After the approval of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership by Peru’s Congress (CPTPP). Vietnam Exports Cashew Nuts Kernels to Peru Are 0% Tax, This is the first free trade deal between Vietnam and Peru

Peru’s Congress approved the CPTPP

Three years after it was signed in March 2018. The  South American country becomes the eighth nation to ratify the pact. Peru will enter into the CPTPP 60 days after announcing the deal with transit nation New Zealand. As a member of the CPTPP, Vietnam will gain from Peru’s ratification of the Agreement in two ways: first, by increasing bilateral trade, and second, by expanding the market for export products.

Vietnam’s Primary Products Exports to Peru

Vietnam’s primary exports to Peru are agricultural products, seafood, phones, electronic components, computers, shoes, clinker, cement, textiles… Peru agreed to removing 81% of tariff lines immediately upon the Agreement’s implementation, equal to 62% of Vietnam’s export revenue, and to eliminating duties on 99.4 % of tariff lines in the 17th year.

Peru's Congress Approved The CPTPP

Peru’s Congress Approved The CPTPP. After the approval of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership by Peru’s Congress (CPTPP). Tax rates are being lowered following the plan in the 17th year.

Agricultural Goods Are Tax-exempt

CPTPP is Vietnam and Peru’s first free trade agreement, agricultural goods such as cashew nut kernels, tea, pepper, vegetables, and some varieties of coffee are also tax-exempt. Tax rates on textiles and footwear are being lowered following the plan and will reach 0% in the 16th year.

Vietnam Exports Cashew Nuts Kernels to Peru Are 0% Tax, This is the first free trade deal between Vietnam and Peru

Vietnam Exports Cashew Nuts Kernels to Peru Are 0% Tax, This is the first free trade deal between Vietnam and Peru.

Vietnam is Largest White Whole Cashew Kernels Producer

Vietnam is the largest producer and exporter of cashew kernels in the world. Over 65 percent of the world’s export of cashew kernels is accounted for by Vietnam. Vietnam cashews are consumed in as many as 90 countries all over the world, the major markets being the United States, the United Kingdom, Japan, Netherlands, Australia, Canada, Germany Hong Kong, Singapore, New Zealand, and Middle East countries. The Vietnamese cashew kernel is well acclaimed for its good quality, taste, and appearance. Vietnam’s Cashew nuts main export products are the Whole White Cashews. Percentage of Whole and Broken Grades of Vietnam cashew nuts industry: 80% Whole Kernels, 20% Broken Kernels. The high percentage of whole cashew grades in Vietnam is the result of Shelling by hand (labor-intensive, done by hand).

  • Whole Cashew Nut Kernels: 80%
  • Broken Cashew Nut Kernels: 20%
Read More ->  How Vietnamese Farmer Harvesting Raw Cashew Nuts?

The W320 cashew nut kernel is the main product of the Vietnam cashew industry. It has been estimated that about 60 % of cashew nut is consumed in the form of snacks, mostly roasted and salted. The remaining 40 % is instead used in confectionery and bakery products, often as a substitute for peanut and almond. Vietnam W320 Cashews grades are the most popular among cashew kernels and the highest in terms of availability.

Related Posts