The UK-Vietnam Free Trade Agreement (UKVFTA) has had a clear impact on trade exchanges between Vietnam and the UK, particularly in the field of agriculture, since it officially took effect on May 1, 2021.

Exports of agricultural, forestry and fishery products to the UK have recorded positive results after the UKVFTA took effect, according to the Trade Promotion Department of the Ministry of Industry and Trade of Vietnam.

In the first six months of 2022, Vietnam's revenue from coffee exports to the UK more than doubled from the same period last year to reach nearly 62 million USD.

Nguyen Khanh Ngoc, Deputy Director of the ministry's European-American Market Department, said the reduction of the import tax to zero per cent after January 1, 2021, had helped many Vietnamese products to have a more competitive advantage in comparison with the same products of other countries exporting to the UK.

Affirming that the UKVFTA is a great opportunity for Vietnamese export businesses, Trade Counsellor at Vietnam's Embassy to the United Kingdom Nguyen Canh Cuong said Vietnamese businesses still faced many obstacles in seeking partners and meeting quality standards and export procedures needed to export products to the UK as well as risks relating to contracts, payment and prevention measures.

"Rice has huge potential in the UK market but has not yet been fully exploited. The volume of rice exported to the UK is still much lower than the demand of UK importers and the ability of Vietnamese export businesses," he said.

Among Southeast Asian countries that exported rice to the UK in 2021, Vietnam enjoyed the highest average unit price at 1,012 USD per tonne, while rice from Thailand, Cambodia and Myanmar stood at 999 USD, 991 USD and 502 USD per tonne, respectively, according to the VASEP.

Vietnamese rice in the UK is mainly sold to the Vietnamese community and part of the Chinese, Thai, Malaysian, and Filipino communities. Popular Vietnamese rice brands in the UK include Golden Lotus Premium Jasmine Rice, Longdan Rice, Buffalo Saigon Fragrant Rice and Buffalo Brand Northern Vietnam Glutinous Rice.

To support Vietnamese businesses to export products to the UK, Deputy Director of the Trade Promotion Department Bui Thi Thanh An said the Government had national brand programmes, and the department would continue supporting businesses to promote their brands via trade promotion programmes.

The department would also assist businesses to connect with partners as well as provide guidelines to help them successfully export products to the UK and other international markets.