Requirements of the issuance of the License to distribute tobacco in Vietnam

According to Decree No. 106/2017/NĐ-CP of Vietnam’s Government, requirements of the issuance of the License to distribute tobacco include:

- The applicant must be an enterprise that is duly established under the laws of Vietnam;

- The business location is fixed and clear, the technical requirements are satisfied;

- Its tobacco distribution system covers at least 02 provinces (at least 01 tobacco wholesaler in each province);

- There is a letter of introduction which is made by the tobacco supplier and specifies the intended business location;

- The warehouses under their ownership (or co-ownership) according to the joint venture contract or capital contribution contract, or the warehouse lease contracts are suitable for the business model (the minimum area is 100 m2 ) and the preservation of tobacco during the storage period;

- The means of transport under the ownership or co-ownership according to the joint venture contract or capital contribution contract, or the contracts to hire means of transport are suitable for the business scale (at least 02 vehicles capable of at least 500 kg) and the preservation of tobacco in transit;

- The financial capacity is able to ensure the normal operation of the entire distribution system (a certification of at least 02 billion VND is issued by a bank);

- A written commitment to comply with the requirements for fire prevention and fighting and environment protection is made by the enterprise;

- The Planning for tobacco trading network approved by competent authorities is complied with.

View more details at Decree No. 106/2017/NĐ-CP of Vietnam’s Government, effective from November 01, 2017.

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