Report on performance of the Resolution No. 35 / NQ-CP in second quarter2019

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CHAMBER OF COMMERCE &

INDUSTRY OF VIETNAM

No:  1625/PTM – VP

Report on  performance

of the Resolution No. 35 / NQ-CP in second quarter2019

THE SOCIALIST REPUBLIC OF VIETNAM

      Independence - Freedom - Happiness 

 

Hanoi, 17thJuly2019

To: THE GOVERNMENT

The Chamber of Commerce and Industry of Vietnam (VCCI) is pleased to report on a performance of tasks assigned in the Resolution 35 / NQ-CP dated 16 May 2016 by the Government on supporting and developing businesses until 2020, solving difficulties, obstacles and recommendations of businesses in second quarter 2019 as follows:

I. IMPLEMENTATION OF BUSINESSES’ RECOMMENDATIONS OF MINISTRIES, BRANCHES AND LOCALITIES.

1. The implementation of assembling and resolving businesses'recommendations in second quarter2019

In the second quarter2019, the VCCI counted 298 new recommendations of businesses and business associations (up 190 recommendations compared to first quarter2019). The implementation of resolving recommendations as of June 30, 2019 is as follows:

Months

The number of recommendations received

The number of recommendations resolved

The number of recommendations unresolved

Notes

4/2019

90

66

24

 

5/2019

123

87

36

 

6/2019

85

21

64

Details of appendices 1 and 2 attached to the report

Total

298

174 (account for 58,4%)

124 (account for 41, 6%)

 

Classification by ministries, branches and localities showed that: Ministries and agencies received many recommendations in second  quarter  2019, including: the Ministry of Finance: 76 recommendations; the Ministry of Planning and Investment: 67 recommendations; the Ministry of Construction: 28 recommendations; the Ministry of Labor, Invalids and Social Affairs: 15 recommendations; the Ministry of Natural Resources and Environment: 23 recommendations; the Ministry of Industry and Trade: 13 recommendations; the Ministry of Health: 15 recommendations; the Ministry of Science and Technology: 9 recommendations; the Ministry of Public Security: 7 recommendations; the Hanoi City People's Committee: 6 recommendations; the Ministry of Information and Communication, the Ministry of Transport and Ho Chi Minh City People's Committee all received 3 recommendations; The ministries, branches of Justice, the State Bank of Vietnam, the Vietnam Social Security all received 2 recommendations. Particularly, the group of 13 ministries, branches and localities received 268 recommendations, accounting for 89.92% of the total number of recommendations in the second quarter 2019. In particular, two ministries: the Ministry of  Finance, the Ministry of Planning and Investment received the highest number of recommendations and outperformed other ministries, branches and localities. A number of other ministries, branches and localities also received recommendations from businesses such as the Ministry of the Interior, the Ministry of Agriculture and Rural Development, the Ministry of Defense, the Ministry of Education and Training, the Ministry of Justice and the State Bank of Vietnam. The Ministry of Vietnam Social Security, Binh Duong, Binh Phuoc, Ninh Binh, Dak Lak, Son La, Khanh Hoa, Bac Giang, Kien Giang provinces ...

The main contents in the recommendations of businesses and business associations mainly recommended guiding the provisions of law for implementation. In addition, there are a number of recommendations on law development and some specific cases of businesses. Some of the main recommendations were as follows:

- The Ministry of Finance received the most recommendations of businesses in the second quarter 2019 with the main content proposing to guidance of the implementation of the law in the issues: The regime of implementing autonomy for public non-business units established by the State with 100% guarantee of operating costs; sorting goods of "land cultivators"; continuously opened customs declaration of red stream; out-of-province current sale activities; time of analyzing and analyzing export goods; update information on legal representatives on the website of the General Department of Taxation; openning a declaration according to the type of E62 for goods delivered under the designation of foreign traders in Vietnam; paid registration fee for the conversion of registration of cars due to the merger of the company; regulations on accounting vouchers; calculated taxable turnover of real estate transfer activities; payment for partnership when implementing equipment supply contracts for investors; exemption of land rent for forestry companies; liquidation of assets of 100% foreign-invested enterprises; payment of land rent and additional money for a commercial center construction project behind schedule; the application of 5% VAT rate for imported medical goods; the maximum time prescribed by the General Department of Customs must answer the inspection results for businesses; ... Some outstanding recommendations, the number of businesses proposed as much:

+ A number of businesses and business associations operated in the field of industry support reflected in the Conference on dialogues on tax and customs administrative procedures in 2018, the Ministry of Finance and the General Department of Taxation answeredthat investment projects to support industrial products had made before January 1, 2015 were not entitled to corporate income tax incentives in the area of ​​priority industrial production support fordevelopment under the provisions of Law No. 71. Through discussions with other businesses in the Japan Business Association in Vietnam as well as through the business information obtained from the community of investors in Vietnam operating. in supporting industries from other countries (Vietnam, Korea, Dai Loan, China), the General Department of Taxation and a number of local Tax Departments also issued a number of documents to answer a number of businesses, which also expressed the above opinion. This view was completely inconsistent with the regulations on investment incentive guarantee and tax in investment and tax legal documents. Therefore, businesses proposed to the Government’s Prime Minister and the Government to make clear conclusions about the view of the Ministry of Finance stated at the Conference to support businesses. Realizing that this was a big issue related to investment incentive policies and many businesses, the VCCI gathered opinions from businesses and had an exchange with the Ministry of Finance requesting to hold dialogues with business groups.

+ Some businesses operating in the wood processing industry have proposed to review the proposed increase in export duty on wood chips from 2% to 5% in the draft amendments to the Decree No. 125 / 2017 / ND-CP. Businesses said that the impact of increasing wood chip export tax will affect investment in afforestation, affecting the completion of forest cover targets from 41.6% to 45% according to the Decision No. 419 / QD-TTG dated April 5, 2017 on approving the national program on sustainable management of forest resources by 2030 of the Government’s Prime Minister.

+ Ho Chi Minh City Business Association proposed to consider not applying the interest rate ceiling of 20% / total cost for social housing projects as stipulated in the Decree 20/2017 / ND-CP on tax administration for businesses with associated transactions and considering only applying the 20% interest rate ceiling on loans from independent transactions.

+ The Huynh Tran Co., Ltd reflected the post-customs clearance inspection by the Customs Department of CSG KV4 (ICD1) after March 15, 2019 to April 29, 2019, but received another announcement No. 659 / STQ-ĐQQ (April 25, 2019) on 13 May 2019 on post-clearance inspection from April 2014 to 2019. The post-clearance inspection continued to cause difficulties for businesses in productionand businessactivities,  contrary to the Government’s Prime Minister's direction on conducting and inspecting enterprises once a year.

+ The Vinafarm Vietnam Joint Stock Company reflected the State Reserve Department of Nghe Tinh region to open a bidding package of 16,000 tons of rice imported into the National Reserve. Businesseshad directlycontacted many times, but the State Reserve Department of Nghe Tinh area did not provide information related to bidding documents. Businesses believed that there were signs of the "group benefits" phenomenon in selling bidding documents, expressed through non-transparent and deliberate methods, made it difficult for businesses to approach.

- The Ministry of Planning and Investment mainly receivedrecommendations from businesses to recommend having guidance on the implementation of policies and laws, including the majority, which was to provide guidance on bidding law for the following contents: measures to prevent the situation preventing the access to bidding documents for bidding packages not bidding online; application of construction contract type for consultancy bidding packages; problems when applying the Bidding Law in the implementation of investment projects; guidelines for online bidding under the process issued together with the Circular No. 04/2017 / TT-BKHĐT; validity of the results of bid evaluation reports; determination of state capital sources and scope of regulation of the Bidding Law; selecting contractors for construction and installation bidding packages and consultancy; participated in bidding packages of investment projects with state budget sources; applied the form of contractor selection; submitted bids online; practiced certificates for bidding activities under the Circular 04/2014 / TT-BKHDT dated January 25, 2014 and some problems of businesses when participating in specific bidding packages in Nghe An and Bac Giang. ...

Some contents proposed by other businesses including:Additional registration of industries with CPC code of foreign-invested businesses; guided the project implementation location of 100% foreign-invested investors that have established enterprises in Vietnam; guided procedures for supplementing conditional business lines for foreign-invested enterprises; guided procedures to adjust investment projects of Honda Vietnam Company; setting up investment projects on procurement of radio and television equipment systems; problems in the implementation of the Investment Law and related Decrees; guided foreign investors in setting up companies with 100% foreign investment capital to set up medical equipment establishments of types B, C and D; transfered the Company's capital to foreign investors; guided the application of Article 162 of the 2014 Enterprise Law; problems when transferring capital contribution of the company to Vietnamese investors; allocated annual public investment capital for projects approved for investment policies but there was no investment decisions yet; applied the Decree 57/2018 / ND-CP on supporting investment in agricultural projects; problems when implementing investment projects in Tien Giang, Hai Phong and Gia Lai Provinces...

- Recommendations sent to the Ministry of Construction all suggested guiding the implementation of the law on the following contents: implementation of the settlement for projects subject to inspection; the adjustment of project cost estimates; procedures for export of ordinary building materials; transfer projects; mechanism for officetel apartment type (office with residence function); problems in the acceptance of the results of maintenance of railway repair works; handling of tender invitation volumes lacking in bidding for package contracts; handling of tender invitation volume lacking in bidding for package contracts and a number of other contents, including the handling of the volume of bid-procuring entities, construction work settlement, assessments of construction activity capacity ...

+The Vietnam Roofing Association had a document to send leaders of the Party and State and many ministries to propose aproject on "roadmap to stop using chrysotile sheets from 2023". The opinion of the Association was to oppose the implementation of this scheme. This was the problem that the Association and businesses proposed for many years. The Ministry of Construction and other ministries and functional agencies issued explanatory documents several times but they did not convince the association and enterprises.

- The Ministry of Labor, War Invalids and Social Affairs received recommendations from businesses that proposed to guide the implementation of the law on the following contents: unilaterally terminating labor contracts with employees who did not have enough health work; implemented regulations related to salary and personal income tax policies for employees; explained the rules of overtime and shift; guided the licensing of labor sublease activities; regimes for female workers and determination of wages used to pay for maternity and sickness regimes; labor accident compensation policy; paid salary to managers and employees at the enterprise; subsidied when dissolving the company; responsibility of the employer when the employee has an accident; severance allowances for probation contracts and labor contracts after May 1, 2013; payment of medical expenses and wages in traffic accidents ...

- In the field of natural resources and environment, the Ministry of Natural Resources and Environment received recommendations including: Granting ownership certificates for office area; procedures for transfer of land use rights to businesses; problems related to the right of land leasing investors to pay a lump sum, exemption of land rent for a number of years; procedures for registering ownership of assets attached to land; problems when paying royalties according to actual exploitation output; problems when implementing cemetery project investment; how to determine the area of ​​resettlement apartments to record in land use right certificates; preferential loans in environmental treatment; procedures for granting land use right certificates to auction companies; procedures for registering mortgage of land use rights; guided the completion of the application file for changing the head office of the company; guided the conversion of land use purposes after dissolution of enterprises; policies for leasing land for small businesses; solved problems of auction results of commercial residential project in Can Duoc Town, Can Duoc District, Long An Province; received transfer of agricultural land to implement housing projects, residential areas ...

- The Ministry of Industry and Trade received recommendations of the businesses requesting guidance on the following contents: acceptable errors in import and export declaration documents; implementing the Decree No. 69/2018 / ND-CP dated May 15, 2018 of the Government; implementing the Circular No. 21/2017 / TT-BCT of the Ministry of Industry and Trade; ...

Especially, the recommendation of ECO Company on the electrical engineering steel block (used for the production of magnetic steel core of electric motor) was imported by ECO Company according to the Customs Declaration No. 101080058700 / A11 dated October 14, 2016 imposed anti-dumping tax. From February 2017 until now, the imported Steel Lot has not been able to complete customs procedures. Over the past two (02) years. The ECO Company has had to explain and propose competent State agencies: the General Department of Standards and Quality; the Department of Trade Protection, the Industry Department, the Department of Science and Technology - Ministry of Industry and Trade; the Department of Import-Export Tax, Customs Inspection Department, the Hai Phong Customs Department; Specialized associations: the Vietnam Steel Association, ... about the nature (characteristics of goods) and the intended use of the imported steel batch mentioned above. On that basis, the Department of Trade Protection (PVTM) issued an Official Letter No. 275 / PVTM-P1 dated December 14, 2017, the Official Letter No. 556 / PVTM-P1 dated June 28, 2018, the Official Letter 804 / PVTM-P1 on September 13, 2018 and the Official Dispatch No. 136 / PVTM-P1 dated February 25, 2019 regarding problems of determining goods subject to anti-dumping tax according to the Decision No. 1105 / QD-BCT and Notice attached. However, the case has not been resolved by competent authorities. Therefore, the company would like to request the authorities to resolve the casesoon.

- The Ministry of Justice received a number of recommendations which highlighted the recommendations of the Minh Tuan Co., Ltd. in Quang Ngai Province, reflecting the enforcement of the Judgment Execution of Son Tinh District, Quang Ngai Provincethat forced property distraint is not collateral, also not in court judgment and sale of Company assets while the Company is complaining about the price proposed by the Company but it was not resolved yet.

- The health sector received a number of recommendations with the following contents: answered on the right to sell medicines of drug manufacturers to medical examination and treatment establishments; instructing medical examination and treatment facilities and medical services to implement the Decree No. 109/2016 / ND-CP dated July 1, 2016 of the Government, the Decree No. 155/2018 / ND-CP dated November 12, 2018 of the Government; procedures for obtaining certificates of establishments meeting all conditions for food hygiene and safety; proposed Dong Nai Social Security to create conditions for medical examination and treatment with health insurance; conformity announcement and self-declaration of food safety for food containers; the right to sell medicines of drug manufacturers to medical examination and treatment establishments ...

The outstanding recommendation in the field of health is the proposal of the American Business Association in Vietnam (AmCharm Vietnam) with a recommendation on April 19, 2019, the Department of Food Safety –the Ministry of Health issued a document Version No. 1234 / TB-ATTP instructing to supplement GMP Certificate in production and business and registering the announcement of health protection food products, and by the date of May 2019, publicizing the draft Circular of Guidance GMP in the production and trading of health protection food with a comment period of July 17, 2019. Both of these documents had many shortcomings in terms of practicality as well as legal issues, which can have a great influence on the operation of businesses that protect health food in Vietnam. After receiving the recommendations, the Ministry of Health organized a seminar to ask for comments on the Draft Circular with the attendance of AmCharm representatives. This cooperationof the Ministry of Health was highly appreciated by AmCharm.

- Recommendations sent to the major localities suggesting to solving specificdifficulties faced by businesses in production and business activities such as: Proposed to remove difficulties in land fund at 152/239 Lac Long Quan, Ward 3, District 11, Ho Chi Minh City.Participated in the program to delete the old common in Ho Chi Minh City; proposed Ha Tinh Provincial People's Committee to consider and decide to suspend the implementation of Inspection conclusions No 126 / KL-UBND for Ha Tinh Construction Joint Stock Company on the process of licensing and quarrying activities at mines kicking Nam Gioi Mountain, Thach Ban Commune, Thach Ha District, Ha Tinh Province and the Document No. 2237 / UBND-NL2 of Ha Tinh People's Committee to re-examine all legal bases; The People's Committee of Thai Nguyen City considered and allowed to continue using the leased land in accordance with the Decision No. 2320 / QD-UBND dated September 8, 2016 and the Decision No. 3797 / QD-UBND dated December 5, 2017 of the Thai Nguyen Provincial People's Committee "; proposed Hanoi People's Committee to continue business activities in Dam Bay, Nhat Tan Ward, Tay Ho District, Hanoi City; proposedthe Son La Provincial People's Committee to lease land for redundant non-business facilities which no longer need to be used, proposed to deduct land rent into the payable land use levy of the Nam Thang Long urban area project ...

2. The implementation of answering proposals of ministries, branches and localities:

In quarter 22019, the VCCI received 118 documents responding to business proposals of 22 ministries, branches and localities, up to 29.7% compared to quarter 1, 2019 (quarter 1, 2019 received 91 documents). These documents were fully posted by the VCCI on the VCCI’s Website.

Through monitoring of the VCCI, from January 1, 2019 to the end of June 30, 2019, there were 145 recommendations of businesses and business associations that were not answered by ministries, branches and localities. Many recommendations had been transferred from the Government’s Office and the VCCI since the beginning of 2019 but they were not resolved. Ministries and agencies had many unanswered recommendations including: The Ministry of Finance 36 recommendations; the Ministry of Natural Resources and Environment 19 recommendations; the Ministry of Health 14 recommendations; the Ministry of Labor, Invalids and Social Affairs 8 recommendations; the Ministry of Planning and Investment 11 recommendations; the Ministry of Science and Technology 6 recommendations; the Ministry of Construction: 6 recommendations; the Ministry of Industry and Trade 4 recommendations .... For localities, there were 7 provinces and cities directly under the central government that not responded to recommendations of businesses, Ho Chi Minh and HanoiCities, Tay Ninh, Quang Ngai, Bac Giang, Binh Phuoc, Son La, Kien Giang Provinces, in which Hanoi and Ho Chi Minh Cities still have many unanswered recommendations.

Details of unanswered recommendations and responsibilities of ministries, sectors and localities were presented in Appendix 2 and Appendix 4 attached to the report.

Proposing the Government’s Office continued urging ministries, branches and localities to give a complete answer to the recommendations of businesses.

In general, the resolution ofrecommendations of businesses and business associations of ministries, branches and localities were more timely and complete than in previous years. Through monitoring the results of resolvingrecommendations of ministries, branches and localities, the VCCI recognized that Ministry of Finance, State Bank of Vietnam, Ministry of Construction, Ministry of Transport, Ministry of Planning and Investment, Ministry of Industry and Trade, ... were the ministries, agencies and localities responding quite timely and fully to businesses' recommendations gathered by the Government’s Office and theVCCI. Some ministries and agencies responded quite slowly to recommendations such as: the Ministry of Health; the Ministry of Labor, War Invalids and Social Affairs; the Ministry of Natural Resources and Environment; the People's Committee of Ho Chi Minh and HanoCities, although the number of recommendation received was not too much.

3.      Evaluation of the business community

The business community highly appreciated that despite facing many difficulties and challenges such as slow growth of some key export products, disbursement of low public investment capital, climate change, Natural disasters and epidemics on livestock were complicated but Vietnam's economy continued achieving relatively positive growth results. Gross domestic product (GDP) continued  growing well (up 6.76%), but it was still lower than the growth of the same period in 2018 (up 7.08%).

The implementation of registering new business establishment in the first 6 months of 2019 when continuing showing the downward trend with no signs of stopping. However, in return it was: businesses returning to operation increased sharply (up 31.42%), higher than the increase of the same period in 2018 (up 6.96%); while the number of dissolved businesses continued increasing (up 18.06%), but the increase was lower than the growth of the same period in 2018 (up 21.79%); and the number of businesses suspended from operations decreased (down 18.65%), in 2018.These businesses increased by 39.3%. However, this showed that the business community still faced many difficulties in production and business activities.

The VCCI also conducted investigation and surveys of 500 businesses and business associations on quality in response to recommendations of ministries and localities over the past time. The survey results showed that, for answering the recommendations of ministries and agencies: 48.57% of businesses responded with satisfaction, 14.29% of businesses answered that they were very satisfied, 31.43% of businessesanswered that they were unsatisfied and 5.71% of businesses did not evaluate. For the resolution of recommendations of People's Committees of provinces and cities under central authority, there were: 37.14% of businesses responded that they were satisfied, 8.57% of businesses answered they were very satisfied, 31.43% of businessesanswered that they were not satisfied and 22.86% of businesses did not evaluate. These resultswerealso consistent with the results of monitoring the response of recommendations by the VCCI to ministries, branches and localities: Ministries and branches responded to recommendations on time and be adequate, the number of recommendations were low, meanwhile, provincial People's Committees often responded slowly because the Committee had to wait for the departments to settle and the cases of businesses proposed under the jurisdiction of the provincial People's Committees were often complicated and lodged. The reason for not being satisfied was because: Up to 34.29% of businesses answered too general, explained without solving; 11.29% of businesses said that it was necessary to amend the provisions of the law to solve it, but the amendment proceeded slowly; 11.43% of businesses responded that authorities only recorded recommendations without resolution; particularly, 5.71% of businesses reflected that authorities answered incorrectly the content of recommendations...

II.THEIMPLEMENTATION OF THE RESOLUTION 35 / NQ-CP OF VCCI

  1. In quarter 2, 2019, the VCCI implemented the following tasks:

Implemented activities to contribute to administrative reform, facilitated businesses; created a favorable environment to support start-up businesses and innovative enterprises; ensured business rights, equal rights to access business resources and business opportunities; reduced business costs for businesses and protected legitimate rights and interests of businesses:

- Completed the comments on 21 draft legal documents, notably there were a number of legal documents including: The Decree amending the Import and Export Tariff; The Decree replaced the Decree 86/2014 / ND-CP on business and transportation business conditions by cars; The Decree amended the Import and Export Tariff; The Decree replacedthe Decree 86/2014 / ND-CP on business and transportation business conditions by cars; The Decree amended and supplemented a number of articles of the Government's Decree No. 148/2016 / ND-CP of November 4, 2016, detailing the implementation of a number of articles of the Market Management Ordinance; The decree regulated specialize training in the health sector and many other legal documents under the law. Detailed content of comments were updated at: http://vibonline.com.vn/tim-kiem-y-kien-vcci.

- Leaded and coordinated to organize many important forums, conferences, seminars and dialogues to discuss, propose and review policies and laws with the Party and the state related to economic development - society, improved investment business environment, improved provincial competitiveness index, reformed administrative procedures and supported the development business community to actively contribute to the process of improving the quality of Institutional system and favorable environment for the business community to develop. Some outstanding activities such as:

+ In the framework of the Vietnam Private Economic Forum 2019, the Chairman of the VCCI co-chaired the symposium on "Actively effective exploiting the CPTPP Agreement to develop breakthroughs". Participated in dialogue at the plenary session of the Forum, the Chairman of the VCCI presented an important recommendations of 10 specific points with the aim of building a generation of ethnic industrialists, increased the productivity of private sector from that increases Vietnam's ability to connect to the global value chain with a strong message: Creation Government - People have started a business - institutional reforms and business upgrading need to be parallel to ensure fast and sustainable development.

+ Coordinated with the Central Institute for Economic Management (CIEM) to organize the Seminar on "Study the legal framework for business households under the Enterprise Law" in Hanoi with the lead of the VCCI President Vu Tien Loc and leadership of CIEM and the attendance of nearly 100 delegates representing businesses, associations, experts, television press. Speaking at the seminar, representatives of the VCCI affirmed that the draft did not show the fundamental changes in types of businesses, seals, legal representatives, shareholder regulations ... Administrative costs and capital expenseswere still high, pushed many businesses into losses and bankruptcy. Moreover, the draft revised law did not create simple and favorable conditions for individual business households to develop into businesses. The point of view of the VCCI was to adjust the law to keep abreast of the operation of business households and management needs of state agencies in order to create conditions for business households to develop more and at the same time to link with the target. Developed the number of businesses coupled with operational efficiency. Therefore, the draft amendments and supplements to a number of articles of the Enterprise Law need to have basic and breakthrough adjustments, creating maximum favorable conditions for more than 5 million individual business households and super small businesses, promoted potential and development.The draft law also did not create simple and favorable conditions for individual business households to develop into businesses.

+ The VCCI’s President attended a meeting between the Presidium of the Vietnam Fatherland Front Central Committee and the General Secretary and State President Nguyen Phu Trong by Mr. Tran Thanh Man, the  Secretary of the Party Central Committee, the Chairman of the Party Committee of The Vietnam Fatherland Front Central Committee was the head of the delegation. At the meeting, representing the Vietnamese business community, the VCCI’s President Vu Tien Loc reported to the General Secretary on the positive feeling of the business community before the positive changes of negatively anti-corruption workand the reform of administrative procedures has contributed to significantly improving the investment environment, hascreated more and more favorable conditions for production and business activities. As a companion, leading the national business community, the VCCI was committed to continue promoting its functions and duties in national construction, strived to achieve economic growth targetsas  mentioned.

- VCCI’s president participated in the working group of the Government’s Prime Minister to inspect 5 Ministries (the Ministry of Agriculture and Rural Development, the Ministries of Finance, Health, Natural Resources and Environment, Science and Technology) on the regulations that were causing difficulties and obstacles for production and business activities. As noted by the Task Force and summarizing business recommendations of the VCCI, the ministries have made efforts to reform and submit to the Government and the Government’s Prime Minister for promulgating many documents to solve difficulties and obstacles for businesses. However there are still some contents in some documents that make it difficult and embarrassing for businesses to implement the law. Therefore, in the next time, reforms needed to be more focused and real.

+ Coordinated to organize the Vietnam Business Forum (VBF) in mid-2019 with the theme "The role of the business community in fast development associated with sustainability". The forum was attended and chaired by the  Government’s Deputy Prime Minister Trinh Dinh Dung, representatives of ministries, branches and about 400 delegates from business associations, foreign business associations in Vietnam and businesses. The forum had 3 discussion sessions around the main contents: Criteria for sustainable infrastructure development; the sustainable energy construction; the  capital market with issues revolving around raising foreign ownership ceiling to increase investment attraction and banking related issues ...

+ Organized a workshop on the plan of the Employer Representative organization to prepare for the meeting of the National Wage Council on the adjustment of regional minimum wage in 2020. The workshop focused on analysis of costs related to production activities of the businesses, thereby offering a plan to propoe the adjustment of the regional minimum wage level of 2020 of the organization representing employers in accordance with the conditions and practices of the business operation. career. On that basis, the Conference recommended the adjustment of regional minimum wage should be considered based on the most difficult businesses to come up with an adjustment plan, paying special attention to the "affordability" factor. of businesses ”, especially for new businesses entering the market.+ As a member of the Drafting Board and the revised Labor Code Project, the VCCI organized many direct and indirect consultations with expert groups from universities and research institutes. law firms, and business communities in Hanoi, Hai Phong, Bac Ninh and Ho Chi Minh City .... including businesses from business associations such as Textile, Electronics, Fisheries, Footwear, wood production and processing, the SME Association, the Cooperative Alliance, Jthe apan Business Association, the Business Forum Vietnam (VBF), the Eurocham, ... VCCI’s Leaders actively expressed opinions of business community representatives in important forums such as the 7th session, the XIV National Assembly, Vietnam Business Forum (VBF) ) .. on the contents to be amended in the draft revised Labor Code in order to protect legitimate and legitimate rights and interests of businesses, helpedbusinessesto affirm their competitive position in the context of the association enter and revolutionize the industrial 4.0. The VCCI also had a comprehensive document to reflect these recommendations of businesses to the Committee of Social Affairs of the National Assembly, the Ministry of Justice, the Ministry of Labor, War Invalids and Social Affairs....

+ Organized a workshop on "The role of privatization in providing public services" in May 15, 2019 in Hanoi. As an important target set out in the Central Resolution 6 of the Central Committee of the 12th Party Committee, the socialization of public services was still very slow compared to the process of economic renovation and many limitations . Given this fact, the workshop was organized to appreciate the real role of the private sector in providing current public services, identified legal and practical barriers to propose solutions to remove. Removed and contributed to the reform of the state administrative apparatus to promote private investment in public service provision.

+ The VCCI’s leaders and professional divisions of VCCI participated in law-making and policy commenting activities in areas such as: Labor; social insurance; commented on the draft study report joining the Singapore Convention on reconciliation; commented on the negotiation plan for FTA Vietnam - Israel import tax; commented on the plan to negotiate Vietnam's import tax on India in the ASEAN + 6 Comprehensive Economic Partnership Agreement (RCEP) ... ...

- Continued implementing the project of Enhancing Provincial Competitiveness (PCI), promoted activities to share good practices in managing the provincial economy. Continued the consultancy, support and guidance to promote activities sharing good practices in provincial economic management, supported provinces and localities to implement activities to improve competitiveness and improve provincial business environment in localities such as: Attended conferences and seminars, analyzed and assessed PCI comments of localities in Quang Ninh, Tuyen Quang, Nam Dinh and Lam Dong; Prepared PCI diagnostic workshops 2018 for provinces of An Giang, Can Tho, Lam Dong, Quang Ngai, Vinh Long, Binh Phuoc, Soc Trang, Ca Mau, Hau Giang, Tra Vinh, Kien Giang, Hanoi, Phu Yen , Bac Ninh, Tay Ninh and the Mekong Delta Conference; the PCI’s conference at regional level for People's Council of Mekong Delta, Central Highlands and Southeast; workshop Regional-level PCI sharing in South Central regionthat held in Phu Yen, Red River Delta and North East Region held in Hung Yen; ...

- Continued implementting the Action Program for Business Integrity Implementation and activities to support sustainable business development, implemented the Circulatory Economic Program.

+ Worked online with Business Council for Singapore Sustainable Development; attendedthe National Council meeting on sustainable development; established reference terms to study and apply the Sustainable Business Index (CSI) in businesses; prepared to survey the status of businesses after 03 years of applying the CSI Index ...

+ Implemented the publication plan of the research report on "applying internal control mechanisms and Code of Conduct in Vietnamese businesses (CoC): Current situation and some recommendations"; developed training materials on internal control (IC) and codes of conduct in anti-corruption (CoC); worked with UNDP on funding proposals for the period April 2019 - 3/2020 within the framework of the regional project on "promoting a Fair Business Environment in ASEAN" implemented by UNDP; received the OECD delegation; developed a plan to implement training on business integrity: organized a training course on "effective and transparent corporate governance at joint stock companies" in Hanoi ...

- Continued implementing activities under the Program of Recirculating Economy: Collaborated with UNICEF in implementing activities under the Project on Promoting Child Rights in Business (CRBP), integrated implementation of Child rights in CSI 2019 Index Set; continued researching activities to build secondary materials market in the paper and plastic industry; coordinated with Ho Chi Minh City Urban Environment Company to prepare a survey to evaluate the pilot implementation of the "No emissions into nature" initiative (ZWTN) in Tan Phu District (Ho Chi Minh City). updated and adjusted the Ministry of Sustainable Enterprise Index (CSI) in 2019; worked with Global Reporting Initiative (GRI) on cooperation to organize training on CSI and GRI for businesses listed on Hanoi and Ho Chi Minh City Stock Exchange; organized a Seminar on "promoting the implementation of recirculating economic models in Vietnam" in Hanoi to share the State's policies on management and support for recycling and re-processing of waste and economic resources. international experience in the implementation of recirculating economic models and the launch of the Circulating Economic Working Group ...

  1.  Implementation of trade and investment promotion activities as well  as programs and projects to support the competitiveness of businesses and business associations:

- Leaders of the VCCI participated in trade and investment promotion activities and promoted international integration at the national level; coordinated to organize many domestic and foreign trade and investment promotion activities, train businesses including many outstanding activities such as:

+ On the occasion of the Government’s Prime Minister Nguyen Xuan Phuc's official visit to the Russian Federation, the Kingdom of Norway and the Kingdom of Sweden from May 20-29, 2019, the Chairman of VCCI led a delegation of businesses to accompany the Government’s Prime Minister. In the framework of the trip, the VCCI cooperated with partners to organize Vietnam - Russia, Vietnam - Norway and Vietnam - Sweden Business Forum and many effective trade and investment promotion activities attracted nearly 200 indigenous businesses to attend each forum to share the investment and business environment, the potential for developing cooperative relations and business experiences in each country as well as direct contact to search. opportunities for cooperation with Vietnamese businesses. At the Forums, many cooperation agreements and large-value contracts were signed between Vietnamese and Russian,Norwegian and Swedish businesses,. In addition, the VCCI also signed a Cooperation Agreement with partners including the Moscow Chamber of Commerce and Industry, the Norwegian Trade and Investment Agency and the Swedish Trade & Investment Promotion Agency (Sweden Businesses) in order to develop and implement activities to support businesses to connect their businesses and promote the approval process of EVFTA Agreement.

+ The delegation of 50 Vietnamese businesses headed by the VCCI’s  President accompanying the Government’s Prime Minister Nguyen Xuan Phuc to pay official visits to Romania and the Czech Republic from April 14-18, 2019. In the framework of the trip, the  VCCI cooperated with the Romanian Chamber of Commerce and Industry and the Czech Federation of Industry & Transport to organize the Vietnam-Romania and Vietnam-Czech Business Forum, attracted more than 200 businesses. local businesses to attend and shared about the investment and business environment, the potential for developing cooperative relations and business experience in each country. The Vietnam Government’s Prime Minister, the Government’s Deputy Prime Minister of Romania and the Government’s Prime Minister of the Czech Republic attended and delivered a speech at the Forums. At the forums, there were 10 cooperation agreements signed between Vietnamese businesses and Czech and Romanian businesses. Also in framework of the forums, the VCCI signed a cooperation agreement with the Czech Federation of Industry and Transport on promoting business cooperation, consulting, information exchange and especially related to content. promote EVFTA agreement in the business community; signed a cooperation agreement with the Romanian Chamber of Commerce and Industry on business cooperation promotion programs, technical assistance, information exchange and business training consulting ...

+ Coordinated to hold a high-level dialogue on Israeli trade relations - ASEAN for the third time on the occasion of the Government’s Prime Minister of Israel Giuseppe Conte to visit Vietnam officially. The Government’s Prime Minister Nguyen Xuan Phuc and the Government’s Prime Minister Giuseppe Conte attended and welcomed the speech. The event attracted the participation of representatives of many agencies and organizations and 300 businesses of Italy and ASEAN member countries. Vietnam alone had more than 150 businesses. The third high-level dialogue on Israeli economic relations - ASEAN focused on discussing a number of topics such as ASEAN region's macroeconomic prospects; technology for the future: building success for business and social sustainability; competition for development - creativity and design for innovation in business; tools for economic cooperation ... The speakers shared many useful experiences, introduced some initiatives and comments to promote the role and potential of cooperation between Iraq- li-a and ASEAN region.

+ Coordinated to organize and co-chair the Roundtable Conference of Vietnam - Netherlands CEO in Hanoi on the official and working visit of Dutch Prime Minister Mark Rutte. The seminar was attended and directed by the Government’s  Deputy Prime Minister Vuong Dinh Hue, Dutch Prime Minister and businesses of the two countries. Also in the framework of the visit, the VCCI cooperated with Dutch Master Gender Partnership Program (DECP) to hold a seminar on "Empowering women and business opportunities in Vietnam" with the participation of entrepreneurs typical women of the two countries, representatives of the Netherlands Embassy in Vietnam and Chairman of the Dutch Federation of Industry and Owners (VNO-NCW). At the seminar, many initiatives were proposed to support female entrepreneurs of the two countries to connect their businesses, expanded markets, increased women's power in production and business activities in the two countries.

+ Organized talks on "Promoting trade and investment between Vietnam and strategic partners: Enterprise perspective". Attended the seminar were Business Associations from Vietnam 's strategic partner countries, representatives of a number of localities with many results in attracting foreign investment and many domestic businesses. Currently, Vietnam has established a strategic partnership with 16 countries and established an important partnership with the United States. These were 17 key partners of Vietnam investing nearly 230 billion USD in Vietnam, accounting for 70% of the total investment value and 50% of the country's import-export turnover. At the seminar, some business associations, trade promotion organizations - investment of the United States, Japan, Korea, EU, India ... shared their experiences in supporting businesses to promote export and attract investment as well as difficulties of enterprises in penetrating the market and expanding business cooperation in Vietnam. Currently, the VCCI is being assigned by the Government’s Prime Minister to preside over the Project on "promoting trade and investment cooperation between Vietnam and important and strategic partners" (Project 25). In the framework of implementing the Scheme, the VCCI will establish a "National Network of Trade and Investment Promotion of Vietnam" (VITPN) to link investment promotion organizations to join this network to connect with each other, coordinatd with each other to improve investment trade efficiency.

+ Coordinated to organize the Vietnam - US Business Summit 2019. With the theme "Celebrating 25 years of Trade and Investment", the conference was attended by more than 250 delegates representing the Government, businesses of the two countries, including many investors with experience operating in Vietnam and also new investors, many large businesses such as Amazon, Google, Coca Cola ... This was the third time the VCCI has cooperated with other investors. partner organized the Vietnam - US Business Summit with an effort to create and promote many new investment and business opportunities and further develop the cooperation results between the two businesses in the last 25 years . At the conference, the Chairman of VCCI and representatives of AmCharm and USCC all expressed their commitment to continue to be proactive and creative, creating the most favorable conditions for businesses of the two countries to connect investment and business.

+ Coordinated to organize "Vietnam - Sweden Business Summit: Partners for sustainable development and innovation". The conference was held on the occasion of the visit of the successor Princess Victoria Ingrid Alice Desiree and her husband on the occasion of the 50th anniversary of the two countries establishing diplomatic relations. Attending the Forum were Deputy Prime Minister and the Foreign Minister Pham Binh Minh, Swedish Princess and nearly 150 businesses of the two countries, including leaders of the top 50 Swedish companies. At the conference, the participants of the conference focused on discussions on important topics of mutual concern such as innovation, sustainable development, smart city development, health and education. ...

+ VCCI actively coordinated with partners to organize many other investment and trade promotion activities such as: Conference on "Meeting Vietnamese enterprises - Russian Federation"; Seminar on "Promoting Vietnam-Nigeria trade and investment"; Met Vietnamese - Oman business; organized a Workshop on "Australian market opportunities from CPTPP"; Met with Vietnamese - Singaporean businesses; Trade exchanges between Vietnam and Korea; organized a Workshop on "Vietnam - Malaysia Business Opportunities in Automotive"; a Workshop on "Vietnamese - American Trade: New Juncture and Opportunities";organized a workshop on "Textile Industry in Integration Trend - Disseminating CPTPP rules of origin and ways of participating in REX mechanism"; a Workshop on "Business Alliance on CSR - Cooperation for timber and fishery industry"; Seminar on  "Trends in Automation and E-commerce - Future career in Logistics Industry"; organized a Workshop on "Applying Preferential Tariffs, Methods to Deal with Non-Tariff Barriers and Using Market Analysis Tools"; organized a Seminar on "Regulations of Labor Law and Participation of Businesses in Vocational education"; organized a Workshop on "Skills of Applying Law in the Implementation of Policies on Dialogue and Negotiation in the Process of Signing, Using and Terminating Labor Contracts and Expected Amendments"; organized a Workshop on  "BB - BEST FOR BEST - Multitasking Distribution Channel: The optimal solution for Vietnamese Manufacturing Businesses"; organized a Training Workshop on "Information - Important Tool for Building Business Strategy of Businesses in the Industrial Age 4.0 and Digital Skills Training"; organized a Workshop on "Starting a Business with WeCreate Vietnam" ...

- Organized  181 training courses, training for brand-related topics in business development strategy, policy advocacy skills, improving association management skills and management and skills for middle managers, online digital marketing skills, communication and negotiation skills in business, training experts on skills to deal with non-tariff barriers.

The Vietnam Chamber of Commerce and Industry is pleased to report to the Government.

C/C :

- As above;

- Standing Committee;

- Government’s Office (DMDN Dept );

-The Business Information Center. (for posting on the Website)

- Saved by Archives and Admin Dept. (for synthetics)   

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

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