60 pct reduction on business conditions merely theoretical: VCCI

By Pham Van   June 30, 2020 | 08:03 pm PT
60 pct reduction on business conditions merely theoretical: VCCI
Vu Tien Loc, Chairman of the Vietnam Chamber of Commerce and Industry. Photo by VnExpress.
Chairman of the Vietnam Chamber of Commerce and Industry, Vu Tien Loc, said the actual number of scrapped business conditions in 2017-2019 is 30 percent instead of the reported 60 percent.

Loc added that reducing business conditions is more urgent than ever for enterprises amid the Covid-19 pandemic. "The reduction must be action based rather than mere talk," he told a recent seminar on enterprise market access.

Ministries and agencies recently reported to the government that they had simplified and eliminated more than 50-60 percent of business conditions in the 2017-2019 period, according to a report by the Central Institute for Economic Management (CIEM).

Loc also proposed the government implement a third wave of reforms on reducing business conditions and improve the investment environment.

At the seminar, Nguyen Hoai Nam, deputy general secretary of the Vietnam Association of Seafood Exporters and Producers (VASEP), complained about the slow reaction of agencies on reforming the business environment and reducing market entry conditions.

"We proposed changes to regulations on issuance of barcodes on exported aquaculture. The agency we contacted stated that the amendment would take time as there are hundreds of associations like VASEP," he said.

Nam claimed that for processing and exporting seafood, Vietnamese standards are currently stricter than those in the U.S. "We are creating difficulties for ourselves," he added.

In a recent survey by the VCCI's legal department on the conditions for entering the market, nearly 1,000 enterprises stated bottlenecks remain in the legal system of business investment, creating barriers for small and medium enterprises.

VCCI called on ministries to amend 93 legal documents, 32 laws, 51 decrees and 10 circulars to overcome current business overlaps and inhibitors.

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