Exporting to the EU and Korea: Learn about Rules of Origin and non-tariff measures

That is the opinion of experts at the training workshop "Rules of origin and non-tariff measures in the Vietnam - EU and Vietnam - Korea FTAs: Issues that businesses need to pay attention to" taking place on August 10, 2016 in Bien Hoa City, Dong Nai province.

The workshop was organized by the European Trade and Investment Policy Support Project (EU-MUTRAP) in collaboration with the Dong Nai Department of Industry and Trade to support state management agencies and businesses in mastering the content of Rules of Origin and non-tariff measures in the FTAs between Vietnam - EU (EVFTA) and Vietnam - Korea (VKFTA), to be able to make good use of these regulations, contributing to export growth through strict compliance with market regulations. export market and compete with regional competitors thanks to the advantage of tariff reduction from these agreements.

At this training workshop, experts from the Import-Export Department, Ministry of Industry and Trade clarify the regulations on rules of origin in the EVFTA Agreements and VKFTA, simultaneously damagedGuidance on the application of rules of origin when determining the origin of goods to know whether those goods, when exported to the EU or Korea, will enjoy preferential tariffs according to the commitments of these agreements. Practical exercises are also given by experts after the lecture, helping businesses grasp the practical application of rules of origin in their production and export activities.

The second part of the workshop focused on non-tariff measures, including food safety and phytosanitary measures (SPS), technical barriers to trade (TBT) and customs and trade facilitation.

According to Ms. Trinh Thi Thu Hien - Head of Goods Origin Department, Import-Export Department, Ministry of Industry and Trade, compliance with technical barrier requirements for trade is a prerequisite for Vietnamese exporters to access the EU, Korean and world markets. FTA agreements create a framework for technical assistance, discussion and cooperation on technical barriers to trade issues, and encourage and facilitate compliance of Vietnam's exports with partners.

FTA agreements can also promote Vietnamese businesses to participate in the global production and supply chain of products, through the application of standards, technical regulations and conformity assessment processes. FTA agreements will create a strict legal framework on technical barriers to trade, contributing to improving transparency, stability and predictability, and promoting investment activities of businesses from both Vietnam and other partners.

Regarding animal and plant quarantine (SPS), the level of commitment in the VKFTA Agreement is not deep, mainly focusing on technical cooperation while the EVFTA Agreement has detailed regulations, especially Inspection, Recognition of equivalence, compatibility with regional conditions. During implementation, the following challenges are evident: Enforcement of animal and plant quarantine issues faces a large range of national legal regulations in import control, involving many specialized agencies; Differences in development levels, different regulations on animal and plant quarantine and practical application in each country; Non-tariff measures play an important role in trade negotiations to open the market; and Protectionism still exists.

Therefore, according to Mr. Tran Viet Cuong, Deputy Director of Vietnam SPS Office, Department of International Cooperation, Ministry of Agriculture and Rural Development, businesses need to update information on animal and plant quarantine regulations of other countries and especially harmonized standards of ASEAN, focus on quality and food safety, build the image of Vietnamese agricultural products through the application of international standards, and have a clear market strategy and understand people's psychology, customs and religions. consumption of imported water.

In the field of customs and trade facilitation, commitments on customs procedures and cooperation, and legal commitments will help customs authorities access new standards, apply modern management methods and make customs management more effective and dynamic. However, to take advantage of these opportunities, Vietnam in the coming time must continue to improve the capacity of civil servants working in the customs field, build good information and risk management systems, and innovate management methods. Import and export tax revenues will also be greatly affected by these commitments.

The workshop provided useful information for businesses, thereby exploiting the advantages that the agreements bring, and at the same time planning to improve competitiveness and overcome disadvantages that businesses face in the coming time.

Source: Industry and Trade Electronic Newspaper