Ministry of Industry and Trade announced the removal of 675 conditions of investment and business

On 20/9/2017, Ministry of Industry and Trade issued Decision No. 3610A/ QD-BCT promulgating the plan of reducing and simplifying the investment and business conditions in the field managed by the Ministry of Industry and Trade in 2017 - 2018.

According to this Decision, 675 investment and business conditions will be eliminated. The reduction, simplification of investment and business conditions is based on the principle:

The first, changing the state management method by moving to post-inspection in construction, implementing business conditions.

The second, the establishment and implementation of investment and business conditions must ensure the market access conditions under the international commitments to which Vietnam is a member.

The third, investment and business conditions, if necessary, must also meet the criteria stipulated in Article 7, Investment Law 2014.

The fourth, The plan to reduce, simplify business and investment conditions and change the state management method in each field must be carefully evaluated and considered on the feasibility and resources of state agencies at all levels, consider stronger decentralization for localities

The fifth, the plan to reduce and simplify business and investment conditions should be associated with administrative reform, especially institutional reform and administrative procedure reform.

giay phep conIt is expected that 675 business conditions of 27 business sectors shall be removed.

Of these, there are 10 business lines which have not been proposed to reduce condition, including: business lines using industrial explosive materials and explosive pre-substances; The blasting service; rice exports (the sector has been proposed to simplify by eliminating the requirement for scale in each condition and applying the standard); Temporary import for re-export of goods with special consumption tax; Temporary import for re-export of goods on the list of used goods; trading in minerals; purchase and sale of goods of FDI enterprises; petroleum activities; energy audit, technical inspection of labor safety of machines and equipment strictly required on labor safety; Production and processing of uniforms for foreign armed forces.

The remaining business lines proposed for reduce condition include: petroleum; gas; explosive substance; chemistry; alcohol; cigarette; food; electricity; Temporary import for re-export of frozen food; Franchising; logistic; industrial precursors; Commodity Exchange; commercial inspection; Multilevel; ecommerce; Industrial explosives (including culling operations).

For example, with the business of logistic services, it is expected to abolish the following conditions:

1. Being enterprises having lawful business registration under Vietnamese law.

2. Having equipment and tools ensuring technical safety standards and having staffs meeting the requirements.

For franchise business, the conditions for licensing franchise business to abolish the following conditions:

1. Having registered and been approved for commercial franchising by the Ministry of Industry and Trade in case of franchising from abroad into Vietnam, including commercial franchising from export processing zones, non-tariff zones or custom areas into the territory of Vietnam.

2. Goods and services subject to commercial rights do not violate the following provisions:

2.1. Goods and services allowed for franchise business are goods and services not on the list of goods and services banned from business.

2.2. In cases where goods and services are on the list of goods and services banned from business and the list of goods and services subject to conditional business, the enterprises can conduct business only after they are granted the license by the competent authorities.

By this decision, the Ministry of Industry and Trade would like to simplify administrative procedures, reduce paperwork, dossiers or switch to automatic procedures (online) to create maximum convenience for businesses.