Circular No. 04/2008/TT-BCT guiding the registration of production, processing, import of raw materials, and consumption plans for petroleum products.

CIRCULAR

Guidelines for registering production plans, processing, importing raw materials, and consuming petroleum products

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Pursuant to Decree No. 189/2007/ND-CP dated December 27, 2007, issued by the Government, detailing the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade;

Pursuant to Decree No. 12/2006/NĐ-CP dated January 23, 2006 of the Government detailing the implementation of the Law on Trade regarding international trade activities and agency buying, selling, agency, processing, and transit of goods with foreign countries;

Pursuant to Decree No. 55/2007/NĐ-CP dated April 6, 2007 of the Government on petroleum trade;

The Ministry of Industry and Trade guides the registration of production plans, processing, importing raw materials, and consuming petroleum products as follows:

I. GENERAL PROVISIONS

1. Raw materials for producing and processing petroleum products include crude oil, condensate, high-octane gasoline, reformate, naphtha, and other additives and formulations.

2. Petroleum product producers and processors must register their production, processing, importation of raw materials, and consumption plans for petroleum products according to the guidelines set forth in this Circular.

3. Petroleum product producers and processors may directly import or entrust a trader with an export-import license for petroleum products to import raw materials according to the registered plan confirmed by the Ministry of Industry and Trade to serve production and processing of petroleum products.

II. REGISTRATION OF PRODUCTION PLANS, PROCESSING, IMPORTATION OF RAW MATERIALS, AND CONSUMPTION OF PETROLEUM PRODUCTS

1. Before October 30 each year, traders meeting the conditions for producing and processing petroleum products as stipulated in Article 10 of Decree No. 55/2007/NĐ-CP dated April 6, 2007 of the Government on petroleum trade, shall register their production, processing, importation of raw materials, and consumption plans for petroleum products for the following year. The registration dossier submitted to the Ministry of Industry and Trade includes:

a. Registration of production, processing, importation of raw materials, and consumption plans for petroleum products (in accordance with Form 1 attached): four copies

b. Business registration certificate (copy of the enterprise)

c. Permit issued by the competent authority allowing the trader to invest in building a production and processing facility for petroleum products in accordance with current planning regulations.

d. Documentation proving that the trader has a testing and measuring laboratory meeting national standards to check the quality of produced and processed petroleum products in accordance with current standards and technical regulations as specified in Circular No. 29/2007/TT-BKHCN dated December 25, 2007 of the Ministry of Science and Technology guiding the conditions for ensuring quality and measurement control in the business of motor gasoline and diesel fuel, and related documents.

2. Traders can only register to import types of raw materials as specified in Clause 1, Section I of this Circular, in accordance with their production and processing capacity as stated in their investment permit.

3. After receiving complete and valid documents from the trader, within seven working days, the Ministry of Industry and Trade will confirm the registration of the production, processing, importation of raw materials, and consumption plans for the trader to implement. The confirmation document will be sent to the General Department of Customs for import procedures and monitoring of the trader's raw material imports, and to the Ministry of Science and Technology for supervision of the trader's compliance with the conditions and provisions of Articles 10 and 11 of Decree No. 55/2007/NĐ-CP dated April 6, 2007 of the Government on petroleum trade.

4. The Minister of Industry and Trade delegates the Director of the Import-Export Department to confirm the registration of production, processing, importation of raw materials, and consumption plans for petroleum products.

III. OTHER PROVISIONS

1. Imported raw materials can only be used for producing and processing petroleum products at the trader's facilities. Any change in the purpose of using raw materials must be approved in writing by the Ministry of Industry and Trade.

2. In case a trader fails to comply with the confirmed production and processing plans, they must submit a report explaining the reasons and request the Ministry of Industry and Trade to confirm adjustments to the production, processing, importation of raw materials, and consumption plans for petroleum products.

3. Exporting petroleum products produced and processed by traders shall be carried out in accordance with the consumption plans registered with the Ministry of Industry and Trade and in accordance with the Export Regulations for Petroleum Products issued together with Decision No. 01/2008/QĐ-BCT dated January 3, 2008 of the Ministry of Industry and Trade.

4. Importation of raw materials for production, processing, and consumption of petroleum products shall be conducted in accordance with regulations on import-export management, petroleum product sales prices, and other relevant current regulations.

5. Petroleum product producers and processors have the responsibility to report quarterly (in accordance with Form 2 attached to this Circular) on the situation of production, processing, importation of raw materials, and consumption of petroleum products to the Ministry of Industry and Trade no later than the tenth day of the first month of the next quarter.

IV. EFFECTIVE DATE

1. In cases where traders violate the provisions of this Circular, depending on the severity of the violation, they will be subject to administrative penalties under the regulations on administrative violations in the field of trade and in accordance with current laws.

2. This Circular takes effect fifteen days after its publication in the Official Gazette and revokes Decision No. 715/2004/QĐ-BTM dated June 7, 2004 of the Minister of Trade (now the Ministry of Industry and Trade) on the issuance of the Management Regulations for Importation of Raw Materials for Production and Blending of Petroleum Products./.