Kazakhstan exports wheat to Vietnam
Kazakhstan is expanding its export capacities. For the first time, the country sent its wheat to Vietnam. For this purpose, an agreement on a free trade zone between this country and the EAEU was signed earlier. The cargo arrived from the eastern Chinese port of Lianyungang to Vietnam’s Ho Chi Minh City. The sea route across the territory of China to Southeast Asia, as experts say, will allow our country to establish in the region the supply of not only grain, but also the export of various food products. 80% of the Vietnamese grain market is provided by Australia, the U.S., Canada and Argentina. Now Kazakhstan entered this list. The price of the Kazakh wheat is much more attractive, local businessmen say. The price is lower due to lower transportation costs.
XUE XYAN WEN, REPRESENTATIVE OF COMPANY-CUSTOMER:
Kazakhstan grain is a novelty for our market. If laboratory studies confirm its high quality, then we will purchase more. Wheat prices are very attractive, and I think that you have a chance to become a worthy competitor in the Vietnamese market.
The delivery took about a month. According to experts, consider the new logistics route of Kazakhstan to the countries of South-East Asia through the port of Lianyungang is an important step in combining the economic program Nurly Zhol and the Chinese strategy One Belt, One Road.
LIU BIN, DIRECTOR GENERAL, INTERNATIONAL LOGISTICS COMPANY:
We witnessed a historic event. In the future, this corridor will open an opportunity for bilateral transportation both from and to Kazakhstan.
BEKETZHAN ZHUMAKHANOV, KAZAKH AMBASSADOR TO VIETNAM:
We are ready to supply products not only from Kazakhstan, but also from the EAEU countries through this branch, which passes across Kazakhstan to China, the port of Lianyungang to the port of Ho Chi Minh. Therefore, the prospects are very large. I think that our business will only prosper.
The agreement on free trade between Vietnam and the EAEU will help boost trade turnover. In addition, by 2020, according to forecasts of experts, the volume of external commodity turnover will grow by 2,5 times from $4 to $10 billion.