Specifically, 98% of enterprises are small and medium-sized, contributing about 50% of the total GDP, more than 35% of the State budget revenue, and creating jobs for 50% of Vietnamese workers. “These figures clearly demonstrate the important role of Vietnamese small and medium-sized enterprises in the economy, especially in the period when we are entering a new era,” Ms. Hang emphasized.
This further demonstrates the greater responsibility of the diplomatic sector, the Ministry of Foreign Affairs and Vietnamese representative agencies abroad in promoting economic diplomacy, directly contributing to, supporting and accompanying the development of small and medium-sized enterprises.
Through the opinions exchanged at the workshop, Ms. Hang asked: In terms of diplomacy in general, what support can the Ministry of Foreign Affairs and Vietnamese representative agencies abroad provide for small and medium-sized enterprises in the coming time?
Firstly, establishing cooperation frameworks, promoting cooperation in the Government channel as well as the Vietnam Association of Small and Medium Enterprises channel with partners. Most recently, during the visit to Vietnam by the President of the Republic of Korea, the Vietnamese Ministry of Planning and Investment and the Korean Ministry of Small and Medium Enterprises and Startups signed a cooperation agreement to establish a Cooperation Committee on promoting small and medium enterprises on both sides.
According to Deputy Minister Hang, this is a model and approach from the Government’s perspective that can support, promote and further strengthen the establishment of cooperation frameworks in the field of small and medium enterprises, innovative startups with countries around the world. At the same time, within the framework of the Government with ministries and branches, cooperation between the Vietnam Association of Small and Medium Enterprises and other countries is also a direction we can promote, on the basis of that cooperation we will be able to address specific cooperation issues.
“This is an issue that the Ministry of Foreign Affairs can advise and consult with the Association and relevant ministries and branches to promote in the coming time,” said Ms. Hang.
Second, we are currently witnessing a clear shift in the supply chain. This is creating many opportunities as well as challenges for small and medium enterprises. The Government meeting discussed many cooperation projects on large projects. In the cooperation project with large enterprises and partners, the Government pays great attention to the issue of technology transfer, human resource training, and increasing the participation of Vietnamese enterprises, especially small and medium enterprises, in the supply chains of large corporations.
This is the direction of cooperation and exchange between the Government, ministries and sectors of Vietnam as well as with partners. The Ministry of Foreign Affairs will continue to promote these areas of cooperation more strongly. This will create great opportunities for Vietnamese small and medium enterprises to participate more deeply, at a higher level in the global value chain.
Third, implementing and effectively utilizing free trade agreements (FTAs). According to Ms. Hang, this is not a new issue, but at present we have 19 FTAs with a variety of partners. We have gone through a period of implementing FTAs, large enterprises and large corporations are the leading enterprises taking advantage of these opportunities and times.
From the experience and information of “predecessors”, small and medium enterprises will have the opportunity to take advantage of FTAs more effectively. This is also the responsibility of ministries, including the Ministry of Foreign Affairs, and Vietnamese representative agencies abroad in supporting and accompanying Vietnamese small and medium-sized enterprises.
Fourth, diversifying markets and partners is a major policy of the Government, creating many opportunities for small and medium-sized enterprises. When we enter the markets of developing countries, markets with much potential, the opportunities for small and medium-sized enterprises are greater.
For example, with the Middle East, Africa, Latin America, South Asia, or the first time we signed the Vietnam – UAE Comprehensive Economic Partnership Agreement (CEPA Agreement) with the United Arab Emirates (UAE) … creating opportunities for businesses to continue to diversify markets, despite difficulties such as remote geography, high logistics costs, cultural differences … But the market’s requirements are very suitable for the potential goods of Vietnamese small and medium-sized enterprises.
Fifth, the current general policy of the Government and small and medium-sized enterprises can take advantage of to promote cooperation opportunities, which is the issue of human resource training. This is a major issue facing businesses, especially small and medium-sized enterprises in the context of strong digital transformation and green transformation as it is today.
Sixth, the issue of providing information and connection, the Ministry of Foreign Affairs is ready to promote. Since the 13th Congress, the Ministry of Foreign Affairs has strongly promoted and strongly shifted the direction of implementing economic diplomacy to serve the country. The spirit of economic diplomacy focuses on localities, people and businesses as the center of service.
According to Ms. Hang, what can be done right now is to set up an information board where all the focal points, Vietnamese representative agencies abroad, consuls general, economic officers have full phone numbers, emails and focal points of the Ministry of Foreign Affairs such as the Department of Multilateral Economics, Department of Economic Synthesis. With these contacts, businesses can directly contact and discuss in detail in the spirit of being ready to stand side by side with businesses.
At the same time, establish a mechanism for regular monthly or quarterly exchanges between the Association of Small and Medium Enterprises, businesses and Vietnamese representative agencies abroad to develop specific cooperation programs, or issues of concern and recommendations to businesses.
“There are a large number of small and medium-sized enterprises, so there needs to be a focal point for the Ministry of Foreign Affairs to synthesize the needs and proposals of enterprises. We must do the right things that are the strengths of Vietnamese representative agencies abroad to support enterprises, not spread out and not be very effective. We need to choose key, key issues, in the right fields that the Ministry of Foreign Affairs can promote and that Vietnamese representative agencies abroad can do,” said Ms. Hang.
“On behalf of the Vietnamese ambassadors and consuls general abroad as well as the 94 Vietnamese representative agencies abroad, I pledge to continue to accompany, support, and stand side by side with the Vietnam Association of Small and Medium Enterprises and enterprises to promote the development of each enterprise, thereby contributing to the development of the country, realizing the aspirational goal of national development,” Ms. Hang affirmed.
