Question:
Our company is a foreign-invested enterprise and currently needs to apply for a license to import wine for distribution of this product in Northern Vietnam. May we ask whether current laws permit us to carry out this activity?
Answer:
Pursuant to Article 30 of Decree No. 105/2017/ND-CP as amended by Clause 22, Article 16 of Decree No. 17/2020/ND-CP, enterprises importing wine must satisfy the following conditions:
"Article 30. General provisions on wine import
- Enterprises holding Wine Distribution Licenses are permitted to import wine and shall be responsible for the quality and food safety of imported wine. In cases of importing semi-finished wine products, enterprises may only sell to enterprises holding Industrial Wine Production Licenses.
- Enterprises holding Industrial Wine Production Licenses are permitted to import or commission the import of semi-finished wine products for the production of finished wine products.
- Except for cases specified in Article 31 of this Decree, imported wine must satisfy the following requirements:a) Must be labeled and affixed with wine stamps in accordance with Article 6 of this Decree;b) Must comply with food safety regulations
- Wine may only be imported into Vietnam through international border gates."
Additionally, Point a, Clause 1, Article 5 of Decree 09/2018/ND-CP provides regulations on the issuance of business licenses to foreign-invested economic organizations as follows:
"Article 5. Issuance of Business Licenses and Retail Establishment Licenses
Business licenses are issued to foreign-invested economic organizations to carry out the following activities:
a) Exercise retail distribution rights for goods, excluding goods specified in Point c, Clause 4, Article 9 of this Decree;"
Pursuant to Point c, Clause 4, Article 9 of Decree 09/2018/ND-CP provides as follows:
"Article 9. Conditions for Business License issuance
[...]
- In cases where traded goods have not been committed to market opening in international treaties to which Vietnam is a party: Lubricating oils and greases; rice; sugar; recorded media; books, newspapers and magazines
[...]
- c) For goods including rice; sugar; recorded media; books, newspapers and magazines: Consider granting permits to exercise retail distribution rights to foreign-invested economic organizations that have established retail facilities in the form of supermarkets, mini-supermarkets, convenience stores for retail sales at such facilities."
Therefore, if an enterprise imports wine for distribution of this product, it must rely on the above criteria to be granted a wine import license.
Consultation: Investment Law Services.