09:40 | 08/12/2016 Society
(VEN) - The introduction and enforcement of the Competition Law 2005 marked Vietnam’s important milestone in the process of being a market economy. However the law needs to be amended and supplemented for the purpose of pushing up the Vietnam’s deeper integration into the global economy.
According to the Ministry of Industry and Trade’s Vietnam Competition Authority, since the effect of the Competition Law on July 1, 2005, the investigation of anticompetitive behaviors by the Vietnam Competition Authority has obtained encouraging results. The Vietnam Competition Authority investigated eight anticompetitive cases with nearly 70 businesses, including five cases moved to the Competition Council for handling in accordance with the provisions of the law. Total fines and fees in eight anticompetitive cases reached nearly VND5.5 billion. Although there was no form of additional sanctions, the Vietnam Competition Authority and the Competition Council also gave a number of recommendations for businesses, associations and state management agencies in the compliance with competition law in order to avoid similar violations in the future.
Statistics showed that the Vietnam Competition Authority received more than 300 complaints and investigated 158 cases, of which 150 cases were fined by the end of 2015.
Vietnam Competition Authority Deputy General Director Nguyen Phuong Nam said that after more than 10 years of enforcement of the Competition Law, some provisions in the law have posed problems and shortcomings. In the current situation, there are more and more acts of unfair competition and abuse of monopoly. Moreover, the dishonest phenomenon in biddings and auctions are increasingly sophisticated.
According to Associate Professor, Dr. Pham Tat Thang, Vietnam has been a WTO member for nearly 10 years and involved in a series of new-generation free trade agreements. Therefore, the market is expanding in an absolute manner, meaning that Vietnam has to face many non-tariff barriers. Statistics revealed that there were 400 technical barriers to trade in 1995, 1,500 in 2011 and 17,400 in 2013.
The increasing fierce competition requires a new strategy in international competition in order to make a difference. The government should also consider the private sector as an important economic engine in the context of global integration and trade liberalization.
|The first session of the 14th National Assembly put the amended Competition Law project into the program on building laws and ordinances in 2017. The government issued a decision to assign the Ministry of Industry and Trade to draft the amended law.|