VCCI Proposes Abolition of Gold Import-Export Licence Regulation

Strategic Insights -

The Vietnam Chamber of Commerce and Industry (VCCI) has submitted comments to the State Bank of Vietnam (SBV) on a draft decree that aims to amend and supplement articles of Decree 24/2012 on the management of gold trading activities. VCCI has proposed to abolish the regulation on gold import-export licences, citing unnecessary procedures and costs for gold production enterprises. The proposal comes as a response to strict regulations, including a minimum charter capital of VNA1 trillion, which may limit competition and affect the rights and choices of consumers.

Key Takeaways:

  • VCCI has proposed the abolition of the gold import-export licence regulation, considering it unnecessary for gold production enterprises.
  • The current regulation requires a separate import-export licence for gold production enterprises, which adds to the costs and procedures.
  • VCCI cited feedback from enterprises that the minimum charter capital requirement of VNA1 trillion for gold production is too strict and may eliminate many enterprises from participating in the market.
  • The draft decree maintains the business conditions for gold jewellery and handicrafts, which VCCI believes is not suitable for the domestic market's development orientation.
  • VCCI has proposed the removal of the regulation on business conditions for gold jewellery.

Statistics:

  • The proposed abolition of the gold import-export licence regulation aims to reduce unnecessary procedures and costs for gold production enterprises.
  • The minimum charter capital requirement of VNA1 trillion for gold production may eliminate the majority of enterprises from participating in the market.
  • The draft decree maintains the business conditions for gold jewellery and handicrafts.

Sources:

  • Official dispatch from the Vietnam Chamber of Commerce and Industry (VCCI) to the State Bank of Vietnam (SBV).
  • Draft decree amending and supplementing a number of articles of Decree 24/2012 on the management of gold trading activities.