A rice exporter must have at least one specialist warehouse with a capacity of 5,000 tonnes. Gas businesses must have at least 100,000 gas cylinders. These business conditions have existed for many years and become a barrier to entry into a market. They will all be removed after July 1.
"This policy is appropriate but the government needs to define which conditions will be entirely removed and which ones will be subject to amendment in a decree", said Bui Quang Hung - Lawyer of BHQ & Associates Law Firm.
"There must be public and transparent regime for businesses to know and participate in the conditions", said Dao Van Long - Vice Chairman of Vietnam Association of Mechanical Industry.
A survey by the Vietnam Chamber of Commerce and Industry has found that businesses operate under the regulation of 7,000 sub-licences or 7,000 business conditions. Many of them have become barriers to businesses.
According to the new draft, hundreds of business conditions will be removed to be upgraded into decrees. However, according to experts, it won’t be easy to remove these conditions.
"It won’t be easy at all as the business conditions are often attached to the benefits of people who issue these conditions", said Dau Anh Tuan - Director General of Legal Department, Vietnam Chamber of Commerce and Industry.
"It seems like the simplifications of business procedures hasn’t grab policy makers' attention", said Nguyen Dinh Cung - President of Central Institute for Economic Management.
The Vietnamese government is determined to remove sub-licences or any unreasonable business conditions causing difficulties for businesses.
