Vietnam faces "economic stagnation" if it fails to seal membership of the World Trade Organisation, the chief of the commerce promotion body has warned.

Mike Moore, WTO director general, urged Vietnam to overcome concerns, over issues such as intellectual property rights and customs valuations, raised by the organisation's 140 member states.

Failure to tackle such sticking points would deny the country the chance to reap the free trade benefits of WTO membership, he said, singling out the potential of Vietnam's farming sector.

"Agriculture could be a winner for Vietnam in the long range," Mr Moore said on a visit to the country.

The country is already the world's second ranking rice exporter, although floods have seriously disrupted output this year.

International stage

Accession to the WTO would mark further progress in Vietnam's strategy to take a more prominent international role.

The country's national assembly on Wednesday ratified a trade agreement which will end punitive tariffs in dealing with the US.

The deal marked the final step in the process of normalization between the former wartime enemies.

And on Friday, Nong Duc Manh, the head of Vietnam's ruling Communist Party, flew to Beijing on a four-day visit aimed at improving economic ties.

Bilateral trade between Vietnam and China has risen from a level of $32m in 1991 to more than $2bn last year.

Shipments blocked

Vietnam's prime minister, Phan Van Khai, urged the WTO to speed the country's accession claim.

"We have finished four rounds of negotiations on transparency," he said.

"Now it is time for us to start substantial negotiations."

The country has told the WTO delegation of a number of cases where, under the present trade regime, Vietnamese goods have been turned back at foreign ports.

Mr Moore, saying Vietnam was "very close" to replying to initial concerns, said that the pace of accession depended on Vietnam's own determination.

"It depends on how much focus there is on it," he said.

"It depends on how important Vietnam believes this is to their economic progress."