Previously, there were a large number of direct sales businesses operating without specific regulation to govern it, that caused difficulties and confusion to operate such business and the government could not completely supervise it. In order to guarantee quality of governing, standardizing, equitability, transparency, and fairness in business competition as well as consumer and contributor protection, Ministry of Industry and Commerce issued Decision on Direct Sales Business No. 0060/MOIC, dated 12th January 2017 which stipulates rules, principles and conditions to systemize direct sales business. It especially covers documents’ requirement, consideration to issue permission and measures to regulate direct sales business.
National and foreign individual, legal entity or enterprises who wishes to operate direct sales business shall submit the applications to Industry and Commerce sector who governs direct sales business nationwide and a main agency to coordinate with other relevant agencies and local authorities. In central level, business operators shall contact Domestic Trade Department, and in local level, they shall contact Provincial or Vientiane Capital Department of Industry and Commerce.
Business operators who are running direct sales business but have yet got the permission shall re-submit relevant documents within 90 days after the decision becomes effective (on the date of its signatory and 15 days after published on Lao Official Gazette).
The Decision will be convenient to the business operators who wish to run or is running direct sales business in Lao PDR. It specifies clean, transparent, equitable and fair procedures for submitting documents and also protects consumers and contributors nationwide under principles, rules and measures set out in this decision.
The Decision becomes effective on the date of its signatory and after 15 days of publishing on Lao Official Gazette.
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