Smuggled sugar still enters Vietnam in large volume

According to the Vietnam Sugarcane and Sugar Association (VSSA), in August 2021, despite the complicated situation of Covid-19, smuggled sugar still entered Vietnam in large volumes through the southwestern border provinces.

Information from the National Steering Committee 389 shows that the situation regarding smuggled sugar across the border remains complicated. The local authorities have detected and dealt with many cases of illegal transportation of smuggled sugar.

The Steering Committee 389 of Thua Thien - Hue said that on August 5th the market management force in Thua Thien - Hue discovered 2 tons of white sugar contained in sacks having zero receipts, all produced by foreign countries.

In Quang Tri, on July 22nd, while on anti-smuggling patrol and duty in the area, the patrol team of the Quang Tri Customs Enforcement Team detected 2.5 tons of white sugar without legal documents after checking the truck with license plate number 75C-036.19. And on August 9th Quang Tri Customs Department continued to detect and handle a case of illegal transportation of 3.5 tons of white sugar. The goods were in bags of 50kg and recorded as originating from Thailand.

On August 4, the investigative police agency of Tay Ninh Police Department decided to prosecute a criminal case of smuggling that occurred at Thuy Anh Import-Export Trading and Production Co., Ltd. (located in Dong Bien hamlet, Tan Dong commune, Tan Chau district) with the act of "hiding in the shadow" of an import-export company, smuggling more than 170 tons of granulated sugar, worth over VND 3 billion. Through investigation, it was found that this company imported the sugar from Cambodia into Vietnam for distribution.

Functional forces in Ho Chi Minh city had discovered and seized more than 140 tons of unidentified granulated sugar with a total shipment value of roughly VND 2 billion. The violating goods were carried in 3 trucks and containers which were parking in Binh Tan and Hoc Mon districts when the arrest happened. The drivers admitted that the goods were transported from Binh Duong and Dong Nai provinces to Ho Chi Minh city.

On the other hand, there is a big difference while comparing sugar import data from Cambodia to Vietnam (by the General Department of Customs) and sugar import data from Thailand into Cambodia (by OCSB Thailand) in the same period. In particular, from October 2020 to May 2021, the amount of sugar imported from Cambodia into Vietnam was 126,410 tons, while the amount of sugar imported from Thailand into Cambodia was 364,942 tons. In VSSA’s opinion, it is certain that Cambodia imports Thai sugar not for domestic consumption but mainly to bring it to Vietnam (both officially and illegally).

The Standing Office of the National Steering Committee 389 has demanded functional forces to strengthen detection, prevention and handling of smuggling acts, and at the same time strengthen inspection and supervision for imported granulated sugar on the market.

The National Steering Committee 389 also proposes to make sugar traceability a mandatory requirement for all sugar production and processing facilities. This system will require the application of technology such as using QR codes to quickly and effectively check the legality and origin of goods.