The Ministry of Industry and Trade wants to temporarily ban the import and re-export of masks, gloves and anti-epidemic costumes until the end of next year, but VCCI believes that this measure is not necessary.
The above content is stated in the draft Circular the Ministry of Industry and Trade is consulting. Subjects of application are traders, organizations and individuals... doing business in temporary import for re-export of goods.
In fact, according to the provisions of Circular 44/2020, the business of temporarily importing and re-exporting masks, medical gloves and anti-epidemic costumes has been stopped until the end of 2021. If the new proposal of the Ministry of Industry and Trade, is issued, the stop will last for another year, the end of 2022.
When temporarily stopping the import and re-export of these items, the Ministry of Industry and Trade explained to prevent some businesses from taking advantage of them to smuggle, commit commercial fraud and illegally transport medical masks and work protective gear. This risk appears in the epidemic situation, leading to an increased demand for medical masks and medical protective gear.
3M brand medical masks are sold at a pharmacy in Hanoi. Photo: Anh Minh
Up to now, judging that the epidemic situation is still complicated, the Ministry of Industry and Trade believes that there is still a potential risk of smuggling, trade fraud and illegal transshipment, so it proposes to continue suspending import and re-export.
Meanwhile, the Vietnam Chamber of Commerce and Industry (VCCI) requested the drafting agency to reconsider promulgating this Circular.
VCCI commented that this is a direct intervention in business operations of enterprises and the situation has changed, "there is not enough information and data to show the severity and risk of the problem".
In fact, according to this agency, one of the important factors leading to smuggling and trade fraud with a certain item is the potential profit at a certain time when the market demand spikes. .
But considering the mask market alone, in 2021 there has been a big change compared to 2020 when there is no longer a widespread or local scarcity in the market due to lack of goods and price pressure. There is a shortage of equipment (including masks, medical gloves, anti-epidemic costumes...) at the epidemic prevention and control agencies, but VCCI believes that it is not due to a lack of goods on the market. Not to mention, the domestic production capacity of medical masks and gloves has been ensured.
With widespread vaccination, the epidemic can be partially controlled. VCCI believes that there is a basis to think that the market for items such as masks, medical gloves, and epidemic prevention suits in 2022 will not be as complicated as in 2020. Therefore, profit - a factor that attracts business activities. smuggling, illegal transshipment may disappear.