Despite the impact of the disease, cashew nuts, pepper and some other agricultural products still maintained the leading growth rate when exporting to the UAE market.
Cashew nuts are one of the main export agricultural products of Vietnam.
According to the General Department of Vietnam Customs (Ministry of Finance), cashew exports to the United Arab Emirates (UAE) in the first 7 months of 2021 reached approximately 23 million USD, up 200%. This is the item with the best growth rate among Vietnamese products exported to this West Asian market.
After cashew nut in terms of growth rate is pepper, at an increase of 185%. In terms of total export value, spending was marginally better, at 40 million USD in the first 7 months of the year.
UAE is one of the 10 largest export partners of Vietnam in the world, and the largest trading partner of Vietnam in the Middle East and Africa. In the balance of trade, Vietnam is always in a big trade surplus with this market. At the same time, Vietnam’s export growth rate here is always high.
In the structure of exports to the UAE, agricultural products account for a large proportion, and most of them maintain the growth momentum. However, some agricultural products tend to decrease due to the impact of Covid-19. In which: tea decreased by 34.6%, reaching a total export value of 1.4 million USD; rice decreased by 15.4%, reaching 16 million USD; paper and paper products decreased by 10%, reaching 2.4 million USD.
Considering the total two-way trade turnover between Vietnam and the UAE, the increase was 37.8% over the same period last year, reaching nearly 3.1 billion USD. In which, Vietnam’s export turnover to the UAE reached approximately 2.8 billion USD, up 40.8%.
Regarding the structure of exports, mobile phones and components are still the items with the largest export turnover to the UAE, reaching 1.85 billion USD, up 48.1% over the same period. Followed by computers, electronic products and components (reaching 246.4 million USD, up 17.4%); machinery, equipment, tools and spare parts (reaching USD 148.1 million, up 43.1%).
On the world level, the UAE is one of the important transit markets, converging many favorable conditions to boost Vietnam’s exports to the Middle East, West Asia and Africa markets.
Besides, the market of Muslim countries is quite large, estimated to be worth about 2,000 – 3 trillion USD/year. Geographically, the UAE is located on the shores of the Persian Gulf, is a major economy in the Middle East, plays the role of the region’s commercial and financial center, as well as a transshipment and re-export center. third largest commodity in the world.
According to the Ministry of Industry and Trade, two-way trade turnover between Vietnam and the UAE in 2021 could reach 5 billion USD.
There is still a lot of room for development, but the UAE market still has certain barriers. According to the share of a number of Vietnamese businesses that have cooperated to invest in business in Dubai, our country’s businesses often face difficulties in logistics, expensive warehousing costs, high labor costs, which make products sold. lose competitive advantage on price.