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Operations at CaiMep port Customs Branch under BR-VT Customs Department

Import-export turnover declines

The director of BR-VT Customs Department Tran Van Danh said that the complexmovement of Covid-19 has had a significant impact on import-export activities of enterprises in the area and budget collection of the department. Revenue in the first three months of the year decreased compared to the same period last year, of which it was nearly VND 1,400 billion in March, down some17% compared to the same period in the year prior.

Along with the decline in budget revenue, import-export activities in the first months of the year in BR-VT province has been also affected by the Covid -19 pandemic, although the impact was not significant asenterprises have still performed signed contracts. Total import-export turnover in the first quarter reached nearly US$3.4 billion, down 5.06% over the same period in 2019. Of which, import turnover reached nearly $2 billion, accounting for 59% of total turnover, down 4, 52% over the same period in 2019. The decline in import turnover of major items was due to aluminum and aluminum products falling91%; raw materials for animal feed production decreasing more than26%; rawhide leather and leather decreasing 25.3%; iron and steel and iron and steel products slumpingmore than 10%.

Along with the decline in import turnover, major export items of the BR-VT Customs Department also recorded a decrease in turnover. Ofwhich, glass products fell 45.9%; iron and steel and iron and steel products more than44%; raw materials for production of animal feed nearly 22.6%; and aquatic products 12.64%.

According to Cai Mep Port Customs Branch and Phu My Port Customs Branch, the volume of goods for clearance at units has been decreasing. Not only in Cai Mep port, enterprises in industrial zones managed by Phu My prt border gate Customs Branch have also begun to slowproduction and allow employees to take turns to quit working due to the lack of raw materials and buyers.

If about a month agoimport turnover decreased sharply due to the impact of the supply of raw materials and supplies from the Chinese market, now, export products aredeclining strongly due to the impact of some exporting markets like the US and the EU. Many enterprises have to cancel declarationsand bring goods to warehouses because their partners refuse to receive goods.

According to statistics from the beginning of the year to April 6, at Phu My port border gate Customs Branch, the total import-export turnover fellmore than$340 million, the budget revenue fell someVND450 billion compared to the same period in 2019.

Solutions to remove difficulties

In 2020, BR-VT Customs Department is assigned a State revenue target of VND 20,000 billion by the Ministry of Finance and VND 21,000 billion, up 3.9% compared to the actual revenue in 2019 by the General Department of Customs.

According to Director Tran Van Danh, after receiving the State revenue targets, the department have guided itsunits to perform tasks to fulfill the State revenue targets in 2020; held a conference to assess the revenues of customs branches and serves as a basis for assigning revenue targets to each branch.

Facing the economic situation in 2020 which is forecasted to be extremely difficult due to the serious impact of the Covid-19 pandemic on the world and its complexmovements, to fulfill the task of budget collection, the leader of BR-VT Customs Department directed customs units to well implement Directive 1040 / CT-TCHQ dated February 21, 2020 of the General Department of Customs on carrying out solutionsto facilitate trade, improve the efficiency of State management and combat revenue loss in performing the task of budget collection in 2020. In addition, the department has also required units to focus on strengthening solutions to collect revenue and combatrevenue losses.

To limit the impact of the Covid-19 pandemic on revenue collection, border gate customs branches continue to capture information of new investment projects in the area to advise enterprises; coordinate with commercial banks to publicise and encourage enterprises to pay taxes through the 24/7 collection coordination programme and the authorized collection programme.

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"In the near future, BR-VT Customs Department will organise a working group to work with enterprises with regular import and export activities, with large revenues in oil and gas, iron and steel production and trading and enterprises with projects that will have been implemented in the area (Long Son Refinery and Petrochemical Project, Polypropylene Plant Project of Hyosung Vietnam Company) to understand and handle difficulties and problems for them, thereby encouraging them to carry out customs procedures at the unit to increase budget revenue and receive the best support from the customs agency,” said Danh.