In the future, how will markets be classified according to the draft Decree on market development and management?
What is the scope and subjects of application of the Decree on market development and management?
The scope and subjects of application of the Decree on market development and management specified in Article 1 of the Draft Decree on market development and management of Vietnam (Draft 2) as follows:
- This Decree stipulates market development and management, applicable to agencies, organizations and individuals participating in market activities, including the following areas: market network development plan; invest in repairing, renovating, upgrading and building new markets; exploiting and managing markets; manage, use and exploit market infrastructure assets invested or supported by the State; business activities in the market.
- The market regulated in this Decree is a traditional market, organized at a location according to the local planning and development plan approved by the competent authority in order to meet the demand for purchase, sale, exchange of goods and consumption needs of the residential area.
- Other types of commercial infrastructure are not regulated by this Decree.
What are the definitions of markets under the new Decree?
The definitions specified in Article 2 of the Draft Decree on Market Development and Management of Vietnam (Draft 2) are as follows:
- Scope of the market: is the area determined for market activities, including the area for arranging business points, the service area including parking lots, warehouses, food and entertainment areas and other services.
- Business points at the market: including stalls, stalls, kiosks and shops, which are fixedly located within the market area according to the market construction design, with a minimum standard area of 3m2/point.
- Wholesale market: is a market that plays a major role in attracting and concentrating large quantities of goods from the production and business sources of the economic sector or the commodity industry for further distribution to markets and distribution channels. Otherwise, there are no residents.
- People's market: is a market that sells common and essential goods for the daily life of people, without residents.
- Temporary market: is the market in the planning but has not been built permanently/semi-permanently or the area is temporarily operated with the permission of the local government.
- Spontaneous market: is a market that is not included in the planning, plan, strategy, development orientation of the locality, without the management and control of the competent authority.
- Rural market: means a market for people living in rural areas within administrative boundaries, excluding wards of towns, districts and cities.
- Night market: is a market held in an area or location planned for the development of the local night economy, operating from 6:00 p.m. the previous evening to 6:00 a.m. the next morning.
- Markets of historical, cultural and architectural landscapes: are markets with typical historical, cultural and architectural values that need to be preserved as prescribed in current regulations.
- Community market: is a market held outdoors, at a fixed location, permitted by a competent authority, to serve shopping, catering and entertainment activities of local people and tourists.
- Market trading and management enterprise: means an enterprise established, registered and operated in accordance with law, assigned by a competent authority or won a bid or won an auction for business, exploiting and management of the market.
- Business and market management cooperatives: are cooperatives established, registered for business and operated in accordance with law, assigned by competent authorities or won bids or won auctions for business, exploiting and management of the market.
How is the market classified according to the new draft of the Government of Vietnam?
What are the criteria for classifying markets?
The criteria for classifying markets are specified in Article 3 of the Draft Decree on market development and management of Vietnam (Draft 2), specifically:
1. People's Market
People's markets are classified into class 1 or class 2 or class 3 according to the criteria specified below. The classification or adjustment of market classification shall be approved by the People's Committee of the province.
Markets built before this Decree takes effect, without conditions to renovate or upgrade to meet the classification criteria below, will be considered for classification according to the number of existing business points and their existing area determined according to regulations at the time the market was built and met the basic requirements on fire prevention, hygiene and food safety.
- First class market:
+ Being a market with more than 400 business points, invested and built solidly according to the planning;
+ To be located in important positions of economic and trade centers of the province or city or as a wholesale market of the commodity industry, of the economic region, and held regularly;
+ Having a market space suitable to the scale of the market's operations and organizing activities: parking, loading and unloading goods, warehouses for goods preservation, measuring and inspecting goods quality, and hygiene and food safety and other activities.
- Grade 2 market:
+ Being a market with from 200 business points to 400 business points, which is invested to build solidly or semi-permanently according to the planning;
+ Being located in the economic exchange center of the region and holding regular or irregular meetings;
+ Having premises within the market area suitable to the scale of market activities and organizing the following minimum activities: parking, loading and unloading goods, goods storage, measuring, and public sanitation.
- Grade 3 market:
+ Are markets with less than 200 business points or markets that have not been built solidly or semi-permanently;
+ Mainly serving the needs of people in the communes, wards and neighboring areas for buying and selling goods.
2. Wholesale market
- Criteria for wholesale markets:
+ Location: Near concentrated agricultural products and goods on a large scale or near consumption centers, on the periphery of big cities; near traffic hubs, conveniently connected to road, river or railway networks; ensure current regulations on national defense, security, traffic order and safety, food hygiene and safety and do not cause adverse impacts on the environment;
+ Architectural design and spatial organization: according to relevant regulations, standards and regulations on market design and food safety;
+ Scale: The area of the wholesale market is based on the market volume, goods circulation in service of the development of goods circulation, production, consumption and import and export of the province, region or the whole country. The minimum market floor area is 8,000m2 (for markets that are renovated or upgraded to meet the standards of wholesale markets) and at least 10,000 m2 (for newly built wholesale markets) excluding the area for campus, roads, parking lots and other ancillary works;
+ Project categories:
+ Essential works: parking lots; water supply and drainage systems and wastewater treatment; waste and scrap collection places.
+ Items of technical requirements: on fire prevention and fighting, food safety and environmental protection, response to climate change according to the provisions of law.
+ The main work items of the wholesale market include: trading area for goods, agricultural products and food according to each commodity subdivision (including wholesale and retail areas); office area; areas for inspection, control, quarantine (goods of plant and animal origin are imported and exported), traceability and quality control; areas for sorting and preliminary processing, processing, packaging and packing of agricultural products; warehouses for gathering agricultural products; The service area supports essential services.
- Classification:
+ Wholesale markets for purchasing goods, agricultural products and foodstuffs are concentrated, specialized, large-scale and stable.
+ Wholesale market of multi-sector or specialized such as vegetables, fruits, seafood, minimum operating scope in one province.
Download the Draft Decree on market development and management here.
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