Import Functional foods to Vietnam

Customs procedures; import duty and transportation

You want to export Functional foods to Vietnam? You need to calculate freight from export warehouse to Vietnam? You want to know about Vietnam’s procedure and import duties on importing Functional foods to Vietnam?  Import procedures for Functional foods?

In this article, Logistics HP Global Vietnam, whose many years in providing freight and logistics services import Functional foods from many countries to Vietnam, will share knowledge and advise on above issues.

HS code and import duty of Functional foods in Vietnam

HS code of Functional foods in Vietnam

In importing/exporting any commodity, In order to properly determine duties, policies, procedures of the commodity, one of the first thing needed to determine is the HS code of the commodity

Functional foods’s HS code Chapter 21: MISCELLANEOUS EDIBLE PREPARATIONS

VAT and preferential import duty on FUNCTIONAL FOODS to Vietnam in 2023

HS Code	Descriptions	VAT	Preferential Import duty	Normal import tax
2106	Food preparations not elsewhere specified or included.
21069071	– – – Food supplements based on ginseng	8%	15%	22.5%
21069072	– – – Other food supplements	8%	15%	22.5%
21069073	– – – Fortificant premixes	8%	15%	22.5%

However, note that liquid health food, HS code  2202 can be applied

This is announced in Circular No. 7183 / TCHQ-TXNK dated November 2, 2017 of the General Department of Customs on the classification of items declared “Liquid health protection food”, in which: “Case identify liquid or packaged food supplements / supplements (e.g. water, plant extracts, sugar, vitamins, etc.), liquid, ready-packed to be drunk, not further diluted, not containing alcohol or containing no more than 0,5% by volume, calculated by volume  belong to the group 22.02 “Water, including mineral water and aerated water, added with sugar or other sweeteners or flavorings, and other non-alcoholic beverages, excluding fruit or vegetable juices of heading 20.09 “, subheading 2202.90” – Other: “, HS code No. 2202.90.30 “- – Other non-carbonated beverages ready to use without dilution”, Do not depend on dosage dosage.

The classification of a product to a certain HS code is based on the nature, composition, …. of the actual exported commodity at the import time, based on catalogue, technical documents (if any) or /and decided by the Customs Department of Commodity Verification. The actual inspection results of the Customs and announcement by the Customs Department of Commodity Verification are legal basis for applying HS code to imported goods. Importers are ultimately responsible for ensuring that the products are correctly classified.

Our above advised HS codes are for reference only.

→ For more information about this content, please refer to the article Definition of HS code in Vietnam

Duties, Taxes on importing Functional foods to Vietnam

When importing Functional foods to Vietnam, the importer needs to pay import value added tax (VAT) and Import duty. The above table shows VAT and Preferential Import duty based on HS code

Currently, Vietnam have signed FTA with more than 50 countries in the world. In case Functional foods is imported from countries with free trade agreements with Vietnam, they may enjoy special preferential import duties if they meet the conditions set by the agreement.

HS Code	ACFTA	ATIGA	AJCEP	VJEPA	AKFTA	AANZFTA	AIFTA	VKFTA	VCFTA	VN-EAEU	CPTPP	AHKFTA	VNCU	EVFTA	UKVFTA	VN-LAO
21069071	0 (-KH)	0	2	0	0	0	5	0	2	0	0	15		7,5	7,5	0
21069072	0 (-KH)	0	0	0	0	0	5	0	1	0	0	15		5	5	0
21069073	0 (-KH)	0	0	0	0	0	5	0	1	0	0	15		5	5	0

→ To check whether your country and Vietnam have MFN (Most favoured nation) and FTA (Free Trade Agreement), you can check at the article: Overview Of Trade Relations Between Vietnam And The World

Are Functional foods banned from importing to Vietnam

According to the current regulation, Functional foods is not in the List of prohibited imports into Vietnam, so the enterprise can do the import procedure pursuant to current stipulations.

→ For more information, read the article List of prohibited imports into Vietnam

Governmental management on importing Functional foods to Vietnam 

What certificates are required in importing Functional foods to Vietnam?  

Functional foods fall under the specialized management of the Ministry of Health. When importing functional foods, it’s necessary to carry out the product declaration for functional foods.

Decree No. 38/2012/ND-CP dated April 25, 2012 by the Government provides detailed regulations for implementing certain provisions of the Food Safety Law: “All types of imported food, food ingredients, food additives, processing aids, tools, packaging materials, and food containers must be inspected at the competent state inspection agency designated by the relevant management ministries.” This regulation mandates food safety inspections upon arrival.

Cases exempted from state food safety inspections for imported goods (except for cases with food safety warnings) *Note: According to Decree No. 15/2018/ND-CP:

1. Products that have been issued a Certificate of Acceptance of Product Declaration Registration.
2. Products carried by individuals entering the country, sent before or after the traveler’s journey, for personal use, travel purposes; gifts within the limits of duty-free imports as stipulated by tax laws.
3. Imported products for individuals entitled to preferential treatment or diplomatic immunity.
4. Transshipment, transit, temporary import, re-export, or goods stored in bonded warehouses.
5. Products used for testing or research purposes in quantities suitable for testing or research purposes, with confirmation from organizations or individuals.
6. Products used for display at fairs or exhibitions.
7. Products, production materials, and imported goods used only for export production or internal production purposes by organizations or individuals not intended for domestic consumption.
8. Temporary imported goods for sale at duty-free shops.
9. Imported goods serving urgent requirements as directed by the Government or the Prime Minister.

=> Therefore, when importing functional foods, only the product declaration is required.

Declaration of Functional Foods

Based on Circular No. 43/2014/TT-BYT, it is stated:

Article 3. Declaration of conformity and compliance with food safety regulations

1. Imported and domestically produced functional foods that have established technical standards must undergo declaration of conformity and registration of conformity declaration at the Ministry of Health (Department of Food Safety) before being circulated in the market.
2. Imported and domestically produced functional foods that do not yet have established technical standards must undergo declaration of compliance with food safety regulations and registration of compliance declaration with food safety regulations at the Ministry of Health (Department of Food Safety) before being circulated in the market.

=>> Thus, the declaration of conformity is applicable to imported products with established technical standards. On the other hand, the declaration of compliance is for imported foods without established standards but that comply with Vietnam’s food safety regulations, such as milk, candy, cakes, etc.

**Note: Whether it’s a declaration of conformity or compliance, the dossier for declaring functional foods must take into account the following issues:

• Business registration certificate with a food business sector or legal entity certificate for organizations and individuals (certified copy by the organization or individual).
• Certificate of Free Sale (CFS) issued by the exporting country and legalized by the Vietnamese consulate in that country.
• Documentation proving efficacy: scientific evidence demonstrating the efficacy and consumer-appropriate composition of the product. Certificate of product ingredient analysis: If this certificate is issued by an independent testing laboratory certified with ISO 17025 and meets the main quality indicators, microbiological indicators, and heavy metal indicators for functional foods as stipulated by Vietnamese law.
• Test results of the product from authorized agencies in Vietnam (this result form is necessary for product declaration). Before submitting the declaration dossier to the Department of Food Safety, declaring units need to conduct testing at authorized state agencies based on the standards or the composition and purpose of use to ensure appropriate standards. (To facilitate smooth customs clearance, importing units typically need to import a sample batch and request confirmation for testing.)
• HACCP certificate or ISO 22000/2005 certificate (if applicable).

Sequence and Procedures for Declaration of Compliance with Food Safety Regulations:

1. Assessment of Compliance with Food Safety Regulations:

Organizations or individuals conduct product testing at designated testing laboratories, accredited independent testing laboratories, or recognized testing laboratories.

2. Registration of Compliance Declaration with Food Safety Regulations

Note: The test results for the product are regulated as follows: test results for the product within 12 months (original or notarized copy with the original for cross-referencing or legalized by the consulate), including indicators as required by corresponding technical standards, from the designated testing laboratory or recognized testing laboratory.

HP Global provide service for ………………..in Vietnam -> Contact ++84 984870199, email info@hpgloballtd.com

Customs procedure of import Functional foods into Vietnam

What procedure of importing Functional foods to Vietnam? What documents are needed when importing Functional foods to Vietnam?

Customs dossier for importing Functional foods commodity normally are as below:

• Commercial Invoice (Commercial Invoice)
• Bill of lading (Bill of Lading)
• Certificate of origin (Certificate of origin – in case the importer wants to enjoy special preferential import tax)
• In some cases: Packing List (Goods packing slip)
• Receipt of the conformity declaration acceptance/confirmation of compliance declaration.
• Certificate of origin for goods: 01 original copy or electronic CO in case of seeking special import duty preference.
• Because of the above-mentioned commodity policy, when carrying out customs procedures for importing functional foods, in addition to the usual records, businesses need to submit a declaration and a certificate of quality inspection (or documents proving to be under exempted from quality inspection)

(Refer to Regulations in Section 5, Article 1, Circular No. 39/2018/TT-BTC dated April 20, 2018 of the Ministry of Finance)

• Certificate of quality inspection registration (or documentation proving exemption from quality inspection). Procedure for registering quality inspection for functional foods:
• Register food safety and hygiene inspection at competent agencies such as: Center for Standards, Metrology and Quality 1 (Quatest 1, in Hanoi), Center for Technical Standards, Metrology and Quality 3 (Quatest 3, in Ho Chi Minh City); National Institute of Food Safety and Hygiene Testing (in Hanoi),…
• Declare and transmit the customs declaration attached to the approved registration form.
• Complete customs procedures and apply for permission to bring the goods to the storage facility.
• Inspect the storage facility and collect samples for testing.
• After inspection, if the results meet the standards, submit supplementary results to Customs for clearance of the batch. If the results do not meet the standards, the goods must be returned.

Label for import Functional foods

According to current stipulation, cargo imported into Vietnam need to have sufficient label

Imported goods need to be fully labeled according to current regulations.

Goods labels must show the following contents:

a) Name of goods;

b) Name and address of the organization or individual responsible for the goods;

c) Origin of goods;

In addition to the general provisions on labels above, Decree 43/2017 / ND-CP dated April 14, 2017 on goods labels contains provisions that must be shown on labels of health food products. (Point 3, Appendix I) includes the following contents:

• a) Quantity;
• b) Date of manufacture;
• c) Expiry date;
• d) Ingredients, ingredient quantities or nutritional value;
• d) Instructions for use, instructions for storage;
• e) Disclosure of recommendations on risks (if any);
• g) Write the phrase: “Health protection food”;
• h) Write the phrase: “This food is not a medicine, has no effect replacing medicine.

Select HP Global as the freight forwarder/customs broker for your shipments import Functional foods into Vietnam

HP Global is a freight forwarder with a top reputation in Vietnam.

• Registered with the US Federal Maritime Commission (FMC)
• Member of WCA (top network for independent forwarders in the world); SCN (Security Cargo Network)
• Member of VLA (Vietnam Logistics Business Association)
• A certified customs broker by the Vietnam Customs department

We provide the following services:

• Sea freight from Vietnamese ports to other countries and vice versa.
• Air freight from Vietnam Airports to other countries and vice versa
• Customs clearance service in Vietnam: Ha Noi, Hai Phong, Da Nang, Ho Chi Minh …
• Inland transportation in Vietnam: road, waterway, railway
• Consultation on the following contents: HS code, import tax, payment, product import policy, effective shipping solutions,…
• Other services: quality inspection, machinery inspection, cosmetic announcement, food supplement announcement, import, export license in Vietnam ….

→ Contact us for freight and inbound and outbound services for shipments to / from Vietnam – Email: info@hpgloballtd.com

You may concern:

• Overview Of Trade Relations Between Vietnam And The World
• Overview of Vietnam Seaports
• Import Cosmetics to Vietnam: Procedure and Duty

For consultation and quotation for cargo import to and export from Vietnam, contact us as below details

Hp Global Company Limited

Freight forwarder and Customs Brokerage

Room 2308, CT2 Van Khe, La Khe, Ha Dong, Hanoi

Website: hptoancau.com

Email: info@hptoancau.com

Phone: 024 73008608 / Hotline: 08 8611 5726

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