The chemical business license procedure is a mandatory first step for any organization or individual intending to operate in this specialized sector. Correctly executing the registration process ensures legal compliance with chemical safety regulations and builds credibility with partners and regulatory agencies. This guide provides a systematic and precise analysis of the steps to complete the chemical business license procedure.
The latest process and procedures for registering a chemical business license
Conditions for the Chemical Business License Procedure
Chemical business is a conditional sector requiring strict adherence to legal regulations to ensure safety. The core of the chemical business license procedure is meeting all stipulated conditions. These conditions differ based on the chemical category. Below are the detailed requirements for two main groups: conditional chemicals and restricted chemicals in the industrial sector.
Conditions for Conditional Production and Business Chemicals
According to Article 9 of Decree No. 113/2017/ND-CP, to be granted a Certificate of Eligibility, an entity must meet the following concurrent conditions:
Legal Status: Must be a legally established enterprise, cooperative, or business household with a registered business line in chemicals.
Technical Infrastructure: Must meet the requirements specified in Article 12 of the Law on Chemicals; Article 4; Clause 2, Article 5; and Clauses 1 and 2, Article 6 of Decree No. 113/2017/ND-CP.
Storage Facilities: The location and area of chemical warehouses must be suitable for the business scale and comply with current national technical standards and codes.
Business Location: Must have a store or business location with a display area that ensures chemical safety and fire prevention and fighting (PFF) requirements.
Packaging and Transport: Containers and packaging for chemical storage must ensure quality and prevent environmental pollution. Chemical transport vehicles must comply with legal regulations for transporting hazardous goods.
Warehouse Requirements: Must own or lease a warehouse that meets conditions for safe chemical preservation and PFF.
Responsible Personnel: The person in charge of chemical safety must have at least an intermediate degree in a chemical-related major.
Safety Training: Employees directly involved with chemicals, as defined in Article 32 of Decree No. 113/2017/ND-CP, must undergo chemical safety training.
Conditions for Restricted Production and Business Chemicals
Based on Article 15 of Decree No. 113/2017/ND-CP, the conditions for a License for restricted chemicals include:
Meeting Basic Conditions: The entity must satisfy all conditions applicable to conditional chemicals as stated above (regulated in Clauses 1 and 2, Article 9 of Decree No. 113/2017/ND-CP).
Specific Storage Conditions: Restricted chemicals must be stored in a separate area within a common warehouse or in a dedicated, separate warehouse.
License Requirement: Entities (except for cases exempted under Article 16a of Decree 82/2022/ND-CP) can only operate after being granted a License by a competent authority. They are responsible for maintaining these conditions throughout their operation. Non-compliance will result in license revocation.
Conditions for trading chemicals in the industrial sector
After meeting all conditions, the entity must submit a dossier to the competent authority for review. This is a critical part of the chemical business license procedure. The process involves identifying the correct authority, preparing a complete dossier, and following the procedural steps.
Competent Licensing Authority
The licensing authority is determined by the chemical type, as specified in Article 10 of Decree No. 113/2017/ND-CP (amended by Decree 82/2022/ND-CP):
For Conditional Chemicals: The Department of Industry and Trade (DOIT) where the entity’s head office is located is responsible for appraising and issuing the Certificate of Eligibility.
For Restricted Chemicals: The Vietnam Chemicals Agency (Vinachemia), under the Ministry of Industry and Trade, receives and appraises the dossier. The Ministry of Industry and Trade (MOIT) is the final authority for issuing the License and conducting inspections.
Required Application Dossier
As regulated in Articles 10 and 16 of Decree No. 113/2017/ND-CP (amended by Decree 82/2022/ND-CP), the required dossier varies by license type.
1. Dossier for a Certificate of Eligibility (Conditional Chemicals):
A copy of the environmental protection approval document issued by a state authority.
A copy of the PFF acceptance document from the PFF Police Department for warehouses requiring PFF design approval.
A PFF safety inspection record for warehouses not requiring PFF design approval.
A master layout plan of each business location, showing warehouse position, area, and access routes.
A copy of land use rights or warehouse lease agreement.
A declaration of technical equipment, personal protective equipment, and safety gear.
A copy of the chemical safety manager’s degree (intermediate or higher in chemistry).
A copy of the decision recognizing the results of chemical safety training.
Safety Data Sheets (SDS) for all hazardous chemicals at the facility.
Process Steps
The chemical business license procedure is distinct for each chemical type.
1. Process for Certificate of Eligibility (Conditional Chemicals):
Step 1: Dossier Submission: The entity submits one dossier set to the DOIT via post, in person, or through the online public service portal.
Step 2: Dossier Appraisal:
If the dossier is incomplete, DOIT will issue a notice for supplementation within 03 working days.
Upon receiving a complete dossier, DOIT will appraise, conduct a site inspection, and issue the Certificate within 12 working days (if the business is in the same province as the head office).
If the business is in a different province, the head office’s DOIT will consult the local DOIT.
Step 3: Licensing: The licensing DOIT will issue the Certificate within 03 working days of receiving a positive assessment from the local DOIT. A written refusal will be provided if the application is denied.
2. Process for License (Restricted Chemicals):
Step 1: Dossier Submission: The entity submits one dossier set to the Vietnam Chemicals Agency (MOIT) via post, in person, or online.
Step 2: Dossier Appraisal: If the dossier is incomplete, the agency will issue a notice for supplementation within 03 working days.
Step 3: Licensing: Within 16 working days of receiving a complete dossier, the MOIT will appraise, conduct a site inspection, and issue the License. A written refusal will be provided if the application is denied.
Processing Timeframes for the Chemical Business License Procedure
Defined timeframes ensure the chemical business license procedure is transparent and efficient.
For a Certificate of Eligibility (Conditional Chemicals)
As per Clause 3, Article 10 of Decree 113/2017/ND-CP:
Same Province Scenario: The processing time is 12 working days from the receipt of a valid dossier.
Different Province Scenario: The total processing time is a maximum of 15 working days, comprising:
03 working days for the licensing DOIT to send the dossier for consultation.
09 working days for the local DOIT to inspect and respond.
03 working days for the licensing DOIT to issue the Certificate after receiving the response.
For a License (Restricted Chemicals)
As per Clause 3, Article 16 of Decree 113/2017/ND-CP:
The processing time is 16 working days from the receipt of a valid dossier. This period includes dossier appraisal, site inspection, and the final decision.
Time limit for processing chemical business license issuance
Expert Support for the Chemical Business License Procedure
Long Phan Consulting Company provides professional consulting services for the chemical business license procedure. Our team of lawyers and experts, with extensive experience in chemical law, delivers optimal solutions to save time and costs.
Understanding the conditions for chemical business licensing, Long Phan Consulting Company offers specialized services, including:
In-depth consultation on licensing conditions for specific chemical business cases.
Assistance in accurately assessing a company’s current status and creating a preparation roadmap.
Support in drafting documents and verifying the completeness and validity of the dossier before submission.
Representation when working with competent authorities and monitoring the processing status.
Expert advice on handling complex cases involving specialized chemicals and technical issues.
Our post-service support includes guidance on operational compliance, license renewal, and amendments to the license. Long Phan Consulting Company is a dedicated partner for sustainable growth and legal compliance.
Frequently Asked Questions (FAQ)
This section addresses common questions about the chemical business license procedure.
How long is a chemical business license/certificate valid?
The validity differs. A Certificate of Eligibility (for conditional chemicals) has no specified expiration date and is valid until revoked. A License (for restricted chemicals) is typically valid for 05 years, as determined by the Ministry of Industry and Trade under Decree No. 113/2017/ND-CP.
What is the process for updating license information?
If there are changes to the business name, head office address, business location, or chemical safety manager, the entity must apply for an amendment to the Certificate or License. This process is detailed in Articles 11 and 17 of Decree No. 113/2017/ND-CP.
What are the penalties for operating without a chemical business license?
Operating without a required license is a serious violation. Under Decree 71/2019/ND-CP on administrative sanctions in the chemical sector, fines can reach tens of millions of VND for individuals and double for organizations, along with sanctions like confiscation of illicit profits and business suspension.
Does a company providing only chemical storage services need to meet business conditions?
Yes. Providing chemical storage services is considered part of chemical business activities. The warehouse must meet all infrastructure, technical, PFF, and environmental safety conditions as stipulated in Article 12 of the Law on Chemicals. The lessor is responsible for ensuring these conditions.
Are there exemptions from the chemical business license requirement?
Yes, some exemptions exist. According to Article 16a of Decree 82/2022/ND-CP, activities such as storing chemicals in bonded warehouses or for small-scale scientific research may be exempt. However, regular commercial business activities always require a license.
What is a Safety Data Sheet (SDS) and where is it obtained?
An SDS is a technical document with detailed information on a chemical’s properties, hazards, and safe handling procedures. As mandated by Article 29 of the Law on Chemicals, the chemical manufacturer or importer is responsible for providing the SDS.
Who can conduct chemical safety training?
Chemical safety training must be conducted by organizations authorized and licensed by the Vietnam Chemicals Agency (MOIT), as regulated in Article 34 of Decree No. 113/2017/ND-CP.
What is the fundamental difference between a “Certificate of Eligibility” and a “License”?
The main difference lies in the subject and level of control. A “Certificate of Eligibility” is for conditional chemicals and is issued by the provincial Department of Industry and Trade. A “License” is for restricted chemicals, which pose a higher risk and are subject to stricter control by the Ministry of Industry and Trade.
Can one chemical business license cover multiple locations?
The license or certificate is issued to an entity and specifies the qualified business locations. A new business location must be appraised and added to the license through an amendment procedure.
Does this procedure apply to imported chemicals?
Any entity conducting business (trading) with imported chemicals within Vietnam must obtain the relevant license or certificate. The import activity itself must also comply with separate regulations on chemical declaration.
Conclusion
The chemical business license procedure requires in-depth knowledge of legal regulations and meticulous dossier preparation. Entities must strictly adhere to conditions regarding infrastructure, personnel, and safety to succeed. Long Phan Consulting Company is ready to assist with professional consulting services to streamline this process. Contact us via hotline 1900.63.63.89for consultation and using the sub-license registration service.
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Phan Mạnh Thăng
Mr. Phan Manh Thang, CEO, is the founder of Long Phan Investment Consulting and Legal Services Company Limited. With over 13 years of experience in the fields of land and corporate law, CEO Phan Manh Thang has been advising and partnering with numerous clients throughout their business operations and enterprise expansion. Concurrently, he serves as the Managing Lawyer of Long Phan PMT Law Firm, established in 2019.
His specialized expertise and practical experience have consistently earned him the trust and high regard of his clients.