New Zealand market penetration: Vietnamese businesses have ample room to grow.

DNHN - The import-export relationship between Vietnam and New Zealand can be summed up in two words: complementary. This is because many of the items New Zealand requires are available from Vietnam, and vice versa.

Being Vietnam's 36th largest trading partner and one of its strategic partners, as well as a signatory to Vietnam's major free trade agreements, such as the Free Trade Agreements (FTAs). New Zealand is regarded as one of the most important markets in the world due to the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA), the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the Regional Economic Partnership Agreement (RCEP). When the majority of the products that New Zealand requires can be supplied by a large number of Vietnamese companies, New Zealand represents a potential market for Vietnamese companies. New Zealand must import the majority of items, such as machinery and mechanical equipment, vehicles, petroleum, machinery and electronic equipment, textiles, plastic and plastic products, medical devices, iron and steel, medicine, paperboard, processed animal feed, fertilizer, and ready-to-eat foods.

According to the Vietnam Trade Office in the New Zealand market, Vietnam and New Zealand's participation in multilateral FTAs reduces or eliminates tariff and non-tariff barriers. This is a significant benefit that will help Vietnamese goods compete with goods from countries that do not have an FTA with New Zealand. New Zealand's policy of seeking out supply partners and markets outside of the EU and China also creates export opportunities for Vietnam.

In terms of imports into Vietnam, New Zealand's primary exports include dairy products; beef, sheep; wool; wood and wood products; fruits and nuts (including fruits such as kiwi, cherries, apples...); seafood (tuna, green mussels...), all of which are popular among the Vietnamese population.

Some Vietnamese enterprises, such as Nutifood Nutrition Food Joint Stock Company (Nutifood), WinCommerce General Trading Services Joint Stock Company (WinCommerce), and Vietnam Dairy Products Joint Stock Company (Vinamilk), have engaged in cooperation, investment, and the distribution of dairy products and agricultural products with positive consumption and profits. Some examples can include:

- Milk and dairy products from New Zealand: New Zealand is the first country on Vinamilk's global journey and is one of the company's most well-known deals. In 2010, Vinamilk contributed NZ$12.5 million (19.3% share) to the construction of the Miraka milk powder factory, which specializes in the production of whole milk powder and has an annual production capacity of 32,000 tonnes. By 2015, Vinamilk's capital contribution had increased to NZ$19.68 million (or 22.81%). This facility also specializes in acquiring fresh milk from farmers and producing high-quality goods for export to numerous markets. international Institution. With this agreement, Vinamilk will utilize New Zealand's plentiful and high-quality fresh milk ingredients.

- New Zealand fruit: Vietnam is New Zealand's largest apple-consuming partner in Southeast Asia, with an import value of over VND 2,000 billion in 2022 alone. WinCommerce alone purchased and sold 240 containers of New Zealand apples, generating an estimated 220 billion dong in revenue; kiwifruit export value to Vietnam will increase from NZ$12 million (approximately VND 171 billion) in 2021 to NZ$30.37 million (approximately VND 430 billion) in 2022. Vietnam-New Zealand trade will continue to increase in the future, to achieve a two-way trade turnover of $2 billion by 2024.

To take advantage of the potential and favorable conditions for trade relations, a representative of the Asia-Africa Market Department of the Ministry of Industry and Trade stated that Vietnamese businesses must actively investigate and study trade agreements. Vietnam and New Zealand are members of the freedom to effectively exploit and benefit from tax incentives and product origin.

Approaching the market requires a methodical and long-term strategy, as well as strict compliance with the market's strict regulations and standards for imported products, particularly those related to food safety. Products, testing, and quarantine to boost export volume.

Alternatively, enterprises must actively participate in trade promotion activities and programs (fairs, exhibitions) or trade programs to find partners and promote Vietnam's high-quality products on the international market. market.

Ha Vu