Mr. Rajeev Garg, Vice Chairman, Indian Business Chamber in Vietnam (InCham)

What are your thoughts on Vietnam’s ability to attract FDI and what steps could the government and local businesses take to boost efforts?

Vietnam is an attractive destination for foreign investment and you can see that many investments are being made in the manufacturing sector from a number of countries, especially Japan, South Korea, and Taiwan (China), so Vietnam is doing well in regard to foreign investment. Government policies are supportive, and the investment environment is sound.

However, in terms of what more can be done, I think Vietnam should look at improving awareness about the investment opportunities on offer in the country. More information could be provided on what provinces hold certain advantages in a particular industry, and what industrial parks they have.

Vietnam should also seek more investment from other countries, to diversify its capital sources.

Another thing I see is that Vietnam should relax its visa requirements. Many companies these days are experiencing challenges in obtaining business visas for their staff, because they are only short-term. Anyone coming to explore the market will need many visits, so will need to obtain many visa approvals. This can be a challenge.

I also think that policies from the government on foreign investment should be elaborated upon in terms of the law, which would help industries as they prepare plans.

In addition to industry, in what other segments can India and Vietnam establish bilateral cooperation?

Business relations between India and Vietnam are more about trade than investment, despite the huge potential. I believe that Indian companies should look to Vietnam for investing in manufacturing, ,services, and healthcare, because these are trends in India.

Secondly, Vietnam is a sound destination and there are opportunities for Indian companies to invest. Vietnam has signed many FTAs that offer advantages to its manufacturing industry. Large Vietnamese companies, meanwhile, should seriously look at the Indian market. They should set up not only for trade but also for investment.

What are the pros and cons of Vietnam’s business environment, and how can it be improved to benefit foreign partners?

As I mentioned, we should look at what opportunities are available for foreign investment in Vietnam, and that should be highlighted more to attract greater investment.

Every country has its positive and negative points, but I believe that Vietnam has almost all of the best conditions. There are issues that can be overcome as more and more companies arrive, and I believe that the Vietnamese Government is willing to listen to foreign investors.

There is the Vietnam Business Forum, where business associations of foreign companies can hold dialogue with the government every year. So, I think there are many opportunities for investment in Vietnam.

 Mr. Anuj Kacker, Executive Director and President of Aptech Limited and Head of the Confederation of Indian Industry (CII) Delegation

CII has long been connecting Indian industry with the world and highlighting India’s position as a stable and dependable partner. What steps should the Vietnamese Government and the country’s businesses take to broaden the reach of Vietnamese industry around the world?

CII as an organization has been sustainably developing Indian businesses for more than 125 years, and has some 9,000 primary members and indirectly over 25,000. It has a vast network and is a powerhouse for anyone in the world who wants to do business with Indian companies.

No matter the line of business, be it manufacturing, services, agriculture, education, medical, healthcare, or infrastructure, there are many initiatives and opportunities for business from Vietnam. CII would be happy to connect Vietnamese businesses with partners in India. It is a two-way process.

What recommendations would CII make for the development of industry in Vietnam?

Vietnam as a country holds many different advantages. It is a young country, is posting growth of almost 7 per cent, and has a stable, proactive government committed to industry.

From CII’s perspective, we are happy to work within government policies. Four years ago, the Indian Government released a document that clearly enunciated how it wants to develop Industry 4.0 in Vietnam, in which the steps and priorities in Vietnamese industry were clearly laid down. I highly recommend that all Indian companies read that document, because it clearly states what Vietnam is looking for.

One example is in the field of education and skills building, because a field like information communications and technology (ICT) can’t be developed without skilled human resources. Indian companies in the field of education should look to partner with Vietnamese companies to build up skills in this area. Likewise, Vietnamese companies should take advantage of international expertise available in powerhouses like India, where ICT has evolved over a long period of time and which is a leader in software development.

There are other areas like media, entertainment, gaming, and visual effects that have potential. Gaming is a very big thing in Vietnam, and some of the best unicorns in the world are Vietnamese. This is a major opportunity for any company that can cooperate with Vietnamese companies.

Regarding investment prospects, how can Vietnam enrich its potential as a promising destination among international investors, especially in the context of unprecedented global events?

It is a business cycle. Today, we are celebrating 50 years of diplomatic relations between India and Vietnam, and in that time we have established a trade relationship worth over $14 billion. So, obviously, there are many good things that Vietnam and Indian businesses have done over the years.

However, as much as we want to celebrate the achievements of those years, it only represents a small portion of the potential that lies before us. There are many opportunities and also impediments, and we have spoken to the government, industry associations, and investment facilitation bodies about these. There will always be challenges, but as long as there is trust, any and all challenges can be addressed.

Dr. Venkata Ramana, Founder & CEO of Avera

What do you think of the investment opportunities in Vietnam?

We are very happy with our interaction with businesses in Vietnam. We actually came up with a proper plan to come to Vietnam, but were able to launch our products first and then we saw a need to set up a strategy about which cities and provinces we want to focus on.

What steps could Vietnamese and Indian businesses take to establish partnerships that have long-term benefits for both?

We met with the Deputy Prime Minister, and he showed support for Indian businesses to expand here. We also want Vietnamese businesses to visit India, and hope that the two governments will work together to formulate foreign investment policies, so we can increase bilateral trade relations.

What are your concerns about Vietnam’s business environment, and how can it be improved?

The language barrier is one concern. Fortunately, there are translators available, but still, there are gaps in communications between government officials and industries. I hope that this will be resolved in the future, and I have seen many Vietnamese businesses starting to use English.

As for policies, we want English-language websites to be available on all platforms, so that Indian businesses can understand more.

We also want Vietnam to promote its policies in India, so that Indian businesses can better understand the environment as well as the opportunities that Vietnam can offer. That would attract more businesses and investors from India to Vietnam.