Thirty-one Cambodian tariff lines – mostly agricultural products – now carry the zero rate to neighbouring Vietnam for 2021-2022, the Ministry of Commerce announced on March 25.
This comes as the Bilateral Trade Facilitation Agreement for 2021-2022 was formally ratified after the completion of internal procedures, with retroactive benefits for exports, the ministry said.
The pact was reached by a 18th Cambodia-Vietnam Joint Commission meeting on December 22.
The ministry invited exporters to apply for the Co Form S – available on its website – to ship goods of the tariff lines to Vietnam.
It also called on exporters who want to ship milled rice or dried tobacco leaves duty-free this year to specify the desired amount to the Export-Import Department under the ministry’s Trade Support Services General Directorate by May 26.
Cambodia and Vietnam inked the trade-facilitation agreement in October 2016 to drop import tariffs on dozens of products in an effort to boost bilateral trade and have renewed it every two years since. The goods covered in the deal, however, are determined on a yearly basis.
Pann Chantrea, owner of Thorn Chea Rice Mill in Tbong Khmum province’s O’Reang-ou district, told The Post that the renewed agreement will boost the price of paddy, create a strong market for Cambodian farmers and improve their livelihoods to another level.
“It’ll help keep the prices of Cambodian farmers’ paddy more competitive because Vietnamese traders venture to buy at higher prices,” she said.
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