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Vietnam petrol retailer representative group denied: name, function not unique

An attempt to unite Vietnam’s petroleum retailers into an ‘association’ has been knocked back by the Ministry of Industry and Trade (MoIT), Tuoi Tre is reporting. The MoIT says the proposed name and function of the group would overlap with the existing Vietnam Petroleum Association (VPA).

In Vietnam, ‘associations’ are essentially industry groups that make representations to the government, comment on policy, and advocate for their members to key decision makers and the press. To establish an association, a group must align with a government ministry or department. In this case, the MoIT.

Vietnam’s petroleum retailers had a hard time last year with petrol retail prices set by the MoIT falling below cost price several times. This meant that many petrol retailers were forced to sell petrol at a loss while many others went out of business. In response, several petrol retailers came together to establish an ‘association’ specifically for them in order to make representations to the MoIT on their behalf. But first, per Vietnam law, they would need approval from MoIT. Approval which has now been denied.

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