Liquor with unclear origins causes annual losses of VND2t

11-Sep-2018 Intellasia | The Saigon Times | 6:00 AM Print This Post

Alcohol without clear origins or homemade alcoholic products reportedly account for 70 percent of the total volume on the market. The State incurs VND2 trillion in lost tax revenue each year due to these products.

This was announced at a conference on a law project involving the prevention and fight against damage caused by the immoderate consumption of alcoholic beverages, which was co-organised by the Legal Department, under the Ministry of Industry and Trade, and the Vietnam Association of Liquor, Beer and Beverage (VBA) on September 6.

Besides this, research conducted by Euromonitor revealed that estimated losses triggered by unlicensed spirits and beer products in Vietnam total some $441 million, or over VND10 trillion.

The trade of smuggled and uncleared alcoholic drinks is still rampant, employing increasingly sophisticated practices, thus challenging the competent authorities to take control of the situation, according to Nguyen Anh Tuan, deputy head of the Market Surveillance Agency at the ministry.

Smuggled spirits have entered the local market through the border areas in the southwest and central regions of Vietnam. In addition, counterfeit and smuggled alcoholic products brought to the country see a spike in sales during end of the year festivities or the Tet Holiday.

Counterfeit alcohol producers utilise used branded liquor bottles that look brand new, to hold their fake alcoholic beverages, said Tuan, adding that they use anticounterfeit stamps but their authenticity cannot be determined by the naked eye.

Market surveillance agencies in various localities have taken steps to fight against the prevalence of smuggled and crafted alcoholic goods. During last year’s investigations, over 30,000 bottles of various alcoholic brands were seized, while 165 violations were recorded in the first half of the year, with 16,200 bottles seized.

As for crafted alcohol, the Market Surveillance Agency examined 3,200 cases last year, fining violators more than VND4 billion. The violations included producing counterfeit alcohol and using ingredients or smuggled yeast without clear origins to increase alcohol content.

VBA proposed that the State and the relevant agencies impose more stringent measures and fully comply with prevailing regulations to control unlabeled alcoholic products.

https://english.thesaigontimes.vn/62537/liquor-with-unclear-origins-causes-annual-losses-of-vnd2t.html

 


Category: Business, Vietnam

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