negotiations for a Vietnam-Mercosur free trade agreement, thereby enhancing the partnership and achieving significant progress. 

It is essential to fortify business relationships and recognize the accomplishments that have already been made in order to prevent the wastage of resources. Practically, the establishment of a market for an agricultural product necessitates a significant investment of time and resources. Subsequently, trade volumes may be restricted, or exports may not occur at all. 

Mr. Nguyen Quang Hieu, the Deputy Director of the Plant Protection Department, observed during the meeting that the plant protection divisions of both countries have collaborated for an extended period. Vietnam has facilitated the importation of a variety of Argentine products, including animal fodder. The competitive pricing of these products has earned them the respect and approval of Vietnamese importers. 

The technical issues about pests on Argentina's citrus products are still being discussed, and discussions regarding Argentine produce exports to Vietnam are ongoing. Vietnam has compiled technical documents to facilitate further collaboration with Argentina regarding this issue. 

In the veterinary sector, Nguyen Van Long, the Director of the Department of Animal Health, stated that both parties have worked closely together to facilitate the export of veterinary medicines, animal products, and animals from Argentina to Vietnam. 

13 Argentine products have been authorized for export to Vietnam for animal and animal product exports. Vietnam has accepted 298 companies, including 53 meat exporters and 246 seafood exporters. 

Vietnam exported nearly 100,000 tons of terrestrial animal products in 2023, representing a 45% increase from 2022. 

Argentina's FMD vaccine has a market share of 85% in Vietnam, with approximately 25 million doses sold annually, particularly in the context of veterinary medicine, specifically foot-and-mouth disease (FMD) vaccines. 

Vietnam has collaborated and established advantageous conditions for Argentine companies to export animal products and veterinary pharmaceuticals to Vietnam from a veterinary perspective. Nevertheless, Vietnam has not yet exported veterinary drugs or terrestrial animal products to Argentina. 

Many Vietnamese companies are interested in exporting processed products to the Argentine market due to the country's substantial livestock population, which includes approximately 600 million poultry and over 30 million swine. The Director of the Department of Animal Health requested that Argentina adopt policies to guarantee trade balance between the two countries in this sector and facilitate the export of Vietnam's terrestrial animal products and seafood. 

Some Argentine shipments tested positive for pathogens in the past year, as disclosed by disease surveillance and food safety monitoring. To prevent any adverse effects on trade, Vietnam requested that Argentina resolve this matter. 

In response to the Ministry of Agriculture and Rural Development of Vietnam's comments, the Argentine representative expressed a desire for more intensive discussions between the agencies of the two countries to address the issues and further open the market for each other's products.