Regulatory framework on food safety testing

i.          General regulatory framework on food safety

The Law on the Quality of Products and Goods No. 05/2007/QH12 dated 21 November 2007 (“QPG Law”) and Law on Food Safety 55/2010/QH12 dated 17 June 2010 (“FS Law”), together with their guiding regulations, are the legal documents primarily regulating food safety matters in Vietnam.

The QPG Law (effective as of 1 July 2008) regulates the responsibilities of manufacturers/ traders for the quality of their products and provides for the Ministry of Science and Technology’s overall responsibility for State management of the quality of goods, including foods. The FS Law (effective as of 1 July 2011), specifies the responsibilities to the Ministry of Health (MOH), Ministry of Agriculture and Rural Development (MARD) and Ministry of Industry and Trade (MOIT) for the safety of food; and describes the rights and obligations of organizations and individuals in respect of food safety, conditions to ensure food safety and doing business in food, advertising, labeling food etc.

Disaster of Domestic Arbitration Verdict Annulment in Vietnam – How to avoid?

Enforcement Of Domestic Arbitral Awards In Vietnam

Recently, the media of Vietnam paid much attention to Vinalines case, the largest shipping corporation in Vietnam who lost an arbitration case brought to the Vietnam International Arbitration Center (VIAC). However, Vinalines then asked the court in Hanoi, Vietnam for annulment of VIAC’s verdict. Under the VIAC verdict, Vinalines has to pay VND 62.5bn to the South Korean SK E&C to compensate for its’ breach of a harbor construction contract with SK E&C at Van Phong transit port, Khanh Hoa province. Vinalines did accept this verdict but later on submitted a request to the Hanoi People’s Court for this verdict’s annulment. Meanwhile Vinalines also asked for the intervention and support of the relevant ministries.

Investing in big motorcycle industry in Vietnam

Key notes: Generally speaking, there are more and more foreign motorbike manufacturers flock to Vietnam in the context that the driving license policy in this country has been loosened and the Vietnamese nationals now have more opportunities to possess large capacity motorbikes.

I.              Trading right

After the WTO accession in 2007, Vietnam opened the market for importing the big motorcycle (175cc+), officially entitled to import as from June 2007.

As of 1 January 2009, foreign invested companies engaging in distribution services will be permitted to engage in the commission agents', wholesale and retail business of tractors; motor vehicles; cars and motorcycles.

Thus, there is no limitation to the foreign investor on the market access. However, the establishment of outlets for retail services (beyond the first one) shall be allowed on the basis of an Economic Needs Test (ENT).

Exemption Of Work Permit By Internal Corporate Transfer

Under the applicable labor laws of Vietnam, in order to work in this country, the foreign nationals must, besides satisfying with other conditions, obtain a work permit issued by the competent authority in Vietnam. Having a work permit is likely to be the biggest hindrance to the foreign nationals. However, the foreign nationals must avoid the need for work permit through the exemption case: internal transfer within an enterprise.

According to Decree No. 102/2013/ND-CP of the Government dated 5 September 2013 implementing the Labour Code on foreigners working in Vietnam, foreigner internally transferring within an enterprise means a manager, executive director, expert or technician of a foreign enterprise which has established a commercial presence within the territory of Vietnam who temporarily transfers internally within the enterprise to the commercial presence within the territory of Vietnam and who was recruited [or employed] by the foreign enterprise at least twelve (12) months prior to such transfer. The foreign nationals who are subject to this definition will be exempted from work permit.