Businesses concerned about waste if foreign standards are not yet recognized

Workshop "The role of businesses in participating in the development and application of the Law on Standards and Technical regulations". Photo: HD

The draft Law amending and supplementing several articles of the Law on Standards and Technical regulations, led by the Ministry of Science and Technology, is expected to be presented to the National Assembly for consideration during the 8th session. The draft Law is considered to include revisions that could significantly impact the operations of organizations, businesses engaged in the production and trading of goods and services, and conformity assessment organizations.

At the workshop titled "The role of businesses in participating in the development and application of the Law on Standards and Technical regulations," organized by the Vietnam Chamber of Commerce and Industry (VCCI) in collaboration with the National Assembly's Committee on Science, Technology, and Environment on August 7, 2024, businesses emphasized that regulations needed to be compatible with international commitments and standards to facilitate exports.

A representative from VCCI's Legal Department noted that after gathering feedback, businesses found that some technical regulations have been unclear and inconsistent, causing difficulties in application. Examples include fire safety standards for construction projects and technical regulations with investment and business conditions related to rice.

During the workshop, a Memorandum of Understanding was signed between VCCI and the Directorate for Standards, Metrology and Quality (STAMEQ) to enhance cooperation in supporting State management activities and assisting the Vietnamese business community in promoting economic, trade, science, technology, and innovation development in Vietnam.

Businesses also pointed out that there were instances where Vietnamese standards differ only slightly from foreign standards, or where results of foreign conformity declarations cannot be used, necessitating retesting, which incurs additional costs. Therefore, regulations need to align with international standards to meet international commitments on technical standards and regulations (TBT).

Speaking on this issue, Nguyen Thi Thu Trang, Director of the WTO and Integration Center (VCCI), mentioned that many free trade agreements (FTAs) now include commitments on TBT, based on principles of non-discrimination and avoiding unnecessary barriers to international trade. These commitments are also applied to ensure national security, prevent fraud, and protect health.

Thus, Trang recommended that the draft Law should include core principles and requirements in the procedures for developing, announcing, issuing, and applying TBTs, as well as measures for managing conformity assessment organizations.

From a business perspective, a representative from Canon Vietnam noted that the draft Law did not yet include provisions for recognizing and accepting foreign standards and regulations, still requiring mutual recognition agreements.

The Canon Vietnam representative explained that as Vietnam actively participated in FTAs and international economic organizations, the application of international standards was essential for Vietnamese goods to access large global markets, while also helping businesses save costs, improve product quality, and meet international market requirements. Therefore, applying available foreign standards and regulations will avoid the need to create excessive and unnecessary technical standards and regulations, preventing waste.

Moreover, mutual recognition agreements still require many procedures between parties, causing delays, costs, and incomplete coverage. In developed regions such as the EU, the US, Japan, and China, technical standards and regulations have already been widely established and applied, ensuring strict quality standards. Therefore, adopting these standards will improve the quality of products in Vietnam.

The representative gave an example comparing Vietnam's VietGAP standard with Japan's JGAP standard, noting that JGAP has stricter technical requirements and production processes. JGAP is also widely recognized in international markets, especially in demanding markets like the EU.

In addition to the issues mentioned, businesses also suggested that authorities should establish an online feedback system for standards and technical regulations to quickly gather opinions and make adjustments that align with the practical conditions of businesses.