Vietnam: Proposal to amend regulations on goods circulation
To perfect the policy on customs procedures, inspection and supervision, enterprises and associations have contributed many ideas from practical activities. Thereby, the Drafting Committee (General Department of Customs) has more perspectives to build policies to meet the goal of facilitating trade and ensuring state management of customs.
Supplementing the time of transporting goods by inland waterways
The Vietnam Association of Maritime Agents, Brokers and Services has proposes to amend and supplement regulations related to the transport of goods subject to customs supervision.
Specifically, Article 50 of Circular 38/2015/TT-BTC (amended and supplemented in Circular 39/2018/TT-BTC) provides general regulations on goods transported under customs supervision: Goods transported under customs supervision that undergo customs procedures in the form of independent transportation include: c) Goods transferred from border gates: Exported goods that have been cleared or released are transported from the storage location or border gate registered on the customs declaration to a new storage location or border gate at the request of the carrier
The Association proposes to add transit goods that have completed transportation at the destination in the draft in the direction: “c.1.2, Exported goods that have been cleared or released are transported from the storage location or the exit gate registered on the customs declaration to the storage location or the new exit gate at the request of the carrier; transit goods that have been transported to the notified destination, namely the exit gate registered on the independent transport declaration to the new exit gate at the request of the carrier”.
Currently, there are no regulations guiding the implementation goods from Cambodia transiting the territory of Vietnam have completed the transportation process to the destination (the seaport of loading goods onto the mother ship), but the carrier requests to change the loading port/exit gate. This results in transit goods having to go through procedures to be transferred back to Cambodia and then transit back to Vietnam as a new shipment and declare for independent transport to a new loading port or the carrier has to export to another ship at the old loading port. Later on, goods are transited twice at a foreign port to reach the destination port, which incurs large costs for businesses.
In addition, the Association also proposed to amend and supplement Section 7.17 of Form No. 07 of Appendix II (related to Clause 6, Article 50 of Circular 38/2015/TT-BTC, Circular 39/2018/TT-BTC). According to current regulations, customs declarants are responsible for preserving the original condition of goods, customs seals (if any), and shipping company seals (if any) during the transportation of goods under customs supervision; transporting goods according to the correct route and time registered with the Customs authority.
According to the Vietnam Association of Maritime Agents, Brokers and Services, the speed of inland waterway vehicles is slow and depends on the tide. The large carrying capacity of the vehicle results in a very long time for handling and receiving goods at the port. In addition, in Official Dispatch 3573/TCHQ-GSQL dated July 15, 2021, the General Department of Customs has removed difficulties for enterprises operating in cross-border waterway transport by accepting the completion time of transportation to be no more than 5 days for distances under 500km. Therefore, adding this provision to the draft Circular also helps to legalize the guidance of the General Department of Customs.
Proposal for regulations on export processing enterprises
In addition to goods transit activities, enterprises also propose contents related to the activities of export processing enterprises. Canon Vietnam Co., Ltd. stated: the draft removes the regulation on the requirement for an export license from a competent authority according to the regulations on foreign trade management for exported goods subject to license management. Instead, it requires an export license from a competent authority according to legal regulations.
According to enterprises, removing this regulation can easily lead to misunderstanding that all exported goods need an export license to be exported. Therefore, Canon Vietnam proposes to amend the regulation to "Export license or export permit document from a competent authority according to the regulations of law for exported goods subject to license management".
In addition, the draft adds the responsibility to notify the manufacturing and processing facilities, storage locations of raw materials, contracts, appendices to processing contracts, etc. for processing enterprises before implementing investment projects and before coming into operation, but does not stipulate the notification for operating processing enterprises (Clause 32, Article 1). According to Canon Vietnam Co., Ltd., this regulation is better than the current regulation because it has removed the part requiring notification when changing information about machinery, equipment, labor, and production capacity because these factors change daily.
According to businesses, removing this provision can easily lead to misunderstanding that all export goods need an export license to be exported. Therefore, Canon Vietnam proposes to amend the provision to "Export license or export permit document from a competent authority as prescribed by law for export goods subject to license management". In addition, the draft adds the responsibility to notify the production and processing facilities, storage locations of raw materials, contracts, appendices to processing contracts, etc. for export processing enterprises before implementing investment projects and before starting operations, but does not stipulate the notification for operating export processing enterprises (Clause 32, Article 1). According to Canon Vietnam Co., Ltd., this provision is better than the current provision because it has removed the requirement to notify when changing information about machinery, equipment, labor, and production capacity because these factors change daily.
Currently, as a manufacturing enterprise, Canon Vietnam Co., Ltd. is facing difficulties in declaring information about labor, machinery, and production capacity, because these factors change frequently, and each time there is a change, it must be notified, which wastes a lot of time and human resources. However, the draft does not have regulations on applying the principles and contents that must be notified when there are changes for manufacturing enterprises with projects.
The enterprise recommends adding regulations on applying the principle of only making notifications when there are changes for manufacturing enterprises in operation in the direction: "For manufacturing enterprises in operation, when there is a change in previously notified information (except for information about machinery, equipment, labor, production capacity), make a notification of the change...". In addition, Canon Vietnam Co., Ltd. Also In addition, Canon Vietnam Co., Ltd. also recommends many contents related to the import and export of rented and borrowed goods.
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