Manufacture, sale tobacco products, tobacco ingredients, equipment for tobacco industry

Manufacture, sale tobacco products, tobacco ingredients, equipment for tobacco industry

TT INDUSTRY, SUB-SECTOR CONDITIONS RESTRICTING MARKET ACCESS LEGAL GROUNDS
 

 

 

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Manufacture, sale tobacco products, tobacco ingredients, equipment for tobacco industry

1. Provisions in the Schedule of Commitments on Distribution:No distribution of cigarettes and cigars

2. Regulations in the Schedules of commitments on production:

2.1. ACIA: does not issue an Investment Registration Certificate to foreign investors from an ASEAN member country to:

– Manufacture of tobacco, including cigarettes and cigars; tobacco production.

– Provide services related to production include:

+ Processing tobacco products such as cigarettes, cigars, pipe tobacco, chewing tobacco, tobacco cut by farmers under contracts or paying fees; processing reconstituted tobacco on a contract or take charge; hookah processing on a contract basis or take charge.

+ Services related to the processing of processed tobacco for the manufacture of cigarettes on a contract or take charge.

2.2. CPTPP:

Appendix NCM I-VN-29: For the manufacture of tobacco products, including cigars and cigarettes:

+ No foreign investment in the country is allowed manufacturing of tobacco products, including including cigars and cigarettes, except through a joint venture or purchase of shares of Vietnamese enterprises with foreign capital not exceeding 49%.

2.3. EVFTA Annex 8-B: Uncommitted for Manufacture of Tobacco Products:

3. Law of Vietnam:

Foreign-invested projects producing tobacco must satisfy the following conditions:

a) Joint venturesand cooperation with businesses have have a license to manufacture tobacco;

b) Thegovernment keeps the controlling rate in the charter capital of enterprises;

c) Satisfy the conditions for tobacco production as prescribed by the Government

Conditions for investment and cooperation with foreign countries for tobacco production (Clause 1, Article 25 of Decree No. 67/2013/ND-CP, amended and supplemented by Clause 6, Article 3, Clause 12, Article 4 of Decree No. 08/ 2018/ND-CP)

– Investment on the basis of joint venture cooperation with enterprises that already have a license to manufacture tobacco products. The Government holds a controlling proportion in the charter capital of the enterprise (in the case of investment in the form of a joint venture).

– Satisfy the conditions specified in Article 17 of Decree No. 67/2013/ND-CP.

Permitted by the Prime Minister on the basis of the proposal of the Ministry of Industry and Trade.

 

– WTO, AFAS, VJEPA, VKFTA, EVFTA, CPTPP, ACIA

– Law on tobacco harm prevention

– Decree No. 09/2018/ND-CP dated January 15, 2018 of the Government detailing the Commercial Law and the Law on Foreign Trade Management on goods purchase and sale activities and activities directly related to purchase and sale goods of foreign investors and foreign-invested economic organizations in Vietnam

– Decree No. 35/2006/ND-CP dated March 31, 2006 of the Government detailing the Commercial Law on commercial franchising activities.

– Decree No. 67/2013/ND-CP dated June 27, 2013 of the Government detailing a number of articles and measures to implement the Law on prevention and control of harmful effects of tobacco on tobacco business

– Decree No. 08/2018/NC-CP

dated January 15, 2018 of the Government amending a number of Decrees related to business investment conditions under the state management of the Ministry of Industry and Trade.