Vietnam legal Document page
Ministry of Trade         Socialist Republic of Vietnam
  No. 07/TM-XNK           Independence-freedom-Happiness.
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                                Hanoi, March 15th, 1995.

CIRCULAR
GUIDING THE IMPLEMENTATION Of POLICY ON COMMODITIES AND MANAGEMENT Of IMPORT EXPORT ACTIVITIES fOR THE YEAR Of 1995.

On December 10th, 1994, the Prime Minister of the Government has promulgated Decision No.752/TTg and other legal documentation regulating the policy on commodities and procedure for management on import and export of the year of 1995.

Implementing this Decision, Ministry of Trade has issued a number of documents guiding businesses for timely implementation as well as creating legal basis for business management from the beginning of 1995.

Now, Ministry of Trade issues this circular guiding all matters concerning the implementation of the policy on commodities and management of import export activities of 1995, including guiding documents issued after Dec. 10th, 1994 as well as guiding docu ments issued before December 10th, 1994 but still comply with Decision No.752/TTg of the Ministry of Trade, as follows:

I. Management of import export commodities according to the lists:

1/ The list of prohibited goods to import and prohibited goods to export:

Implementing according to Decision No.96/TM-XNK dated february 14th, 1995 and document No.3229/TM-XNK dated March 14th, 1995 of the Minister of Trade.

2/ The list of export goods managed by quotas in 1995 :

Quota management is only applied to garment, textile commodities exported according to the agreements signed by Vietnam and EU, Canada, Norway. The management procedure is implemented according to Interministerial notification issued by Ministry of Trade, Ministry of Light Industry No.14/TT-LB dated November 15th, 1994. Garment, textile commodities exported to other markets (other than EU, Canada, Norway) are encouraged and without quota.

3/ The list of export import commodities managed by orientation plans:

In 1995, for export : only rice is managed by orientation plan and for import : only oil and petroleum, steel, cement, fertilizers, sugar, cars with fewer than 12 seats, two wheel vehicles are managed by orientation plan.

Import of 1 kind of commodities, export of 7 kinds of commodities mentioned above managed by orientation plans will be implemented according to the following documents:

3-1. Rice according to the Interninisterial circular of Ministry of Trade, Ministry of Agriculture and foodstuff Industry No.02/TTLB-NN-TM dated february 6th, 1995.

3-2. Oil and petroleum (except lubricants) according to document No.16007/TM-KH dated December 30th, 1994 of Ministry of Trade.

3-3. Popular steel according to document No.603/UB-TMDV dated february 28th, 1995 of the State Planning Committee and document No. 452/KH dated March 8th, 1995 of Ministry of Heavy Industry, Ministry of Trade assigns the Vietnam National Steel Company 70% of the intended total; the last 30% of the total will be assigned to 18 importing businesses.

3-4. Cement according to the Interministerial circular No.1971/LB-TM-XD dated february 28th, 1995 of Ministry of Trade, Ministry of Construction.

3-5. fertilizers according to the Interministerial circular No. 04/TTLB-NN-TM dated february 10th, 1995 of Ministry of Trade, Ministry of Agriculture and foodstuff Industry.

3-6. Sugar: All crude sugar will be imported by sugar refining factories. All refined sugar will be imported by central, local businesses in order to cover the demand of the market in each area.

3-7. Cars with fewer than 12 seats according to document No. 2404/TM-XNK dated february 28th, 1995 of the Ministry of Trade.

3-8. Two wheel vehicles according to document No.2532/TM-XNK dated March 1st, 1995 of Ministry of Trade. Details of two wheel vehicles in CKD form according to document No.2403/TM-XNK dated february 28th, 1995 of Ministry of Trade.

According to the directions of the Prime Minister in Decision No. 752/TTg dated December 10th, 1994 and documents No.294/KTTH dated January 19th, 1995 and No.666/KTTH dated february 14th, 1995, Ministry of Trade coordinates with related Ministries to assi gn: all the quantities intended to import, export since the beginning of the year to businesses to import/export.

4. The lists of commodities to be imported/ exported according to the guidance of specialized management organizations.

All groups of commodities and specialized management organizations of 1994 remain in 1995. Businesses exporting, importing these commodities must send orders to these specialized management organizations for approval in written form.

Ministry of Trade will continuously work with these specialized management organizations to concretize commodities in 11 groups requiring opinion of the specialized management organizations before import or export.

5. Other commodities

5-1. Export of wood products in 1995 must be implemented according to the Decision No.624/TTg dated December 29th, 1993 of the Prime Minister of the Government and guiding document No.595/KH-XNK dated March 24th, 1994 of Ministry of forestry.

5-2. Coffee export will be implemented according to Notification No. 16076/TM-XNK dated 31st, 1994 of the Ministry of Trade.

5-3. Import of products similar to mother milk will be implemented according to the Interministerial circular No. 18/TT-LB dated November 3rd 1994 of Ministry of Health, Ministry of Trade, Ministry of Culture and Information, Vietnam National Committee f or children upbringing.

II. Management of import of consumer goods according to the directions of the Prime Minister of the Government, Ministry of Trade is responsible for import management of consumer goods, which must not over than 20% export turnover for the year of 1995.

Consumer goods to be imported mentioned is this circular must be understood as goods very direct and essential for the daily life.

In order to protect domestic production and effective utilization of foreign currency businesses should not import consumer goods that are not essential or produced enough by domestic production.

To insure that the total of import value of consumer goods will not exceed 20% of the export turnover and for fair settlement between businesses having different conditions, import of consumer goods is regulated as follows:

a) Only import/export businesses permitted to import appropriate commodities (stated in their import export licences) will be able to participate in importing consumer goods.

b) Businesses importing, exporting commodities having great value, high profit, specialization such as rice, coal, crude oil, petroleum should concentred on those ones, but not consumer goods.

from now, businesses importing consumer goods need not to propose Ministry of Trade for permittance granted to each trip. Instead of this, they must send their import plan to Ministry of Trade (according to the forms attached) twice a year: in May and Oct ober. Businesses will import only after Ministry of Trade approves their plans.

Procedures for importing consumer goods still remain according to the current regulations in the time waiting for the new regulations on abolishment of trip licences.

III. Import management of second-hand goods:

1. Ministry of Sciences, Technology and Environment assigned by the Government is responsible for issuance of statute applied to import of second hand equipment.

Waiting for the regulations of Ministry of Sciences, Technology and Environment on import of second hand equipment (machinery, equipment, transport, means, trucks, vehicles for installation, construction...), Ministry of Trade temporarily regulates as fol lows:

Businesses desiring import of the above mentioned goods must:

- Be responsible themselves for the effectiveness

- Have import licence for appropriate commodities.

- Have approval in written form of their higher organizations of ministerial rank (for businesses belonged to the central) or of people's committees for local businesses and non-state businesses located in provinces.

Obtaining all the above mentioned conditions, the businesses will come to licence Bureau of Ministry of Trade but not Ministry of Trade.

Import of second hand complete equipment and separate equipment having unit price not less than 100,000 USD/piece must be supervised by the General Department of Measurement and Standards according to the regulation No. 171/TDC/THKH dated May 6th, 1994 of the General Department of Measurement and Standards before conducting import procedure at Customs Office.

2. Import of complete equipment and separate equipment by sources from state budget is implemented according to Decision No. 91/TTg dated November 13th, 1992 of the Prime Minister and guiding circular No.04/TM-DT dated July 30th, 1993 of Ministry of Trade .

IV. Reforms of administrative procedures in management of import-export:

Ministry of Trade reforms administrative procedures firstly in the abolishment of granting trip licenses. The abolishment of trip licenses stage I is implemented since July 1st, 1994, stage 2 will be implemented from now. This matter will be expressed con cretely in another circular.

V. Implementation

Ministry of Trade proposes other ministries, agencies of Ministerial level, People's Committees of provinces, cities belonged to the central, the central organizations of associations to notify to the businesses belonged to them for implementation. This c ircular comes into force since April 1st, 1995. Circulars No.04/TM-XNK dated April 4th, 1994, No. 06/TM-XNK dated May 16th, 1994 and Documentation adjusting Circular No.06/TM-XNK of Ministry of Trade are repealed.

for Ministry of Trade Minister

LE VAN TRIET (Signed)

form 1

.....(1).......... Socialist Republic of Vietnam Independence-freedom-Happiness htmlhtmlhtml ......(2)......,Date....... (Stage I:.........(3)...........)

(Ref.: Import of consumer goods according to circular No.07/TM-XNK dated March 15th, 1995)

- Name of business (Vietnamese name, trade name) - Authorized organization:......(4)..... - Import export licence No.........issued on.... - Scope of import written in Import Export licence........ - Transaction address - Tel.: - Export turnover of 1994 (excluding value exported for commission)

I. Imported from January 1st, 1995 to April 30th, 1995: Commodities Quantity Value (USD) 1............................................. (5)......... 2..........................................................

II. Import demand from May 1st, 1995 to December 31st, 1995.

Commodities Quantity Value (USD) 1.............................................. (6).... 2......................................................

Guidance (1) (4): Authorized organization of ministerial rank, People's Committees (2): Location of head office (3): Stage I (May); Stage II (October) (5) (6): Value - Total value (5) + (6) not exceed 20% of export turnover obtained in 1994.