Liquor business license: Regulations and procedures

Article overview

Liquor business license is a prerequisite for businesses that want to participate in the alcohol market in Vietnam legally and sustainably. Being licensed to sell alcohol not only helps businesses comply with legal regulations but also builds reputation and increases trustworthiness with customers and partners. Understanding the regulations and procedures for applying for a liquor business license is an important step to help businesses save time, costs and effectively take advantage of business opportunities.

Liquor business license
Liquor business license

Some common types of liquor business licenses

According to Chapter II Section 1 of Decree No. 105/2017/ND-CP (amended by Decree 17/2020/ND-CP) on wine business with an alcohol content of 5.5 degrees or more, types of business licenses Wine includes:

  • Liquor distribution license: For businesses that distribute alcohol in two or more provinces and centrally run cities.
  • Liquor wholesale license: Issued to alcohol wholesale businesses in a province or centrally run city.
  • Liquor retail license: For businesses, business households or cooperatives that retail alcohol to consumers at the store.
  • Liquor business license for on-site consumption: Issued to units providing alcohol services for on-site consumption (such as restaurants and bars).
  • Industrial alcohol production license: For businesses that produce alcohol by industrial methods and on a large scale.
  • License for craft wine production for business purposes: Issued to individuals, households, or cooperatives that produce craft wine for sale to businesses or directly to consumers.

Each type of license has its own conditions suitable to each type of operation to ensure quality control and food safety.

Conditions for obtaining a liquor business license

Conditions for industrial wine production

To be granted a license to produce industrial alcohol, businesses must meet the following conditions:

  • Is an enterprise established according to the provisions of the law.
  • There are machinery, equipment, and technological processes for wine production that meet the expected scale of production.
  • Ensure food safety conditions according to regulations.
  • Ensure environmental protection conditions according to regulations.
  • Meets regulations on alcohol labeling.
  • There are technical staff with qualifications and expertise appropriate to the wine production industry.

Conditions for producing handmade wine for business purposes

For a license to produce craft alcohol for business, individuals, business households or cooperatives must meet:

  • Legal business registration: Must be a business household, cooperative, cooperative union or registered enterprise according to regulations.
  • Food safety and labeling: Products must meet food safety standards and be labeled properly.
  • Sales contract: If production is to be sold to industrial wine producers, a sales contract is required with these businesses.
  • Other conditions: If not selling to industrial production enterprises, craft producers must have a license to produce craft alcohol for business purposes.

Conditions for alcohol distribution

Businesses that want to apply for a liquor distribution license need to meet the following requirements:

  • Is an enterprise established according to the provisions of law.
  • There is a written introduction or principle contract from a wine producer, another wine distributor, or an overseas wine supplier.

Conditions for wine wholesale business:

  • Is an enterprise established according to the provisions of law.
  • Have a wine wholesale system in the province or centrally run city where the enterprise is headquartered with at least 01 wine retailers. In case an enterprise establishes a branch or business location outside the head office to sell alcohol, confirmation from the alcohol retailer is not required.
  • There is a written introduction or principle contract of a wine producer, wine distributor or other wine wholesaler.

Conditions for alcohol retail business:

  • Being an enterprise, cooperative, cooperative union or business household established in accordance with the law.
  • Have the right to legally use a fixed business location with a clear address.
  • There is a written introduction or principle contract of a wine producer, wine distributor or wine wholesaler.

Conditions for selling alcohol for on-site consumption:

  • Being an enterprise, cooperative, cooperative union or business household established in accordance with the law.
  • Have the right to legally use a fixed business location, clear address, and register to sell alcohol for on-site consumption with the Economic Department or the District Economic and Infrastructure Department where the trader has their business.
  • In case a trader produces their own alcohol for on-site consumption, they must have a License for industrial wine production or a License for manual wine production for business purposes as prescribed in Decree 105/2017/ND-CP.
Conditions for obtaining a liquor business license
Conditions for obtaining a liquor business license

Procedures for applying for a liquor business license

Documents need to be prepared

Each type of liquor business license requires its own set of documents, specifically specified as follows:

  1. Dossier for an industrial wine production license is specified in Article 19 of Decree 105/2017/ND-CP amended by Clause 14, Article 16 of Decree 17/2020/ND-CP.
  2. Dossier for a license to produce manual alcohol for business purposes is specified in Article 20 of Decree 105/2017/ND-CP amended by Clause 15, Article 16 of Decree 17/2020/ND-CP.
  3. Dossier for an alcohol distribution license is specified in Article 21 of Decree 105/2017/ND-CP amended by Clause 16, Article 16 of Decree 17/2020/ND-CP. Clause 3 and Clause 4, Article 222 of Decree 105/2017/ND-CP have been abolished by Clause 8, Article 17 of Decree 17/2020/ND-CP.
  4. Dossier for a liquor wholesale license is specified in Article 22 of Decree 105/2017/ND-CP amended by Clause 17, Article 16 of Decree 17/2020/ND-CP. Clause 3 and Clause 4, Article 21 of Decree 105/2017/ND-CP have been abolished by Clause 7, Article 17 of Decree 17/2020/ND-CP.
  5. Application dossiers for a liquor retail license are specified in Article 23 of Decree 105/2017/ND-CP. Clause 5 and Clause 6 of this Article have been abolished by Clause 9, Article 17 of Decree 17/2020/ND-CP.

Procedures for applying for a permit

Step 1: Submit application in person, by mail or online (if applicable) to the licensing authority. Licensing authority is specified as follows:

  • The Ministry of Industry and Trade is the agency that grants licenses for industrial alcohol production with a scale of 03 million liters/year or more and licenses for alcohol distribution;
  • The Department of Industry and Trade is the agency that issues licenses for industrial alcohol production with a scale of less than 03 million liters/year and licenses for wholesale alcohol sales in provinces and centrally run cities;
  • The Department of Economics or the Department of Economics and Infrastructure under the District People’s Committee is the agency that issues the License to produce artisanal alcohol for business purposes and the License to retail alcohol in the area.

Step 2: Within 15 working days (for industrial production, distribution and wholesale licenses) or 10 working days (for manual production, retail and on-site consumption licenses), the agency The licensing authority will review and issue a license if the application is valid.

Step 3: If the dossier is incomplete, the licensing agency will notify you within 3 working days to supplement it. In case of refusal to grant a license, a written response must be made clearly stating the reason.

What are the penalties for unlicensed alcohol businesses?

Liquor business establishments that do not have a license or violate certain conditions on alcohol business will be subject to administrative sanctions. The level of sanction will depend on each specific case, detailed in Section 5 of Decree No. 98/2020/ND-CP Regulating violations of alcohol and beer business.

 Liquor establishments without a license will be fined
Liquor establishments without a license will be fined

Consulting on applying for a liquor business license in Long Phan

Long Phan supports customers in the process of applying for a liquor business license. With a professional team, Long Phan is committed to helping customers complete procedures quickly and ensure compliance with the law. Our scope of services includes:

  • Consulting on regulations, answering questions and providing detailed instructions on the conditions and procedures necessary to obtain a liquor business license.
  • Draft and prepare complete documents according to the provisions of law.
  • Consulting and support in filling out the necessary information to ensure the application meets the requirements of the licensing agency.
  • On behalf of the business, work with authorities to submit documents.
  • Monitor the process of processing documents and update the situation for the business.
  • Consulting on issues that arise during the business process.
  • Guide businesses to comply with regulations on advertising, distribution and social responsibility in the alcohol business.
  • Deliver results to your door in Ho Chi Minh City.

Consulting services from Long Phan will be a useful solution to help businesses comply with processes and regulations. If you need support with procedures or further advice on alcohol business licenses, please contact the hotline 0906735386 for detailed and quick answers.