As many as 1,711 enterprises registered to get engaged in temporary importation of goods for re-export. This activity brings in an annual turnover of US$10.3 billion, contributes a good source of income for the State Budget and develops shipping, port and logistics services. However, apart from these good points among others, this activity has a lot of shortcomings needed to be addressed.
Regulations on operation related to temporary importation of goods for re-export are specified in detail in the Government's Decree No. 12/2006/ND-CP. However, after six years, this Decree has revealed a lot of shortcomings. Many businesses have taken advantage of loopholes in policies and administration activities to illegally bring goods into the domestic market, causing economic losses and harming business environment in the country. Most recently, according to a report by the General Department of Customs, on July 28,2012, a Cambodia-flagged ship with a 2,000 tonnes of smuggled petroleum worth VND40 billion on board was seized in a buffer zone between Nam Dinh and Thanh Hoa provinces. According to inspection records, this ship did not carry oil to China as announced but sold to traders in Vietnam.
The General Department of Customs also said in spite of tightening control and inspection over activities of temporary import of goods for re-export, the development remains complicated. Currently, the volume of goods temporarily imported for re-export backlogged at some ports like Hai Phong and Quang Ninh or at border gates is huge. Currently, 40 containers are carrying goods temporarily imported for re-export but more than half of containers are storing prohibited goods in Vietnam (garbage waste, animal organs, etc.) On July 26, 2012, the General Department of Customs send the Official Document 3842/TCHQ-DTCBL to the Steering Committee 127 in Dien Bien, Lao Cai, Cao Bang, Ha Giang, Lang Son, Quang Ninh , Hai Phong, Ha Tinh and Quang Tri, urging them tighten surveillance and management over goods temporarily imported and transited for re-export. These provinces and cities were told to strengthen their inspection and control over goods temporarily imported for re-export.
On September 7, 2012, Prime Minister issued Directive No. 23/CT-TTg on strengthening State management over activities related to temporary import of goods for re-export, cross-border and bonded warehouse.
He asked the Ministry of Industry and Trade to coordinate with relevant ministries and agencies to revise current regulations on temporary importing and re-exporting to remove those no longer fit and have them supplemented with updated rules where necessary. Accordingly, in September 2012, the ministry will have to promulgate lists of commodities banned and temporarily suspended from temporary import for ex-port and shipment, detail acceptable frozen goods for temporary importing and re-exporting and the conditions required for temporary importing and re-exporting of petrol and goods carrying excise tax including wine, beer, tobacco and cigars.
Goods can be in transit in Vietnam within 45 days, with one-time extension of 15 days. When the deadline passes, traders must re-export the goods within 15 days through the border gates where they are imported. Products temporarily imported are not permitted to serve domestic consumption. The temporary importing of petroleum products for re-export is governed at the Official Document 1136/VPCP-KTTH dated August 1, 2012 of the Government Office.
Le Hien
Vietnamese
