(Chinhphu.vn) – Through the receiving and responding system to people's feedback and recommendations, Mr. Nguyen Van Hung said that the regulations on licensing and declaration of chemicals for import and export in the Decree No. 113/2017 / ND-CP is making difficulties for businesses and state agencies  in implementation.

The amended subject of the Decree No. 113/2017 / ND-CP is enterprises which have production and business activities but,enterprises using chemicals are not mentioned.

In addition, the Decree stipulates that it is not clear whether the goods must apply for import and export license and chemical declaration. Therefore, enterprises have to import finished products for consumption or business such as cosmetics toothpaste, battery, ink, pickled cucumber ..., Which are not separate chemicals, but having ingredient chemicals that are required to obtain a permit or a chemical declaration must apply for these papers from the Ministry of Industry and Trade, although the content of these substances in products is very low and not the main material to make that product.

The Decree No. 113/2017 / ND-CP also does not specify how to determine the content of chemicals to obtain an import or export license or chemical declaration based on the records provided by the enterprise only or customs authorities must assess to determine composition and content.

According to the customs newspaper, some Customs Branches are asking enterprises to verify import consignments to determine the components, the content of the correct declaration is not new for customs clearance, increasing the time of information and the cost for the enterprise because while waiting for the inspection results, the goods must be stored at the border gate.

Another shortcoming of the Decree No. 113/2017 / ND-CP is to increase administrative procedures for businesses compared to the past. According to the Circular 06/2015 / TT-BCT, chemicals traded and exchanged in the territory of Vietnam (including trading between domestic and non-tariff areas, purchase of goods from foreign partners but the partner appoints to receive goods from other people in Vietnam, referred to as on-the-spot import and export, are exempt from chemical declaration procedures, but the Decree No. 113/2017 / ND-CP does not exempt this procedure for enterprises.

Therefore, at present, all lots of imported and exported goods have to carry out chemical declaration procedures, but this declaration is happening because the national one-stop shop system is used to carry out declaration procedures. Online chemical newspapers do not have import/export checklist for on-site import and export, so enterprises cannot declare.

When enterprises contact the hotline of the Chemical Department - Ministry of Industry and Trade, they are instructed not to declare chemicals for on-spot import and export goods but still follow the old regulations.

From the above shortcomings, Mr. Hung would like to propose to amend the Decree No. 113/2017 / ND-CP in the direction of clarifying that enterprises import chemicals for use (not producing or trading), are they subject to amendment of the Decree?

At the same time, abolishing procedures for granting import and export licenses as well as declaration of chemicals for import and export goods which finished products with goods codes (HS) are not on the list prescribed in the annexes of the Decree 113/2017 / ND-CP, even that item is composed of chemicals in the above categories; abolishing procedures for granting import and export licenses and declaration of chemicals for goods on the spot export and importare according to the provisions of customs law.

Regarding this issue, Ministry of Industry and Trade responds as follows:

Specified items that must be declared chemical procedures

Article 2 of the Decree No. 113/2017 / ND-CP dated October 9, 2017 of the Government detailing and guiding the implementation of a number of articles of the Law on Chemicals which stipulate the subjects of application:  “This Decree applies to entities having chemical-related activities; and entities involving in chemical-related activities in the territory of the Socialist Republic of Vietnam.”. Thus, organizations and individuals using chemicals are also subject to this Decree.

Section b, Clause 2, Article 17 of the Decree No. 113/2017 / ND-CP has set forth chemical control conditions: “The buyer purchasing chemicals for use and fulfilling all the requirements stated in Chapter V of the Law on Chemicals.”.

In addition, the use of chemicals has been specified in Chapter V on Chemical Law. In particular, detailing the rights and obligations of organizations and individuals using chemicals to produce other products and goods (Article 30); rights and obligations of organizations and individuals using dangerous chemicals to produce other products and goods (Article 31); rights and obligations of organizations and individuals using chemicals for consumption purposes (Article 32); use of chemicals for experiments and scientific research (Article 33); storage and preservation of hazardous chemicals in use (Article 34); disposal of discarded substances in use (Article 35).

In the Decree No. 113/2017 / ND-CP issued lists of chemicals: Appendix I: The list of chemical production and business conditions in the industrial sector; Appendix II: the list of chemicals restricted from production and business in the industrial sector; Appendix III: the list of banned chemicals; Appendix IV: The list of dangerous chemicals must develop chemical prevention and response plans; Appendix V: List of chemicals to be declared.

The lists of chemicals specify clearly with Vietnamese names, English names, CAS codes, chemical formulas and HS codes. Therefore, the chemicals must implement the relevant procedures are clear.

For industrial precursors, the list of chemical precursor is stipulated in the Decree 82/2013 / ND-CP dated July 19, 2013 and the Decree No. 126/2015 / ND-CP dated December 9, 2015 of the Government. .

For chemicals that must carry out the procedures for chemical declaration are regulated as in Clause 2, Article 25 of Decree No. 113/2017 / ND-CP: “Declared chemicals include substances on the list of those to be declared and mixtures containing substances on the list of declared chemicals classified according to Article 23 stated herein as hazardous chemicals unless otherwise exempted under the provision of Article 28 stated herein”.

Based on the above provisions, the procedures for declaring imported chemicals for chemical mixtures containing ingredients must be declared based on the percentage content of that ingredient, but based on the classification of chemical mixtures as prescribed in Article 23 Decree No. 113/2017 / ND-CP.

Information on the classification and composition of chemical mixtures is available in the Material Safety Data Sheet provided by the manufacturer.

For industrial precursor chemicals, in the Decree 82/2013 / ND-CP, no concentration of precursor content in chemical mixtures has been stipulated, this make difficulties to manage chemicals containing precursors with content and concentrations very small that still have to apply for import and export permits.

Therefore, it is necessary to specify the concentration of precursor substances that need to be licensed. Provisions for exemption from granting permits for export and import of industrial precursor chemicals in Clause 1, Article 13 of the Decree 113/2017 / ND-CP applying to imported and exported goods which are chemicals containing Industrial substance precursors aim to reduce administrative procedures in accordance with the Resolution 19 of the Government.

Cases of exemption from granting export and import licenses include: The goods containing Group 1 industrial precursor chemicals with content less than 1% of volume; The goods containing Group 2 industrial precursor chemicals with content less than 5% of volume.

The Decree does not increase administrative procedures for businesses

Under the provisions of the Decree 113/2017 / ND-CP, chemical declaration units import through the National one stop shop. The declaration information will be automatically transferred to the Ministry of Industry and Trade system and automatically feedbacked via the National One Stop Shop to individual organizations and customs authorities.

Thus, according to this regulation, chemical declaration procedures are implemented simply, quickly, the results are automatic responded immediately after organizations or individuals send documents, they do not have to take time to travel and wait for results (reducing from 5 working days to 0 working days).

In addition, Article 28 of the Decree 113/2017 / ND-CP has stipulated: “Cases where declaration of chemicals are exempted” that created favorable conditions for enterprises to declare chemicals and minimize overlap between related management regulations.

In fact, the Department of Chemicals has received many positive feedbacks from enterprises regarding the implementation of the Decree 113/2017 / ND-CP on procedures for chemical declaration via dispatch, email and phone as : the Hoya Glass Vietnam Company Limited; the Nokwon C&C Company Limited; the Chemical Joint Stock Company.

In Clause 3, Article 8 of the Circular No. 32/2017 / TT-BCT dated December 28, 2017 of the Ministry of Industry and Trade guiding procedures for declaring imported chemicals prescribed:  “Do not apply imported chemical declaration for organizations and individuals buying chemicals in the territory of Vietnam”.

Thus, enterprises buying chemicals in the territory of Vietnam do not have to carry out chemical declaration procedures.

In the Decree No. 113/2017 / ND-CP, chemical lists only identify the substance with the CAS number and HS code corresponding to the substance in a single form.

For chemical mixtures with many different components will have different physicochemical properties and different dangerous properties and different HS codes.

Chemical management is mainly based on the classification of the danger level of the chemical. Chemicals or dangerous chemical mixtures must be managed.

Therefore, the declaration process for chemical mixtures is not based on HS codes for evaluation but based on classification of chemicals in accordance with Clause 2, Article 25 of the Decree 113/2017 / ND-CP.

For the purchase of domestic chemicals, organizations and individuals do not have to carry out procedures for chemical declaration in accordance with Clause 3, Article 8 of the Circular No. 32/2017 / TT-BCT.

Currently, the Ministry of Public Security is taking a lead in drafting and revising the Decree No. 58/2003 / ND-CP for the granting of permits for import and export of industrial precursor chemicals. The Ministry of Industry and Trade will coordinate with the Ministry of Public Security in considering recommendations relating to the limit of chemical content in the mixture and granting the import and export license of industrial precursor chemicals for goods with HS codes that belong to the list and on-the-spot export and import goods in the spirit of ensuring the requirements of industry management and minimizing administrative procedures to create conditions for enterprises.