MOIC LAO | Goods in Transit between Lao PDR and the Socialist Republic of Viet Nam Can Transit via the International Border Checkpoints and the Most Convenient Routes

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Goods in Transit between Lao PDR and the Socialist Republic of Viet Nam Can Transit via the International Border Checkpoints and the Most Convenient Routes

10th May 2017 post by MOIC Lao

On the 26th April 2017, in Vientiane Capital, H.E Mrs. Khemmani Pholsena, Minister of Industry and Commerce, representing the Government of Lao PDR and Dr. Tran Tuan Anh, Minister of Industry and Trade, representing the Government of the Socialist Republic of Viet Nam signed the Protocol to amend the Article 6 of the Agreement on the Transit of Goods which signed earlier on the 13th March 2009. This amendment designates the Contracting Countries to facilitate the transit of goods through the territory of each Contracting Parties via the international border checkpoints and the routes most convenient.

This Agreement on the Transit of Goods consists of 14 articles totally, which identifies principles and measures of transit of goods between the two countries. According to the Article 6 of the initial Agreement specified the Contracting Parties’ border checkpoints and routes for transit of goods such as: Road No. 9 (Dan Savan- Lao Bao Border Checkpoints); Road No. 8 (Nam Phao – Cau Treo Border Checkpoints); Road No. 217 (Nam Xoi-Na Meo Border Checkpoints); Road No. 42 (Pang Hoc-Tay Trang Border Checkpoints); Road 7 (Nam Can-Nam Can Border Checkpoints); Road No. 12 (Na Phau-Cha Lo Checkpoints); Road No.18 (Phu Cua-Bo Y Border Checkpoints). Within these 8 partners’ international border checkpoints, there are only 7 that are applicable for transporting the Goods in Transit and must be transported along the indicated routes which increase the difficulties for the transit of goods.

Therefore, the Protocol to Amend the Agreement on the Transit of Goods (2009) will facilitate the transportation operators and import and export businesses to have more options in transporting the goods in transit along the routes that are more convenient and reduce the cost of transporting. Indirectly, this facilitation promotes the growth of the bilateral trade between two countries and international trade in general especially the exportation from Lao PDR to the third country via the territory of the Socialist Republic of Viet Nam and vice versa. 

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