Circular No. 10/2002/TT-BTM guiding the purchase, sale, and exchange of goods and commercial services in the border area between Vietnam and Cambodia.

CIRCULAR

Issued by the Ministry of Trade Decision No. 10/2002/TT-BTM dated December 12, 2002 on guiding the purchase, sale, and exchange of goods and commercial services in the border area between Vietnam and Cambodia

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Pursuant to Decree No. 57/1998/NĐ-CP dated July 31, 1998 of the Government detailing the implementation of the Law on Trade regarding export, import, processing, and agency sales of goods with foreign countries;

Pursuant to Decree No. 44/2001/NĐ-CP dated August 2, 2001 of the Government amending and supplementing certain articles of Decree No. 57/1998/NĐ-CP dated July 31, 1998 of the Government;

Pursuant to Decision No. 46/2001/QĐ-TTg dated April 4, 2001 of the Prime Minister on managing export and import of goods during the period 2001-2005;

To implement the Agreement on the purchase, sale, and exchange of goods and commercial services in the border area between the Government of the Socialist Republic of Vietnam and the Royal Government of Cambodia signed on November 26, 2001 in Phnom Penh;

The Ministry of Trade hereby provides specific guidance on certain points regarding the purchase, sale, and exchange of goods and commercial services in the border area between Vietnam and Cambodia for uniform implementation as follows:

1. Subjects purchasing, selling, and exchanging goods and commercial services in the border area between Vietnam and Cambodia include:

a. Enterprises belonging to various economic sectors established in accordance with the provisions of the law;

b. Individual traders at the border area and border economic zones established in accordance with Decree No. 02/2000/NĐ-CP dated February 3, 2000 of the Government on business registration;

c. Border residents in provinces sharing borders between the two countries of Vietnam and Cambodia.

2. Goods purchased, sold, and exchanged and commercial services through the border (collectively referred to as goods)

a. All types of goods permitted to be purchased, sold, and exchanged across the border, except those prohibited from export and import listed in Annex 01 and Annex 02 of the Agreement on the purchase, sale, and exchange of goods and commercial services in the border area between Vietnam and Cambodia signed on November 26, 2001 between the Government of the Socialist Republic of Vietnam and the Royal Government of Cambodia.

b. For goods within the list of goods subject to export and import licenses issued by the Ministry of Trade or by specialized management ministries, only the subjects mentioned in Clause a, Section 1 of this Circular may engage in purchase and sale transactions provided that they obtain the necessary permits from competent authorities in accordance with current laws.

3. Quality of goods purchased, sold, and exchanged across the border: Subjects engaged in the purchase, sale, and exchange of goods across the border must comply with current legal regulations, especially for goods listed in the State inspection catalogues for quality and shall bear legal responsibility for the quality of goods they purchase and sell.

4. Border gates for the purchase, sale, and exchange of goods

a. Main border gates (international and national border gates): Goods purchased, sold, and exchanged in the border area between the two countries are allowed to go through customs formalities according to current laws through main border gates agreed upon by both governments.

b. Secondary border gates (local border gates):

b 1. Enterprises are permitted to handle formalities for regular export and import of goods under trade contracts through secondary border gates that have been mutually agreed upon by provincial authorities on both sides, where each side has set up customs stations, border guard stations, and animal and plant quarantine stations at the secondary border gates.

b.2. Secondary border gates permitted to handle formalities for regular export and import of goods under trade contracts include:

5. Payment for goods purchased, sold, and exchanged and commercial services across the border between the two countries:

a. The currency for payment in the purchase, sale, and exchange of goods and commercial services in the border area between the two countries is freely convertible foreign currencies, or Vietnamese dong, or Cambodian riel.

b. The method of payment shall be agreed upon by the parties involved in the purchase, sale, and exchange of goods and commercial services in accordance with international banking practices for export and import payments or the regulations of the State Bank of Vietnam on cross-border trade.

6. Customs procedures and export duties, import duties on goods: Goods exported and imported across the border between the two countries must go through customs formalities, be subject to customs inspection and supervision, and pay taxes and fees as prescribed by Vietnamese law.

7. Implementation organization:

7. 1. Goods purchased and exchanged by border residents at border markets opened by local authorities on both sides in the border area between Vietnam and Cambodia shall be implemented in accordance with the Regulations on the Organization and Management of Border Markets between Vietnam and Cambodia signed on June 8, 1999.

7. 2. This Circular takes effect fifteen days from the date of issuance.