Agriculture, fisheries seek Korean investors

Agriculture and fisheries represent enormous potential for South Korean investors seeking opportunities in Viet Nam, said Foreign Investment Agency director Do Nhat Hoang at a business conference yesterday in Ha Noi.

Untapped opportunities in the agriculture, forestry and fisheries sectors were awaiting Korean enterprises, Hoang said, noting that Viet Nam was offering incentives for investment in these sectors, including reduced land rental fees and assistance in human resources training, transportation and market development.

The percentage of foreign direct investment (FDI) in the nation’s agricultural sector has fallen from 8 per cent in 2001 to only 1ù per cent last year, Hoang said, with a large share of FDI having shifted towards the services sector in recent years.

More effective measures were needed to boost investment in the agricultural sector, said Tran Thi Mieng, a representative of the Ministry of Agriculture and Rural Development.

Mieng called for more visits by Korean businesses to better explore the potential of this sector, including current production and export status.

Exchanges of market information also needed to be fostered, she added.

She said that she hoped Korean business associations would support Vietnamese firms in seeking new trade partners and boosting exports.

Yesterday’s event was held as part of a four-day visit to Viet Nam by a delegation of 25 Korean firms.

During their stay, the delegation will gain a better understanding of the local market by visiting the facilities of companies in the agricultural machinery, agro-processing and distribution industries.

South Korea is the leading source of foreign investment in Viet Nam. Korean investors have launched more than 2,600 projects worth a combined $23 billion, and such major Korean firms as LG, Posco, Doosan, Samsung and Lotte now have a presence in the country.

Bilateral trade increased from a modest $28 million in 1992 to $9.1 billion last year, down from a pre-recession peak of $10 billion in 2008.

The two countries were trying to boost bilateral trade to $20 billion by 2015, said the director of the ASEAN-Korea Centre’s Development Planning and General Affairs Unit, Jae Hyun Cho. — VNS

Tags: Vietnam agriculture