Vietnamese tuna is enjoying many advantages in the UK market thanks to tariff incentives from the UK - Vietnam Free Trade Agreement (UKVFTA).
According to official figures from the Vietnam Association of Seafood Exporters and Producers (VASEP), after three consecutive months of decline, Vietnam's tuna exports to the UK have increased sharply, with export value to this highly profitable market soaring by 56% to US$742 million.
In the first half of the year, tuna exports to the UK market reached US$3.6 million, down 5% compared to the same period last year.
VASEP also reported that tuna is sold in many types of products in the UK market such as raw, processed, sushi, sauce, cakes or breaded. Of which, canned and packaged tuna products are often consumed the most. However, the consumption of this product group has been on a downward trend since last year.
However, according to the Import-Export Department, Vietnamese tuna is gaining an advantage in the UK market thanks to tariff incentives from the UKVFTA. According to the commitment in the UKVFTA, in terms of tariffs, this agreement has a mechanism to continue implementing the EU-Vietnam Free Trade Agreement (EVFTA), which means that import tariffs on fresh and frozen tuna products will be quickly eliminated.
The tariff rate for frozen tuna or fillets will be eliminated over a period of 3 years from 18% to 0%. For processed tuna used for canned tuna - the basic rate of 24% will be reduced over a 7-year schedule.
For canned and packaged tuna, the quota of 11,500 tons per year will be exempted from tariffs. After that, the original tariff rate of 20.5% will be applied, which will be reduced by 3.5% per year.
To enjoy tariff incentives, Vietnamese enterprises need to prove their origin. The regulations on Rules of Origin in the UKVFTA are similar to the EVFTA, with the origin criteria for raw and processed seafood in the UKVFTA being pure origin. This means that raw, semi-processed and processed seafood exported from Vietnam are considered to have origin under the UKVFTA Agreement when the seafood raw materials used in the production process are purely Vietnamese origin (born or raised, caught and processed entirely in Vietnam), and are not allowed to be imported from a third country outside the agreement.
Therefore, to promote tuna products to the UK market, according to experts, Vietnamese enterprises need to increase the application of science and technology, develop modern production and processing systems, thereby optimizing the production process to improve the quality and added value of products, helping Vietnamese seafood gradually reach international standards and create competitive advantages.
Source: Ministry of Industry and Trade
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