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Legal Document
Title: Decision on Establishment of Foreign Chamber of Commerce in Lao PDR No. 1006/MOIC.ITD, dated 22 May 2015
Type: Decision
Responsible Agency: Ministry of Industry and Commerce
Issuing Date: 2017-05-12
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Contents

Part 1: General Provision

Article 1 Objective

Article 2 Foreign Chamber of Commerce in Lao PDR

Article 3 Basic Principles of the Establishment and Operation of Foreign Chamber of Commerce in Lao PDR

Article 4 Scope of Application

Part 2: The Establishment of Foreign Chamber of Commerce in Lao PDR

Article 5   Conditions of establishment of Foreign Chamber of Commerce in Lao PDR

Article 6.Registration Procedure for the Establishment of Foreign Chamber of Commerce in Lao PDR

Article 7.Registration Procedure for the Establishment of Foreign Chamber of Commerce Branch in Lao PDR

Article 8.Rules of Foreign Chamber of Commerce in Lao PDR

Article 9 Terms of Foreign Chamber of Commerce in Lao PDR

Article 10.Dissolution of Foreign Chamber of Commerce in Lao PDR

Part 3: Functions, Rights, Duties and Prohibition of Foreign Chamber of Commerce in Lao PDR

Article 11 Functions of Foreign Chamber of Commerce in Lao PDR

Article 12 Rights and Duties of Foreign Chamber of Commerce in Lao PDR

Article 13: Prohibition of Foreign Chamber of Commerce in Lao PDR

Part 4: Foreign Chamber of Commerce Supervisory Authority in Lao PDR

Article 14 Foreign Chamber of Commerce Supervisory Authority in Lao PDR

Article 15: Rights and Duties of Foreign Chamber of Commerce Supervisory Authority in Lao PDR at Central Level

Article 16 Rights and Duties of Foreign Chamber of Commerce Supervisory Authority in Lao PDR at Provincial Level

Article 17.Rights and Duties of Lao National Chamber of Commerce and Industry

Article 18.Rights and Duties of Relevant Agencies

Part 5: Awards for Good Performance and Violator Measure

Article 19.Awards for Good Performance

Article 20.Measures against violators

Part 6: Final Provision

Article 21.Seal

Article 22.Implementation

Article 23.Effectiveness


Lao People’s Democratic Republic

Peace Independence Democracy Unity Prosperity

 

Ministry of Industry and Commerce                                                                                                                         No.1006/MOIC.ITD    

Vientiane Capital, Date 22 May 2015

 

Decision

on the Establishment of Foreign Chamber of Commerce in Lao PDR

 

  • Pursuant to the Decree on Organization and Operation of Ministry of Industry and Commerce No. 522/PM, dated 23 December 2011;
  • Pursuant to the Prime Minister’s on the Establishment of Foreign Chamber of Commerce in Lao PDR, No. 132/PM, dated 18 December 2014.

 

The Minister of Industry and Commerce hereby issued a Decision:

Part 1

General Provision

Article 1 Objective

This Decision sets out principles, regulation and measures related to the establishment, operation, supervision of foreign chamber of commerce and business representative organizations in order to facilitate coordination and business operation of foreign business organizations, to promote and protect the  legitimate rights and interests of foreign business units operating business in Lao PDR, aiming for systematic and effective supervision of business units in accordance with laws and regulations and treaties that Lao PDR is a Party, commitments signed by Lao PDR.

Article 2 Foreign Chamber of Commerce in Lao PDR

Foreign Chamber of Commerce in Lao PDR is one of organizations with an abbreviation of “FCC” that are established in accordance with laws and regulations of Lao PDR in order to be a representative of foreign business groups from other countries, which could be an association, chamber of commerce, branch of chamber of commerce and representative of business units operating in Lao PDR.

Article 3 Basic Principles of the Establishment and Operation of Foreign Chamber of Commerce in Lao PDR

Basic Principles of the Establishment and Operation of Foreign Chamber of Commerce in Lao PDR are as following:

  1. To voluntary apply for the establishment according to laws, participate on operation based on rules of “FCC” without being required or forced by others;
  2. To operate regularly or based on agenda that are established or assigned by “FCC” that are under the service;
  3. Every activities of “FCC” are under the supervision of Foreign Chamber of Commerce Supervisory Authority in Lao PDR and under laws and regulations;
  4. To become a member of Lao National Chamber of Commerce and Industry after the establishment;
  5. To be Self-finance;
  6. To operate as non-profit organizations;
  7. To have transparency, openness and equity in front of laws.

Article 4 Scope of Application

This Decision applies to Foreign Chamber of Commerce that received an establishment and operation approval in Lao PDR. 

 

Part 2

The Establishment of Foreign Chamber of Commerce in Lao PDR

Article 5   Conditions of establishment of Foreign Chamber of Commerce in Lao PDR

Conditions for the establishment of Foreign Chamber of Commerce are as following:

  1. To be certified by the embassy or consulate of countries that apply for the establishment of “FCC” in Lao PDR (in case of new establishment);
  2. To have objectives with clear scope of operation in accordance with the constitution, laws and regulations, culture, Lao traditions, not interfere with local custom belief and beliefs of various ethnic groups in Lao PDR, not cause any disruption to the national security and the order of society, not impede on the basic rights of Lao people and freedom of others;
  3. To have an initiator, establishment committee, a management committee, an inspection committee, secretary or head of office of “FCC”.
  4.  To have a management committee of at least 3-5 members that operate business according to laws and regulations of Lao PDR;
  5. To have an office, working space of “FCC” based in Vientiane Capital, provinces, large cities or in special economic zones in Lao PDR with the approval of the local authority where the offices are located, with documents certifying ownership rights or lease contract according to laws.
  6. The Foreign Chamber of Commerce must have regulations in accordance with Article 8 of  this agreement;
  7. To have a certification from the Lao National Chamber of Commerce and Industry.

Article 6.Registration Procedure for the Establishment of Foreign Chamber of Commerce in Lao PDR

Individuals or legal entities wish to establish “FCC” shall follow following procedures:

  1. An application requesting for the establishment and documentation specified in Article 05 of this Decision;
  2. To submit a set of documentation to the Lao National Chamber of Commerce and Industry for consideration;
  3. Documents will be forwarded by the Lao National Chamber of Commerce and Industry forward to Ministry of Industry and Commerce (Internal Trade Department);
  4. The Internal Trade Department will consider and report to the Minister of Industry and Commerce for issuing the Decision to establishment “FCC”;
  5. After issuing the Decision to establishment “FCC”, the Internal Trade Department will report to relevant departments of the Ministry of Public Security to engrave a seal.

The name of Foreign Chamber of Commerce in Lao PDR shall place Lao languge on the top and international language below;

All documentation process is counted from the day of official submission and reciept at LNCCI for the period of 05 days and 10 working days for consideration of establishment by the Ministry of Industry and Commerce.

Article 7.Registration Procedure for the Establishment of Foreign Chamber of Commerce Branch in Lao PDR

Individuals or legal entities wish to establish Foreign Chamber of Commerce Branch in Lao PDR in provinces, Vientiane Capital, big cities, special economic zones shall follow following procedures:

  1. An application requesting for the branch establishment with certification from the relevant Foreign Chamber of Commerce and documentation specified in Article 05 of this Decision;
  2. To submit a set of documentation to the Lao National Chamber of Commerce and Industry for consideration;
  3. Documents will be forwarded by the Lao National Chamber of Commerce and Industry forward to Ministry of Industry and Commerce (Internal Trade Department);
  4. The Internal Trade Department will consider and report to the Minister of Industry and Commerce for issuing the Decision to establishment a branch of “FCC”;
  5. After issuing the Decision to establishment a branch of “FCC”, the Internal Trade Department will report to relevant departments of the Ministry of Public Security to engrave a seal.

The name of Foreign Chamber of Commerce Branch in Lao PDR shall place Lao languge on the top and international language below;

All documentation process is counted from the day of official submission and reciept at LNCCI for the period of 05 days and 10 working days for consideration of establishment by the Ministry of Industry and Commerce.      

Article 8.Rules of Foreign Chamber of Commerce in Lao PDR

Foreign Chamber of Commerce in Lao PDR shall set their rules with following main content:

  1. Name of organization;
  2. Objective;
  3. Office location in Lao PDR;
  4. Rules (organization structure and human resources) of “FCC”;
  5. Member registration and conditions to resign from being a member;
  6. Rules on operating meetings of “FCC”;
  7. Rules of organization management committee including management committee structure, total number, the term, the end of term and meetings;  
  8. Rules on management, operation of accounting and assets management.
  9. Finance of Organization (member fee, capital and other revenue), financial status of the organization;
  10. Rules of “FCC” branch shall be implemented according to rules of “FCC” in Lao PDR that the branch is part of.

Article 9 Terms of Foreign Chamber of Commerce in Lao PDR

  1. The Foreign Chamber of Commerce in Lao PDR has 05 years term from the date of establishment approval and can extend 05 years more each time by summiting documentation to the Lao National Chamber of Commerce and Industry for consideration and will be forwarded to the Internal Trade Department, Ministry of Industry and Commerce for consideration;
  2. Term of Foreign Chamber of Commerce Branch is based on the term of Foreign Chamber of Commerce in Lao PDR.

Article 10.Dissolution of Foreign Chamber of Commerce in Lao PDR

            Foreign Chamber of Commerce may be dissolved by the following two cases:

            First group of cases, Foreign Chamber of Commerce Supervisory Authority in Lao PDR at central level notifies for dissolution because of following cases:

  1. Violation of Article 13 of this Decision;
  2. Violation of the Party’ policies, laws and legislation of the government, and their organization rules;
  3. No operation for at least 01 year or end of operation term and not yet summited documents request for extension of term or still operate after receiving a warning from the Foreign Chamber of Commerce Supervisory Authority;
  4. No annual report for one year period to the “FCC” Supervisory Authority on the organization structure, operation, and financial information.

Second group of cases, “FCC” voluntary decides to dissolve because of following cases:

  1. More than half of general members of “FCC” call for the dissolution;
  2. There is no financial capital to continue the operation;
  3. The end of operation term specified in the organization rules;
  4. Achieve objective specified in the organization rules.

 

Part 3

Functions, Rights, Duties and Prohibition of Foreign Chamber of Commerce in Lao PDR

Article 11 Functions of Foreign Chamber of Commerce in Lao PDR

Foreign Chamber of Commerce in Lao PDR acts a representative of business associations and business communities in Lao PDR in order to provide comments to “FCC” Supervisory Authority for facilitative business environment, transparency and fair competition, promotion of harmonized versatility business operation of business unit, cooperation according to relevant laws and regulations of Lao PDR.

Article 12 Rights and Duties of Foreign Chamber of Commerce in Lao PDR

            Foreign Chamber of Commerce in Lao PDR has following rights and duties:

  1. To provide consultancy on policy information, legal advice and opportunity in doing business in Lao PDR for their members;
  2. To encourage and gather business units operating legally to become members.
  3. To facilitate the branch establishment of “FCC” in big cities, Special Economic Zones under their management;
  4. To manage branches and business units that are members;
  5. To collect data-information about business units that are members, summarize information on relevant business operation and disseminate such information to general public in order to promote their business in Lao PDR and abroad;
  6. To closely liaise with LNCCI and other “FCC” to exchange data-information, create activities on trade development, cooperate on marketing, product development and legitimate competition;
  7. To summarize and report to the Lao National Chamber of Commerce and Industry on the operation of “FCC” and their branches.

Article 13: Prohibition of Foreign Chamber of Commerce in Lao PDR

Foreign Chamber of Commerce in Lao PDR is prohibited to act as follow:

  1. To include the word “National” on the name of Foreign Chamber of Commerce in Lao PDR;
  2. Abuse the rights to establish “FCC” to operate against the constitution, laws and regulations of Lao PDR.
  3. To operate leading to disruption on national security and the order of society, peace and basic rights of Lao people and the freedom of others, culture and Lao traditions, not interfere with local custom belief and beliefs of various ethnic groups in Lao PDR;
  4. To be ignorant, destroy benefits of nation, individuals and organizations;
  5. To operate leading to conflicts within nation, local areas and various ethnic groups;
  6. To falsify ,transfer, lease, lent the Decision of the establishment  of “FCC” in any forms;
  7. To support disruption to peace and other operation that violates laws and regulations of Lao PDR;
  8. To obstruct or hinder any business units that meet criteria to become members or to force business units to become members without their willingness to apply or force members to resign without sensible reasons.

 

Part 4

Foreign Chamber of Commerce Supervisory Authority in Lao PDR

Article 14 Foreign Chamber of Commerce Supervisory Authority in Lao PDR

Foreign Chamber of Commerce Supervisory Authority in Lao PDR is the Ministry of Industry and Commerce (Internal Trade Department), which is the lead in the implementation in collaboration with Division of Industry and Commerce in provinces, Vientiane Capital, Lao National Chamber of Commerce and Industry and relevant agencies.

“FCC” Supervisory Authority from central to provincial levels consists of:

  • At central level is Internal Trade Department, Ministry of Industry and Commerce;
  • At provincial level is Division of Industry and Commerce in provinces, Vientiane Capital;
  • The Lao National Chamber of Commerce and Industry;
  • Relevant agencies.

Article 15: Rights and Duties of Foreign Chamber of Commerce Supervisory Authority in Lao PDR at Central Level

“FCC” Supervisory Authority at Central Level has following rights and duties:

  1. To provide comments on the establishment, dissolution or extension of term of “FCC”;
  2. To provide comments on approval for the establishment, dissolution or extension of term for consideration by higher level;
  3. The Director General of the Internal Trade Department approves the establishment, dissolution or extension of term in case of “FCC” branch establishing in provinces, big cities and special economic zones;
  4. To manage and monitor the operation of “FCC”;
  5. To disseminate, advise on the implementation of policies, laws and regulations relevant to “FCC”;
  6. To advise, facilitate, monitor the operation of “FCC” to be operated according to objectives and functions of “FCC”;
  7. To award “FCC” with good performance in contributing to the development and assistance of society;
  8. To support “FCC” members to create activities on trade development, sharing experience among Lao business, foreign business, cooperate on marketing and product development;

Article 16 Rights and Duties of Foreign Chamber of Commerce Supervisory Authority in Lao PDR at Provincial Level

            “FCC” Supervisory Authority at Provincial Level has following rights and duties:

  1. To advise, facilitate, monitor the operation of “FCC” branch in provinces, Vientiane Capital to be operated according to objectives and functions of “FCC”;
  2. To award “FCC” branch in their provinces with good performance in contributing to the development and assistance of society;
  3. To support “FCC” branch in their provinces to create activities on trade development, sharing experience among Lao business, foreign business, cooperate on marketing and product development;
  4. To summarize and regularly report the operation of “FCC” branch located in their provinces, Vientiane Capital to the Ministry of Industry and Commerce (Internal Trade Department).

Article 17.Rights and Duties of Lao National Chamber of Commerce and Industry

Lao National Chamber of Commerce and Industry has following rights and duties:

  1. To provide comments on the establishment, dissolution or extension of term of “FCC” for consideration by the Ministry of Industry and Commerce (Internal Trade Department);
  2. For establishment of any “FCC” branch in provinces No. 1 of this Article is applied;
  3. To manage and monitor the operation of “FCC”;
  4. To provide direction to Chamber of Commerce and Industry in provinces, Vientiane Capital in management and monitor the operation of “FCC” in provinces, Vientiane Capital, big cities and special economic zones; 
  5. To disseminate, advise on the implementation of policies, laws and regulations relevant to “FCC”;
  6. To advise, facilitate, monitor the operation of “FCC” to be operated according to objectives and functions of “FCC”;
  7. To request an award from the Ministry of Industry and Commerce for “FCC” with good performance in contributing to the development and assistance of society;
  8. To support “FCC” members to create activities on trade development, sharing experience among Lao business, foreign business, cooperate on marketing and product development;
  9. To summarize and regularly report the operation of “FCC” to the Ministry of Industry and Commerce (Internal Trade Department).

Article 18.Rights and Duties of Relevant Agencies

Relevant agencies has rights and duties assisting to manage, monitor, and coordinate with Industry and Commerce Agencies, LNCCI including Chamber of Commerce in provinces, Vientiane Capital on the operation of “FCC” according to their functions.

 

Part 5

Awards for Good Performance and Violator Measure

Article 19.Awards for Good Performance

Individuals or organizations with outstanding performance in implementing this Decision will receive compliments or other appropriate policy according to laws and regulations.

Article 20.Measures against violators

Individual or organizations who violate this decision or Law and other regulations shall be subject to measures depending on the seriousness of the violation in the form of education and training, suspending, terminating or being sued in court of law.

Individuals and organizations that violate this Decision or other laws and regulations  shall receive warning, dissolution or punishment depending on seriousness of the violation.

 

Part 6

Final Provision

Article 21.Seal

Foreign Chamber of Commerce in Lao PDR has the own official seal to operate according to their functions, rights and duties specified in this Decision, which Ministry of Industry and Commerce (Internal Trade Department) will request the Ministry of Public Security for approval and engraving such seal.        

The design of the seal is to be compliant with the Decree on the Supervision and Usage of Seals.

Article 22.Implementation

The Internal Trade Department in collaboration with Division of Industry and Commerce in provinces and Vientiane Capital, Lao National Chamber of Commerce and Industry and relevant agencies are assigned to strictly implement this Decision.

Article 23.Effectiveness

This Decision is effective from the date of signature and 15 days from the date of publication on Official Gazette.

Any organizations that were established and operated prior this Decision shall have all documentation specified in Article 6 of this Decision to request for a re-establishment within 120 days from the date of the effectiveness of this Decision.

 

 

Minister  Ministry of Industry and Commerce

(Signature and Seal)

Khemmani PHOLSENA



Download English:Decision on Establishment of Foreign Chamber of Commerce in Lao PDR No. 1006/MOIC.ITD, dated 22 May 2015

Download Lao:Decision on Establishment of Foreign Chamber of Commerce in Lao PDR No. 1006/MOIC.ITD, dated 22 May 2015