'Deadline' for CEPA, the future for Halal

In the context of the two countries celebrating the 30th anniversary of the establishment of diplomatic relations (1993-2023), UAE Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan had a successful official visit to Vietnam (from June 13-14) with substantive exchanges to ensure that all efforts and determination to promote bilateral relations, especially in the economic field, from both sides will soon "bear fruit".

Prime Minister Pham Minh Chinh receives the Minister of Foreign Affairs of the United Arab Emirates (UAE), Sheikh Abdullah bin Zayed Al Nahyan. (Source: VNA)

During the visit, UAE Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan paid a courtesy call on Prime Minister Pham Minh Chinh, held talks with Vietnamese Foreign Minister Bui Thanh Son, and signed a Memorandum of Understanding on cooperation between the Diplomatic Academies of the two countries.

Key partner in Southeast Asia

It can be affirmed that the vibrant exchange of delegations between the two countries in recent times is clear evidence of the momentum in the development of bilateral relations.

The UAE has repeatedly emphasized its desire to strengthen relations with Vietnam and considers Vietnam one of its important partners in Southeast Asia. The friendly and multifaceted cooperation between Vietnam and the UAE since the second Political Consultations between the two Ministries of Foreign Affairs (February 2023), particularly in potential areas such as politics and diplomacy, economy and trade, investment, oil and gas, renewable energy, and tourism, has seen positive developments.

On that basis, on this occasion, the two sides agreed on measures and plans that the two countries need to coordinate to further explore the great potential in bilateral cooperation.

Specifically, both sides agreed on the need to strengthen the coordinating role of the two Ministries of Foreign Affairs, promote exchanges of delegations at all levels, especially high-level delegations, to create breakthroughs in cooperation; actively coordinate and support each other in multilateral forums; enhance the effectiveness of the Political Consultations mechanism between the two Ministries of Foreign Affairs; promote the roles of Vietnam and the UAE in relations between ASEAN and the Gulf Cooperation Council (GCC); and especially strongly promote economic, trade, and investment cooperation…

Vietnam welcomes the UAE's hosting of the 28th Conference of Parties to the United Nations Framework Convention on Climate Change (COP28), emphasizing that it will actively cooperate with the UAE as well as other member states of the Convention for the success of COP28.

On the occasion of the 30th anniversary of the establishment of diplomatic relations, both sides agreed to coordinate the organization of cultural and sports exchange activities, including "Vietnam Culture Day in the UAE," contributing to enhancing mutual understanding between the people of the two countries.

Foreign Minister Bui Thanh Son welcomes UAE Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan. (Photo: Tuan Anh)

Comprehensive Economic Partnership Agreement - a top priority.

The push to finalize negotiations and sign the Comprehensive Economic Partnership Agreement (CEPA) in 2023 was a highlight of the visit, demonstrating a strong determination from both sides to create a breakthrough in economic cooperation. During the discussions, Minister Abdullah bin Zayed Al Nahyan affirmed that signing the CEPA is a top priority for the UAE in its cooperation with Vietnam.

Why is the CEPA so highly anticipated? The CEPA will include preferential provisions on trade and investment, providing a legal basis for the development of solid international economic relations between the UAE and other countries. Once signed, the CEPA between the two countries will be a significant milestone, opening a new phase of comprehensive cooperation, especially in the economic field, between Vietnam and the UAE.

The agreement will serve as a legal basis, creating a new foundation to further promote cooperation in trade and investment between the two sides by reducing or eliminating tariffs on many goods and services, thereby facilitating investment.

This creates new business opportunities, market access, and promotes FDI flows for the business communities of both countries. On June 5th, Minister of Industry and Trade Nguyen Hong Dien and Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for International Trade at the UAE Ministry of Economy, officially opened the first round of CEPA negotiations in Hanoi during his visit to Vietnam from June 4-6.

Currently, in the investment sector, Vietnam encourages UAE businesses and funds to invest and transfer technology in areas of mutual interest such as logistics, real estate, services, infrastructure, and innovation. In addition, Vietnam hopes the UAE will share its experience and support the development of an international financial center, connect innovation networks, facilitate energy transition, protect the environment, and manage natural resources.

Both sides are promoting enhanced cooperation in many other important areas of common interest such as renewable energy, combating climate change, sustainable development, and environmental protection.

Immediately following the visit of Vice President Vo Thi Anh Xuan (May 2023), the UAE proactively promoted labor cooperation with an unprecedented request: Vietnam would send 100,000 skilled workers to work in the UAE in the near future.

Therefore, the field of labor cooperation was also emphasized by the UAE Foreign Minister this time. The Minister highly appreciated the contributions of Vietnamese workers to the development of the UAE and expressed his desire for both sides to strengthen cooperation to promote and bring more highly skilled Vietnamese workers to the UAE as soon as possible.

Vietnamese Foreign Minister Bui Thanh Son and UAE Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan held talks. (Photo: Tuan Anh)

Halal "Meeting Point"

According to a report by the Dubai Islamic Economic Development Center, in 2023, GCC countries imported $50 billion worth of Halal products, and Muslim countries worldwide are expected to spend approximately $2.4 trillion on Halal products, with this figure projected to continue increasing over time.

Currently, the UAE is a world leader in the Halal industry, and it is also a center for international trade and exports goods to the GCC countries and the Middle East and Africa region.

Vietnam has abundant and diverse food resources and agricultural products, and a rapidly developing food processing industry. Therefore, a "meeting" at the "intersection" of Halal will certainly bring great benefits to both sides.

Given this situation, during this visit, Vietnam requested the UAE's support in developing the Halal industry and services, investing in Halal product manufacturing, and establishing cooperation mechanisms for Halal certification in Vietnam, thereby contributing to increasing trade turnover between the two countries.

According to the Vietnamese Ambassador to the UAE, Nguyen Manh Tuan, strengthening cooperation with the UAE in all areas of the Halal industry to boost exports is essential. Initially, Vietnam and the UAE need to accelerate negotiations to sign a bilateral cooperation agreement in the agricultural sector between the two countries (livestock farming, crop cultivation, fishing, and processing).

Next, both sides need to implement concrete steps such as: promoting the recognition of standards and practices in the field of accreditation, certification, and assessment for Vietnamese entities; cooperating with Halal certification bodies in the UAE to provide useful input information for Vietnamese businesses seeking to supply goods to the Halal market; and cooperating in the field of Halal human resource training to standardize standards and interpretations of Halal, build a competent workforce to handle the entire value chain, and ensure global harmonization of Halal certification.

"We will closely coordinate with Vietnam to implement cooperation proposals in a substantive and effective manner, especially in the areas and contents that Prime Minister Pham Minh Chinh has commented on," was the commitment Minister Abdullah bin Zayed Al Nahyan made at the end of his greeting with Prime Minister Pham Minh Chinh. Returning to the UAE after his third visit to Vietnam, it is certain that Minister Abdullah bin Zayed Al Nahyan will pay close attention to and promote cooperation with Vietnam, especially the CEPA deadline.

The UAE is currently Vietnam's largest trading partner in the Middle East-North Africa region. Bilateral trade reached US$4.4 billion in 2022, with Vietnam exporting US$3.8 billion to the UAE and importing US$582.6 million from the UAE. Vietnam accounts for approximately 2.2% of the UAE's import market share, while the UAE accounts for approximately 0.2% of Vietnam's import market share.

Source: https://baoquocte.vn/viet-nam-uae-deadline-cho-cepa-tuong-lai-cho-halal-231017.html