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The Ministry of Industry and Trade (MoIT) said it plans to reduce the number of business conditions from 565 to 363, following a working meeting with Deputy Prime Minister Pham Gia Tuc on implementing measures to reduce and simplify administrative procedures (TTHC) and business conditions in line with Resolution 18-KL/TW of the 14th Party Central Committee and Conclusion 185/TB-VPCP of the Government.
At the meeting, Deputy Minister Nguyen Sinh Nhat Tan reported that the total number of TTHCs under MoIT is 234 procedures, while localities handle 277 procedures. In the coming period, MoIT proposes delegating 70 procedures to localities and, within its scope, cutting and simplifying 317 procedures.
MoIT said the proposed changes are expected to reduce compliance costs by nearly 20% and cut the time required for processing by about 72%.
MoIT also stated that the number of industries and occupations with conditional business investment to be cut is 6 out of 19 sectors.
On overall results, MoIT expects to reduce business conditions from 565 to 363.
For requests to cut and simplify TTHCs based on data, MoIT cited the following digitization indicators: the digitization rate of dossiers is 89.3%; electronic copies issued reach 99%; and reuse of digitized internal data is 12.5%.
Deputy Finance Minister Nguyen Thi Bich Ngoc urged classifying sectors by risk level to apply appropriate management tools. She noted that high-risk areas such as energy, chemicals, and strategic infrastructure should still retain business conditions, but unnecessary conditions should be removed, TTHC should be simplified, and transparency should be increased.
For medium-risk sectors including construction, transportation, and logistics, Ngoc said the scope of business conditions should be narrowed and shifted toward post-inspection through standards and norms, without turning them into “extra licenses.”
For low-risk sectors, she said all investment and business conditions should be removed to facilitate market entry and support the transition to post-inspection.
Ngoc added that compliance costs should be used as the benchmark for reducing and simplifying TTHC, and she emphasized that the move toward standards and digitization is the right direction.
Deputy Justice Minister Dang Hoang Oanh said MoIT should continue reviewing sectors where business conditions can be replaced by standards and technical norms, citing examples including food trading, commodity exchanges, rice exports, e-commerce, and multi-level marketing. He also called for continued decentralization of TTHC to localities in areas such as industrial explosives, precursor chemicals, occupational safety, supporting industries, consumer industries, and minerals.
Phó Chủ nhiệm Văn phòng Chính phủ Phạm Mạnh Cường urged that cuts to TTHC and business conditions be carried out in substance rather than by simply merging procedures, and that the process should not preserve procedures merely because they involve many forms. He called for demonstrating the necessity of procedures not devolved, increasing the cut rate, and accelerating digitization.
Oanh also urged taking local input and preparing fully for implementation in devolved areas.
Concluding the meeting, Deputy Prime Minister Pham Gia Tuc praised MoIT’s efforts to review and reduce TTHC and conditional business activities, stressing that reductions should not weaken state management. He said anything unnecessary must be cut, while post-inspection and data utilization should be strengthened.
He also asked MoIT to promptly study and incorporate contributions from the Ministry of Finance, the Ministry of Justice, and VCCI, and to submit the finalized plan to the Standing Government on time.
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