Circular No. 08/2017/TT-BCT on registration and declaration of prices for milk and functional foods for children under six years old

CIRCULAR

REGULATION regulations on price registration and declaration for milk and functional foods for children under six years old

and functional food for children under 06 years old

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Pursuant to the Law on Prices dated June 20, 2012;

Pursuant to the Trade Law dated June 14, 2005;

Pursuant to Decree No. 149/2016/NĐ-CP dated November 11, 2016 of the Government amending and supplementing certain provisions of Decree No. 177/2013/NĐ-CP dated November 14, 2013 of the Government detailing and guiding the implementation of certain provisions of the Law on Prices;

Decree No. 149/2016/ND-CP dated November 11, 2016 of the Government amending and supplementing certain articles of Decree No. 177/2013/ND-CP;

Pursuant to Decree No. 95/2012/ND-CP dated November 12, 2012 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade,

The Minister of Industry and Trade issues this Circular stipulating regulations on price registration and declaration for milk and functional foods for children under six years old as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular stipulates the implementation of price registration and declaration for milk for children under six years old (hereinafter referred to as milk) and declaration of prices for functional foods for children under six years old (hereinafter referred to as functional foods). The list of milk and functional foods for children under six years old shall be implemented according to the provisions issued by the Ministry of Health.

Article 2. Applicability

1. Business entities trading in milk and functional foods for children under six years old.

2. State management agencies authorized to manage prices.

Chapter II

PRICE REGISTRATION

Article 3. Subjects implementing price registration

1. Business entities producing and importing milk must register prices with the competent state agency in accordance with the provisions of this Circular during the period when the State implements price stabilization through price registration measures.

2. The Ministry of Industry and Trade shall publish a list of business entities required to register prices for those business entities that have the ability to influence the formation and movement of prices nationwide.

Annually on July 1st or in exceptional cases, the Ministry of Industry and Trade shall review the list of business entities required to register prices and notify adjustments to this list.

3. Provincial People's Committees shall publish a list of business entities required to register prices within their jurisdiction, excluding those listed by the Ministry of Industry and Trade.

Annually on July 1st or in exceptional cases, the provincial People's Committee shall review and notify adjustments to the list of business entities required to register milk prices within the province.

Article 4. Registered Prices

1. Business entities producing and importing milk shall register recommended retail prices and are responsible for promptly informing the distribution system of the recommended retail prices they have registered.

2. The retail prices of business entities must be posted and may not exceed the recommended retail prices registered.

3. The registered recommended retail prices serve as the basis for the competent agencies receiving price registrations and other state agencies authorized to manage prices and to publicize them to consumers.

4. Business entities producing and importing milk may register recommended retail prices appropriate to specific geographic areas.

Article 5. Implementation of Price Registration

1. Business entities shall prepare the Price Registration Form and submit it to the competent state agency for receipt in one of the following ways:

a) Direct submission: two (2) copies at the office of the agency receiving the Price Registration Form (accompanied by one envelope with postage paid, clearly stating the name, address of the business entity, and the name and phone number of the person directly responsible for the unit).

b) Submission via official correspondence: two (2) copies to the agency receiving the Price Registration Form (accompanied by one envelope with postage paid, clearly stating the name, address of the business entity, and the name and phone number of the person directly responsible for the unit).

c) Submission via email with electronic signature or scanned copy of the Price Registration Form with signature and stamp to the address notified by the agency receiving the Price Registration Form, or sent via fax, and simultaneously send one original copy via official correspondence for the agency to file the record.

2. The Price Registration Form shall be prepared in accordance with the guidelines set out in Appendix No. 1 attached to this Circular.

Article 6. Acceptance of Price Registration Form

1. Direct acceptance procedure for the Price Registration Form

a) In cases where the Price Registration Form contains all required components and quantities as stipulated, the accepting authority shall stamp the receipt with the date, month, and year on the form and immediately return one copy of the Price Registration Form to the trader.

b) In cases where the Price Registration Form lacks required components and quantities as stipulated, the accepting authority shall clearly state the reasons for returning it, specify the necessary additional information, and immediately return the Price Registration Form to the trader.

2. Acceptance procedure for the Price Registration Form via official correspondence, fax, or email

a) In cases where the Price Registration Form contains all required components and quantities as stipulated, the accepting authority shall stamp the receipt with the date, month, and year on the form and immediately send one copy to the trader via postal service.

b) In cases where the Price Registration Form lacks required components and quantities as stipulated, within a maximum of two working days from the date of receipt, the accepting authority shall notify the trader in writing, via fax, or email about the necessary additions to the Price Registration Form.

Article 7. Review of the Price Registration Form

1. The content of the review of the Price Registration Form includes:

a) The date of implementation of the registered price level;

b) A table of specific registered price levels;

c) Items constituting cost elements forming the price;

d) Explanation of reasons for price adjustment;

đ) Verification of the rationality of factors forming the price.

2. Within five working days from the date of receiving a valid Price Registration Form as specified in Clause 1 and Clause 2 of this Article, if the accepting authority does not request the trader to explain the contents of the Price Registration Form, the trader may buy and sell at the registered price level.

3. In cases where the trader's explanation of reasons for price adjustment is inappropriate, unrelated to the increase or decrease in the price of goods or services, or within a maximum of four working days from the date of receiving the Price Registration Form, the accepting authority shall notify the trader in writing, via fax, or email specifying the reasons and requesting the trader not to apply the currently registered price level.

4. For cases specified in Clause 2 of this Article, the maximum time limit for the trader to provide explanations and submit supporting documents is ten working days from the date the accepting authority notifies the trader in writing to provide explanations.

5. The time limit for reviewing the content of the submitted explanations is a maximum of four working days from the date of receipt of the explanatory document according to the receipt stamp of the accepting authority. Upon expiration of this period, if the authority does not issue a document requesting the trader to provide further explanations, the trader may adjust prices according to the proposed price level and adjustment time.

Article 8. Authority for Accepting and Reviewing the Price Registration Form

1. The Ministry of Industry and Trade accepts and reviews the Price Registration Forms of traders listed in the list published by the Ministry of Industry and Trade.

2. Provincial Departments of Industry and Trade accept and review the Price Registration Forms of traders listed in the list published by the People's Committee of the province. In cases of necessity, the People's Committee of the province may authorize the People's Committee of the district to accept and review the Price Registration Forms of traders within their jurisdiction.

Chapter III

PRICE DECLARATION

Article 9. Subjects of Price Declaration

1. Traders engaged in dairy products and functional food business must declare prices to competent state authorities outside the period when the government implements price registration measures.

2. The Ministry of Industry and Trade publishes a list of traders who must declare prices, which includes those capable of influencing the formation and movement of prices nationwide.

Annually on July 1st or in exceptional circumstances, the Ministry of Industry and Trade reviews the list of traders required to declare prices and announces adjustments to this list.

3. The People's Committee of the province publishes a list of traders required to declare prices within its jurisdiction, excluding those listed by the Ministry of Industry and Trade.

Annually on July 1st or in exceptional circumstances, the People's Committee of the province reviews and announces adjustments to the list of traders required to declare prices within the province.

Article 10. Declared Price

1. Producers and importers shall declare recommended retail prices for their product distribution systems.

2. The retail prices of distributors must be publicly displayed. In cases where the retail prices of distributors exceed the recommended retail prices declared by producers and importers, these distributors must declare their own retail prices to the competent state authorities.

3. Recommended retail prices serve as the basis for the price declaration receiving agency and other competent state authorities to manage prices and publicly announce them to consumers.

4. Producers and importers may declare recommended retail prices suitable for specific geographic areas.

Article 11. Implementation of Price Declaration

1. Merchants shall prepare a Price Declaration Form and submit it to the competent state authority according to one of the following methods:

a) Direct submission: two (02) copies at the office of the receiving agency (accompanied by one envelope with stamps, clearly marked with the name, address of the merchant, and the full name and phone number of the person responsible for the unit).

b) Submission via official correspondence: two (02) copies to the receiving agency (accompanied by one envelope with stamps, clearly marked with the name, address of the merchant, and the full name and phone number of the person responsible for the unit).

c) Submission via email with electronic signature or scanned copy of the Price Registration Form with signature and stamp to the address notified by the agency receiving the Price Registration Form, or sent via fax, and simultaneously send one original copy via official correspondence for the agency to file the record.

2. The Price Declaration Form shall be prepared in accordance with the guidelines set out in Appendix 2 issued together with this Circular.

Article 12. Receipt and Review of the Price Declaration Form

1. Receipt Process

a) If the form contains all required components and contents as prescribed, the receiving agency will stamp the form with a receipt date and immediately send one copy to the merchant via official correspondence.

b) If the form lacks any required components or contents, within a maximum of two working days from the date of receipt, the receiving agency will notify the merchant in writing, by fax, or email to supplement the missing components or contents.

3. Organizations and individuals who declare prices are responsible for completing the form with all required components and contents as prescribed and resubmitting it to the receiving agency within a maximum of five working days from the date the agency notifies them via official correspondence, fax, or email to supplement the documentation.

4. In cases of price reduction declarations, organizations and individuals engaged in dairy products and dietary supplements shall implement the price reduction immediately and simultaneously submit the Price Declaration Form to the receiving agency according to the procedures stipulated in Clause 1 and Clause 2 of this Article.

Article 13. Authority to Receive Price Declaration Documents

1. The Ministry of Industry and Trade shall receive the Price Declaration Forms of merchants listed in the price declaration units under the Ministry of Industry and Trade.

2. Provincial Departments of Industry and Trade shall receive the Price Declaration Forms of merchants specified in Clause 3 of Article 9 and those specified in Clause 2 of Article 10 of this Circular who have registered business operations within the province. In necessary cases, the People's Committee of the province may delegate the People's Committee of the district to receive and review the Price Declaration Forms of merchants within their jurisdiction.

Chapter IV

RIGHTS AND RESPONSIBILITIES OF ORGANIZATIONS AND INDIVIDUALS IN IMPLEMENTING PRICE REGISTRATION AND DECLARATION

Article 14. Rights and responsibilities of the agency receiving Price Registration Forms and Price Declarations

1. The agency receiving Price Registration Forms and Price Declarations shall have the following rights:

a) To use the prices registered and declared by organizations and individuals for purposes of analysis, synthesis, forecasting market price fluctuations, and building a price database;

b) To inspect price-forming factors and publicly announce them through mass media to serve state management objectives on pricing;

c) To review the contents of price declarations made by organizations and individuals; request traders to report on declared prices that are consistent with price-forming factor fluctuations when necessary to serve state management on pricing;

d) In cases where retail traders must declare prices, the agency receiving price declaration forms has the right to require traders to report on the contents of costs increasing the retail price compared to the recommended retail price declared by the producing or importing trader.

2. The agency receiving Price Registration Forms and Price Declarations shall have the following responsibilities:

a) To implement regulations on receiving price registrations and declarations for milk and functional food products sold by traders;

b) To ensure confidentiality of the prices registered and declared by traders during the period before such prices become effective;

c) To monitor compliance with declared prices for products sold on the market by traders as registered or declared.

Article 15. Rights and obligations of traders implementing price registration and declaration

1. Traders implementing price registration and declaration, and other traders shall have the following rights:

a) Producers and importers have the right to independently determine recommended retail prices for milk and functional food products to end consumers according to current laws on pricing;

b) To notify price adjustments within 5% of the previously declared price or immediately preceding notification using the form attached as Appendix 3 to this Circular instead of declaring prices. If cumulative notifications exceed 5% from the previously declared price or immediately preceding notification, the trader must declare prices in accordance with this Circular.

2. Traders implementing price registration and declaration shall have the following obligations:

a) To be responsible for registering and declaring prices in accordance with the law and this Circular, and to bear legal responsibility for the accuracy of the registered and declared prices;

b) To publish the registered and declared prices on their website or through mass media and make them public throughout their distribution system when product prices are adjusted;

d) To notify in writing about their distribution system to the competent state agency designated to receive price registration and declaration forms using the form attached as Appendix 4;

đ) To be responsible for the quality of their milk and functional food products nationwide;

e) To be subject to inspection and supervision by state management agencies regarding price registration and declaration.

3. Other traders shall have the following obligations:

a) To publicly display selling prices in accordance with the law;

b) To sell milk and functional food products in accordance with Articles 4 and 10 of this Circular.

Chapter V

IMPLEMENTATION

Article 16. Responsibilities of State Management Agencies

1.     The Ministry of Industry and Trade shall be responsible for:

a) Taking the lead and coordinating with relevant agencies to monitor the dairy market trends and propose measures to stabilize milk prices to the Government within its authority when there are abnormal fluctuations in the dairy market;

          b) Receiving and reviewing price registration and declaration in accordance with this Circular;

c) Compiling and publicly disclosing information on recommended price levels registered and declared by traders on the Ministry of Industry and Trade's electronic portal, and coordinating with local state management agencies responsible for dairy products and functional foods to supervise the retail prices that have been registered and declared;

d) Inspecting and supervising traders producing and trading dairy products and functional foods for children under six years old in the Vietnamese market;

đ) Periodically or urgently reviewing and announcing lists of units registering prices at the central level, and adjusting these lists as necessary;

e) Regularly or urgently inspecting and auditing compliance with pricing laws and regulations by traders dealing in dairy products and functional foods as stipulated in this Circular.

2. The Domestic Market Department shall take the lead and coordinate with relevant agencies and units to perform the tasks specified in Clause 1 of this Article.

3. Provincial People's Committees shall be responsible for:

a) Announcing lists of traders registering and declaring prices at the provincial level;

b) Assigning specific authorities for inspection, supervision, receipt of price declaration documents, and price registration documents within the province;

c) Implementing Articles 3 and 9 of this Circular for traders registering and declaring prices at the provincial level; if necessary, delegating the receipt, review of price registration and declaration documents, and price announcements at the provincial level;

d) Inspecting and supervising traders dealing in dairy products and functional foods under provincial management;

đ) Reporting the registered or declared prices of traders on the territory to the Department of Industry and Trade or reporting as required to the Ministry of Industry and Trade;

e) Coordinating with the Ministry of Industry and Trade to monitor the implementation of retail prices by traders selling dairy products and functional foods to consumers.

4. The Department of Industry and Trade shall take the lead and coordinate with specialized agencies under the Provincial People's Committee and related local agencies to implement the tasks specified in Clause 3 of this Article.

Article 17. Effective Date

1. This Circular shall take effect from August 10, 2017.

2. Within thirty days from the date this Circular takes effect, traders producing and importing shall submit in writing the list of recommended retail prices for products currently sold on the market but without recommended retail prices to the competent state agency for receiving and reviewing price declaration documents.

3. During the implementation process, if there are difficulties or obstacles, agencies and units are requested to report to the Ministry of Industry and Trade for research, amendment, and supplementation as appropriate./.