THE MINISTRY OF INDUSTRY AND TRADE

Decision No. 2332/QD-BCT dated April 12, 3013 of the Ministry of Industry and Trade approving the “Planning for nationwide tobacco wholesale network to 2020 and with the vision to 2025”
Pursuant to the Decree No. 95/2012/ND-CP dated November 12, 2012 of the Government defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;
Pursuant to the Decree No. 92/2006/ND-CP dated September 07,  2006 of the Government and the Decree No. 04/2008/ND-CP dated January 11, 2008 on the amendments to the Decree No. 92/2006/ND-CP of the Government on the establishment, approval, and management of the socio-economic development planning;
Pursuant to the Circular No. 17/2010/TT-BCT dated May 05, 2010 of the Minister of Industry and Trade on the contents, order and procedure for formulating and approving trade development planning;
The Decision No. 6318/QD-BCT dated December 01, 2010 of the Minister of Industry and Trade, approving the outlines and estimates for the “Tobacco wholesale network planning nationwide during 2010 – 2020, and the orientation towards 2025”;
At the proposal of the Director of Domestic Market Department,
DECIDES
Article 1. To approve the “Planning for nationwide tobacco wholesale network to 2020 and with the vision to 2025”, in particular:
I. PLANNING VIEWPOINTS
1. The planning for tobacco wholesale network is carried out on the principle that tobacco is restricted from trade and its use is not encouraged. The State strictly control the development and spread of tobacco wholesale network
2. The planning for tobacco wholesale network is to ensure the systematic and synchronous tobacco wholesaling from the production to the wholesaling and service provision.
3. Develop capable tobacco wholesalers that always satisfy conditions and regulations of the State on the trade in tobaccos.
II. PLANNING TARGET
1. General targets
Step by step build up and rearrange the tobacco wholesale network towards a reasonable structure participated by all economic sectors in order to establish a system of professional tobacco sellers capable of satisfying demands (including domestic and imported tobaccos) in each locality nationwide, raise the competitiveness in the market economy under the management of the State and international economic integration; limit spontaneous businesses and unlicensed businesses; control the product quality, prices, control and restrict cigarette smuggling; contribute to the prevention and suppression of tobacco harm and protection of consumers’ interests.
2. Specific targets
Rearrange the wholesalers in central-affiliated cities and provinces (hereinafter called provinces) based on the existing tobacco wholesale network as follows:
a) By 2015
Maintain the existing network, including tobacco wholesalers in at least 02 provinces licensed by the Ministry of Industry and Trade, tobacco wholesalers within 01 province licensed by Industry and Trade Departments, and tobacco retailers in districts, towns, and cities affiliated to provinces (hereinafter referred to as districts) licensed by Industry and Trade or Departments of Economics and Infrastructure (hereinafter called Industry and Trade Department); prioritize the tobacco wholesalers in localities with high demands; focus on improving the capability and facilities of tobacco wholesalers in order to facilitate the establishment of the tobacco wholesale network of succeeding stages.
It is estimated that there are approximately 1,000 tobacco wholesalers nationwide by 2015 (including 200 tobacco wholesalers in at least 02 province, 800 tobacco wholesalers in 01 province), 50% of which Is in the North, 24% of which is in the Middle and Tay Nguyen, and 26% of which is in the South.
b.  From 2016 - 2020
Establish the tobacco sale network including tobacco distributors (tobacco sellers in at least 02 provinces, licensed by the Ministry of Industry and Trade), tobacco wholesalers (tobacco seller in 01 province, licensed by Industry and Trade Departments), and tobacco retailers (tobacco sellers within a district, licensed by Departments of Industry and Trade) by determining the number of tobacco distributors, wholesalers, and retailers according to the population, financial capability, transportation capability, according to the storage system and the ability to break into the market of each seller to supply tobaccos to their customers.
It is estimated that there are approximately 350 tobacco distributors, 1,760 tobacco wholesalers nationwide by 2020 (45% of which is in the North, 27% of which is in the Middle and Tay Nguyen, and 28% of which is in the South).
An area of at least 123,000 m2, 2,460 trucks capable of at least 500 kg, and 2,460 billion VND are needed during this period.
c. 2021 - 2025
Keep rearranging the tobacco distributors, wholesalers, and retailers in the previous period to match the socio-economic development and management requirements in this period.
It is estimated that there are approximately 300 tobacco product distributors, 1,500 tobacco wholesalers in this period (40% of which is in the North, 30% of which is in the Middle and Tay Nguyen, and 30% of which is in the South).

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