What are regulations on rights to rice export business in Vietnam?

What are regulations on rights to rice export business in Vietnam?

Pursuant to Article 3 of the Decree 107/2018/NĐ-CP stipulating rights to rice export business in Vietnam as follows:

1. If Vietnamese traders of all economic sectors satisfy the conditions specified in Article 4 hereof and obtain a certificate of eligibility for rice export business (hereinafter referred to as “Certificate”), they may conduct rice export business in accordance with this Decree and relevant laws.

2. Traders being foreign-invested enterprises shall obtain the Certificate and conduct rice export business in accordance with this Decree, other relevant laws of Vietnam and commitments of the Socialist Republic of Vietnam under international treaties to which Vietnam is a signatory.

What are conditions for rice export business in Vietnam?

Pursuant to Article 4 of the Decree 107/2018/NĐ-CP stipulating conditions for rice export business in Vietnam as follows:

1. A trader that is being incorporated and registers for business under law shall be allowed to conduct rice export business if it satisfies the following conditions:

a. Have at least 01 rice warehouse that satisfies the national technical standards and regulations promulgated by a competent authority in accordance with the Law on Technical Standards and Regulations.

b. Have at least 01 rice mill or rice processer that satisfies the national technical standards and regulations promulgated by the competent authority in accordance with the Law on National Technical Standards and Regulations.

2. The rice warehouse, mill or processor that is mentioned in clause 1 of this Article must be owned by the trader or rent by the trader from other organizations or individuals under a lease agreement of at least 05 years.

The trader who obtains the Certificate shall not lease or sublet the rice warehouse, mill and processor that are declared in its application form in order to prevent another trader from using the aforesaid properties to apply for another Certificate.

3. The trader that exports organic rice, parboiled rice and rice with micronutrients is not required to satisfy the business conditions specified in point a and b, clause 1, clause 2 of this Article and to implement the regulations in Article 12, and is entitled to export the aforesaid types of rice without a certificate, but shall make a report in accordance with clause 2, Article 24 hereof.

While carrying out the export procedures, the trader who exports organic rice, parboiled rice and rice with micronutrients without a Certificate shall only submit the original or a certified true copy of the confirming document issued by the competent authority or of the rice assessment certificate issued by the assessment organization as prescribed in the regulations on rice export products that satisfy the criteria and measures provided by the Ministry of Agriculture and Rural Development and the Ministry of Health in accordance with point dd, clause 2, clause 3, Article 22 hereof.

What are regulations on inspection of the rice export business conditions in Vietnam?

Pursuant to Article 5 of the Decree 107/2018/NĐ-CP stipulating inspection of the rice export business conditions in Vietnam as follows:

1. The trader shall declare the application dossier for the new Certificate, take responsibility before the laws about the declared information, documents specified in Article 6 and information proving that the trader has satisfied the regulations specified in Article 4 hereof.

2. Department of Industry and Trade shall take charge and cooperate with the Department of Agriculture and Rural Development and other relevant agencies to carry out inspection for the rice warehouse, mill and processor, with the aim to satisfy the rice export business conditions in the area where the trader obtains the Certificate.

Within 05 working days, from the date on which the inspection ends, the Department of Industry and Trade shall send a report on the inspection results enclosed with the inspection record to the Ministry of Industry and Trade in order to request for the actions against the violations (if any).

3. The Ministry of Industry and Trade shall take charge and cooperate with relevant agencies to carry out regular or surprise assessment of the post inspection mentioned in clause 2 of this Article and the trader’s ability to maintain the business conditions.

Best regards!