VIETNAM COMPETITION AUTHORITY
MINISTRY OF INDUSTRY AND TRADE
TERMS OF REFERENCE
SELECTING A CONSULTANT TO CONDUCT THE STUDY
“ASSESSMENT ON THE COMPETITION OF VIETNAM
CEMENT MARKET”
Under framework of Project for the Improvement of Legal Framework
for Competition Law and Policy in Vietnam with
Japan International Cooperation Agency
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VIETNAM COMPETITION AUTHORITY
MINISTRY OF INDUSTRY AND TRADE
1.
About Vietnam Competition Authority
Vietnam Competition Authority (VCA) is a State Agency under the authority
of the Ministry of Industry and Trade functioning competition, consumer protection
and initiation of trade remedy cases.
In competition area, the operational criterion of the VCA is to create and
maintain a fair competition environment with fair business opportunities for all
market participants. VCA encourage and promote the competition between
enterprises and in doing so to ensure the legitimate rights and interests of
consumers, the development of technology and social advances.
2.
Content
With the annual contribution on GDP is around 10-15% per year, the cement
industry is served as a strategic sector to the development of the national economy.
In the period of 2000-2008, the cement industry experienced the overdemands
thanks to the strong development of the construction market. Thereafter , due to the
crisis of real estate market and the decrease in construction industry, consumption
for cement has fell down significantly. Cement enterprises have faced difficutlies to
maintain marketshares and survive in severe competition environment.
In order to cope with theses difficulties, cement enterprises has applied
various methods to improve their productivity. Some of them has conducted
economic concentration such as merge or acquisition, etc to foster their market
power and capacity. These acts may lead to changes in cement market structure,
significantly impacting to competition environment. In addition to, some of anticompetitive signals and activities being done by cement enterprises has been
detected . In that sense, it is necessary to research on market structure, competition
environment and current competition situation in cement market and collect
information to build up a database which is useful for competition administration
and supervision.
For that reason, Vietnam Competition Authority is, with the assistances of
Project for the Improvement of Legal Framework for Competition Law and Policy
in Vietnam (in the JICA Project), conducting the study “Assessment on the
competition of Vietnam cement market” in order to find out what competition
concerns may result in the development of this market. The subjects of this study
will focus on the assessment of the cement market in Vietnam from the viewpoint
of competition law and policy and the recommendations to improve the importance
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VIETNAM COMPETITION AUTHORITY
MINISTRY OF INDUSTRY AND TRADE
of cement industry in economic systems as well as to limit anti-competitive effects
of cement enterprises’ practices which are harmful to competition evironment.
3.
Scope of study
The research will focus on some main types of cement related products based
on consuming demand, production volume in the period of 2012 to 2014 and
supply-demand forecast of cement market. Cement production enterprises are
fragmented, located nearby input sources; as a result, the market structure should be
assessed in both nationwide and by region. In that sense, competition on cement
market should comprehensively evaluated with different criteria including types of
cement products, types of enterprises and location by region.
Assessment on the competition of Vietnam cement industry is based on the
following main factors:
- Products: some main types including Portland cement, admixed Portland
cement and others
- Enterprises: all types of enterprises including state-owned enterprises, jointventure ones and small-sized ones in all over the country
- Period of collecting information: within the recent past three years from
2012 to 2014.
4.
Scope of work
The a selected consultant takes responsibility of conducting the contents of
the study “Assessment on the competition of Vietnam cement market”,
including:
(1) Carry out questionmaire survey to the cement companies in Vietnam
*List of companies and form of questionnaire will be provided by VCA.
(2) Analyse the collected data by the questionnaire survey
(3) Carry out interviewing to cement companies and Vietnam National
Cement Associatation based on the result of questionnare survey
(4) Comple the draft report on “Assessment on the “Competition of Vietnam
Cement Market” including following contents
(i) Assessment on current situation of cement production and trading in
Vietnam;
(ii) Assessment on the legel framework for regulating cement production and
trading activities in Vietnam;
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VIETNAM COMPETITION AUTHORITY
MINISTRY OF INDUSTRY AND TRADE
(iii) Assessment on the market structure and the competition of Vietnam
cement market;
(iv) Providing conclusions and recommendations to enhance competition
capacity of cement enterprises on Vietnam cement market.
(The outline of study “Assessment on competition of Vietnam cement
market” is attached herewith)
5.
Timelines
Pleliminary proposals must be sent by email at the same time to these
addresses [email protected] and [email protected] before May 25, 2015.
After receiving proposals, VCA will send confirmation email. In cases of not
receiving confirmation email, please contact us.
Time for accouncing selected provider is from June 01, 2015 to June 05,
2015. VCA will send email on the selecting provider to all email addresses
submitting proposals for the project.
After selecting a provider, Residents Expert of JICA will sign consultant
contracts with the selected provider.
The selected provider is in-charged of accomplishing works and handing
over all related information and documents to Vietnam Competition Authority
within 60 days since date of signing consultant contract
6.
Contact address
VIETNAM COMPETITION AUTHORITY (VCA)
Ministry of Industry and Trade
Address: 25 Ngo Quyen Str, Hoan Kiem Dist, Hanoi, Vietnam
Website: www.vca.gov.vn
Mr. Phung Van Thanh
Email: [email protected]
Tel: 84-4-22205002 (ext: 1069)
Mob : 84 (0) 932 0606 77
7.
Obligation of provider
Selected provider acting as the domestic expert to conduct the research, survey
to collect information, materials related to enterprises operating in the Vietnam
cement maket.
After finishing the survey, provider shall have obligation to submit all
information, materials to VCA.
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VIETNAM COMPETITION AUTHORITY
MINISTRY OF INDUSTRY AND TRADE
8.
Criteria for evaluation
JICA Resident Expert with consulting with VCA would evaluate and rank
preliminary proposal according to following criteria:
-
Expense for building and operating: the lower expense for caring out
survey and analysing information.
-
Level of trust and avaiblility of information resources.
-
Effectiveness of analyze methods
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