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THE
GOVERNMENT
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SOCIALIST
REPUBLIC OF VIET NAM
Independence - Freedom – Happiness
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No. 40/1998/ND-CP
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Hanoi, June
10, 1998
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DECREE
ON THE SHIPPING
BUSINESS BY COMPANIES AND PRIVATE ENTERPRISES
THE GOVERNMENT
Pursuant to
the Law on Organization of the Government of September 30, 1992;
Pursuant to the Vietnam Maritime Code of June 30, 1990;
Pursuant to the Law on Companies of December 21, 1990 and the Law Amending and
Supplementing a Number of Articles of the Law on Companies of June 22, 1994;
Pursuant to the Law on Private Enterprises of December 21, 1990 and the Law
Amending and Supplementing a Number of Articles of the Law on Private
Enterprises of June 22, 1994;
At the proposal of the Minister of Communications and Transport,
DECREES:
Article 1.-
This Decree stipulates the conditions and procedures for granting shipping
business permits to companies and private enterprises and the conditions and
procedures for granting permits for shipping activities on maritime routes to
Vietnamese sea-going ships under Vietnamese private ownership.
Article
2.- Vietnamese sea-going ships under Vietnamese private ownership provided
for in this Decree, hereafter referred to as "private sea-going
ships" for short, are sea-going ships owned by companies or private
enterprises which have been established under the Law on Companies or the Law
on Private Enterprises and registered in the "national sea-going ship
registry".
Article 3.-
Private-sea-going ships that satisfy all the conditions provided for in this
Decree, other relevant provisions of Vietnamese laws and the provisions of
international agreements which Vietnam has signed or acceded to, may be granted
permits to conduct shipping activities on maritime routes.
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1. A domestic maritime route is a maritime route
that links a Vietnamese sea port or a inland waterway port with another
Vietnamese seaport or vice versa.
2. An international maritime route is a maritime
route that links a Vietnamese seaport with a foreign seaport, which is
classified as follows:
a/ A coastal international maritime route is a
maritime route that links a Vietnamese seaport with a seaport of the province
of Guanxi, China or to a seaport of Cambodia.
b/ A near international maritime route is a
maritime route that links a Vietnamese seaport with a seaport of a South East
Asian or South North Asian country, other than the seaports provided for in Point
2.a , Clause 2 of this Article.
c/ An trans-ocean international maritime route
is a maritime route that links a Vietnamese seaport with a seaport of any
country in the world, other than the seaports provided for in Points 2.a and
2.b, Clause 2 of this Article.
Article 5.-
Companies and private enterprises shall be permitted to conduct shipping
business on domestic maritime routes if they satisfy all the following
conditions:
1. Satisfying all the conditions prescribed by
the Law on Companies or the Law on Private Enterprises;
2. Having the legal capital of at least two
billion Vietnam dong;
3. Their business activity managerial and
executive staff must meet the professional requirements under the guidance of
the Ministry of Communications and Transport, who have at least graduated from
an intermediate maritime school and worked in the sea-shipping industry for
three or more years;
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5. The People's Committee of the province or
city directly under the Central Government (hereafter collectively referred to
as the provincial-level People's Committee), where the concerned company or
private enterprise has its head office, request in writing the Ministry of Communications
and Transport to approve the granting of a shipping business permit.
Article 6.-
Companies and private enterprises shall be permitted to conduct shipping
business on international maritime routes if they satisfy all the following
conditions:
1. Satisfying all the conditions prescribed by
the Law on Companies or the Law on Private Enterprises;
2. Having the legal capital of at least five
billion Vietnam dong with regard to coastal international maritime routes, 10
billion Vietnam dong with regard to near international maritime routes or 15
billion Vietnam dong with regard to trans-ocean international maritime routes;
3. Their business activity managerial and
executive staff must meet the professional requirements under the guidance of
the Ministry of Communications and Transport, who have at least graduated from
an intermediate maritime school with regard to coastal international maritime
routes, or a maritime university with regard to near international maritime
routes and trans-ocean international maritime routes, have worked in the
maritime shipping industry for five or more years, and acquired an
English-language level needed for shipping activities on international maritime
routes;
4. Their chief accountants must meet the
professional requirements prescribed by the Ministry of Finance and acquired an
English-language degree needed for shipping business activities on
international maritime routes;
5. The provincial-level People's Committee of
the place where the concerned company or private enterprise has its head
office, request in writing the Ministry of Communications and Transport to
approve the granting of a shipping business permit.
Article 7.-
The Prime Minister shall authorize the Minister of Communications and Transport
to consider and decide the granting of permits to companies and private
enterprises conducting shipping business on international maritime routes.
Article 8.-
Shipping enterprises shall be established according to the following order:
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2. Within seven days from the date of receipt of
the proper and complete dossiers, the provincial-level People's Committees
shall send written documents together with the applicants' dossiers to the
Ministry of Communications and Transport;
3. Such a dossier must include the copies of all
academic diplomas and certificates as stipulated in Article 5 or Article 6 of
this Decree;
4. Within 10 (ten) days from the date of receipt
of the proper dossiers, the Ministry of Communications and Transport shall
reply in writing whether to approve or disapprove it so that the
provincial-level People's Committees decide the establishment of the
enterprises. In case of disapproval, the reason(s) therefor must be clearly
stated;
5. After receiving the written approval of the
Ministry of Communications and Transport the provincial-level People's
Committees shall decide to grant permits to establish companies or private
enterprises. Such companies or private enterprises shall then proceed with
legal procedures in accordance with the provisions of law.
Article 9.-
If companies or private enterprises which have been permitted to conduct
shipping business on domestic maritime routes wish to also conduct shipping
business on international maritime routes they shall have to both satisfy the
conditions specified in Article 6 and Article 10 of this Decree and obtain a
competent financial agency's written certification of their fulfillment of all
the financial obligations in the preceding fiscal year.
Article
10.- Private sea-going ships shall be granted "maritime operation
permits" for operating on maritime routes if all the following conditions
are met:
1. The ship owners are enterprises permitted to
conduct shipping business in accordance with the provisions of this Decree;
2. The ships satisfy all the technical safety
conditions for operating on maritime routes and have been granted certificates
by the Vietnam Shipping Registry or other shipping registries authorized by the
Vietnam Shipping Registry in accordance with the provisions of Vietnamese laws
and international agreements which Vietnam has signed or acceded to;
3. The ships have contracts for insurance of the
ship owners' civil liabilities.
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Article
11.- The granting of "maritime operation permits" to private
sea-going ships shall be made as follows:
1. The companies or private enterprises shall
send to the Vietnam National Maritime Department dossiers which comprise the
following papers (the lawful copies as prescribed by law):
a/ Their business registration certificates;
b/ Relevant papers on their registration, crew
and insurance of the ship owners' civil liabilities.
2. Within five days from the date of receipt of
the complete and proper dossiers, the Vietnam National Maritime Department
shall have to grant "maritime operation permits" to the ships
according to a form set by the Minister of Communications and Transport. In
cases where a private sea-going ship fails to meet all the conditions the Vietnam
National Maritime Depart-ment shall, within this time limit, have to reply in
writing to the applicant, clearly stating the reasons therefor.
Article
12.-
1. Private sea-going ships with the
"maritime operation permits" for operating on coastal international maritime
routes shall be permitted to operate on coastal international maritime routes
and domestic maritime routes;
2. Private sea-going ships with the
"maritime operation permits" for operating on near international
maritime routes shall be permitted to conduct shipping activities on near
international maritime routes, coastal international maritime routes and
domestic maritime routes;
3. Private sea-going ships with the
"maritime operation permits" for operating on trans-ocean
international maritime routes shall be permitted to conduct shipping activities
on all maritime routes.
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Article
14.- Companies or private enterprises that violate the provisions of
Vietnamese law on shipping business, and/or violate the international
agreements which Vietnam has signed or acceded to shall, depending on the
seriousness of their violations, be handled in accordance with the provisions
of law.
Article
15.- Companies, private enterprises or sea-going ships, which are
conducting shipping business before the effective date of this Decree shall
have to complete all legal procedures prescribed by this Decree within 365
(three hundred sixty five) days from the effective date of this Decree.
Article
16.- This Decree takes effect 15 days after its promulgation. All previous
provisions which are contrary to this Decree are hereby annulled.
Article 17.- The Minister of Communications and
Transport shall have to guide the implementation of this Decree.
The ministers, the heads of the
ministerial-level agencies, the heads of the agencies attached to the
Government and the presidents of the provinces and cities directly under the
Central Government shall have to implement this Decree.
THE GOVERNMENT
Phan Van Khai