Decree No. 94/2012/ND-CP on the production and business of alcohol 94/2012/NĐ-CP

✦ Tóm lược thông minh

Decree No. 94/2012/ND-CP stipulates the production and business of alcohol in Vietnam, applicable to organizations and individuals participating in these activities within the national territory. It provides detailed regulations on the conditions for issuing licenses, rights and obligations of related parties, as well as handling violations and state management responsibilities.

Đối tượng áp dụng

Organizations and individuals participating in the production and business of alcohol on Vietnamese territory; foreign traders, enterprises with foreign investment capital in Vietnam.

Các điểm cốt lõi

Organizations and individuals producing and trading in alcohol must have a license as prescribed (Article 4);
Conditions for issuing a Production License for industrial alcohol and procedures, duration (Article 9);
Conditions for issuing a Business License for distribution, wholesale, and retail of alcohol products (Article 17);
Violations of regulations on the production and business of alcohol will be handled according to the law (Article 24);
State management responsibilities of competent agencies such as the Ministry of Industry and Trade, the Ministry of Finance, and People's Committees of provinces (Articles 25-29).

🌐 Tác động xã hội từ văn bản này

Creating a strict management system for the production and business of alcohol, helping to improve food safety quality;
Reducing violations of the law in this field through stringent penalties for illegal acts (such as smuggling, commercial fraud);
Increasing costs for businesses and citizens when complying with licensing requirements and alcohol labeling;
Businesses may face difficulties in meeting all the conditions to obtain a license, especially regarding finance and infrastructure;
Consumers will be more aware of the origin and quality of products through alcohol labeling;

❓ Câu hỏi thường gặp

What conditions are required to obtain a license for the production of industrial alcohol?

The conditions include registering the business operation, being consistent with planning, having production lines and machinery, ensuring food safety and environmental protection, and owning brand labels (Article 8);

What is the validity period of the Industrial Alcohol Production License?

The license has a validity period of 15 years. Within 30 days before its expiration, the enterprise must apply for renewal (Article 9);

What conditions are required to obtain a license for the business of distributing alcohol products?

Requirements include registering the business operation, having a fixed location, a distribution network covering at least six provinces, storage facilities, and appropriate transportation means (Article 17);

How will violations of regulations on the production and business of alcohol be handled?

Depending on the severity of the violation, organizations and individuals may be subject to administrative penalties or criminal prosecution (Article 24);

Are there any provisions regarding alcohol labeling?

Domestic and imported alcohol products must be labeled according to the regulations of the Ministry of Finance, from January 1, 2014 (Article 15).

Toàn văn

DECREE

On the production and business of alcohol

_________

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Pursuant to the Law on Trade dated June 14, 2005;

Pursuant to the Food Safety Law dated June 17, 2010;

At the proposal of the Minister of Industry and Trade,

The Government issues a Decree on the production and business of alcohol.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

APPLICATION This Decree stipulates the production, business, investment, export, import, purchase and sale, and other activities related to the production and business of alcohol products and food-grade ethanol.

Alcohol products and food-grade ethanol (for alcohol production) referred to in this Decree shall be collectively called alcohol.

Article 2. Applicability

1. This Decree applies to organizations and individuals participating in the activities of producing, trading in alcohol and other activities related to the production and trading in alcohol within the territory of Vietnam.

2. Foreign traders, enterprises with foreign investment capital in Vietnam are subject to this Decree and other relevant legal documents.

Article 3. Explanation of Terms

In this Decree, the following terms are understood as follows:

1. "Alcohol product" is a food beverage containing alcohol. Alcohol products are produced through fermentation (with or without distillation) from starches of various grains, fruit juices, or prepared from food-grade ethanol (Ethanol).

2. "Food-grade ethanol" is an organic compound with the molecular formula C2H5OH and the scientific name according to the International Union of Pure and Applied Chemistry (IUPAC) is Ethanol, meeting food safety standards.₂H₅3. "Handmade alcohol production" is the activity of producing alcohol using traditional equipment such as copper pots, vapor pipes, cooling tanks... on a small scale carried out by households or organizations and individuals.

4. "Industrial alcohol production" is the activity of producing alcohol on industrial machinery and equipment assembly lines.

5. "Medicinal alcohol" is alcohol mixed or soaked with raw materials of animal and/or plant and/or mineral origin to support disease treatment, enhance bodily functions, and improve health.

6. "Unfinished alcohol" is alcohol that has not been completed and requires additional production steps, for example: Filtration, blending, bottling, labeling... to become a complete alcohol product.

7. "Distribution of alcohol products" is the activity of purchasing alcohol products directly from organizations and individuals producing alcohol, foreign traders importing alcohol products directly from foreign traders to sell to wholesalers of alcohol products.

8. "Wholesale of alcohol products" is the activity of purchasing alcohol products from alcohol product distributors, organizations and individuals producing alcohol, to sell to retailers of alcohol products.

9. "Retail of alcohol products" is the activity of purchasing alcohol from wholesale alcohol product traders to sell directly to consumers.

Article 4. Principles of management of alcohol production and business

1. Alcohol belongs to the category of goods restricted by the state for trade. Organizations and individuals engaged in the production and business of alcohol products (distribution, wholesaling, retailing) must have a permit, except in cases where handmade alcohol is produced for sale to enterprises with a Production Permit for alcohol for further processing.

2. All activities of producing and trading in alcohol must comply with the provisions of this Decree and other relevant laws.

3. The State uniformly manages activities of investment, production, export, import, trading, labeling, advertising, quality, food safety, environment, fire prevention and explosion control in the production, trading in alcohol and other activities related to the production and trading in alcohol.

4. Organizations and individuals producing and trading in medicinal alcohol, in addition to complying with the provisions of this Decree, must also comply with other relevant regulations.

4. Organizations and individuals producing and trading medicinal alcohol, in addition to complying with the provisions of this Decree, must also comply with other relevant regulations approved by the Ministry of Industry and Trade, and the People's Committee of the province or centrally governed city (hereinafter referred to collectively as the province) shall organize the establishment, examination, and approval of the overall planning for the development of the Beer - Alcohol - Beverage industry within their jurisdiction, including the production planning for alcohol and traditional villages producing alcohol.For power plants invested under the Build-Operate-Transfer (BOT) model, n is determined according to the operational period of the power plant stipulated in the BOT contract..

Article 5. Planning for wine production

Clause 1. The planning for wine production is an industry-specific plan within the overall development plan for the Beer - Wine - Soft Drinks industry, established for a ten-year period and considering the subsequent ten years.

Clause 2. The Ministry of Industry and Trade shall be responsible for organizing, reviewing, and approving the overall development plan for the Beer - Wine - Soft Drinks industry, including the planning for wine production nationwide.

Clause 3. Based on the overall development plan for the Beer - Wine - Soft Drinks industry approved by the Ministry of Industry and Trade, the People's Committee of provinces and centrally governed cities (hereinafter referred to as "province") shall organize, review, and approve the overall development plan for the Beer - Wine - Soft Drinks industry within their jurisdiction, including the planning for wine production and traditional craft villages producing wine. 5. Before the expiration date of the license by thirty days, organizations and individuals producing handcrafted alcohol for business purposes must submit a request for reissue of the license to the competent authority issuing the license for consideration. 6. The area of the premises must be at least 1000 square meters (or the volume must be at least 1000 cubic meters) to meet the requirements for preserving the quality of alcohol products during storage;

Clause 4. The establishment, adjustment, amendment, and supplementation of the overall development plan for the Beer - Wine - Soft Drinks industry shall be carried out in accordance with current regulations on planning management.

Article 6. Recognition of traditional craft villages producing handcrafted wine

The provincial People's Committee shall decide to recognize traditional craft villages producing wine within their jurisdiction according to current regulations on recognizing traditional craft villages, ensuring the following conditions:

Point 1. The traditional craft village producing wine must be located within the overall development plan for the Beer - Wine - Soft Drinks industry within its jurisdiction.

Point 2. The traditional craft village must establish and apply a common production process for wine bearing the brand name of the traditional craft village.

Point 3. Wine products must meet quality, food safety, and labeling requirements applicable to all members engaged in wine production within the traditional craft village area.

Point 4. All members engaged in wine production within the traditional craft village area must comply with legal provisions regarding environmental protection, fire prevention, and control.

Point 5. Recognized traditional craft villages producing wine have the responsibility to build, preserve, and develop the brand name of the traditional craft village.

Chapter II

Article 5. Application Documents for Issuance of Industrial Alcohol Production License

Article 7. Investment in industrial wine production

Clause 1. Investment in wine production must be consistent with the overall development plan for the Beer - Wine - Soft Drinks industry that has been approved.

Clause 2. The investor of the wine production project shall be responsible for complying with legal provisions on investment, construction, quality, food safety, environmental protection, fire prevention and control, and other related legal provisions.

Article 8. Conditions for Issuing a Permit for Industrial Wine Production

Conditions for issuing a permit for industrial wine production include:

Point 1. The enterprise must have registered business activities in wine production.

Point 2. Industrial wine production must be consistent with the overall development plan for the Beer - Wine - Soft Drinks industry that has been approved.

Point 3. There must be a production line of machinery and equipment, and production technology for wine. All machinery and equipment for wine production must have a legitimate source.

Point 4. Ensure conditions as stipulated by laws on labor safety, fire prevention and control, and environmental protection.

Point 5. Possess lawful ownership or usage rights for product labels of wine in Vietnam.

6. Having technical staff with appropriate qualifications and expertise in the alcohol production industry.

Point 7. Persons directly involved in wine production must ensure good health and not suffer from infectious diseases.

Article 9. Industrial Alcohol Production Permit

1. Enterprises are only entitled to operate production and business activities from the date they are granted the permit.

2. Authority to issue the Industrial Alcohol Production Permit:

a) The Ministry of Industry and Trade is the agency issuing the Alcohol Production Permit for investment projects with a production scale of three million liters or more per year.

b) The Department of Industry and Trade at the local level is the agency issuing the Alcohol Production Permit for investment projects with a production scale below three million liters per year within the locality.

3. The Ministry of Industry and Trade shall provide detailed guidance on the application dossier for the Industrial Alcohol Production Permit.

4. Procedures for issuing the Industrial Alcohol Production Permit:

a) Within twenty days from the date of receiving a complete and valid application, the Ministry of Industry and Trade or the Department of Industry and Trade where the enterprise's production headquarters is located shall examine and issue the Industrial Alcohol Production Permit. In case of refusal to issue, a written response must be provided with clear reasons stated;

b) In cases where the application is incomplete, within seven days from the date of receipt of the application, the issuing authority must issue a written request for supplementation.

5. The Industrial Alcohol Production Permit has a validity period of fifteen years. Thirty days before the expiration date of the Permit, the alcohol producing enterprise must submit a written request to the competent authority to reissue the permit for consideration.

6. The Ministry of Industry and Trade shall guide the cases, procedures, formalities, and application dossiers for reissuing, amending, and supplementing the Industrial Alcohol Production Permit.

Article 10. Rights and Obligations of Industrial Alcohol Producing Enterprises

In addition to the rights and obligations stipulated by law, industrial alcohol producing enterprises also have the following rights and obligations:

1. Training employees on fire prevention and explosion safety, environmental protection, and food safety according to regulations.

2. Strictly adhering to regulations on product quality, food safety, and labeling.

3. Fulfilling the obligation to provide information about alcohol products in accordance with the guidelines of the competent authority.

4. Implementing regular reporting every six months and annually on business operations as guided by the Ministry of Industry and Trade.

5. Organizing periodic health checks for workers once every twelve months. For workers directly involved in alcohol production, their health must be ensured and they must not suffer from infectious diseases as prescribed by current regulations.

6. Being able to organize distribution and wholesale of alcohol produced by the enterprise, and only being allowed to sell retail products directly through the company's affiliated stores in accordance with regulations without having to apply for a distribution, wholesale, or retail business permit.

7. Distributing alcohol produced by the enterprise (directly or through affiliated companies or branches) to other businesses holding distribution and wholesale permits for alcohol products.

8. Importing food-grade alcohol, semi-finished alcohol, and additives to blend into finished alcohol products or entrusting importation for other enterprises holding industrial alcohol production permits.

9. Paying fees and charges for the issuance of the Industrial Alcohol Production Permit as prescribed by the Ministry of Finance.

Article 11. Handicraft Alcohol Production for Business Purposes

1. Conditions for Issuing the Handicraft Alcohol Production Permit for Business Purposes:

a) Having registered business activities in the production of handicraft alcohol;

b) Ensuring conditions related to environmental protection, product quality, food safety, and labeling of alcohol products as prescribed by current laws.

2. Authority to Issue the Permit: The Economic Office or the Industry and Trade Office (hereinafter referred to collectively as the Industry and Trade Office) under the People's Committee of the district or county where the organization or individual sets up the handicraft alcohol production facility for business purposes is the agency issuing the Handicraft Alcohol Production Permit for Business Purposes.

3. Procedures and Formalities for Issuing the Handicraft Alcohol Production Permit for Business Purposes:

a) Within fifteen days from the date of receiving a complete and valid application, the Industry and Trade Office under the People's Committee of the district or county where the organization or individual sets up the production facility shall examine and issue the Handicraft Alcohol Production Permit for Business Purposes according to the model prescribed by the Ministry of Industry and Trade. In case of refusal to issue, a written response must be provided with clear reasons stated;

b) In cases where the application is incomplete, within seven days from the date of receipt of the application, the issuing authority must issue a written request for supplementation.

4. The Handicraft Alcohol Production Permit for Business Purposes has a validity period of five years. Thirty days before the expiration date of the permit, organizations or individuals producing handicraft alcohol for business purposes must submit a written request to the competent authority to reissue the permit for consideration. 7. The area of the premises must be at least 150 square meters (or the volume must be at least 150 cubic meters) to meet the requirements for preserving the quality of alcohol products during transportation;

5. The Ministry of Industry and Trade shall provide specific guidance on the application dossier for the Handicraft Alcohol Production Permit for Business Purposes; procedures, formalities, and application dossiers for reissuing, amending, and supplementing the Handicraft Alcohol Production Permit for Business Purposes.

6. Rights and Obligations of Organizations and Individuals Producing Handicraft Alcohol for Business Purposes.

In addition to the rights and obligations stipulated by law, organizations and individuals producing handicraft alcohol have the following rights and obligations:

a) Being able to join village craft associations for alcohol production if located within a craft village;

b) Being able to organize distribution and wholesale of alcohol produced by the organization or individual, and only being allowed to sell retail products directly through the organization's or individual's affiliated stores in accordance with regulations without having to apply for a distribution, wholesale, or retail business permit;

c) Being able to distribute alcohol produced by the organization or individual to sell to businesses holding distribution and wholesale permits for alcohol products;

d) Organizations and individuals producing handicraft alcohol are not permitted to import alcohol products, semi-finished alcohol, food-grade alcohol, and additives to blend into finished alcohol products;

đ) Paying fees and charges for the issuance of the Handicraft Alcohol Production Permit for Business Purposes as prescribed by the Ministry of Finance.

Article 12. Production of Handmade Alcohol for Sale to Businesses with a Production License for Further Processing

1. Organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing must register with the local authorities at the place of production.

2. The People's Committee of the commune or ward where organizations and individuals establish a production facility for handmade alcohol for sale to businesses with a production license for further processing shall be the authority to which organizations and individuals come to register for alcohol production.

3. Within one year from the date this Decree takes effect, organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing must re-register with the local authorities at the place of production.

4. Organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing are responsible for implementing environmental protection regulations during their alcohol production activities.

5. The Ministry of Industry and Trade shall provide detailed guidance on the procedures, formalities, and registration documents for producing handmade alcohol for sale to businesses with a production license for further processing.

6. Rights and obligations of organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing.

In addition to rights and obligations stipulated by law, organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing have the following rights and obligations:

a) Not required to declare product quality, register trademarks, or affix labels.

b) During transportation to the point of consumption, organizations and individuals only need to present purchase and sale contracts for alcohol to competent authorities if inspected.

c) Must register for producing handmade alcohol with local authorities and request confirmation from local authorities regarding the production of handmade alcohol for sale to businesses with a production license for further processing as prescribed in Clause 1 and Clause 2 of this Article.

d) Organizations and individuals producing handmade alcohol for sale to businesses with a production license for further processing may only sell the alcohol they produce to businesses with a production license for alcohol. If not sold to such businesses, they must apply for a production license for alcohol according to Article 11 of this Decree.

đ) Shall be responsible for implementing environmental protection regulations.

Article 13. Quality and Food Safety

1. Alcohol products are mandatory to register a conformity declaration.

2. Procedures for registering a conformity declaration shall be carried out in accordance with the Food Safety Law, Government Decree No. 38/2012/NĐ-CP dated April 25, 2012 detailing certain provisions of the Food Safety Law, and other current regulatory legal documents related thereto.

Article 14. Product Labeling for Alcohol Products

1. Alcohol products can only be consumed in Vietnam when they bear a label in compliance with the law, except as provided for in Article 12 of this Decree.

2. Alcohol products consumed in Vietnam must comply with labeling requirements under the law on food product labeling.

3. For alcohol produced for export, labeling must comply with the requirements of the importing country, provided that these requirements do not misrepresent the nature of the goods, nor violate Vietnamese law or the law of the importing country.

Article 15. Stamp for alcohol products

1. Domestic-produced alcohol products intended for domestic consumption and imported alcohol products intended for consumption in Vietnam must be affixed with stamps on their packaging in accordance with the regulations of the Ministry of Finance (except in cases where handcrafted alcohol is produced for sale to enterprises holding a Production License for Alcohol for further processing).

2. From January 1, 2014, domestic-produced alcohol products circulating in the market must be affixed with stamps.

3. The Ministry of Finance shall stipulate the printing, issuance, and management of the use of stamps for domestically-consumed alcohol products and imported alcohol products.

4. Stamps for domestically-consumed alcohol products and imported alcohol products may only be issued to organizations and individuals holding a Production License for Alcohol and a Business License for Distributing Alcohol Products.

5. Exported alcohol products, samples, and exhibits abroad shall comply with stamping requirements as prescribed by the importing country.

Article 16. Obligation to Provide Information about Alcohol Products

1. Organizations and individuals producing and trading in alcohol have the responsibility to provide information about their alcohol products upon request from competent authorities.

2. Information about alcohol products must clearly state the ingredients, alcohol content, and the harmful effects of excessive alcohol consumption.

3. Advertising of alcohol products must comply with current laws on advertising.

Chapter III

ALCOHOL PRODUCT TRADING

Article 17. Conditions for Issuing a Business License for Alcohol Products

1. Conditions for issuing a Business License for Distributing Alcohol Products include:

a) Being a business established in accordance with the law and registered for wholesale trade in alcoholic beverages or alcohol production;

b) Having a fixed place of business with a clear address that meets technical and equipment requirements as prescribed;

c) Having a distribution system for alcohol products in at least six provinces (each province must have at least three wholesalers of alcohol products);

d) Having a letter of introduction and purchase contract from organizations or individuals producing alcohol or other alcohol product distributors;

đ) Having a warehouse (or warehouse system) owned or co-owned under a joint venture or capital contribution agreement; or having a lease agreement for a warehouse suitable for the scale of business operations (minimum total area of 300 square meters or volume of 1,000 cubic meters) capable of preserving the quality of alcohol products during storage;² e) Possessing transport means owned or jointly owned under joint venture or cooperation agreements; or having a lease agreement for transport means suitable to the scale of business operations (at least one vehicle with a carrying capacity of at least 500 kilograms) to meet the requirements for preserving the quality of alcohol products during transportation;³g) Complying with the provisions of Article 18 of this Decree.

e) Having transportation means owned or co-owned under a joint venture or capital contribution agreement; or having a lease agreement for transportation means suitable for the scale of business operations (minimum of three vehicles with a carrying capacity of at least 500 kilograms); capable of preserving the quality of alcohol products during transportation;

g) Having financial capability to ensure normal operation of the entire distribution system (with a confirmation letter from a bank of at least one billion Vietnamese dong);

h) Having a commitment from the enterprise to fully comply with fire prevention, firefighting, and environmental protection requirements as prescribed by law;

i) Complying with the provisions of Article 18 of this Decree.

2. Conditions for issuing a Business License for Wholesale Trade in Alcohol Products include:

a) Being a business established in accordance with the law and registered for wholesale trade in alcoholic beverages or alcohol production;

b) Having a fixed place of business with a clear address that meets technical and equipment requirements as prescribed;

c) Having a wholesale system for alcohol products in the province where the trader's main office is located (at least three retail traders of alcohol products);

d) Being part of the trading system of organizations or individuals producing alcohol or alcohol product distributors; having a contract and letter of introduction from organizations or individuals producing alcohol or alcohol product distributors;

đ) Having a warehouse (or warehouse system) owned or co-owned under a joint venture or capital contribution agreement; or having a lease agreement for a warehouse suitable for the scale of business operations (minimum total area of 50 square meters or volume of 150 cubic meters);² 7. Alcohol may only be imported into Vietnam through international border gates. In addition to the documents presented to customs authorities when handling import procedures as prescribed, import traders must present either a designation or authorization letter as a distributor or importer of the original manufacturer or trader, or an agency contract with the manufacturer or trader of that product.³g) Complying with the provisions of Article 18 of this Decree.

e) Possess transportation means owned or co-owned under a joint venture or capital contribution contract; or have a transportation means lease contract suitable to the scale of the enterprise's business (at least one vehicle with a carrying capacity of 500 kg or more); meeting the requirements for preserving the quality of wine products during transportation;

g) Having financial capability to ensure normal operation of the entire distribution system (with a confirmation letter from a bank of at least 300 million Vietnamese dong);

h) Having a commitment from the enterprise to fully comply with fire prevention, firefighting, and environmental protection requirements as prescribed by law;

i) Complying with the provisions of Article 18 of this Decree.

3. Conditions for issuing a Business License for Retail Trade in Alcohol Products include:

a) The trader being registered for retail trade in alcoholic beverages or alcohol production;

b) Having a fixed place of business with a clear address that meets technical and equipment requirements as prescribed;

c) Being part of the distribution system of a wholesale trader of alcohol products; having a contract and letter of introduction from a wholesale trader of alcohol products; d) Having a warehouse (or warehouse system) owned or co-owned under a joint venture or capital contribution agreement; or having a lease agreement for a warehouse suitable for the scale of business operations capable of preserving the quality of alcohol products during storage;

đ) Having a commitment from the trader to fully comply with fire prevention, firefighting, and environmental protection requirements as prescribed by law;

e) Complying with the retail trading system planning announced by the Department of Industry and Trade of the province;

g) Complying with the provisions of Article 18 of this Decree.

g) In compliance with the provisions of Article 18 of this Decree.

Article 18. Business License for Alcohol Products

1. The number of business licenses for distributing, wholesaling, and retailing alcohol products shall be determined based on the following principles:

a) The business license for distributing alcohol products shall be determined according to the national population, with the principle that there shall not exceed one (01) business license for distributing alcohol products for every four hundred thousand (400,000) people.;

b) The business license for wholesaling alcohol products shall be determined within the province based on the principle that there shall not exceed one (01) business license for wholesaling alcohol products for every one hundred thousand (100,000) people;

c) The business license for retailing alcohol products at retail stores within the administrative area of a district, county, or town (hereinafter referred to as county) shall be determined based on the principle that there shall not exceed one (01) business license for retailing alcohol products for every one thousand (1,000) people and in accordance with the planning of the retail alcohol product sales system.

2. Annually from the date this Decree takes effect, the competent authority shall announce the number of business licenses for distributing, wholesaling, and retailing alcohol products, including the number of valid licenses and the remaining unissued licenses (if any), in accordance with the principles set forth in Clause 1 of this Article:

a) The Ministry of Industry and Trade shall announce the maximum number of business licenses for distributing alcohol products nationwide (the number of valid licenses and the remaining unissued licenses (if any)) before December 31 each year;

b) The Department of Industry and Trade within the provincial administration shall announce and report to the Ministry of Industry and Trade the maximum number of business licenses for wholesaling alcohol products within the province, and the maximum number of business licenses for retailing alcohol products within each county in the province (the number of valid licenses and the remaining unissued licenses (if any)) before December 31 each year;

c) The Industry and Commerce Office or the Economic Infrastructure Office (hereinafter collectively referred to as the Industry and Commerce Office) within the county administration shall announce and report to the Department of Industry and Trade the maximum number of business licenses for retailing alcohol products within the county (the number of valid licenses and the remaining unissued licenses (if any)) before December 31 each year.

3. Business licenses for distributing, wholesaling, and retailing alcohol products shall be issued based on the priority principle: Issuing business licenses for alcohol products to traders who request renewal of expired licenses if they meet the conditions stipulated and do not violate the law; considering issuing licenses to new traders if they fully meet the stipulated conditions, with applications received earlier by the competent authority being considered first. The number of licenses issued shall not exceed the announced number.

4. Authority to issue Business Licenses for Alcohol Products

a) The Ministry of Industry and Trade is the agency issuing business licenses for distributing alcohol products;

b) The local Department of Industry and Trade is the agency issuing business licenses for wholesaling alcohol products;

c) The Industry and Commerce Office is the agency issuing business licenses for retailing alcohol products.

5. Procedures for Issuing Business Licenses for Alcohol Products

a) Within fifteen days from receiving complete and valid application files, the state management agency for industry and trade shall be responsible for reviewing, assessing, and issuing business licenses for alcohol products to traders in accordance with the guidelines of the Ministry of Industry and Trade. In case of refusal, a written response must be provided with clear reasons;

b) If the application file is incomplete or invalid, within seven days from receipt of the file, the state management agency for industry and trade shall issue a written request for the trader to complete it.

6. Business licenses for distributing, wholesaling, and retailing alcohol products have a validity period of five years. Thirty days before the expiration of the license, traders wishing to continue operating in alcohol products must submit a written request for renewal to the competent authority to consider issuance in accordance with this Decree.

7. The Ministry of Industry and Trade shall provide detailed guidance on the application procedures for issuing new, renewing, amending, and supplementing business licenses for distributing, wholesaling, and retailing alcohol products.

8. Each trader may only be granted one type of business license for alcohol products. Traders granted business licenses for alcohol products must pay fees and charges as prescribed by the Ministry of Finance.

Article 19. Rights and Obligations of Business Entities Engaging in Alcohol Product Trade

1. Purchase alcohol products with legitimate origin.

2. Organize circulation and consumption of alcohol products on the market in accordance with the Business License for Alcohol Products issued.

3. Distributors and wholesalers of alcohol products may only sell alcohol products to business entities holding a Business License for Alcohol Products within their distribution system within the permitted geographical area.

4. Distributors of alcohol products may purchase alcohol products from organizations or individuals producing alcohol, other distributors of alcohol products, or directly from foreign traders to sell to wholesalers of alcohol products or organize direct retail sales of alcohol products at stores under their control within the permitted geographical area.

5. Wholesalers of alcohol products may purchase alcohol products from organizations or individuals producing alcohol or from distribution enterprises to sell to retailers of alcohol products or organize direct retail sales of alcohol products at stores within the province's permitted geographical area.

6. Retailers of alcohol products may purchase alcohol products from wholesalers of alcohol products to sell at the licensed location.

7. Retailers of alcohol products shall not sell alcohol products to persons under 18 years old.

8. Business entities engaging in alcohol product trade must display a valid copy of the Business License for Alcohol Products issued by the competent authority and list the types and prices of alcohol products they are trading at their headquarters, branches, representative offices, and business locations. 9. Business entities engaging in alcohol product trade must have a written agreement or business contract for purchasing and selling alcohol products.

10. Business entities engaging in alcohol product trade must fulfill the obligation to report and register their distribution systems with the competent authorities.

11. Regularly report business conditions according to the guidelines provided by the state management agency that has issued the Business License for Alcohol Products to the business entity in compliance with current laws.

Article 20. Importation of Alcohol

1. Imported alcohol includes bottled, boxed, cased finished alcohol products for immediate consumption and semi-finished alcohol and auxiliary materials used to blend finished alcohol products in Vietnam.

2. Imported alcohol must have legal import documentation in accordance with current regulations and comply with the labeling requirements for imported alcohol as stipulated in Article 15 of this Decree.

3. Imported alcohol must be labeled in accordance with Article 14 of this Decree and other relevant legal provisions.

4. Only enterprises with a Business License for Distribution of Alcohol Products may directly import alcohol and are responsible for the quality and food safety of imported alcohol. Enterprises importing semi-finished alcohol and auxiliary materials for blending into finished alcohol products may only sell to enterprises with a Production License for Industrial Alcohol.

5. Enterprises with a Production License for Industrial Alcohol are permitted to directly import or entrust the importation of semi-finished alcohol and auxiliary materials for blending into finished alcohol products.

6. Imported alcohol must be registered for conformity declaration with the competent authority of Vietnam before importation and must obtain a "Notification of Food Import Compliance Confirmation Result" for each consignment in accordance with current regulations.

7. Alcohol may only be imported into Vietnam through international border gates. In addition to the documents presented to customs authorities when processing import procedures as required, importers must also present a designation or authorization letter as a distributor or importer of the original manufacturer or a sales agency contract with the manufacturer or trader of the product.

7. Wine may only be imported into Vietnam through international border gates. In addition to the documents presented to the customs authority when processing import procedures as prescribed, the importer must also present either a designation or authorization letter as the distributor or importer of the original manufacturer, or a sales agency contract with the manufacturer or trader of that product.

Article 21. Prevention and Combating Smuggling and Commercial Fraud

1. Fake alcohol, alcohol not meeting quality and food safety standards as prescribed shall be confiscated for destruction. Illicit alcohol shall be confiscated and handled in accordance with relevant laws.

2. Organizations and individuals engaged in the business of alcoholic products have the obligation to cooperate with competent authorities in the work of preventing and combating smuggling of alcoholic products, producing and trading fake alcoholic products, and commercial fraud.

Chapter IV

VIOLATIONS AND PENALTIES FOR VIOLATIONS

Article 22. Violations of Laws on Production and Trading of Alcoholic Products

1. Producing and trading alcoholic products without a Permit issued by a competent state agency.

2. Producing, buying, selling, and consuming illicit imported alcoholic products, fake alcoholic products, counterfeit labels and designs, and products that do not meet standards and quality requirements as prescribed by law.

3. Producing alcoholic products beyond the production capacity specified in the permit.

4. Machinery, equipment, and production processes for making alcoholic products without legitimate origins.

5. Circulating and consuming products without proper labeling or incorrect labeling, failing to register conformity declarations, and not affixing stamps as prescribed by law.

6. Trading alcoholic products contrary to the objects, locations, and contents recorded in the Trading Permit for Alcoholic Products.

7. Trading alcoholic products when the Trading Permit for Alcoholic Products has expired.

8. Forgery, erasure, alteration, renting, lending, transferring, buying, and selling of Production and Trading Permits for Alcoholic Products.

9. Trading alcoholic products at prohibited locations as prescribed by law.

10. Trading without contracts or failing to comply with commitments recorded in contracts.

11. Selling alcoholic products through vending machines.

12. Selling alcoholic products to persons under eighteen years old or selling through the Internet.

13. Organizations and individuals producing and trading alcoholic products failing to report or reporting incorrectly to competent state agencies.

14. Advertising and promoting alcoholic products contrary to legal provisions.

15. Sponsoring cultural, artistic, sports, entertainment, health care, and other social activities tied to advertising alcoholic products.

16. Using alcoholic products as prizes for contests, except for contests about alcoholic products.

17. Other violations as prescribed by law.

Article 23. Revocation of Production and Trading Permits for Alcoholic Products

Organizations and individuals will be subject to revocation of Production and Trading Permits for Alcoholic Products by competent authorities in cases of violating conditions for production and trading of alcoholic products and other violations as prescribed by law.

Article 24. Handling of violations

Organizations and individuals committing violations of laws on production and trading of alcoholic products will be disciplined, administratively sanctioned, or criminally prosecuted depending on the nature and degree of violation, and must compensate for losses caused in accordance with the law.

Chapter V

STATE MANAGEMENT RESPONSIBILITIES

Article 25. Responsibilities of the Ministry of Industry and Trade

1. Submitting to the Government and the Prime Minister for issuance or issuing within its authority normative legal documents on the production and trading of alcoholic products.

2. Leading and coordinating with ministries, sectors, and localities to control and manage the production and trading of alcoholic products through the Overall Planning for the Development of the Beer-Alcohol-Soft Drink Industry.

3. Fulfilling state management responsibilities over the alcoholic product industry in investment construction in accordance with legal regulations and this Decree.

4. Managing food safety for alcoholic products in accordance with the Food Safety Law.

5. Prescribing the authority, procedures, and formalities for issuing, reissuing, amending, supplementing, and revoking Industrial Alcohol Production Permits, Handicraft Alcohol Production Permits for Business Purposes, Certificates of Registration for Handicraft Alcohol Production for Sale to Enterprises with Production Permits for Further Processing, Distribution Trading Permits for Alcoholic Products, Wholesale Trading Permits for Alcoholic Products, and Retail Trading Permits for Alcoholic Products.

6. Inspecting and supervising production and trading enterprises regarding compliance with the Alcoholic Product Production Plan, product quality, food safety, and environmental protection; resolving complaints and accusations and handling violations in the production and trading of alcoholic products.

7. Leading and coordinating with relevant competent authorities to organize inspections, detection, and handling of other violations related to the trading of alcoholic products.

8. Leading or coordinating with state authorities to organize confiscation and handling of illicit imported alcoholic products, fake alcoholic products, alcoholic products not meeting quality and food safety standards, expired products, or products bearing illegal labels, lacking proper labeling, or failing to affix stamps as prescribed.

9. Leading and coordinating with ministries and sectors to establish and issue regulations on managing the production and trading of medicinal alcoholic products.

10. Leading and coordinating inspections, organizing publicity and dissemination of the implementation of this Decree.

Article 26. Responsibilities of the Ministry of Finance

1. Leading and coordinating with relevant ministries and sectors to prescribe printing, issuing, and managing the use of stamps for domestically produced and imported alcoholic products.

2. Leading and coordinating with the Ministry of Industry and Trade and relevant ministries and sectors to issue regulations on fees and charges for issuing Production Permits for Alcoholic Products and Trading Permits for Alcoholic Products.

Article 27. Responsibilities of the Ministry of Health

1. Leading drafting and submitting to the Government and the Prime Minister for issuance of legal documents on food safety and prevention of the harmful effects of excessive alcohol consumption.

2. Inspecting and monitoring the implementation of regulations on food safety and prevention of the harmful effects of excessive alcohol consumption.

3. Coordinating with relevant agencies in detecting, inspecting, and handling production facilities producing fake and illicit alcoholic products and those not ensuring food safety.

Article 28. Responsibilities of Ministries, ministerial-level agencies, and government agencies

Within their respective authorities and according to the division of labor by the Government, Ministries, ministerial-level agencies, and government agencies shall be responsible for coordinating with the Ministry of Industry and Trade to manage state administration over the production and business activities of alcohol, to promote and disseminate the implementation of the Decree on the production and business of alcohol.

Article 29. Responsibilities of People's Committees of provinces and centrally governed cities

1. To perform state management functions over the alcohol industry within their local administrative areas. They are responsible for managing and resolving issues within the authority of the locality.

2. To establish, review, and approve the overall planning for the development of the Beer - Alcohol - Soft Drinks industry within their administrative areas, including the planning for alcohol production and traditional craft villages producing alcohol; to review and decide on recognizing traditional craft villages producing alcohol..

3. To direct the Department of Industry and Trade to develop the retail sales system planning for alcohol products within the province in accordance with the guidelines of the Ministry of Industry and Trade.

4. To direct local alcohol production facilities to implement the approved planning in accordance with the goals and development orientation set forth.

5. To inspect the activities of alcohol production, importation, circulation, and consumption within their administrative areas.

6. To monitor and inspect the implementation of planning, product quality, food safety, tax obligations to the State, workplace safety, and environmental protection in alcohol manufacturing enterprises, and handle violations according to the provisions of the law within their administrative areas.

7. To organize the implementation and promote education among the people regarding the production of alcohol through the overall planning for the development of the Beer - Alcohol - Soft Drinks industry and the provisions of this Decree.

8. To promote education to raise public awareness about the risks and harms of excessive alcohol consumption and using alcohol with high levels of toxic components, gradually replacing them with high-quality alcohol that meets food safety standards.

9. To direct local authorities at all levels to clarify the causes when alcohol poisoning occurs within their administrative areas and take measures to address these incidents within their authority.

Chapter VI

IMPLEMENTING PROVISIONS

Article 30. Transitional Provisions

1\. Organizations and individuals who have been granted permits for alcohol production and alcohol product business operations and whose permits are still valid do not need to reapply for permits. When the permit period expires, they must apply for a new permit in accordance with the provisions of this Decree.

2\. For organizations and individuals who have not yet been granted permits for alcohol production and alcohol product business operations, they must apply for permits in accordance with the provisions of this Decree.

Article 31. Effective Date

1\. This Decree takes effect from January 1, 2013.

2\. Within six (6) months from the date this Decree takes effect, competent authorities as stipulated in Clause 2, Article 18 shall complete the announcement of the number of alcohol product business operation permits.

3\. Abolish Decree No. 40/2008/NĐ-CP dated April 7, 2008 of the Government on the production and business of alcohol.

Article 32. Implementation organization and responsibility for enforcement

1\. The Ministry of Industry and Trade shall lead and coordinate with relevant ministries and sectors to guide the implementation of this Decree.

2. Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial People's Committees directly under the central government shall be responsible for enforcing this Decree./.