03:25 | 10/03/2022

How will the State of Vietnam manage the market according to the Government's new Draft Decree?

I would like to know how the market management is regulated under the Government's new Draft Decree. Because I heard there will be a new law on this issue soon, thanks!

What are the contents of state management of the market?

According to Article 41 of the Draft Decree on market development and management of Vietnam (Draft 2), the contents of state management of markets are as follows:

- Formulate and direct the implementation of market development plannings, plans, schemes and programs in each period in accordance with local, regional and national socio-economic development strategies, master plans and planning, meeting the production, goods circulation and consumption needs of the people.

- Formulate, promulgate, guide, disseminate and organize the implementation of policies on investment, construction, exploitation and management of market activities, standards and technical regulations on markets.

- Manage markets according to regulations on management decentralization.

- Direct and guide market management boards, enterprises/cooperatives doing business in exploiting and managing markets on market management policies and operations.

- Organize propaganda of the Party's guidelines and lines, policies and laws of the State to relevant organizations and individuals.

- Organizing training and fostering professional management and market development.

- Inspect, examine and evaluate the operation situation, coordinate in settlement of complaints and denunciations, reward and handle violations of market activities.

How will the State of Vietnam manage the market according to the Government's new Draft Decree?

How will the State of Vietnam manage the market according to the Government's new Draft Decree?

What are the regulations on the responsibilities of ministries and sectors for market management?

According to Article 42 of the Draft Decree on market development and management of Vietnam (Draft 2), the responsibilities of ministries and sectors are specified as follows:

- Ministry of Industry and Trade of Vietnam:

+ To assume the prime responsibility for, and coordinate with concerned ministries and sectors in, researching and submitting to the Government for promulgation, amendment and supplementation of mechanisms and policies on market development and management.

+ Directing and organizing professional training for market managers.

+ To assume the prime responsibility for, and coordinate with ministries, sectors and localities in, formulating and submitting to competent authorities for approval programs, tasks and plans for market development in each period.

- The Ministry of Planning and Investment shall assume the prime responsibility for, and coordinate with the Ministry of Finance, the Ministry of Industry and Trade and relevant ministries and sectors:

+ Guiding the implementation of policies to support investment capital for market construction from the state budget and policies to encourage and give incentives to organizations and individuals participating in market construction investment according to current regulations.

+ Review, consider amending, supplementing, and promulgating mechanisms and policies to encourage and give investment incentives to organizations and individuals participating in market construction investment.

+ Develop, guide and direct the provincial People's Committees to elaborate, amend and supplement planning contents related to markets in accordance with law.

+ Guiding the implementation of contents on bidding to select investors for market projects.

+ Supervising, inspecting and settling complaints and denunciations related to market-related planning contents.

- The Ministry of Finance of Vietnam shall assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade, the Ministry of Planning and Investment and relevant ministries and sectors:

+ Guidance on: financial mechanism, property valuation of the state; the auction applies to the conversion of market management boards (for markets invested or supported by the State) into enterprises or cooperatives doing business and managing markets; service price of sales area at the market.

+ Review, consider amending, supplementing and promulgating mechanisms and policies to encourage investment credit, incentives for investment credit, and policies to encourage socialization for organizations and individuals participating in market investment and construction.

+ Guide the provincial People's Committee on the regime of management, use and exploitation of market properties in accordance with the Law on Management and Use of Public Property.

+ Review, consider amending and supplementing mechanisms and policies on service prices of sales area at the market in accordance with the actual situation.

+ To prescribe the regime of management, calculation of depreciation, amortization and guide the declaration and report on the management, use and exploitation of market infrastructure assets;

+ Specific regulations on determining the starting price for leasing the right to exploit, transferring for a definite time the right to exploit market infrastructure assets invested or supported by the state.

+ Plan 1: To assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade in, building a database of market infrastructure assets invested or supported by the State for investment nationwide and integrated into the National Database on public property.

Plan 2: The Ministry of Industry and Trade shall assume the prime responsibility for, and coordinate with the Ministry of Finance in, building a database of market infrastructure assets invested or supported by the state on a national scale and integrated into the National Database on public property.

- Ministry of Home Affairs of Vietnam:

Assume the prime responsibility for, and coordinate with the Ministry of Finance, the Ministry of Industry and Trade, the Ministry of Planning and Investment with and relevant ministries and sectors in, guiding the regime for officials and employees of the market management board on the state payroll when transferring to an enterprise or a business cooperative to manage the market.

- Ministry of Construction of Vietnam:

+ To assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade, the Ministry of Agriculture and Rural Development and relevant ministries and sectors in, formulating or amending and supplementing regulations on standards and designs of various types of markets.

+ Guide and direct the provincial People's Committee in the elaboration and synchronization of relevant plannings.

+ To assume the prime responsibility for formulating technical norms and standards, promulgating regimes and procedures for maintenance of market infrastructure assets invested or supported by the State;

- The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade, the Ministry of Health, the Ministry of Agriculture and Rural Development with, and relevant ministries and sectors:

+ Guiding and directing the provincial People's Committees in formulating land use planning, setting aside land funds and using land for investment in market construction.

+ Guide and direct the provincial People's Committee in the work of ensuring environmental sanitation at the market.

+ To assume the prime responsibility for, and coordinate in, inspecting and supervising the use of market land according to regulations.

- Ministry of Health of Vietnam:

Assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade, relevant ministries and sectors in, guiding, directing and formulating policies to support provincial-level People's Committees in the work of ensuring food hygiene and safety, and preventing epidemics in the market.

- Ministry of Public Security of Vietnam:

+ To assume the prime responsibility for, and coordinate with concerned ministries and sectors in, guiding and directing provincial-level People's Committees in fire prevention and fighting at markets; in ensuring social order and safety, controlling risks, negative consequences and limiting impacts/affects to the community at night.

+ Coordinate with relevant ministries in formulating, amending and supplementing planning contents related to markets to ensure no violation of national security in accordance with law.

+ Review and amend relevant regulations on conditional business lines to facilitate the development of night markets.

- Ministry of Culture, Sports and Tourism of Vietnam:

To assume the prime responsibility for, and coordinate with ministries, sectors and localities in, promoting and linking tourism activities and promoting traditional markets with historical and cultural relics and night markets; adopt policies on architectural preservation for traditional markets on the list of architectural and cultural works to be preserved.

- Ministry of Agriculture and Rural Development of Vietnam:

To assume the prime responsibility for, and coordinate with ministries, sectors and localities in, performing their responsibilities in accordance with the law on food safety.

- Vietnam Cooperative Union:

Assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade and relevant ministries and sectors in, propagating and disseminating in the collective economic area laws and policies on development, market management and the business cooperative model, effective market management.

What are the regulations on the responsibilities of People's Committees at all levels for market management?

According to Article 43 of the Draft Decree on market development and management of Vietnam (Draft 2), the People's Committees at all levels are responsible for directing the integration of market development planning into provincial planning according to current regulations, management of market construction investment according to decentralization of capital construction investment, performing the function of state management of markets and the following regulations:

- Provincial People's Committee:

+ Decentralize market management to People's Committees at all levels in accordance with the actual situation in the locality.

+ Develop a provincial planning, which includes a plan for allocating and zoning land according to functional areas and by type of land to each district-level unit for investment in market construction. To consult specialized agencies for the construction, adjustment and supplementation of the planning for regional wholesale markets.

+ To issue market development plans in accordance with relevant regulations; proactively allocate capital from the local budget to renovate, upgrade and invest in market construction according to current regulations.

+ Specific regulations on the use and rental of business points at the market as prescribed in Article 12 of this Decree.

+ To promulgate the Model Market Rules according to the provisions of Article 11 of this Decree and approve or decentralize the approval of the Market Regulations.

+ Promulgate mechanisms, policies and solutions to mobilize and exploit resources to develop the market network.

+ Direct the implementation of measures to improve the operational efficiency of markets in the province.

+ Regulations on responsibilities of People's Committees at all levels in abolishing spontaneous markets.

+ Reviewing, researching and formulating policies on development of night markets, community markets, markets of historical and cultural relics and architectural landscapes in the area. Considering the planning of areas and locations capable of developing night markets, community markets, markets of historical and cultural relics, architectural landscapes to ensure traffic safety, security and order.

+ Periodically or irregularly report to the Ministry of Industry and Trade on market development and management in the area.

+ To promulgate according to its competence the regime of management, use and exploitation of market properties in accordance with the Law on Management and Use of Public Property.

+ Directing local departments and sectors to supervise the implementation of regulations on fire prevention and fighting, security and order.

+ Directing, examining and inspecting the implementation of law provisions and policies on market development and management.

+ Direct the review, classification, documentation, accounting of market infrastructure assets invested or supported by the State in the province according to the provisions of this Decree and relevant laws;

+ Direct the login and standardization of market infrastructure assets data invested or supported by the State; report on the management, use and exploitation of market assets invested or supported by the State in accordance with the provisions of this Decree;

+ Direct and inspect the management, use and exploitation of market infrastructure assets invested or supported by the State in accordance with the provisions of this Decree and relevant laws;

+ Direct the market specialized agency to annually review and evaluate the management, use and exploitation of market infrastructure assets invested or supported by the State in the locality for making plans on asset exploitation and reporting to the provincial People's Committees for approval;

+ Direct the district-level People's Committees to take measures to coordinate, inspect and supervise the management and use of market infrastructure assets invested or supported by the state in accordance with the provisions of this Law. This Decree;

+ Direct the smooth, continuous and uninterrupted operation of the market, affecting people's lives during the review and classification of market assets invested or supported by the State; carry out the procedures related to the exploitation of the property (sale/delivery with return of the value of the property/lease of the mining right/transfer of the mining rights with a definite term).

- People's Committees of districts:

+ Manage the market according to the decentralization of the People's Committee of the province.

+ To be responsible for managing and implementing plans to transform the market management model according to the plan approved by competent authorities.

+ Organize the examination and inspection of the implementation of the law provisions and policies on market development and management; organize the implementation of measures to improve the operational efficiency of markets in the district.

+ The district-level People's Committee shall coordinate, inspect and supervise the management and use of market infrastructure assets invested or supported by the state in accordance with the provisions of this Decree.

- Commune People's Committee:

+ Manage the market according to the decentralization of the superior People's Committee.

+ To be responsible for managing and implementing plans to convert the management board or management team of the markets according to the management decentralization to an enterprise or cooperative that trades and manages the market, which has been approved by a competent authority;

+ Coordinating with relevant agencies in implementing contents under their authority related to market management according to regulations.

Download the Draft Decree on market development and management here.

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