“For several days in a row, from early morning to midnight, I kept calling Phuc Sinh's customers in Russia and Europe to inquire about customers' situation, ask for money, process orders... Currently, all The set of export orders worth millions of USD of Phuc Sinh Group was stopped. The Russia-Ukraine war happened, affecting almost the whole world," said Phan Minh Thong, chairman of Phuc Sinh Group. russian russian ukraine enterprise developing the heart of cancer Agricultural coffee Meet More participates in the fair in Russia in early 2022 According to Mr. Thong, on average, Phuc Sinh exports about 30 million USD of agricultural products (pepper, coffee, cashew, coconut...) to Russia each year, of which direct export accounts for about 10%, the remaining 90% is exported. Through trading partners such as the Netherlands, Switzerland, Denmark, Germany... From the beginning of 2022 up to now, Phuc Sinh's export of agricultural products to Russia has doubled compared to the same period last year. “We have sold a lot of products to customers, especially small and medium enterprises (SMEs) but now all are blocked. Sending documents to Russia is stuck because Vietnamese banks don't dare to accept it," he said. Although recently exploited the Russian market, every month, the Meet More coffee brand also exports 2-3 containers to this market. During the 2022 Lunar New Year, Meet More exports 2 containers of coffee to Russia, and at the same time participates in the fair here. The market was showing good signals and "eating goods", when the Russia-Ukraine conflict broke out, causing many difficulties for distributors in Russia, first the USD exchange rate. now is 97 rubles "eat" 1 USD (up nearly 40%); High exchange rate makes it difficult to make payments to exporters. It is also not possible to transfer foreign currency abroad. All major shipping lines in the world do not go to Russia due to the embargo of many countries. “We have an order but cannot export it, businesses in Russia are listening to the negotiations between Russia and Ukraine before deciding; Enterprises exporting seafood, fresh agricultural products like "sitting on the fire" because they are all frozen products, difficult to preserve. When there is a conflict, flights are affected so we cannot do freight as well as transport goods to this market. Enterprises also do not dare to sign new contracts with Russia because it is too risky. Russian banks participating in international transactions may affect orders in the near future," said a representative of a unit specializing in exporting agricultural products in Binh Duong. Dang Hoang Giang, General Secretary of the Vietnam Cashew Association (VINACAS), said that cashew nut exports to Russia accounted for 1.63% of Vietnam's total cashew exports with a turnover in 2021 of US$61.8 million. . "Although Russia is not the main export market, it also has a knock-on effect on other markets and affects the purchase price of raw cashew nuts in the country when this March is the main harvest time," said Mr. Giang. . Find a way to cope Faced with the effects of the conflict, Phuc Sinh sought to change direction. For orders and documents that have not been sent, businesses will redirect sales to other partners. With the order successfully delivered, but the payment process was stuck because some Russian banks were excluded from the SWIFT (Society of Interbank Telecommunication and International Finance) network, Phuc Sinh and its partners are looking for a solution. . “Up to now, 50% of Phuc Sinh's orders have been paid. Most European customers are very compliant with the commitment, the remaining 50% commit to unload the goods at the port. From our experience, at this point it is necessary to immediately stop the orders, find a way to get all the goods back. If the goods have arrived in Singapore, then find a way to pull the goods to Vietnam, then find a way to sell to another market. The world market is also quite easy now, so businesses should not be too worried," Mr. Thong said. According to Mr. Luan, although Vietnam has signed many trade agreements, creating more favorable conditions for exports, in reality there are still many barriers to implementation. For large enterprises, there will be many advantages, but for small and medium enterprises, a roadmap is required. “For Meet More, we always aim to diversify the market. There are many potential markets such as the Middle East, Dubai... that we are missing. The state needs to support more businesses with capital, taxes and fees to help businesses "bring bells to fight foreign countries", Mr. Luan said. In 2021, Vietnam's seafood exports to Russia increased by more than 21%. The Vietnam Association of Seafood Exporters and Producers (VASEP) recommends that businesses diversify their markets and do not prepare too many goods for storage according to the specifications of the Russian market - which is easier to calculate than other markets. European Union (EU), the US to limit the risk of inventory for too long. General Secretary of VASEP Truong Dinh Hoe said: “Many businesses in the Association said that it is difficult to export to Russia during this period because they do not know how to pay; The current exchange rate also affects the price, so the contract cannot be closed. In addition, without a ship, the goods cannot be exported. The problem now is that it takes time for businesses to identify and find a suitable method before considering exporting." Economic expert Nguyen Tri Hieu acknowledged that the Russia-Ukraine conflict will affect Vietnam's economy in both positive and negative directions. In the context that goods sold from Russia and imported into Russia have many obstacles, Vietnam has the opportunity to increase sales to this market because the two countries have good bilateral relations. “Certainly there will be supply constraints in some places in Russia, and at the same time the supply will also be reduced due to war tensions. Therefore, the demand for importing goods from Vietnam will increase, especially for agricultural products, seafood, consumer goods, and electronic goods," said Dr. According to Dr. Nguyen Tri Hieu, foreign trade relations between Vietnam and Russia will not be affected too much if Vietnamese enterprises temporarily stop exporting to Russia. Vietnamese goods are increasingly recognized by the international market, and their quality and brands are increasingly popular in the world market. Businesses can take advantage of the effective CPTPP, the EVFTA, the bilateral agreement between Vietnam and the United Kingdom, and the very good relationship in ASEAN... to sell Vietnamese products. “The trade agreement is the basis for us to expand the market. It is true that in this period, we must take advantage of agreements, but businesses also have to correct themselves and strengthen their compliance with international laws; goods quality, competitive prices, transactions, environmental regulations, food processing... to enter more markets," said Mr. Hieu.