Conditions of transport business: The enterprise proposes to remove a series of barriers

VCN- The Ministry of Transport has submitted to the Government the draft Decree 86/2014/ND-CP on business and conditions for automobile transportation. According to many transport enterprises, the provisions in the draft Decree causing difficulties for enterprises is unchanged, increasing costs and not useful for enterprises.
conditions of transport business the enterprise proposes to remove a series of barriers
Many transport companies propose to deregulate the requirement drivers must have identify card . Picture: ST.

Many regulations are not appropriate

Commenting on the draft 86 Decree submitted to the Government, Mr Le Van Tien, Chairman of the Haiphong Road Freight Association, said that the provisions of paragraphs 7 and 8 of Article 9 on transport business and drivers, is not necessary for business and drivers to issue and use transport-paper when goods are transported, because all goods on the road must attach one or more different types of documents to prove the legality of it. This is the responsibility of the charterer and the carrier.

In particular, many transport enterprises propose to remove the provisions of Point đ, Clause 6, Article 22 that enterprises must equip drivers with identification cards according to the provisions of national technical regulations on in-car journey surveillance equipment. This requirement causes many difficulties for businesses because drivers often change their job due to civil contracts and workers' rights, so this rule is not appropriate for transport enterprises.

In addition, Article 19 stipulates that the contract of carriage must provide the owner's information, the freight (contract value), the telephone number to contact to resolve a complaint, the liability commitment Implement contracts and regulations on compensation for damage to transport hirers. According to Mr Tien, these can reveal the information of the business. This regulation is only suitable for passenger transport such as Uber, Grab. So it is necessary to distinguish clearly this regulation does not apply freight.

Agreeing with the above idea of Mr. Tien, Mr Tran Duc Nghia, Deputy Director of Customs and Trade facilitation, Member of Executive Committee of Logistics Vietnam Service Association (VLA) said that in the facts of means of transportation, driver absenteeism, even to the company's parking during the car’s working time, these are likely to last a few days or several weeks depending on the customer’s demand. Therefore, the issuance of the transport licence for each shipment is not appropriate. "This is just a cost increase for businesses and does not have practical significance because businesses often deal with the signing of multiple passports to use for drivers. Last time, this regulation caused the transport business and drivers getting fined, so I propose to remove this regulation," said Nghia.

More transparency about conditions for business

According to Vietnam's WTO accession agreement, enterprises with more than 51% of FDI capital are not allowed to trade in the territory of Vietnam. This is a very important point for the logistics and logistics industry in Vietnam as it helps domestic companies to have a competitive advantage. "Therefore, we strongly recommend that enterprises established after Vietnam's accession to the WTO, with over 51% of FDI capital, shall not be permitted to conduct road transport business in Vietnam territory. This is in line with Vietnam's WTO accession agreement, helping domestic businesses grow and occupy the domestic market," said Nghia.

According to Mr Le Trung Tinh, Chairman of the Association of Intercity passenger cars and tourism of Ho Chi Minh City, we should strongly deny some regulations that are concerned in the draft decree, such as regulations on choosing fixed routes because of barriers to enter the market, limiting the right of service choice for people. In particular, it should not be added to the regulation that "vehicles under 8 seats must report trip information to the local Department of Transport". This is a significant backward step as last time it applied only for vehicles with 9 seats or more, so the State is interfering too deeply into the production and business of enterprises and cooperatives.

For the management of passenger transportation, Mr. Nguyen Van Lap, Chairman of the Board of Directors of Water and Environment Investment Joint Stock Company and concurrently Director of Underground Water Station, proposed to consider the supply of business conditions on the size of the passenger transport business in a fixed route in the direction of each locality, or that each passenger transport route should have one or several enterprises with a certain number of means (depending on the demand of passengers on the route). This proposal is based on the fact at a bus station, it shows that in the same route the means of transport leaving the station separately every 5-10 minutes (for multiple routes), and the usual days each vehicle has a few guests and still has to leave the wharf as per regulations. Instead, if the enterprise has a large schedule on a route, the owner of a business will arrange the number of reasonable means depending on the day, month or peak time. This is both good for transport business, reducing traffic congestion and reducing environmental pollution. The small or micro-enterprises do not have the ability to regulate vehicles that cause low investment efficiency.

At the same time, the government should make clearer and more transparent business conditions, or control solutions for passenger transport business along fixed lines and contracts to minimize the encroachment of each other's market.

By Xuan Thao / Quynh Lan

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