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With the signing of the Regional Comprehensive Economic Partnership (RCEP), member states in the region, such as Vietnam, will have more convenient transportation. Due to reduced storage and logistics costs, RCEP is expected to increase the export value of Vietnamese agriculture, especially fresh fruits and vegetables.
The RCEP includes ten ASEAN member countries and five countries, including Australia, China, South Korea, Japan, and New Zealand. Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association, said that the RCEP is larger than the trade bloc of the US, Mexico, and Canada, as well as the European Union. Because, the GDP of the RCEP members surpasses the GDP of member countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), due to the presence of China.
RCEP members are expected to exceed $100 trillion by 2050. The RCEP will create opportunities to develop new supply chains and export more items. For instance, the Chinese market only allows 10 items of fresh fruit and vegetables for official export. Now thanks to the RCEP, the export of other products, such as durian, passion fruit, avocado, pomelo, and star apple, can be expanded.