Accept the fair trade - “good dossiers” for goods exported to EU
Opportunities and challenges for Agriculture from EVFTA and AEC | |
C/O for imported trucks is not required | |
EU-Mutrap provides workshop on Vietnam-EU free trade agreement |
The EU spends a major concern to handicrafts with fair trade certification. Photo: Phan Thu |
A modest quantity
Fair Trade is an international movement applying the equality principle in production and business, respecting the sustainable living environment. This is an international certification operated by the The Fair Trade Labelling Organization International – FLO.
According to the Trade Promotion Department (MOIT), the fair trade program is a closed chain from exporters, importers, processing enterprises, distribution enterprises to consumers with very strict standards. To join in this program, enterprises or cooperatives have to pay fees for foreign organizations and are accredited. Every year, these organizations send their experts to the enterprises or cooperatives for examination, if enterprises or cooperatives violate, they will be stopped the issuance of certification.
To be certified, an enterprise’s products must be manufactured according to the principles of environmentally friendly, sustainable development and ensure that there is no discrimination or inequality between the producers and workers.
Currently, this certification has been awarded for Vietnam enterprises operating in the field of coffee, tea, and handicrafts. But the number of enterprises achieving this certification is quite low. Nguyen Huy Hung Coffee Company (Kon Tum province) is one of the first 2 coffee companies achieving fair trade certification in Vietnam. According to Mr. Dao Duy Tung, deputy director of this company, when the foreign partners know that the company’s products have been fair trade certified, the ability of contracting is highly successful. For example, the EU importers and the US importers are increasingly stricter on goods standards so they believe in the companies which have fair trade certification.
In the field of handicrafts, there also have some companies achieving fair trade certification. Mr. Do Van Tha, residing at Phuong La Village, Thanh Phuong commune, Hung Ha District, Thai Binh said that being supported by the Craft Link Center, the products such as towels, silk goods of his group were exported to many fastidious markets such as Japan, Korea, US, Germany, Australia and Italy, etc. Many Japanese and European businesses came to his village to review the compliance with the fair trade criteria of the village group to decide the order. As same as this view, Mr. Le Ba Ngoc, Deputy chairman of Vietnam Handicraft and Gift Export Association said that the EU importers are very interested in fair trade certified handicrafts in the world with purchasing power increasing by 13% per year.
Difficult to meet the criteria
With the shares of enterprises, we can see that fair trade certification has brought many benefits for businesses in the access to markets, importing partners, and this is also the channel helping enterprises increase export turnover, expand the market, especially fastidious markets such as the EU and US.
In fact, consumers, especially European consumers are willing to pay a high price for an item, if the item has a clear origin and does not cause negative impact on society and the environment. Therefore, experts said that when the EU - Vietnam Free Trade Agreement is signed, it will provide an opportunity to apply fair trade, helping Vietnam goods easier access to European consumers.
However, according to reflections from businesses, they are facing difficulties in meeting the fair trade criteria. As a non-profit and fair trade organization the Craft Link Center is supporting 70 groups in Vietnam to meet 10 fair trade criteria. But, Mrs. Tran Tuyet Lan, Director of the Center said, the most difficulty is production conditions of the group which must be invested more in manufacturing factory and tools to help them make the products, yet ensuring the safety for environment so that the products can be exported.
According to Mr. Do Van Tha, in 10 criteria, the most difficulty is meeting environmental criteria. The biggest obstacle for the villages in manufacture is dyeing wastewater and flying cotton treatment “We suggest that the State and people and social organizations in combination together to refresh and ensure environmental safety” Mr. Tha suggested.
Vietnam eyes enforcement unit to counter unfair trade Anti-dumping, countervailing and special safeguard measures are effectively used by countries around the world to foster and ... |
Besides, many experts also believed that we don’t deny that most of tea, coffee and handicrafts enterprises and cooperatives in Vietnam have small scale, less capital, that will meet many difficulties in achieving fair trade certification. Not to mention, they have to perform the procedures in English. This requires the enterprises to understand the international trade procedures and take time and fees for translation, notarization.
In order to remove difficulties for enterprises joining in the fair trade program, the project of fair trade promotion in Vietnam sponsored by the European Union has been deployed from June 2014 to May with the aim to develop and enhance fair trade and business capacity in Vietnam in compliance with the requirements of European market access. |
Related News
Enterprises have the right to pre-determine HS codes
09:55 | 06/04/2023 Regulations
Import and export turnover across Cao Bang prospers but still exists difficulties
10:25 | 05/04/2023 Import-Export
Exploiting potential markets to increase coffee export space
11:40 | 01/04/2023 Import-Export
Latest News
Saigontex 2023 attracts over 1,300 domestic, foreign businesses
14:01 | 06/04/2023 Import-Export
Mong Cai international border gate sees strong recovery
16:15 | 05/04/2023 Import-Export
Vietnam a potential market for French businesses, investors: experts
16:12 | 05/04/2023 Import-Export
Cashew industry strives to "get on the shelves of world supermarkets"
10:24 | 05/04/2023 Import-Export
More News
HCM City’s industrial production index down 0.9% in Q1
14:47 | 04/04/2023 Import-Export
Fisheries exports estimated at 1.85 billion USD in Q1
14:45 | 04/04/2023 Import-Export
Quang Ninh aims to attract quality FDI inflows
14:43 | 04/04/2023 Import-Export
Exports face many difficulties
13:29 | 04/04/2023 Import-Export
Manufacturing enterprises increase their competitiveness thanks to digital transformation
13:28 | 04/04/2023 Import-Export
32nd Việt Nam Expo promises to boost business linkages
14:19 | 03/04/2023 Import-Export
Prevention of price risks before news that Indonesia increases rice imports in reserve
09:52 | 03/04/2023 Import-Export
Japanese investors highly appreciate Vietnamese property market
17:41 | 02/04/2023 Import-Export
Seafood enterprises propose to remove obstacles from exporting to the EU
10:34 | 02/04/2023 Import-Export
Your care
The system has not recorded your reading habits.
Please Login/Register so that the system can provide articles according to your reading needs.
Saigontex 2023 attracts over 1,300 domestic, foreign businesses
14:01 | 06/04/2023 Import-Export
Mong Cai international border gate sees strong recovery
16:15 | 05/04/2023 Import-Export
Vietnam a potential market for French businesses, investors: experts
16:12 | 05/04/2023 Import-Export
Import and export turnover across Cao Bang prospers but still exists difficulties
10:25 | 05/04/2023 Import-Export
Cashew industry strives to "get on the shelves of world supermarkets"
10:24 | 05/04/2023 Import-Export