On Friday, 12 memorandums of understanding (MOUs) were signed between Vietnamese and Indian businesses in the fields of public health, pharmaceutical materials, drug and vaccine production, oil and gas, information technology and technology transfer, education, and tourism.
The celebration was the visit of Vuong Dinh Hue, President of Vietnam's National Assembly. On December 17, 2021, he attended the "Vietnam India Business Forum" organized by the Embassy of Vietnam and the Confederation of Indian Industry.
India and Vietnam have a long-standing traditional relationship that nurtured both countries' leaders. They established Diplomatic Relations in
1972, which grew into a Strategic Partnership in 2007 and, later, a Comprehensive Strategic Partnership in 2016. One of the main pillars of
these two countries' bilateral relations has been trading and investment cooperation.
In terms of investment, India ranks 26th out of 141 countries and territories investing in Vietnam, with over 315 active projects and a total investment capital of nearly $1 billion. The capital is primarily concerned with the processing and manufacturing industries (accounting for 54.5 percent ). In terms of trade, the two-way turnover in the first ten months of 2021 reached nearly $ 11 billion, an increase of nearly 40% year on year, and surpassed the total trade turnover in 2020. India is currently ranked among the Vietnam's top ten trading partners, while India's fourth-largest trading partner in ASEAN.
Although trade and investment cooperation between Vietnam and India has improved in recent years, it remains modest and insufficient compared to both countries' potential and advantages. The two countries' economies share many similarities that can be used to support and complement each other in the interests of mutual development.
Specifically, India can become a provider of input materials for Vietnam in industries such as textiles and garments, shoes and leather, and machine production while also making it easier for Vietnamese products such as consumer goods, electronics, agricultural and aquatic products, wood products, and rubber to penetrate the Indian market. Furthermore, Vietnam provides a wide range of opportunities for collaboration and mutual support in the fields of textiles and garments, high-tech agriculture, biotechnology, pharmaceuticals, information technology, energy, infrastructure, and mining.