Building an ecosystem that leverages FTAs ​​to boost coffee exports.

On August 28th, as part of the implementation of the ecosystem leveraging Free Trade Agreements (FTAs), the Ministry of Industry and Trade , in coordination with the Department of Industry and Trade of Dak Lak province, organized a "Direct exchange seminar with business leaders in provinces and cities on the ecosystem leveraging FTAs, including the CPTPP Agreement, in the coffee sector" in Buon Ma Thuot city.

The seminar was held in person with the participation of representatives from the Ministry of Industry and Trade (Multilateral Trade Policy Department); representatives from the Ministry of Agriculture and Rural Development (International Cooperation Department); representatives from agencies responsible for implementing FTAs ​​and import/export in Dak Lak and Dak Nong provinces; representatives from the Vietnam Coffee and Cocoa Association; the Tony Blair Institute for Development (TBI); and businesses involved in the production, trading, and operation of coffee in the province.

Scene from the seminar

For many consecutive years, Vietnam has consistently ranked among the world's top coffee exporting countries. The provinces in the Central Highlands region account for almost the entire country's coffee-growing area and production. According to a report from the Ministry of Agriculture and Rural Development, Dak Lak is considered the coffee capital of the country. The province has a coffee-growing area of ​​212,650 hectares, equivalent to nearly one-third of the total coffee-growing area nationwide, and boasts the largest production in the country at 540,938 tons.

According to Mr. Ngo Van Nhiem, Deputy Director of the Department of Industry and Trade of Dak Lak province, in the first six months of 2024, Dak Lak province exported 174,942 tons of coffee, achieving a turnover of 600.721 million USD. Dak Lak province also has many large coffee production and export businesses, such as Simexco DakLak (2/9 Dak Lak Import-Export Company Limited) and Trung Nguyen Group, which have made significant contributions to the province's export turnover.

Mr. Ngo Chung Khanh, Deputy Director of the Multilateral Trade Policy Department, Ministry of Industry and Trade, presented on the ecosystem for leveraging FTAs ​​in the coffee industry at the seminar.

Besides large enterprises that already have relatively complete and optimized operating models, small and medium-sized enterprises, cooperatives, and coffee business households are facing many difficulties and challenges.

Accordingly, the Department of Industry and Trade of Dak Lak province, representatives of the Ministry of Agriculture and Rural Development, representatives of the Vietnam Coffee and Cocoa Association, and several coffee businesses and cooperatives all pointed out the difficulties encountered, such as converting land areas to other crops, lack of human resources, lack of capital, lack of information on markets, product standards, foreign consumer preferences, and trends in legal and regulatory adjustments related to sustainable development of major importing partners worldwide, with coffee being one of the crops directly affected.

In the past, the Government and local authorities have been very active in warning, guiding, and supporting businesses, cooperatives, and farmers. However, this support has not been widespread and has not been able to help these entities enhance their proactive linkages with each other as well as with other entities involved in import and export. Therefore, the Ministry of Industry and Trade has researched a model of an ecosystem that leverages Free Trade Agreements (FTAs), especially new-generation FTAs.

Delegates contributed their opinions at the seminar.

At the seminar, in a direct exchange with business leaders in provinces and cities on the ecosystem for leveraging FTAs ​​(including the CPTPP Agreement) in the coffee sector, Mr. Ngo Chung Khanh, Deputy Director of the Multilateral Trade Policy Department, Ministry of Industry and Trade, introduced the Project on the Ecosystem for Leveraging FTAs ​​in the Coffee Sector, including: objectives, connection methods, roles and benefits of participating parties, operational methods to support businesses in leveraging FTAs, participation criteria, difficulties in building the ecosystem, roadmap and steps for building the ecosystem in the coming time.

The purpose of organizing the seminar is to introduce the ecosystem for leveraging FTAs ​​in the coffee sector, gather feedback, and answer questions from stakeholders who will participate in the ecosystem. This activity will provide the Ministry of Industry and Trade and the drafting agency with more practical basis to develop and report to the Prime Minister on the feasibility of the model, aiming to bring practical results and help coffee businesses truly and thoroughly utilize FTAs, especially new-generation FTAs.

Source: https://congthuong.vn/xay-dung-he-sinh-thai-tan-dung-cac-fta-de-thuc-day-xuat-khau-ca-phe-342330.html