Sunday, March 30, 2008

Conditions Right for "Black Market"

Spiralling prices are expected to boost the smuggling of goods into Viet Nam this year, increase the amount of fake goods in the market place and lead to a boom in trade fraud.

This was the warning issued at a national conference on dishonest trading practices arranged by the Ministry of Trade and Industry here yesterday.

The meeting was told that last year government offices and agencies dealt with more than 130,000 cases, an increase of 6.2 per cent over 2006.

Goods worth a total of nearly VND1.3 trillion (US$81.2 million) were confiscated, an increase of more than 136 per cent.

Deputy Minister of Trade and Industry Nguyen Cam Tu, who is also the deputy chief of a steering committee fighting against smuggling, fake goods and trade fraud said there were still many difficulties in fighting the illegal trade.

Tu said the co-operation between anti-smuggling agencies in some localities was not strong enough.

He also admitted that some regulations were illogical and weak and allowed smugglers to take advantage of the situation.

He also predicted that smuggling through border gates into neighbouring countries would become more sophisticated, but added that price pressures would continue to encourage smuggling.

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