Mr. Hoang Duc Nhuan, Commercial Counselor, Vietnam Trade Office in Algeria, said: Algeria's economy mainly depends on oil and gas exports. The Government has issued many policies to attract foreign investment to develop domestic production of goods, gradually reducing the current dependence on imports.

At the same time, the Algerian Government implemented a policy of banning the import of goods that can be produced domestically, only allowing businesses to import raw materials.

Algeria's food industry alone is creating 170,000 jobs, export revenue reached 500 million USD and is a strategic industry of great interest to the Government of Algeria. With the policy of protecting domestic production, currently almost all processed foods such as milk, canned vegetables, olive oil, poultry, and lamb are produced domestically.

Counselor Hoang Duc Nhuan also informed: Domestic production protection policies are continuously issued by the Algerian Government, at an increasingly high level. In 2019, Algeria applied a temporary additional defense tax with a rate of 30% - 200% for imported goods. Including agricultural products and processed foods such as fresh coconuts and mangoes, imported defense tax is up to 120%, not to mention 53% other taxes and fees; Instant noodles are subject to a defensive tax of 70% along with other taxes and fees up to 123%.

In July 2020, Algeria issued a tax prohibiting the import of 13 types of fruits that the country can produce during the harvest season, such as oranges, tangerines, peaches, plums...

In September 2021, Algeria banned the import of canned seafood, sausages, dairy products, white meat, half-cooked red meat, and salt beef.

In April 2022, Algeria stipulated that all imported goods must have a license from the Foreign Trade Promotion Department of Algeria certifying that the imported goods are not available on the domestic market.

Although the number of imported products is narrowed, the Vietnamese Trade Counselor in Algeria said that some Vietnamese agricultural products, raw and semi-processed foods have potential for export to Algeria.

For example, for coffee, every year Algeria imports 130,000 tons of coffee of all kinds, mainly raw coffee and unroasted green coffee. When imported, roasting companies are also importers and processed in accordance with consumer tastes and Halal standards. The total import tax on green coffee and unroasted coffee is 63%. In 2022, Vietnam's coffee exports to Algeria will reach 42,523 tons, equivalent to 85 million USD.

For pepper, Algeria's import demand is about 130 million USD. In 2022, Vietnam will export 1,324 tons, reaching 4.3 million USD, the total tax and import fee for this item is 83%.

Cashew nuts, in 2022 Vietnam will export 6.5 million USD worth of this item to Algeria. This is a luxury item with the import tax is up to 83%.

Along with that are aquatic products such as freshwater fish, brackish water fish, basa fish, tuna and milk powder...

"In general, agricultural products and food imported into Algeria are subject to very high taxes, businesses in the host country want to form joint ventures with Vietnamese businesses to process and consume these products in Algeria," Mr. Hoang Duc Nhuan emphasized. strong.

Mr. Hoang Duc Nhuan also noted: Algeria is a Muslim country, people do not consume alcoholic beverages, pork, and products made from slaughtered livestock and poultry must have Halal certification.

Finding customers, prioritizing direct customer contact at fairs and seminars. Domestic businesses can find customers through business deals. However, due to business culture, with Algerian customers, businesses need to be patient because partners are slow to respond.

Regarding payment, there are two highly secure methods: irrevocable LC and collection via bank with deposit outside Algeria.

Algerians with low incomes have a need for moderately priced goods. Businessmen often consult international middlemen from the Middle East and Europe, so businesses need to offer reasonable prices.

To support businesses in expanding markets and increasing investment cooperation with Algerian partners, in addition to professional activities, the Vietnam Trade Office in Algeria will attend international fairs and exhibitions on agricultural products. products and organize seminars to introduce Vietnamese agricultural products market. It is recommended that domestic businesses and associations accompany the deal to increase the efficiency of activities. In addition, organize trade connection conferences in concurrent markets.

Located in the African region, Algeria is one of the new markets targeted by the Ministry of Industry and Trade to expand exports of Vietnamese goods. In recent years, the Ministry of Industry and Trade has implemented many trade promotion activities such as connecting trade and supporting businesses to participate in specialized fairs and exhibitions./.

Minh Toan