The Ministry of Industry and Trade (MoIT)'s Department of Asian-African Markets on September 11 held a working session with the Embassy of India in Vietnam on the support for Vietnamese incense stick producers and exporters.

At the meeting, the department voiced its concern about India’s revision of its import policy of incense sticks and related products from free to restricted, as stated in a public notice of India’s Ministry of Commerce and Industry on August 31.

It was opined that the sudden and unannounced requirement of licence will cause huge damage to Vietnamese businesses, especially during peak time of demand in the South Asian nation which falls in September and October.

A large inventory cannot be exported as there is no alternative and various pending consignments will not pass through the customs clearance. In addition, it will affect the lives of workers in the field, most of them poor and disabled people.

Indian importers who have formed partnership with Vietnamese firms for years will also suffer as they have paid in advance in accordance with contracts signed before August 31.

The MoIT asked the embassy to work with Indian competent agencies to address negative impact to Vietnamese firms and workers caused by sudden amendments of the country’s incense stick import.

Indian agencies should re-consider not asking for import licence for batches shipped from Vietnam before August 31. They were asked to halt the restriction during peak time this year and work to eventually remove import control over Vietnam’s incense sticks.

In reply, Deputy Chief of Mission at the Indian Embassy Rajesh Uike pledged to promptly work with Indian functional agencies to remove bottlenecks for businesses of the two countries and will soon reply to the MoIT.