Ministry demands tightened management of strategic commodities

Hanoi (VNA) – The Minister of Industry and Trade has signed off Directive No. 10/CT-BCT on enhancing the management of the export and import of some commodities to support domestic production and consumption.

This is considered an urgent and timely move amid the COVID-19 pandemic that remains complicated in Hanoi, Ho Chi Minh City, and many large provinces and cities, which has substantially affected socio-economic development in the country.

Import of some commodities rises strongly

Over the last seven months, the export and import of some strategic commodities that are crucial to domestic production and consumption like petrol, oil, coal, steel, and fertiliser have shown some signs needing monitoring, assessment, and further management to support domestic production and consumption.

A sharp increase has been recorded in the import of some goods that domestic enterprises are able to produce such as petrol, oil, coal, and rice. Meanwhile, some others Vietnam has great demand for have been exported strongly. This fact has affected the supply and demand balance, as well as domestic prices.

Given this, to help stabilise prices and the market and to support domestic production and consumption, the Minister of Industry and Trade has told the Vietnam Steel Association, the Vietnam Steel Corporation, and steel manufacturers and exporters to review issues related to raw materials, reduce production costs, boost production capacity to meet domestic demand as much as possible, and minimise exporting the goods in demand in the country.

He asked the Vietnam Energy Association, the Vietnam Fertiliser Association, the Vietnam Sugarcane and Sugar Association, the Vietnam National Petroleum Group (Petrolimex), other groups, corporations, exporters, and importers of petrol and sugar to sympathise with domestic manufacturers to prioritise using domestic supplies instead of imported items.

Review of mechanisms, policies needed

The directive also stressed that relevant agencies under the Ministry of Industry and Trade need to review the export and import situation and management mechanisms in order to propose measures for strengthening export and import management, thereby assisting domestic production and consumption.

They have to submit reports to the minister by August 30.

In particular, the agencies have to review export and import mechanisms and suggest measures for managing the trade of rice, sugar, fertiliser, and coal.

They need to coordinate with other ministries and sectors to work out measures and solutions to be submitted to the Minister of Industry and Trade for decision, or the Prime Minister if those solutions are beyond the ministry’s jurisdiction.

The directive told the ministry’s Domestic Market Department to work with the Government Office and related agencies to soon approve and issue a decree revising and supplementing Decree No. 83/2014/ND-CP on the petrol business, issued by the Government on September 3, 2014.

The minister asked relevant agencies to order petrol wholesalers to prioritise supplies from domestic refineries to ensure the supply and demand balance, step up the management of petrol quality, and guarantee supplies at gas stations to meet consumer demand in any circumstance.

Directive No. 10/CT-BCT also requested updates about the domestic steel production situation and coordination among relevant agencies to promote domestic manufacturers’ production capacity. Review of export mechanisms and solutions for managing steel and iron ore exports are also needed.

The minister also demanded trade defence measures to be reviewed and appropriate trade remedies that are in line with legal regulations to be proposed so as to ensure healthy competition and aid domestic production activities. A report on this issue must be submitted to the minister by August 30.

Meanwhile, the directive added, the Vietnam Directorate of Market Surveillance needs to order its units nationwide to boost market examination and fight against counterfeits, goods that infringe intellectual property rights, and smuggled items, especially the key commodities serving domestic production and consumption./.