Over 600 business conditions reduced by the Ministry of Industry and Trade

On 20 September 2017, Minister of Industry and Trade Tran Tuan Anh signed for promulgation Decision No. 3610a/QD-BCT issuing plans to reduce and simplify investment and business conditions in the field of State management by the Ministry of Industry and Trade for the 2017-2018 periods (“Decision 3610a/QD-BCT”)

The attached appendices of Decision 3610a/QD-BCT stipulate approximately 675 reduced business conditions along with the schedule for implementing the reduction of the following business lines: petroleum; gas; explosive pre-substance; chemistry; liquor; cigarette; food; electricity; franchising; logistics; industrial precursors; commodity exchange floor; commercial inspection; multi-level sales; e-commerce; industrial explosives (including culling operations).

Specifically, some following noticeable prescribed conditions are expected to be abolished or reduced:

  • Liquor trading: The number of permits granted will be no longer restricted by the population of the area where the liquor trading enterprise operates and the conditions on liquor trading facilities will also be reduced;
  • Cigarette trading: Conditions for cigarette trading facilities will be considerably reduced;
  • Electricity activities: Conditions on professional qualifications of direct operators in electricity wholesale and retail activities; conditions on electricity import permit and conditions for other electricity activities will also be reduced;
  • E-commerce: Reducing the conditions on valid domain name when setting up an e-commerce website for sale and a website for providing e-commerce services;
  • Multi-level sales business: Reducing the conditions related to goods; and
  • Franchising: Reducing the conditions of registration with the Ministry of Industry and Trading when franchising is made from abroad into Vietnam.

 

Thus, after the reduction, the number of the remaining conditions is only 541 instead of the initial estimated number of 752 conditions according to statistics of the Ministry of Industry and Trade. This is considered as an unprecedented reduction of business conditions in the history of the industry and trade field with the largest number of business and investment conditions having been reduced so far.