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More rigid regulations should be made in reducing business conditions

​Ministry of Industry and Trade (MOIT) announced the removal of 675 business conditions – the biggest number in the industrial history. This undertaking is taking the first steps in fulfilling the expectation of the national enterprise community; especially the private enterprises and the small and medium enterprises. At the moment, the enterprises are eagerly waiting for this historical undertaking to be implemented soon. Mr. Nguyen Tri Phuong – Deputy Director of Provincial Department of Industry and Trade had a conversation about the implementation of the MOIT’s undertakings.


 

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 Mr. Nguyen Tri Phuong – Deputy Director of Provincial Department of Industry
 
A ground breaking decision to facilitate the national enterprise community.
 
*Reporter: Sir, what is your position in the undertakings of removing business conditions announced by the MOIT?
 
- Mr. Nguyen Tri Phuong: On September 20, 2017, Minister of MOIT – Mr. Tran Tuan Anh signed the Decision no. 3610a/QD-BCT implementing the reduction and simplification in the business conditions for Government controlled fields in term 2017 – 2018 from the MOIT. The number of 675 removed business conditions (60 conditions more than planned) accounts for 55.5 of the current business conditions for 27 fields managed by the MOIT. Thus, there are 541/752 conditions remain. This is considered the greatest business conditions reduction of the history of Industry and Trade. The reduction solving enterprises’ difficulties is the MOIT’s great and ground breaking plan to facilitate the Vietnamese enterprises communication with a better business environment. It is also a strong message sent to the enterprises community showing the determination of the whole department in making a completely equally competitive, transparent and effective environment.
 
*Reporter: When 675 conditions are removed, what groups and fields of industry will be affected? What should the enterprises, organizations and individuals pay attention to after this?
 23102017-5-2.jpg
 An Phu Thinh Jsc workers in working hour.
 
- Mr. Nguyen Tri Phuong: In 27 fields managed by MOIT, 17 fields will be affected by the reduction including petroleum, gas, explosion materials, chemical, alcohol, tobacco, food, electricity, re-imported and re-exported frozen food, commercial franchise, logistics, industrial material, commodity exchange, trade inspection, multi-level business, e-commerce, industrial explosion (termination works are also included)
 
Enterprises, organizations, individuals who receive administrative procedure (AP) reduction need to keep up to schedule with the MOIT’s guidance to prepare their registration procedure following the new regulations. If they have any difficulties during the process, they shall directly contact the Provincial Department of Industry and Trade (PDOIT) for the quickest and earliest solutions.
 
*Reporter: Since the beginning of the year, PDOIT has been reviewing and doing several things to prepare for this great undertaking. Can you share their process so far?
 
- Mr. Nguyen Tri Phuong: PDOIT usually review the AP and request the authorities to re-modify and remove unnecessary documents and AP that caused difficulties for operations and individuals (such as tobacco and alcohol selling licensing procedure, chemical selling condition…). Following the Scheme no. 30, MOIT reviewed and reduce over 30% of the AP time and document (for example, Petroleum licensing time reduces from 30 to 6 working days; promotion registration confirmation licensing time reduces from 7 to 4 days; representative for a foreign business registration licensing time reduces from 15 to 8 days; Food safety licensing time reduces from 25 to 15 working days.)
PDOIT advised Provincial People’s Committee to implement Decision no 1759/QD-UBND about the declaration that Administrative Procedures are under the authorization of Department of Construction following the ISO 9000:2008 procedure and implementing online document receiving service level 3, which is 100% accomplished.
In order for the enterprises and people to understand the content and the AP by the Industry and Trade department, PDOIT cooperated with some newspaper inside and outside the province: Dong Nai Newspaper, Dong Nai RTV, Dong Nai Lao Dong Newspaper, Cong Thuong (Industry and Trade) Newspaper and PDOIT website… to focus on propagating the updated AP that affected the provincial enterprises, units and individuals.
Besides, weekly, a meeting is made between the Department Leaders and the enterprises and people to solve their difficulties.
 
Tougher regulations and more effective supervision are needed
 
*Reporter: What do you think is the key factor for the business condition reduction to be effective?
 
- Mr. Nguyen Tri Phuong: In order for it to be effective, in fact, there are 2 things that need to be done: Firstly, the AP reduction shall be made from top to bottom. Secondly, tougher regulations shall be made to see the result as expected. Enterprises’ business constrain shall be reviewed and removed if necessary and at the same time maintaining the State management effectiveness.
Beside, the departments shall join hand in action since the business conditions reduction strongly affects the executor and it is not easy to abort the mission. Therefore, the mission shall be made from top to bottom with tough regulations.
 
*Reporter: Many experts stated that beside of the swift implementation of the business conditions reduction in reality, strict and more effective supervision is also needed to avoid causing difficulties on the enterprises during the reduction. What do you think about that idea?
 
- Mr. Nguyen Tri Phuong: In order to handle this issue, operations and individuals shall also be a part of the administrative reform. Since 2013, annually, PDOIT has surveyed 500-700 enterprises, units and individuals on variety kinds of AP managed by the Industrial and Trade so that they can quickly identify enterprises and people’s difficulties.
Base on the surveys. PDOIT timely updates, removed the limitations in administrative reform, making a great change of mind, strictly removing any negative sign to improve business environment.
 
Reporter: Thank you, sir!
 
Variety of enterprises supports, raising PCI
Identifying administrative reform (AR) as one of the most important missions, from the beginning of 2017, PDOIT had a private plan for the AR. Accordingly, solutions and targets were made. Foreign affaire was more concerned, enterprises’ difficulties were timely solved (especially small and medium enterprises). Additionally, PDOIT also had plans to improve business environment, raise PCI (Provincial Competitiveness Index) for Industry and Trade in 2017 with the following targets listed:
+ Raising the rate of small and extra small enterprises who comprehend the provincial industry and trade support policies to higher than 56% in 2016
+ Raising the rate of enterprises who use enterprises support services to search for market information to higher that 19% in 2016.
+ Raising the rate of private enterprises who can approach the AP forms to higher that 23% in 2016
+ Raising the rate of private enterprises who can approach the investment endow policies to higher that 47% in 2016
+Focusing on correcting the enterprises inspection. Following the Instruction no. 20-CT/TTg signed May 17th, 2017 by the Prime Minister about correcting enterprises inspection to solve difficulties and help the enterprises develop. Expecting to have the enterprises inspection no more than once a year.
 
Hung Phat
 
 
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