The visiting Vice President of Vietnam, Ms Nguyen Thi Doan, while addressing a business meeting organized by the apex Indian industry body - FICCI - in Delhi on Thursday, said : “Vietnam could avail of India's expertise in e-governance, IT software and agriculture, while India could import light engineering products from Vietnam.”

Doan is leading a 70-member official and business delegation to India. Vietnam is slated to don the mantle of the presidency of ASEAN in 2010. India has recently signed a free trade agreement with ASEAN, which is likely to be operationalised from January 1, 2010 as far as trade in goods is concerned. Thus in this context Doan's visit assumes importance.

She said that despite the global financial crisis, the inflow of foreign direct investment (FDI) into Vietnam continued to rise. The total FDI flows in 2008 was US$ 71.7 billion, a 200% rise over the previous year. The strong commitment of foreign investors to the Vietnamese economy follows the government's pursuance of the reforms aimed at improving the investment climate, ensuring equal economic opportunities for all sectors of the economy and its commitment to develop physical infrastructure as also education and health programmes.

In 2008, Vietnam's GDP growth rate was estimated at 6.23%, export growth rate at 29.5%. In 2008 India's exports to Vietnam was valued at $2094.4 million while India's imports from Vietnam was estimated at $388.99 million. However in the first half of 2009, India's exports to Vietnam have fallen by 38.66%, while Vietnam's exports to India have declined by 3.64%.

Major items of India's export to Vietnam include animal feed, pharmaceuticals and fine chemicals, plastic and linoleum products, sea food, machinery and equipment, iron and steel, pesticides, leather and leather garments and other kinds of metals and fabrics. India's imports from Vietnam include pepper, tea, coal, rubber, coal, cinnamon, electronic components, leather and leather made-ups, coal, electronics, machinery and coffee

Major India companies like Tata Steel, ONGC Videsh Ltd, Nagarjuna group, KCP group, Ranbaxy India, DSM Manufacturing and Services, Godrej group, Vallabhdas Kanji Ltd, Alliance Minerals, SOL Pharmaceuticals, RK Marble Pvt Ltd, Arihant Oil, Vedic Elements Ent Ltd, Shiva Plastics, Astral Computers, Sachna Exports, Olam Co, N Ranga Roao & Sons, United Phosphorus, Java Softech, Microtel Sterilisation Services, Roha Dyechem, GIMPEX, Minda India, Suvidha Business Solution, Mangalam Alloys, Epicentre Research Technologies, Spices Import Export Co, Consus Pvt Ltd, Inkor Autotech India, Jonvest Co and Iwa Direct Co have set up joint ventures in Vietnam.

Doan urged Indian industry to invest in IT software, garments and textiles and banking and finance.

Vietnam's Vice Minister of Planning and Investment, Nguyen Duc Hoa said that his country has the potential to attract investments on account of a stable environment, good connectivity and diverse natural resources. He urged the Indian industry to invest in oil and natural gas, mining, energy, consumer goods, infrastructure, human resources development, science and technology and environment protection.

The chairman of Dak Lac People's Committee, Lu Ngoc Cu invited Indian entrepreneurs to invest in Dak Lac Province particularly in coffee, rubber, forests, cashew nut plantations, aquaculture, mining and eco-tourism. The chairperson of Vietnam Women Entrepreneur Council and leader of the business delegation, Tran Thi Thuy urged Indian industry to invest in IT and agriculture sectors.#