Mr. Indronil Sengupta, Chairman of the Indian Business Chamber in Hanoi (INCHAM Hanoi)

I have been in Vietnam for 17 years, and during that time I have come to understand why the country’s legal framework and business environment are so attractive to foreign investors. The first and perhaps most crucial point is political stability. Vietnam’s stable government, coupled with policies that encourage sustainable investment and business growth, is a key driver of foreign interest. The second point is Vietnam’s demographics. Its population is young, which creates a highly consumption-oriented market. With a population of over 100 million, domestic demand is strong and continues to grow.

The third point is the appeal for small and medium-sized enterprises (SMEs). Vietnam has been a major success story with its industrial parks and zones, which make it easier for SMEs to quickly set up business. These industrial parks take care of essential infrastructure like land, electricity, and other utilities, so businesses don’t have to deal with the often complex processes of acquiring and preparing land themselves.

When we look at Vietnam and India’s business relationship, it can be viewed from two aspects: trade and investment. On the trade side, we see strong opportunities in sectors like pharmaceuticals, agriculture, information technology (IT), and financial technology (fintech), among others. In terms of investment, energy is one of the sectors in which Vietnam can attract Indian investors. Though Vietnam and India have both been recognized for their rapid development in renewable energy over the past decade, there remains significant potential for investment cooperation between the two in the field of wind energy in the years to come. Moreover, infrastructure, particularly seaports, is another area where Indian investors are looking to increase their investments in Vietnam.

There are already multiple areas where Indian businesses are sourcing from Vietnam, and we are also beginning to see Vietnamese companies sourcing from India. One interesting area is ceramic tiles, where Vietnam has shown growing interest in sourcing from India. Conversely, India is sourcing a significant amount of limestone from Vietnam, particularly for its steel industry. This exchange of goods and resources is a testament to the growing economic ties between the two countries.

This year marks the 25^th anniversary of the Indian Chamber of Commerce in Vietnam (INCHAM), and we are celebrating with a series of events designed to build bridges between Vietnamese and Indian businesses. For example, we are co-hosting various events with Indian partners, and are planning an international business event focused on digital and concrete business opportunities. This latter event will provide a platform for both Indian and Vietnamese businesses to engage in discussions about the digital economy, which we believe will be a game-changer for bilateral trade.

Mr. Rajeev Singh, Director General of the Indian Chamber of Commerce (ICC)

From an Indian perspective, Vietnam presents tremendous opportunities as an investment destination. Over recent years, it has established itself as a key manufacturing hub, driven by favorable government policies. These include regulations around company formation, labor laws, infrastructure development, and, crucially, Vietnam’s robust network of free trade agreements (FTAs). Vietnam has signed FTAs with 60 economies worldwide, offering substantial advantages to companies that choose to set up operations here. These benefit from preferential tariff rates and priority access to markets, making Vietnam an incredibly appealing option for businesses looking to manufacture locally and then export globally.

Similarly, India is also a highly-promising investment destination. With a population of 1.4 billion and a growing middle class, India’s domestic market has become increasingly attractive to both local and international brands. Its rising domestic demand alone creates numerous investment opportunities for foreign businesses, as evidenced by the country ranking among the top 3 in the world for attracting FDI. With increasing incomes, demand among Indian consumers for new products is also on the rise. Therefore, investing in India presents a significant opportunity for Vietnamese businesses as well.

The technology and digital sectors are particularly exciting at the moment. India has built a global reputation in these areas, with many of the world’s largest IT and tech companies being led or significantly staffed by Indians. Domestically, India is home to thousands of fintech companies, and it boasts the highest volume of digital payment transactions worldwide. This presents a great opportunity for collaboration between Indian and Vietnamese tech companies, whether through partnerships or joint ventures. Indian companies can contribute to Vietnam’s digital transformation by working with local companies and the government.

Manufacturing is another key sector, particularly with the rise of Industry 4.0 and smart manufacturing technologies. Given Vietnam’s strategic location within ASEAN and its FTA network, manufacturing here offers strong potential for exporting to regional and global markets.

Additionally, education, skilling, and training represent important areas for collaboration between Vietnam and India. For Vietnam to remain competitive, its younger workforce needs to be well-versed in modern technologies. This is where India’s expertise in education and training can be of great value. Strengthening cooperation in these areas will help Vietnam’s workforce contribute more effectively to the country’s growth. Hospitality also remains a significant area of interest, continuing to draw attention as a major sector for bilateral collaboration.

At the highest political level, both the Indian and Vietnamese Prime Ministers are committed to deepening economic ties and enhancing investment flows between the two countries. With such strong political will, the policies in place actively encourage companies to explore and pursue investment opportunities in each other’s markets.

Mr. Kalyan Kar, Co-Founder of PrediQt Business Solutions Pvt. Ltd. (India)

I believe that now is the perfect time to invest in Vietnam, given its impressive economic growth and the palpable positivity among its people. India and Vietnam have shared a strong relationship for many years, and as someone from Kolkata, the capital of the Indian state of West Bengal, I feel a deep cultural connection to Vietnam. In Kolkata, we have a street named after Ho Chi Minh, symbolizing the strong cultural bonds we share. Interestingly, the flight from Kolkata to Hanoi is shorter than the flight to Mumbai, which underscores the practical convenience of engaging with Vietnam.

At present, our focus is on forging partnerships with IT companies in Vietnam. Our strengths lie in AI and data science, and we see tremendous potential in collaborating with Vietnamese firms as the country continues to advance its digital economy. We are also keen on partnering with Vietnamese universities to impart knowledge about AI to the younger generation. Our goal is to educate them on how AI can enhance their career prospects, contribute to the economic development of Vietnam, and ultimately make a positive impact globally.

As a company specializing in AI, we are dedicated to establishing a strong presence in Vietnam. We view ASEAN countries as key partners for India’s bilateral trade, with Vietnam standing out as a particularly crucial market within the region. For any Indian enterprise considering the ASEAN market, Vietnam offers one of the most attractive opportunities.

Vietnam’s IT sector is well-developed, and we have encountered many highly-skilled Vietnamese IT professionals. Our aim is to combine our global expertise with local talent through strategic partnerships. By collaborating with Vietnamese IT companies, we can leverage our international experience to develop cutting-edge products. Additionally, we are interested in exploring how AI can enhance the tourism sector, as Vietnam is an appealing destination for both Indian and international tourists. Local partnerships will be crucial in realizing this potential.

Moreover, as AI becomes increasingly integral to various aspects of life, it is essential for the younger generation to gain proficiency in the technology. We plan to offer two types of AI education: one for individuals aiming to build careers as AI developers and scientists, and another for professionals in diverse fields - such as sales, journalism, finance, and healthcare - who need to understand how AI can be applied to their work.

Our approach includes partnering with local IT companies to co-develop AI products and collaborating with universities to provide comprehensive AI training. This dual strategy will not only nurture a new generation of AI professionals but also equip individuals in various sectors with the skills to effectively utilize AI in their respective domains. By doing so, we aim to contribute to Vietnam’s growth and the broader ASEAN region’s development.

Mr. Navin Gupta, Founder and CEO of Hydrotec Solutions Pvt. Ltd. (India)

After extensively researching Vietnam’s economy and witnessing its impressive growth, it is evident that the country is emerging as a major player in the global market. This dynamic environment has greatly motivated me to delve deeper into the Vietnamese market. Our technology company, specializing in cutting-edge solutions such as water treatment, the Internet of Things (IoT), and monitoring systems, is enthusiastic about the prospects in Vietnam. We are developing a product designed to serve both the Southeast Asian and Indian markets, aiming to establish a robust presence across these regions.

Our primary focus is on the global drinking water sector, a critical area given the ongoing challenge of ensuring access to clean and safe drinking water worldwide. This issue is particularly pressing in Southeast Asia and Vietnam, where many people still rely on bottled water. Our goal is to offer solutions that are both affordable and adhere to high safety standards. The potential market for these solutions is vast, extending beyond Vietnam to include China, India, and even Africa. The challenge we face is to accelerate the development, production, and distribution of our products to meet this urgent need efficiently.

This visit to Vietnam is my first, and I am thoroughly impressed by the country’s infrastructure and the array of development opportunities available. Observing various factories, including Hyundai’s, underscores the significant potential for investment and growth throughout Vietnam.

In addition to exploring business opportunities, we are keen on enhancing collaboration between India and Vietnam. The historical connection between our two countries is exemplified by Ho Chi Minh Street in Kolkata, which is a tribute to our longstanding ties. This symbolic link highlights the potential for deeper economic and technological partnerships.

As we plan our investment strategy for Vietnam, we are evaluating various opportunities and seeking potential partners who align with our vision. Though we currently have manufacturing operations in India, we are eager to explore the possibilities that Vietnam offers. We are optimistic about the opportunities for growth and collaboration and look forward to establishing a successful presence in Vietnam’s dynamic market.

Our approach involves working closely with local ministries and adhering to their guidelines to facilitate the fast-tracking of our projects. During recent meetings with representatives from some Vietnamese ministries, we received positive support, which enhances our confidence in the collaboration process. We are hopeful that these interactions will lead to fruitful partnerships and successful ventures in Vietnam.

Therefore, our exploration of Vietnam is driven by the country’s promising economic landscape and the significant opportunities within the drinking water sector. We are excited about the potential for collaboration and are committed to contributing to the market with innovative and impactful solutions.

Mr. Vinay Patil, Managing Director of S.A. Pharmachem Pvt. Ltd. (India)

Vietnam is known for having a major textile industry, which results in the high consumption of water and chemicals. The treatment of chemical effluent water in the country, however, is currently inadequate. By capturing some of the chemicals entering the wastewater and recovering and reusing them, you can benefit both the business and the environment.

For example, denim manufacturers use dye in their products. However, nearly 15 per cent of the dye ends up in the water during the initial wash. Our product allows for the removal of dyes from the wastewater, enabling the reuse of both the dye and the water. This can significantly reduce treatment expenses and water consumption.

We are seeking local partners to introduce some of our innovative products to the textile industry. Our systems can help reduce effluents by recovering chemicals from wastewater, conserving water, and allowing for reuse. This contributes to addressing Vietnam’s circular economy concerns.

These technologies are new and have not yet been implemented even in China. We are promoting this technology in global markets. In the textile sector, we are working with businesses in Bangladesh, Turkey, and Indonesia to implement the technology.

S.A. Pharmachem is also involved in the pharmaceutical industry. We produce various starches for US pharmaceutical companies, the British Pharmacopoeia, and the Indian Pharmacopoeia. Our manufacturing facilities adhere to Good Manufacturing Practice (GMP) standards.

Starch is used in pharmaceutical tablets as a binder, and our starches help extend the effective duration of a drug. In each pill, 85 to 90 per cent is starch as a binder, making it a cost-effective filler, with the actual medicine comprising only about 5 per cent. For example, if you take a pain relief pill, it must have a slow-release effect. Our starch ensures that the medicine remains effective for up to eight hours.

Vietnam can also participate in this industry, since tapioca, a major product of its agriculture sector, can be used in various industries with the right modifications. Starch-based products are used in pharmaceuticals, food, adhesives, and the paper industry, but they require specific modifications depending on their intended use.

You have abundant tapioca but may lack the technology to process it. Starch can be converted into liquid glucose, sorbitol, and texturizing agents, and we are willing to provide such technologies to Vietnam.

Recently, the Indian Government permitted the production of ethanol from starch. Many projects are underway in India to add starch to petrol or diesel. This presents a significant opportunity for Vietnam to export these products to India, given the availability of raw materials.

Mr. Lokeshwaran Shankar Ram, Director of Meelo Agro Product Pvt. Ltd. (India)

India and Vietnam already share a strong, mutually-beneficial relationship in various sectors, including trade. This visit aims to explore further avenues for deepening that cooperation. Both countries are experiencing rapid economic growth, which naturally opens up a wealth of new opportunities. One area we are particularly focusing on during this trip is the agriculture sector, where India has extensive experience and notable agricultural products highly regarded in many international markets. We have successfully exported to numerous countries that appreciate the quality of our produce, and we see great potential in expanding our business into Vietnam as well.

Agriculture, especially organic farming, represents the future. With increasing concerns about the overuse of chemicals in farming, our organic products offer a healthier, more sustainable option for consumers, which is crucial for improving the well-being of millions. Through this trip, we are not only seeking new markets in Vietnam but also aiming to explore future collaborations in the agriculture sector, particularly in the organic space.

As consumer demand shifts more towards green, organic products, both India and Vietnam stand to benefit greatly by importing and exporting these products. This will enhance trade ties while also promoting health and sustainability. There is immense potential for future agricultural cooperation between our two nations, especially as the global shift towards organic farming continues to gain momentum.