Application for sub-licenses for chemical trading activities (Part 1)

Chemicals are indispensable raw materials for the production process, promoting the development of the industry in Vietnam. According to the “Strategy for the development of Vietnam’s chemical industry to 2030, vision to 2040” approved in June 2022, it has set a goal, striving to achieve an average growth rate of 10% to 11% per year and the proportion of the chemical industry to the whole industry of about 4% to 5% by 20302.  

Pursuant to Clause 2, Article 3 of Decree No. 113/2017/ND-CP stipulating chemical trade includes sale, export and import of chemicals to provide chemicals on the market for profitable purposes. Therefore, enterprises engaged in trading, exporting and importing chemicals need to pay attention to the following issues: 

1. Conditions for applying for the Certificate of eligibility for conditional business of chemicals in the industrial sector

Pursuant to Article 8 of Decree No. 113/2017/ND-CP stipulating the conditional chemicals in the industrial sector include: 

  • Chemicals on the list of conditional industrial chemicals stated in Appendix I attached hereto;  
  • Mixtures of chemicals specified in Appendix I and Appendix II not subject to restricted industrial chemicals mentioned in Article 14 herein that are classified according to Article 23 herein subject to at least one of the following groups:  
    • Category 1/Category 2/Category 3 or type A/B/C/D hazardous material; 
    • Category 2 and Category 3 acute toxicity (through variable exposures); 
    • Category 1/Category 2/Category 2A serious eye damage/eye irritation; 
    • Category 1 and Category 2 skin corrosion/irritation; 
    • Category 2 carcinogenicity, germ cell mutagenicity or reproductive toxicity; 
    • Category 1 environmental hazard. 

Pursuant to Clause 2, Article 9 of Decree No. 113/2017/ND-CP, Clause 4, Article 8 and Clause 1, Article 9 of Decree No. 17/2020/ND-CP stipulating that in order to be granted the Certificate of eligibility for conditional trading in chemicals in the industrial sector, entities conducting chemical trading activities need to fully meet the following conditions:  

  • Established in accordance with regulations of law; 
  • The applicant’s facilities meet production requirements on conditions of workshops, warehouses, technologies, equipment, tools, packaging, preservation and transportation of chemicals; 
  • The chemical store or premises satisfies requirements for chemical and fire safety;  
  • The warehouse or the agreement on lease of warehouse or use of the warehouse of the chemical buyer or seller satisfies requirements for chemical and fire safety;  
  • Any person responsible for chemical safety of the chemical store has at least an intermediate school’s degree in chemicals; 
  • Personnel who are subject to chemical safety training must be trained in chemical safety. 

2. Components of the dossier of application for the Certificate of eligibility for business 

  • An application form; 
  • A copy of either of the enterprise registration certificate; 
  • Manifest of each business location;  
  • A copy of the written approval or confirmation of documents related to environmental safety; 
  •  A copy of the written approval of the fire safety design and commissioning of fire safety systems if the approval of fire safety design is required for each factory; or a record on inspection of fire safety or a document proving thereof if the approval of fire safety design is not required for each factory; 
  • A master plan of the factory and warehouse and contents of the plan; A copy of the document proving the use rights to the piece of land used for factory/warehouse construction or the factory/warehouse lease agreement;  
  • A declaration of technical equipment and personal protective equipment in the chemical factory; 
  • A copy of the bachelor’s degree or higher degree in chemicals of the person in charge of chemical safety; 
  • A copy of the training document on chemical safety; 
  • Safety data sheets of every hazardous chemical in the factory. 

3. Implementation process

  • Step 1: Submitting the dossier by post or send it directly or through the online public service system to the Department of Industry and Trade where the business establishment is located.  
  • Step 2: The Department of Industry and Trade shall issue a notice for the enterprise to supplement and complete the dossier in case the dossier is incomplete and valid within 03 working days from the date of receipt.  
  • Step 3: Appraising the dossier within 12 working days from the date of receipt of a complete and valid dossier. 
  • Step 4: Issuing a certificate. 

 

Disclaimers:

This article is for general information purposes only and is not intended to provide any legal advice for any particular case. The legal provisions referenced in the content are in effect at the time of publication but may have expired at the time you read the content. We therefore advise that you always consult a professional consultant before applying any content.

For issues related to the content or intellectual property rights of the article, please email cs@apolatlegal.vn.

Apolat Legal is a law firm in Vietnam with experience and capacity to provide consulting services related to Business and Investment and contact our team of lawyers in Vietnam via email info@apolatlegal.com.

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