Hanoi (VNA) – Vietnam’s fast-growing e-commerce sector has posed a greatchallenge for the Government as many retailers are using loopholes inmanagement regulations to trade counterfeit goods and cheat consumers, thuscreating economic losses and shattering shoppers’ confidence in genuinee-commerce activities.

Besides local firms like Shopee, FPT, Tiki, Thegioididong, Adayroi, and Sendo,the e-commerce playground in Vietnam has seen the entry of several foreigngiants, including Alibaba, Amazon, and Lazada.

According to Germany’s Statista Market Research Company, the total combined revenueof e-commerce companies in Vietnam reached 2.26 billion USD in 2018, up nearly30 percent from the previous year. The size of the Vietnamese e-commerce marketwas about 6 billion USD as of the end of 2018.

However, e-commerce in the country has turned into a haven for counterfeit and smuggled goods, as well asviolations of intellectual property rights.

Director of the Ministry of Industry and Trade’s Department of E-commerce andDigital Economy Dang Hoang Hai said that most of the current on line trading platformsfail to publicise consumers’ rights and duties, while fake goods are publiclysold.

E-commerce websites usually useimages of real, genuine goods for sale at a much cheaper price to attractbuyers, who then receive made-in-China products of low quality.

Head of the Ministry of Industry and Trade’s Department of Market ManagementTran Huu Linh said that the department is outlining stricter measures to handlesuch violations. It will work to develop a database and electronic receiptsystem to better control the market, he said, adding that the market managementforce will promote a communications campaign to raise public awareness ofe-commerce regulations, while enhancing international cooperation in cybersecurity.

In addition, the department will join hands with police, customs, border guard,and taxation forces to fight against smuggling, counterfeit trade, andviolations of intellectual property rights.

A representative from the General Department of Taxation said that humanresources training must be given due attention to ensure that officers holdexpertise in taxation, accounting, foreign languages, and informationtechnology to prevent tax fraud in e-commerce.

In addition, legal documents on taxation should be completed to fit e-commercedevelopment, as well as the operations of organisations and individuals. –VNA