Decision No. 1191/2002/QD-BTM dated October 04, 2002 of the Ministry of Trade promulgating the regulation on bidding for quotas of textiles and garments for export into quota-regulated markets

DECISION

PROMULGATING THE REGULATION ON BIDDING FOR QUOTAS OF TEXTILES AND GARMENTS FOR EXPORT INTO QUOTA-REGULATED MARKETS

THE MINISTER OF TRADE

Pursuant to the Government’s Decree No. 95/CP of December 4, 1993 stipulating the functions, tasks, powers and organizational apparatus of the Ministry of Trade;

Pursuant to the Government’s Official Dispatch No. 1126/CP-KTTH of September 21, 1998 on the allocation of quotas of textiles and garments for export into quota-regulated markets;

Pursuant to Decision No. 1188/2002/QD-BTM of October 4, 2002 of the Minister of Trade on the establishment of the Council for Export Quotas of Textiles and Garments Bidding;

At the proposal of the Chairman of the Council for Export Quotas of Textiles and Garments Bidding,

DECIDES:

Article 1.-To issue together with this Decision the Regulation on Bidding for quotas of textiles and garments for export into quota-regulated markets.

Article 2.-This Decision replaces Decision No. 0035/2001/QD-BTM of January 11, 2001 and takes effect 15 days after its signing.

Article 3.-The Chairman of the Bidding Council, members of the Bidding Council, the director of the Office, the director of the Department for Organization and Personnel, the director of the Import-Export Department of the Ministry and enterprises participating in the bidding shall have to implement this Decision.

REGULATION

ON BIDDING FOR QUOTAS OF TEXTILES AND GARMENTS FOR EXPORT INTO QUOTA-REGULATED MARKETS
(Issued together with Decision No. 1191/2002/QD-BTM of October 4, 2002 of the Minister of Trade)

Part I

GENERAL PROVISIONS

Article 1.-Subjects participating in the bidding

1.1 Enterprises which have business registration certificates, have registered importing-exporting enterprises codes or have investment licenses under the Law on Foreign Investment in Vietnam and have compatible business lines, may participate in the bidding.

Article 2.-Bidding principles

2.1. The bidding and the opening of bids shall be organized publicly.

2.2. The Bidding Council shall specify the categories (Cat.), the quantity of each category, and the bidding price of each category in each bidding drive.

2.3. Enterprises being subjects prescribed in Article 1 may register for participation in the bidding for categories opened to bidding, and for each category, they may register the maximum quantity prescribed in the bidding dossiers.

Article 3.-Bidding Council

The Bidding Council shall be composed of a leading official of the Trade Ministry as its chairman and representatives of the Ministry of Trade, the Ministry of Industry, the Ministry of Planning and Investment and the Ministry of Finance as its members.

After getting comments of the concerned ministries, the Minister of Trade shall decide on the establishment of the Bidding Council.

The Bidding Council shall have the responsibility to prepare and organize the bidding, announce the bidding results and inspect the fulfillment of quotas by enterprises participating in the bidding.

Part II

ORDER OF BIDDING ORGANIZATION

Article 4.-Preparation for the bidding

4.1. The Bidding Council shall provide for the categories (Cat.) and the volumes of quotas opened to bidding, the way of organizing the bidding and announce bid invitation (published on Thuong Mai (Trade), Dau Tu (Investment), Cong Nghiep (Industry) and Tai Chinh (Finance) newspapers and the website of the Ministry of Trade  www.mot.gov.vn).

4.2. A bid shall include:

1. The written registration of participation in the bidding

2. The copies of the business registration certificate and importing/exporting enterprise’s code registration or the investment license under the Law on Foreign Investment in Vietnam

3. The written commitment to pay money for the implementation of the won quotas.

Each enterprise shall send only one bid, which is sealed and inscribed with "Dossier of participation in bidding for textile and garment quotas."

Article 5.-Procedures for carrying out the bidding

5.1. Bidding registration

The bidding-participating enterprises, which fully satisfy the conditions prescribed in Article 1, shall send their bids to the Ministry of Trade. The deadline for receiving bids shall be the end of the working day preceding the bid-opening day.

5.2. Time and venue for bid opening shall be prescribed in bid invitations.

5.3. Announcement of bidding results: Within 07 working days as from the bid-opening day, the Bidding Council shall announce the bidding results on branches newspapers and notify them in writing to bid-winning enterprises.

Article 6.-Bid consideration criteria

The bid-winning enterprises shall be the ones which offer high prices in the order of bid calling for each category, which are not lower than the bidding prices.

- In cases where many bidders have offered the same lowest bid-winning prices, the volume with the lowest bid-winning prices shall be divided among such bidders according to the proportion of their registered volumes.

- In cases where the bid-winning enterprises reject the bidding results, they shall have to notify their rejection in writing to the Bidding Council within 10 working days as from the date of announcing the bidding results. The Bidding Council shall assign the quota to unit with the immediate lower bid price if such enterprise agrees to take it. In cases where many enterprises offer the same immediate lower price, the above-mentioned quotas shall be divided among such enterprises according to the proportion of their registered volumes.

Article 7.-Responsibilities and interests of bid-winning enterprises

7.1. Within 14 working days as from the date of receiving the notice on bid-winning, the bid-winning enterprises shall have to pay 30% of the total amount to be paid for the won quotas into the Trade Ministry’s Account No. 945-01-475 at the State Treasury of Hanoi city; then pay 30% of such total amount three months later and the remaining 40% in July of the quota-implementing year.

Within the above-prescribed time limits, if the enterprises fail to pay money, the volumes of the corresponding won quotas shall automatically cease to be valid. The Bidding Council shall handle such goods lots according to Article 6 of this Regulation.

7.2. After paying 30% of the total amount to be paid for the won quotas as prescribed in Clause 7.1, the bid-winning enterprises shall send the payment vouchers to the Ministry of Trade (the Import-Export Department), so as to get notices on the assignment of won quotas. In cases where the bid-winning enterprises fail to implement or accomplish all their won quotas, they shall not be entitled to the refund of their deposit amounts.

7.3. The won quotas shall be transferable only three months after the date of signing the bid-winning notice. Enterprises that transfer their won quotas shall have to send written applications to the Ministry of Trade for certification.

Article 8.-Implementation provisions

This Regulation takes effect 15 days after the signing of the Decision on its promulgation and shall be sent to the ministries and State management bodies. In the course of implementation, if meeting with any problems, the concerned ministries, branches, localities and units shall have to promptly report them to the Bidding Council for consideration and appropriate adjustment.-