National and ASEAN single window mechanisms help improve business environment

The national and ASEAN single window mechanisms have largely reduced customs clearance time, saving costs for enterprises and furthering Vietnam’s regional and international economic integration. 
The Finance Ministry held a teleconference in Hanoi in July to discuss developing national and ASEAN single window mechanisms and trade facilitation.

The event was attended by Prime Minister Nguyen Xuan Phuc; Deputy Prime Minister Vuong Dinh Hue; leaders of ministries and agencies; the Vietnam Chamber of Commerce and Industry (VCCI), and the World Bank (WB).

Speaking at the event, Finance Minister Dinh Tien Dung said as of July 15, 11 ministries and agencies connected and conducted 53 administrative procedures with over 1.34 million files by 22,812 businesses via the national one-stop shop mechanism.

All customs procedures have now connected with the mechanism, with 99.65 percent of firms joining.

By the end of 2018, an additional 143 procedures will be launched on the mechanism, raising the total to 196, or 78 percent of the total 251 procedures which will be launched between now and 2020.

Regarding the ASEAN single window mechanism, Minister Dung said as of January 1, 2018, Vietnam officially exchanged form D certificates of origin (C/O) with Singapore, Malaysia, Indonesia, and Thailand. As of July 15, Vietnam received 32,949 certificates from the above countries while sending 16,214 ones to them.

Foreign tourists travel to Vietnam through the Tien River international border gate. Photo: VNP’s files

Tourists from Cambodia enter Vietnam at the Tinh Bien international border gate, An Giang province. Photo: VNP’s files

Customs controllers at Noi Bai International Airport monitor goods loading from an arriving plane.
Photo: VNP’s files

The Ho Chi Minh City Customs Department is the first unit in the south applying
automatic customs management and control for goods on transit at sea ports. Photo: VNP’s files

The well-equipped customs control room at Noi Bai International Airport Terminal 2
helps speed up customs procedures. Photo: VNP’s files

Buying duty-free goods at Lao Bao border gate in Quang Tri province. Photo: VNP’s files

The 24/7 e-tax payment mechanism benefits both commercial banks and enterprises. Photo: VNP’s files

Customs officers check imported cars at Cai Lan port, Quang Ninh province. Photo: VNP’s files

Bilateral patrol by Vietnamese and Cambodian border guard on Hau River to control goods smuggled into Vietnam.
Photo: VNP’s files

 Customs inspection for goods exported out of Yen Phong industrial zone in Bac Ninh province.
Photo: VNP’s files

Simplified customs procedures help save time and costs for domestic and foreign investors. Photo: VNP’s files

With simple entry procedures, the number of foreign tourists to Vietnam reached nearly 1.2 million in July,
up 14.7% year on year, and hit  over 9 million in the first seven months, up 25.4% from the same period last year.
Photo: VNP’s files

At Cat Lai port, Ho Chi Minh City. Photo: VNP’s files

The customs clearance time at Tien Sa port in Da Nang has been reduced thanks to the customs service's efforts
to simplify procedures. Photo: VNP’s files

Vietnam is working with Brunei, Cambodia and the Philippines to establish a system to pilot the exchange of form D certificates of origin (C/O), and is partnering with Thailand, Indonesia and Malaysia to launch a pilot system to exchange ASEAN customs declarations. Apart from the ASEAN, Vietnam is also negotiating to complete protocols and build a system to share information with the Eurasian Economic Union about customs declarations and C/O.

A WB representative reported that the customs clearance for Vietnam’s exports at border gates was brought down from 58 hours to 55 hours last year, and from 62 hours to 56 hours for imports into Vietnam. The cost of customs clearance for a batch of goods at border gates was reduced by 19 US dollars.

With over 11 customs declarations last year, businesses saved upwards of 200 million US dollars and over 16 million hours of storage for exports and more than 34 million hours for imports.

According to the WB’s “Do Business” report for 2016-2017, Vietnam continued to be one of the four countries with the highest trans-border goods exchange in ASEAN.

Representatives of international organisations and Vietnam's development partners such as the WB, the European Union, the US, Japan, and the Republic of Korea spoke highly of the Vietnamese government’s reform in the field, and expressed hopes that through technical support projects, Vietnam will accelerate its reform process and soon join the global value chain. 

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