Report on performance of The Resolution 35 / NQ-CP in January and February 2018

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No :  0449/PTM – VP

Report on performance of

The Resolution 35 / NQ-CP in January and February 2018


 Independence - Freedom - Happiness


               Hanoi,13th March 2019



The Chamber of Commerce and Industry of Vietnam (VCCI) is pleased to report on the implementation of the tasks assigned in the Resolution 35 / NQ-CP dated 16 May 2016 by the Government on supporting and developing enterprises to 2020 forJanuary and February 2019, particularly is as follows:


1. Recommendations assemblage of businesses in January and February 2019

January and February 2019 were the time before, during and after the Lunar New Year, so the number of recommendations of January and February 2019 was lower than those of quarter 42018, this had important causes due to the number of recommendations that businesses send less. At the same time, the resolution of ministries, sectors and localities seemed to be slower, the rate of pending recommendationswere overdue due to the Government’s Office fixed higher than the final months of 2018.

In January 2019, the VCCI made a statistic and there were 35 new recommendations of businesses and business associations sent to 17 ministries, branches and localities (down 44 recommendations compared to December, 2018). As of the end of February 28, 2019, there were 15 recommendationsresponded and 20 recommendationswere notresponded All unresponsive recommendationswere out of date.

In February 2019, the VCCI had a statistic thatthere were 48 new recommendations of businesses and business associations sent to 15 ministries, branches and localities (increasing 13 recommendations compared to January 2019). As of the end of February 28, 2019, there were 18 recommendationsresponded and 36 recommendationswere not yet responded, in which 9 recommendation was overdue to respond and 27 recommendations still had a deadline.

Details of the data and contents of the new recommendations were presented in Appendix 1, Appendix 2 attached to the report. The deadline for resolution of recommendations shall be calculated by the VCCI according to the deadline set by the Government’s Office in the official dispatches to the ministries, branches and localities.

The main contents in the recommendations of businesses and business associations mainly suggested guiding the provisions of law to implement. In addition, there were a number of recommendations on law development and some specific cases of businessess. Some main contents were included asfollows

- The Ministry of Finance received 19 recommendations of businesses, the contents of the recommendations focused on proposing guidance on the implementation of the law in the following matters: Making comments on amendment of the Circular No. 72/2017 / TT-BTC dated July 17, 2017; policies to support prices of irrigation products and services; policies to support fisheries development; preferential corporate income tax policies; VAT policy for information technology consulting services ... In addition, the businesses proposed to guide the implementation of tax and customs administrative procedures, including: problems in convertion of VAT declaration to direct method due to late submission of the form 06 / GTGT; how to write VAT invoices for investors to sublease land; duty of tax declaration of business location; problems in implementiation of procedures for termination of the company's branches; problems in the examination process of the cost of common items under construction and installation bidding packages; invalidationof the tax code of businesses; settlement of VAT refund dossiers for exported goods ...

Businesses also reflected some cases of slow resolution, causing difficulties for business and production activities such as: The Song Song Co., Ltd, reflecting the late paymentof the Hai Phong Customs Department's classification results; VNIS Vietnam Co., Ltd reflected the District 1 Tax Office, Ho Chi Minh City, causing trouble for the company when implemention or change of the business address of the branch, from the date of December, 2018 to the present; The Nikel Ban Phuc Mine Co., Ltd sent the second Complaint complained and protested to the Decision No. 1782 / QD-HQHN dated November 26, 2018 on the determination of taxes on export and import goods of the company. First complaint was submitted from December, 2018, but so far it has not been responded.

- Ministry of Planning and Investment received 16 recommendations of businesses, proposed to guide the implementation of policies and laws, including 8/16 proposing guidance on bidding law for the contents: deed number participating bidders; responsibility for evaluation of bids; authorized in bidding activities; guided implementation of bidding package; guided the appointment of shortened contractors; guided the evaluation of bids; changed the work done in the partnership after winning the bid; guided the payment of unit prices and exchange rate fluctuations in adjusted unit price contracts.

Some contents proposed by other businesses including: problems in the implementation of the Law on Investment in 2014; addedtrades for enterprises that not included in WTO commitments; problems when submitting additional business trades; guided the transfer of a part of contributed capital to foreign individuals; problems of investor registration procedures for new construction of ICD Logistics Center in Hanoi ... In addition, there was also a recommendation to contribute to the draft revised Law on Enterprises.

- Ministry of Construction received 9 recommendations from businesses proposed to guide the implementation of the law on contents: certification of operational capacity and operation licenses for topographic survey and public measurement submit; the calculation of design consultancy costs for irrigation works; guiding formulation of detailed planning dossiers of investment and construction projects; adjusting package contracts in case of force majeure; settling reserve value in the package contract; adjusting construction contract extension according to the norm 1172; procedures for adjusting works.

- The Ministry of Labor, War Invalids and Social Affairs received the most recommendations with 6 recommendations from businesses proposed to guide the implementation of the law on contents including: how to calculate wages according to actual working days; displacement of workers' desks and layoffs; directly paying unemployment insurance to employees during pregnancy; granting occupational safety cards in private businesses; handling violations of businesses' activities according to the employment service operation permits; disciplining employees; paying labor insurance for foreign workers ...

- Ministry of Natural Resources and Environment received 5 recommendations of businesses on contents: Guiding the change of land use purpose from commercial and service land to residential land; problems when implementing investment projects, business of industrial infrastructure; proposing guidance on making state budget estimates for land valuation; guiding the provisions of law for the rental of factories on land allocated annually.

In particular, with the recommendation of the Hiep Thanh Company, the Ca Mau Provincial People's Committee did not issue a certificate of land use right and house ownership for houses and residential land at 18 Ngo Quyen Street, Ward 2, Ca Mau City that has been awarded to auction winners since 2013. The company repeatedly sent applications to Ca Mau Provincial People's Committee and sent them to the ministries and central branches to definitely resolve. The Government’s Office also sent a written request to the Ca Mau Provincial People's Committee to definitely resolve for the company. However, so far the case has not been resolved with the reason that Ca Mau Provincial People's Committee has requested for guidance of the Ministry of Natural Resources and Environment but it has not been responded by the Ministry, so it has not been definitely resolved.

- Ministry of Industry and Trade received 5 recommendations of businesses on the following contents: Proposing necessary capital instructionin accordance with the law on application for business license about leasing machines and machines PIM measurement with HS code is 9030; procedures for establishment of representative offices in Vietnam for foreign investors; guidance on the right distribution of software products of foreign invested enterprises ...

Especially, the recommendations of Vietnam Sport and Gymnastics Joint Stock Company that reflectedthe Dong Da Power Company signing a power purchase and sale contract of the Delicious Company (signed a business cooperation contract No. 22/2015 / HD to cooperatebusiness with joint venture business cooperation at 4B Hang Chao - under the cooperative ownership of the Vietnam Sport Joint Stock Company) in order to supply three-phase electricity to the Delicious Company at the location No. 4B Hang Chieu without notice and consent of the legal owner is Vietnam Sport Joint Stock Company. After the Vietnam Sports and Gymnastics Joint Stock Company worked directly many times and sent a recommendation to the Dong Da Electric Company and Hanoi Power Corporation, but itwas not resolved, they had to send a recommendation to theGovernment’sOffice. So far, the Government’s Office sent dispatch twice to the Electricity Corporation of Vietnam to propose directing and resolving business’srecommendations, but Vietnam Sports and Gymnastics Joint Stock Company has not receivedany responses, the case has been not resolved yet.

- Recommendations sent by businesses to the localities mainly suggested solving specific difficulties faced by businesses in production and business activities such as: Proposed solving difficulties for businesses in project implementation of Sam Mountain  cable car, Chau Doc City, An Giang Province; proposed to solve problems when bidding and implementing package SP 1/01 / ICB on "building drainage and wastewater treatment system in Sapa", Lao Cai Province; difficulties in limiting and licensing freight cars circulating in inner Ho Chi Minh city areas; inadequatcy in the merger of Dung Quat Hospital into General Hospital. Quang Ngai City …

2. Responsesof recommendation of ministries, branches and localities

In January 2019, the VCCI received 48 documents responding to businesses’recommendation of 12 ministries, branches and localities (received 44 documents in December 2018). In February 2019, the VCCI received 23 documents responding to businesses’recommendations of 8 ministries, branches and localities (reducing 25 documents compared to January 2019). These documents were fully posted by the VCCI on the VCCI’s Website as stipulated in the Resolution 35. (Detailed in Appendix 3 attached to the report)

Through monitoring of the VCCI, in 2018 (from January 2018 to the end of December 31, 2018), there were 110 recommendations of businesses and business associations that were notrecommended by ministries, branches and localities. Many recommendationwere transferred from the Government’s Office and the VCCI since the beginning of 2018 but they were not resolved. Ministries and agencies had many unresponded recommendations including: The Ministry of Finance 20 recommendations; the Ministry of Labor, Invalids and Social Affairs 16 recommendations; the Ministry of Planning and Investment 10 recommendations; the Ministry of Natural Resources and Environment 9 recommendations; the Ministry of Construction 8 recommendations; the Ministry of Health 8 recommendations; ... 6 other ministries and sectors had 8 recommendations. For localities with 13 provinces and cities directly under the central government that were not responded to the recommendations of businesses, most of them were Ho Chi Minh City with 6 recommendations, Danang City with 4 recommendations, Hanoi with 2 recommendations, Hai Phong City with 2 recommendations, Phu Tho Province with2 recommendations ...

Details of unrespondedrecommendations and handling responsibilities of ministries, sectors and localities in 2018 were presented in Appendix 4 attached to the report.

In the first 2 months of 2019, as of February 28, 2019, there were 56 recommendations that were notresponded, in which 27 recommendationsstill haddeadline for response, 29 recommendations expired (presented detailing in Appendix 1 and 2 attached to the report).

Proposed the Government’s Office to urge the ministries, branches and localities to give complete response to recommendations of businesses, especially unresolved recommendationsin 2018.


1. In the first two months of 2019, the VCCI deployed the assigned tasks as follows:

Implementation of activities contributingto administrative reform and facilitate businesses;creating a favorable environment to supporting start-up businesses and innovativebusinessesensuring business rights, equal rights to access business resources and business opportunities; reducing business costs for businesses and protecting legitimate rights and interests of businesses:

- Completed comments on 16 draft legal documents: Law on promulgation of legal documents (amended); Law amending and supplementing a number of articles of the Investment Law; Law amending and supplementing a number of articles of the Enterprise Law; Law amending and supplementing a number of articles of the Law on the promulgation of legal documents in 2015; the Decree amending the Decree 25/2011 / ND-CP on telecommunications; the Circular amending the Circular No. 23/2014 / TT-NHNN guiding the opening and use of payment accounts at payment service suppliers. Administrative violations in the banking field; The  Circular amending and supplementing a number of articles of Circulars prescribing administrative procedures in the field of foreign exchange management; the Circular amending and supplementing the Circular 16/2010 / TT-NHNN on credit information activities; the Circular amending and supplementing the Circular No. 323/2016 / TT-BTC on inspection, supervision and quality evaluation of price appraisal activities; The Circular stipulating some contents on export and import of plant varieties, animal breeds, import of plant protection drugs:

- Coordinated with the Ministry of Planning and Investment to organize a workshop to consult businesses on the draft Law on amendment of Investment Law and Enterprise Law. For the Investment Law, the draft revised many important issues such as investment procedures, the authority deciding investment policies, the legal status of foreign investors, abolished 26 business lines with articles Lawsuit ... For the Enterprise Law, the draft amendments to regulations relating to state-owned enterprises, organization, operation, management of businesses, abolishment of business seals, reporting regime, request for replacement changing business registration information ... Speaking at the workshop, the VCCI Chairman emphasized on individual business households, the region played an important role in the economic structure when accounting for more than 30% of GDP but it was not treated equally by law compared to formal businesses. The amended Enterprise Law should aim at solutions to promote the transition from individual business households to businesses, created a mechanism to encourage business households to transform into businesses, enhanced the quality of governance to gradually formulating a strong private business community, becoming a driving force for the economy. Comments from the workshop were received and summarized by the VCCI and sent to the Drafting Committee.

- Organized the Business Law Review Conference in 2018 and published the Business Law Flow Report 2018. This was an initiative of VCCI to record the picture of Vietnam's business law for 6 months or a year. , started at the beginning of 2018. The report reviewed the legal regulations that had a great impact on the business community in Vietnam in each period. These regulations were gathered from the opinions of business associations, entrepreneurs, lawyers, and economic experts. The scope of the report focused on the legal provisions on business issued at the central level in 2018. Reporting in addition to statistics, tried to analyze, comment and evaluate to draw experience for business law building in the next stage.

- Organized the Conference in Hanoi to publish the Report on "Satisfaction of businesses on the implementation of administrative procedures in import and export in 2018" that be  coordinated by VCCI and the General Department of Customs and the United States International DevelopmentAgency (USAID). The report reflected the assessments of the business community on the implementation of customs administrative procedures in 2018 and recommendations of the business community to the Customs sector in the coming time. According to the Report, the satisfaction level of the business community with respect to administrative reform efforts in the field of import and export has been very modest compared to 2015. In particular, the ability to access information and the quality of information sources, 91% of businesses surveyed said that the information provided was consistent (compared to 77% in 2015), 90% of the information was available and easy to find (81% in 2015). The effective support of customs authorities was also positively evaluated with the rate of over 80% of businesses saying that the support from specialized agencies was "largely and completely in time and effective". This survey would continue to be implemented in the coming years to promote administrative reform in the import and export sector to facilitate and leverage to promote business development.

- The VCCI’s leaders participated in activities of law development and policy comments such as: Consultation workshop on experts on the Draft Report on the results of surveys and surveys on the demand for vocational training associated with the response. Labor market demand in 2018, Seminar on solutions and sanctions for debtors, evading social insurance, attended the Expert Group meeting on issues to consider when considering the expansion of the agreement framework on the maximum overtime hours in the Labor Code project (revised), Attended the Consultation Workshop on awareness and action on workplace safety in the garment industry in Hanoi, attended the Consultation Seminar on Review Report of the legal framework for child labor and regulations as minors in the Labor Code, attended the meeting with the Ministry of Finance on the implementation of national guarantees under the Istanbul Convention, attended the Seminar on "Autonomy in Career Education"; participated in the meeting with the Department of Import and Export - Ministry of Industry and Trade on the situation of issuing C / O for new or listed items of risk of frauds exported to the United States and the European Union; attended a Seminar on the topic "Not enough living wage and its implications for the lives of workers"; attended the Policy Development Workshop for People with Disabilities in Vietnam; attended the meeting with the Ministry of Industry and Trade on the content of the Competition Law; participated in the conference on social monitoring and criticism organized by the Vietnam Fatherland Front Central Committee; worked with the Committee on Overseas Vietnamese to develop a scheme to mobilize overseas Vietnamese to participate in building distribution channels and introducing Vietnamese goods in the host countries ...

- Participated in the working group of the Government’s Prime Minister to inspect at Hai Phong port on the problem of waste materials as imported materials that being delayed customs clearance and causing great damage to enterprises.

- Continued implementing the Action Program to promote business integrity: completed the Progress Report to UNDP on research activities and developed training materials on IC and CoC; worked with IBLF Global and a team of national experts to review and ensure the preliminary draft of research reports and development of training materials; attended the technical meeting to consult with experts, businesses and stakeholders on the Report to study the status of internal control activities and apply the code of conduct in businesses.

2. Implemented trade promotion, investment activities and support programs and projects to improve competitiveness of enterprises and business associations:

- Coordinated with the Japanese Chamber of Commerce and Industry (JCCI) to hold a Seminar on "Vietnam - Japan Economic Dialogue" on the occasion of visiting and working in Vietnam of the Chairman of Japan Business Cooperation Committee. - Mekong and business delegation seeked cooperation opportunities in Vietnam, operating in the areas of general trade, manufacturing machinery, components, cars, banks, construction, food and aviation. , electrical appliances ... At the seminar, business representatives of the two countries proposed many solutions to further promote trade and investment relations between Vietnam and Japan in the coming time, strengthened cooperation. under multilateral mechanisms to promote and facilitate trade and investment by actively participation in free trade agreements as comprehensive Partnership Agreement and progress across the Pacific (CPTPP), Regional Comprehensive Economic Partnership (RCEP) ...; regularly maintained dialogue and substanceon investment-related issues such as reforming the business environment of the two countries ... Also within the framework of the visit, the VCCI supported Japanese business delegation to meet with the Government’s Prime Minister Nguyen Xuan Phuc.

- Coordinated with the Argentine Embassy in Vietnam to organize the Vietnam-Argentina Business Forum in the framework of the official visit to Vietnam of the President of the Republic of Argentina. The forum was attended by the President of Argentina and the Government’s Deputy Prime Minister Vu Duc Dam, the President of VCCI and representatives of ministries and two countries. The official visit of the President of the country together with the business forum activity created a new driving force, promoted cooperation between the two countries, especially in the fields of economy, trade and investment. On this occasion, the Vietnam Chamber of Commerce and Industry signed a Memorandum of Understanding (MOU) with the Argentina Chamber of Commerce and Service to promote trade and investment promotion activities between the two countries, and especially towarded establishing the Vietnam - Argentina Mixed Business Council.

- Organized the launching ceremony of the Vietnam Industrial Network (VNGN) and the Ky Hoi Spring Meeting program 2019. At the ceremony, the VCCI President Vu Tien Loc sent wishes to all VCCI staff and pointed some outstanding results of the VCCI achieved in 2018, directed some major orientations in the 2019 working year and the following years. On this occasion, the VCCI announced the establishment and launch of the National Industrial Network, under the Central Council of Vietnam Business Associations. The formation of VNGN represented the goal of transferring business rights among family business generations in Vietnam. This activity not only created a playground for the next generation but also supported the successful transfer process. The VCCI also announced the Decision changing the name of Vietnam Family Businesses Council and the decision establishing a successor club under the Vietnam Family Business Council.

- Organizeda Start-up Festival 2019 and launched the Start-up Program 2019. This was the 17th year of the Start-up Program organized by the VCCI to: Continue developing the start-up network and support accelerating start-up with 5 big actions: Training senior lecturers and training according to international standards; consulting and developing the system: Supporting local start-up businesses, including specialized personnel training facilities along with facilities and mechanisms to support the government; connecting supply, demand and creating ecosystems for start-up activities; directly supporting projects, supporting start-up programs at the national level as an organization, managing the startup community in Vietnam; participating in development of policy environment for start-up activities in Vietnam. Within the Festival of Entrepreneurship 2019, the Organizing Committee awarded 6 best projects for the National Start-up Contest 2018 and organized investment connections between businesses and authors.

- VCCI and KOTRA and the Central Investment Promotion Center (IPCC) signed a cooperation agreement and opened KOTRA representative office in Da Nang City. The two sides pledged to strengthen cooperation and mutual support for the common goal of strengthening the attraction of investment and promotion of bilateral trade between Vietnam and Korea. KOTRA was an agency under the Ministry of Industry, Trade and Energy of Korea, and functions to support trade and investment activities between Korean enterprises (businesses) and foreign countries. KOTRA Danang was KOTRA's third office in Vietnam after Ho Chi Minh City and Hanoi Office. The new office was established with the goal of supporting Vietnamese businesses to more easily access Korean partners, facilitating Korean businesses to learn about investment and business capabilities in the region which was Economic focus of Central Vietnam.

- Coordinated with the International Labor Organization (ILO) to hold a workshop on "Responsible Supply Chain in Asia - Involvement of Strategic Partners" to encourage and ensure social responsibility practice and responsible business ethics in the business community. Sustainable and comprehensive development and in line with international standards that are important goals of the country, especially when Vietnam has been ratifying many free trade agreements such as CPTPP and EV-FTA. The workshop provided businesses with the skills, tools to access and practice responsible business and promote smart, sustainable and comprehensive growth, improved market access. school in the context of deep integration into the international economy. The project will continue to implement many activities until 2020.

- The VCCI cooperated with Vietnam Business Women Association to organize a Forum on "Acting initiatives for a world without waste". The forum created opportunities for domestic and international experts, businesses and organizations to discuss and share practical experiences, typical lessons, initiatives on environmental protection, waste management. waste and community support programs, jointly launching members and partners to sign a commitment to action "For a world without garbage". In addition, on the sidelines of the Forum, the Vietnam Women's Entrepreneurs Council also held an exchange party: Women Entrepreneur - Green Journey 2018 and exhibited products of enterprises owned and led by women such as clean tea and agricultural products, fashionable products, beauty care ... created opportunities for female entrepreneurs to connect business and expand partners.

- The VCCI also actively cooperated with partners to organize many other investment and trade promotion activities such as: The Dac Nong Province Investment Trade Conference, the CyPrus Conference - Ideal Destination, Seminar Opportunity Doing business with the US market ...

The Vietnam Chamber of Commerce and Industry respectfully reports to the Government’s Prime Minister.

C/C :

As above;

The Steering Committee;

The Government’s Office (DMDN Dept.);

Business Information Center (for posting on the website)

Saved by Archive and Admin Dept. (for synthetic)

By: Translator: HaiYen - Business Information Center (BIZIC)


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