The ministry said 9 billion USD in export revenue was expected in 2008, up 15.4 percent compared with this year. Major export items to ASEAN include rice, vegetables, fruit, coffee and seafood.

Indonesia , the Philippines and Malaysia are Vietnam’s regular rice importers.

In 2007, Vietnam ’s rice exports to ASEAN members surpassed 1 billion USD.

The ministry said ASEAN remained a key rice export market for Vietnam , but said the food industry needed to improve rice quality to increase value for large, long-term export orders.

Although Singapore and Malaysia have requested higher amounts of vegetables and fruit, these exports to the ASEAN market remains modest, with a revenue of 25 million USD in 2007.

The ministry called on the vegetable industry to improve product quality, especially in the transport and preservation of vegetables, and marketing and trade promotion.

The ministry forecasts exports of these products to ASEAN in 2008 will rise to 32 million USD, up 30 percent compared with 2007.

Coffee exports to ASEAN reached 145 million USD in 2007. Export value is expected to hit 155 million USD in 2008, an increase of 7 percent from 2007.

Vietnam ’s seafood is also a major export, with exports worth 168 million USD to the ASEAN market this year. That is expected to rise by 20 percent to 200 million USD in 2008.

The garment and footwear industries, however, have found it difficult to penetrate the markets in ASEAN, where many of the countries have similarly strong industries.

However, the shoe industry has improved designs and offered more competitive prices this year. Garments and footwear worth 175 million USD were exported to ASEAN this year.

In 2008 and thereafter, preferential tax policies would help the industry boost exports of all these products to ASEAN, experts said.

Total export value is expected to be 202 million USD in 2008, up by 15 percent over 2007.

Electronics and components that are mostly made by foreign joint-venture companies in Vietnam are exported to the Philippines , Malaysia and Indonesia .

These exports in 2008 are likely to hit 950 million USD, an increase of 40 percent compared with 2007.

Under the Common Effective Preferential Tariff/Asean Free Trade Area (CEFT/AFTA) Agreement, most goods and commodities imported from ASEN are now subject to a 0-5 percent tax level.

This will help export growth, but industry experts say that ASEAN exports still remain modest.

Source: VNA.