Decision No. 1513/QD-TTg dated September 03, 2015 of the Prime Minister approving the Scheme to promote Vietnamese enterprises’ direct participation in foreign distribution systems through 2020

DECISION

Approving the Scheme to promote Vietnamese enterprises’ direct participation in foreign distribution systems through 2020[1]

THE PRIME MINISTER

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the Prime Minister’s Decision No. 2471/QD-TTg of December 28, 2011, approving the Strategy on goods import and export in the 2011-2020 period, with orientations toward 2030;

Pursuant to the Prime Minister’s Decision No.950/QD-TTg of July 25, 2012, promulgating the Program of Action for implementation of the Strategy on goods import and export for the 2011-2020 period, with orientations toward 2030;

At the proposal of the Minister of Industry and Trade,

DECIDES:

Article 1.To approvethe Scheme to promote Vietnamese enterprises’ direct participation in foreign distribution systems through 2020 (below referred to as the Scheme), with the following principal contents:

I. VIEWPOINTS AND OBJECTIVES

1. Viewpoints

a/ To conform with the viewpoints, orientations, objectives and solutions for goods export development defined in the Strategy on goods import and export for the 2011-2020 period, with orientations toward 2030;

b/ To contribute to the establishment and promotion of cooperation between Vietnamese producers and exporters and foreign distribution systems, forming stable distribution channels and close connection between production and consumption of Vietnam’s exports;

c/ Through exporting directly to foreign distribution systems, Vietnamese enterprises will timely access and grasp foreign consumers’ demands and tastes as well as requirements and regulations on goods quality and quality management and control processes according to international standards in order to prepare appropriate and effective investment, production and export orientations and plans;

d/ To encourage Vietnamese enterprises to export directly to foreign distribution systems on the basis of drawing on strengths and tapping to the utmost competitive advantages of Vietnam’s exports;

dd/ To contribute to attracting domestic and foreign investment in production and processing of stable-and high-quality exports, creating high added value for exports, especially processed goods with brand names and high added value.

2. Objectives

a/ General objectives

To focus on synchronously performing tasks and solutions to promote Vietnamese enterprises’ direct participation in foreign distribution networks in order to intensify direct export of Vietnam’s goods to foreign distribution systems of multinational distribution groups; to increase the value and diversify kinds of exports of Vietnam in foreign distribution systems; to increase year by year the rate of the value of exports to foreign distribution systems to the country’s total export value.

b/ Specific objectives

- To increase the value of goods exported to foreign distribution systems, first of all, those currently present in Vietnam, then other distribution systems;

- To increase year by year the value of goods exported to foreign distribution systems for groups of advantageous exports of Vietnam (such as textile and garment products, footwear, aquatic products, coffee, tea, vegetables, fruits, wood furniture, etc.);

- By 2020, Vietnamese goods will be exported directly to all large distribution systems in Europe, North America, Southeast Asia and Northeast Asia, and in countries that have signed free trade agreements with Vietnam.

III. TASKS AND SOLUTIONS FOR THE SCHEME IMPLEMENTATION

1. To build information systems and databases

a/ Collecting and building accurate and adequate information systems and databases on foreign distribution systems, attaching importane to the key markets of Europe, North America, Southeast Asia and Northeast Asia;

b/ Building information systems and databases on enterprises and export items of Vietnam for provision to importers;

c/ Creating a section on key importers of Vietnamese goods in foreign distribution systems on the e-portal of the Ministry of Industry and Trade for search and exploitation by Vietnamese enterprises;

d/ Disseminating updated information to domestic producers and exporters for making necessary adjustments to their structures and production capacities to meet the requirements of direct export to foreign distribution systems;

dd/ Coordinating with foreign distribution groups in popularizing and guiding Vietnamese producers and exporters in applying production processes up to international regulations and standards and supplying goods satisfying standard, technical and quality requirements of foreign distribution systems. In the immediate future, to give priority to advantageous exports with high potential to be distributed by major distribution systems in key markets.

2. To step up trade promotion and connection with foreign distribution systems

a/ Supporting enterprises in producing and developing product designs and building brands for exports to satisfy requirements of foreign distribution systems;

b/ Prioritizing trade promotion and connection with foreign distribution systems within the framework of the National Trade Promotion Program in accordance with law;

c/ Increasing activities of overseas trade bureaus and trade promotion offices to assist Vietnamese enterprises in exploring, connecting with and exporting directly to foreign distribution systems;

d/ Organizing Vietnamese Goods Week programs in foreign distribution systems; focusing first of all on marjor distribution systems in Europe, North America, Southeast Asia and Northeast Asia with commercial presence in Vietnam; and supporting domestic enterprises to display and introduce their goods in Vietnamese Goods Week programs in accordance with law;

dd/ Intensifying popularization of brand names, attaching special importance to international communication activities and renovate communication approaches toward direct advertising on foreign communication channels and media;

e/ Establishing key importers and sellers in target markets in order to raise the possibility of direct supply of goods to foreign distribution systems; opening product warranty centers to support direct export to foreign distribution systems;

g/ Studying, proposing and negotiating with foreign distributers agreements and commitments on quantities and types of Vietnamese branded products and goods to be distributed by foreign distribution systems.

3. To promote foreign-invested distribution enterprises in Vietnam to invest in the production of exports for foreign distribution systems.

a/ Facilitating and attracting foreign investment in the field of distribution in order to increase cooperation and create conditions for Vietnamese goods to be exported through retail centers and branches of foreign distribution systems;

b/ Promoting and supporting multinational distribution groups and foreign-invested distribution enterprises that are operating in Vietnam to invest in, associate and cooperative with domestic producers in order to develop the supply of goods for their global distribution systems.

4. To encourage and facilitate the establishment of bonded warehouses to promptly supply goods for foreign distribution systems

To study and identify suitable locations for the establishment of bonded warehouses for Vietnamese goods in foreign regions based on the factors of preferential policy, market potential, distance to adjacent regions, and geographic positions on international transportation routes in order to raise the possibility of prompt and convenient goods supply for foreign distribution systems.

5. To build capacity for Vietnamese producers and exporters to meet requirements of foreign distribution systems

a/ Supporting and guiding enterprises in building their governance capacity and improving their technologies and product quality to meet requirements of foreign distribution systems;

b/ Increasing public information and counseling on and training in management processes, standards and quality of goods of foreign distribution systems for export producers and processing enterprises.

6. Policies

a/ To review and adopt policies to encourage foreign distribution groups currently present in Vietnam to cooperate in putting Vietnamese goods, expecially branded exports, into their distribution systems in foreign countries;

b/ To study and adopt appropriate policies (on capital, tax, market information, foreign exchange, etc.) to support offshore investment in  projects to build Vietnamese goods processing and distribution centers, bonded warehouses and warranty centers in foreign countries.

III. ORGANIZATION OF IMPLEMENTATION

1. Assignment of responsibilities

a/ The Ministry of Industry and Trade shall:

- Assume the prime responsibility for, and coordinate with other ministries, sectors, localities, commodity associations and enterprises in, organizing the implementation of the tasks and solutions specified in the Scheme according to their assigned functions and tasks.

- Disseminate information on the Scheme to commodity associations and enterprises, and direct and urge its implementation.

b/ The Ministry of Finance shall assume the prime responsibility for, and coordinate with the Ministry of Industry and Trade in, ensuring funds for the implementation of the Scheme in accordance with law.

c/ Ministries, sectors and localities shall:

- Summarize difficulties and problems of enterprises in order to promptly propose support policies and solutions.

- Take the initiative in reviewing, amending and supplementing mechanisms and policies in the fields and localities under their management in order to encourage and facilitate Vietnamese enterprises’ direct export to foreign distribution systems.

d/ Enterprises and commodity associations shall:

- Provide and update figures on enterprises’ direct export to foreign distribution systems.

- Propose the Ministry of Industry and Trade to select key export items in order to develop quality management processes in conformity with the objectives and requirements of export to foreign distribution systems.

- Summarize difficulties and problems and propose support policies and solutions to competent authorities.

2. Funds for the Scheme implementation

a/ Funds for the Scheme implementation shall come from the state budget, enterprises and other lawful sources;

b/ Based on the tasks and solutions specified in this Scheme, related ministries, agencies and localities shall estimate annual funds and submit them to competent authorities for approval in accordance with the state budget law.

Article 2.This Decision takes effect on the date of its signing.

Article 3.Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees, and related organizations, units and individuals shall implement this Decision.-

For the Prime Minister
Deputy Prime Minister
HOANG TRUNG HAI