State Government strikes trade deal with Vietnamese province to help with COVID-19 recovery

The McGowan Government has struck a deal with one of Vietnam’s wealthiest provinces to strengthen business and investment opportunities in the agrifood, education and mining sectors. As flagged by The West Australian last month, a memorandum of understanding is being signed by the State Government and the Vietnamese province Ba Ria-Vung Tau to boost export potential between the two economies. WA Asian Engagement Minister Peter Tinley said solidifying a diverse set of Asia trade partners that expanded upon the State’s relationship with China was critical for the State’s recovery from COVID-19. The MoU, to be signed at a virtual ceremony today, is set to strengthen WA’s trade relationship with Vietnam in the country’s most active industrial province. “(BRVT) ranked fourth among 63 Vietnamese provinces and cities for attracting foreign direct investment, and has industries including power and energy, deep sea port terminals, logistics, urban development, food processing and shipbuilding,” Mr Tinley said. International trade remains a significant contributor to the WA economy, last year adding $180 billion and supporting hundreds of thousands of jobs, according to the Minister. He added that while WA’s trade relationships, market access and ways of doing business had drastically changed during the coronavirus crisis, it was up to the State to alter its approach. “WA has the opportunity to remake itself,” he said. “WA cannot expect that when borders reopen, it will simply be a bounce back to business as usual.” WA-based ship builder Austal has already established manufacturing operations in BRVT, while agricultural exporter CBH-Interflour has set up flour mills and malting facilities in the province. The two companies have been doing business there since 2018 and 2005 respectively. Mr Tinley said: “WA wheat, barley, and live beef all go through the port at Ba Ria-Vung Tau, destined for a rapidly expanding Vietnamese middle-class.” “Future opportunities for WA include our premier seafood and aquaculture products international education services, oil and gas, and mining services and technology.”