Do foreign-invested companies that import beer and wine for business need to apply for a business license?

According to current legal regulations, does a company with foreign capital import beer and alcohol for business operations need to apply for a business license?

1. Does a foreign-invested company that imports beer and alcohol for business have to apply for a business license?
1.1. Activities that economic organizations with foreign investment capital to carry out are granted Business Licenses

(i) Exercise the right to retail distribution of goods, excluding goods specified in Point c, Clause 4, Article 9 of Decree 09/2018/ND-CP. Specifically, for rice goods; road; recorded items; books, newspapers and magazines: Consider licensing retail distribution rights for foreign-invested economic organizations that already have retail establishments in the form of supermarkets, mini supermarkets, and convenience stores to retail at those establishments.

(ii) Exercise the right to import and wholesale distribution of goods specified in Point b, Clause 4, Article 9 of Decree 09/2018/ND-CP. Specifically, for goods that are oil and lubricants: Consider licensing import rights and wholesale distribution rights for foreign-invested economic organizations that carry out one of the following activities:

– Producing oils and lubricants in Vietnam.

– Manufacturing or being licensed to distribute in Vietnam machinery, equipment, and goods that use specific types of oils and lubricants.

(iii) Exercise the right to retail distribution of goods specified in Point c, Clause 4, Article 9 of Decree 09/2018/ND-CP.

(iv) Providing logistics services; except for logistics service sub-sectors in which Vietnam has committed to open the market in international treaties to which Vietnam is a member.

(v) Leasing of goods, excluding financial leasing; except for rental of construction equipment with operators.

(vi) Providing trade promotion services, excluding advertising services.

(vii) Providing commercial intermediary services.

(viii) Providing e-commerce services.

(ix) Providing services of organizing bidding for goods and services.

1.2. Some notes

(i) Licenses to establish retail establishments are issued to economic organizations with foreign investment capital to establish retail establishments.

(ii) Economic organizations with foreign investment have the right to apply for a License to establish a retail establishment after having a Business License and documents on the location of the retail establishment.

(iii) In case the location of the first retail establishment is in the same province/centrally run city as the head office, the economic organization with foreign investment capital has the right to apply for a Business License at the same time as the issuance of the License to establish the first retail establishment. Documents and implementation order are as prescribed in Article 20 of Decree 09/2018/ND-CP.

(iv) Economic organizations falling into the cases specified in Points b and c, Clause 1, Article 23 of the Law on Investment 2020 must meet the conditions and implement: Business License issuance procedures when carrying out activities requiring a Business License; Procedures for granting a License to establish a retail establishment when setting up a retail establishment, according to the provisions of Decree 09/2018/ND-CP.

(v) Economic organizations with retail establishments in Vietnam, after receiving capital contributions, become economic organizations with foreign investment capital, economic organizations falling into the cases specified in Points b and c, Clause 1, Article 23 of the Law on Investment 2020, must carry out procedures for granting a Business License and a License to establish retail establishments.

Documents and procedures for granting a Business License in this case comply with the provisions of Articles 12 and 13 of Decree 09/2018/ND-CP.

Documents and procedures for granting a License to establish a retail establishment allowing the retail establishment to continue operating shall comply with the provisions of Article 38 of Decree 09/2018/ND-CP.

(Article 5 of Decree 09/2018/ND-CP)

2. What is the basis for considering approval for a Business License?

The Ministry of Industry and Trade and industry management ministries base on the following content to consider and approve the issuance of Business Licenses for cases specified in Accounts 2, 3 and 4, Article 9 of Decree 09/2018/ND-CP:

(i) Conformity with planning and strategy for developing industries and fields of the region and country.

(ii) Vietnam’s market opening negotiation process.

(iii) Vietnam’s need to open its market.

(iv) Strategy for cooperation with foreign partners of Vietnam.

(v) Diplomatic relations, national security issues, social order and safety in cases where foreign investors do not belong to countries or territories participating in international treaties to which Vietnam is a member.