05 criteria for classifying Category I timber processing and manufacturing enterprises in Vietnam

On September 1, 2020, the Government issued Decree 102/2020/ND-CP on Vietnam Timber Legality Assurance System

05 criteria for classifying Category I timber processing and manufacturing enterprises in Vietnam
05 criteria for classifying Category I timber processing and manufacturing enterprises in Vietnam (Internet image)

Decree 102/2020/ND-CP stipulates that enterprises shall be classified through the enterprise classification system. The enterprise classification system shall be run by constantly updated with information about the enterprises’ operation and compliance to the law provided by the enterprises and verified by competent authorities. The first classification shall be done when an enterprise signs up into the enterprise classification system. The second classification shall be carried out after 1 year from the first classification. The third and succeeding classifications shall be carried out every 02 years for Category I enterprises and every year for Category II enterprises from the previous classification date or from the date of conversion from Group I to Group II. Category I enterprises are those that:

1. Have been registered and operated for at least 01 year from the registration date in accordance with regulations of law on enterprise establishment and operation;

2. Comply with regulations of law on timber legality assurance of this Decree and the Minister of Agriculture and Rural Development; and

3. Prepare and submit reports in accordance with Clause 4 Article 27 of this Decree and retain original documents as prescribed by law;

4. Not commit any of the violations specified in Clause 4 Article 13 of this Decree;

5. The criteria mentioned in Point a and Point b of this Clause are specified in Appendix II hereof.

Note: Category II enterprises are those that fail to satisfy any of the criteria prescribed for Category I enterprises.

More details can be found in Decree 102/2020/ND-CP which comes into force from October 30, 2020.

Ty Na

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