JOINT CIRCULAR

GUIDING THE REWARDING OF TEXTILE AND GARMENT EXPORT QUOTAS IN 2001

- Pursuant to Joint Circular No.19/2000/TTLT/BTM-BKHDT-BCN of October16, 2000 of the Ministry of Trade, the Ministry of Planning and Investment and Ministry ofIndustry, guiding the allocation and implementation of quotas for export of textiles andgarments into the EU, Canadian and Turkish markets in 2001 and 2002;
- In order to encourage enterprises to boost the export of textiles andgarments made of home-made fabric into non-quota markets;
- The Ministry of Trade, the Ministry of Planning and Investment andthe Ministry of Industry hereby jointly provide the following specific guidance on the2001 rewarding of textile and garment quotas:

I. SUBJECTS TO BE REWARDED AND SOURCE OF REWARD QUOTAS:

1.Subjects to be rewarded and use of reward quotas:

- Enterprises which exported textiles and garments made of home-madefabric into the EU market in 2000.

- Enterprises which exported textiles and garments into non-quotamarkets in 2000.

- Reward quotas, if unused, may be assigned to other enterprises.

...

...

...

The source of reward quotas shall be deducted from the 2001 total quotafor export of textiles and garments into the EU countries. The concrete quantities arestated in Parts II and III of this Circular.

II. REWARDING OF QUOTAS TO ENTERPRISES FOR EXPORT OF TEXTILES ANDGARMENTS MADE OF HOME-MADE FABRIC INTO THE EU IN 2001

The rewarding of enterprises that export textiles and garments made ofhome-made fabric is prescribed as follows:

1. For enterprises which exported textiles and garments made ofhome-made fabric into the EU market in 2000, they shall be rewarded with quotas for thegoods categories they already exported.

2. The quotas shall be rewarded as follows:

a/ T shirts (Cat.4): 700,000 pieces

b/ Woolen pullovers: (Cat.5): 70,000 pieces

c/ Trousers (Cat.6): 150,000 pairs

d/ Women's shirts (Cat.7): 70,000 pieces

...

...

...

3. Reward levels:

Basing themselves on the allocated quotas, the volume of exportedtextiles and garments made of home-made fabric in 2000 and the reward quotas for eachcategory of goods and after summing up the reward registrations, the said ministries shallpublicize appropriate reward levels.

4. Dossiers for reward consideration:

Enterprise requesting reward quotas shall send 01 dossier set to theMinistry of Trade (the Export and Import Department), comprising the written rewardregistration, the invoice on the purchase of home-made fabric (the original or a copycertified by the State Notary office) or the delivery card, the customs export declarationfrom and the export license(E/L).

III. REWARDING OF QUOTAS TO ENTERPRISES WHICH EXPORTED TEXTILES ANDGARMENTS INTO NON-QUOTA MARKETS IN 2000

1. Enterprises located in Hanoi and Ho Chi Minh city, which exportedinto non-quota markets textiles and garments worth US$ 2 million or more in the FOB priceand enterprises located elsewhere which exported into non- quota markets textiles andgarments worth US$ 1.5 million or more in the FOB price, shall be rewarded with quotas.

2. The quotas shall be rewarded as follows:

a/ T shirts (Cat. 4): 300,000 pieces

b/ Woolen pullovers (Cat.5): 100,000 pieces.

...

...

...

d/ Women's shirts (Cat.7): 70,000 pieces

e/ Men's shirts (Cat.8): 270,000 pieces

f/ Women's jackets (Cat.15): 25,000 pieces

g/ Women's suits (Cat.29): 18,000 suits

h/ Sport suits (Cat.73): 50,000 suits

i/ Shuttle-woven clothes (Cat.78): 50 tons

j/ Knit clothes (Cat.83): 45 tons

3. Reward levels:

For every US$1,000 of goods exported into non-quota markets, a quotaequivalent to 1.5 man's shirts (Cat.8) shall be rewarded or other categories converted atthe prescribed rates.

...

...

...

4. Time limit for reward consideration:

Enterprises wishing to receive reward quotas for export of textiles andgarments into the EU (including reward quotas for the export of goods made of home-madefabric) shall send their registrations to the Ministry of Trade (the Export and ImportDepartment) before April 15, 2001.

In order to ensure rewards be suitable to their production and businessrequirements, enterprises registering for consideration of reward quotas for export intonon-quota markets should clearly state in their written registration the goods categoriesclassified in the priority order 1, 2, 3...

IV. ORGANIZATION OF IMPLEMENTATION

The inter-ministerial executive team shall have to urge and guideenterprises to implement this Circular.

The Ministry of Trade, the Ministry of Planning and Investment and theMinistry of Industry request the ministries, the ministerial-level agencies, the agenciesattached to the Government, the People's Committees of the provinces and centrally-runcities and the central bodies of mass organizations to notify enterprises under theirrespective management of the contents of this Circular for implementation, and reportproblems arising in the course of implementation to the three ministries for timely andappropriate adjustment.

This Circular takes effect 15 days after its signing until the end ofDecember 31, 2001.

FOR THE MINISTER OF TRADE
VICE MINISTER




Lai Quang Thuc

...

...

...

APPENDIX I

THE TABLE OF THE RATES OF CONVERSION BETWEEN CAT.8 AND OTHER CAT.
(Issued together with Joint Circular No. 07/2001/BTM-BKHDT-BCN of March16, 2001)

Ordinal number

Cat.

Unit

Weight under the Agreement (in gram)

Quatity/1 man� s shirt (Cat.8)

1

...

...

...

Piece

154

1.41

2

5

Piece

221

0.98

3

...

...

...

Pair

568

0.38

4

7

Piece

180

1.21

5

...

...

...

Piece

217

1.00

6

15

Piece

1,190

0.18

7

...

...

...

Suit

730

0.29

8

73

Suit

600

0.36

9

...

...

...

Kg

1,000

0.217

10

83

Kg

1,000

0.217