return icon Vietnamnet.vn

Agriculture Ministry to improve investment conditions

The Ministry of Agriculture and Rural Development will review and evaluate the support and development for enterprises. Thereafter, it will propose to adjust and add policies to create favourable conditions for enterprises investing in agriculture.

VietNamNet Bridge – The Ministry of Agriculture and Rural Development will review and evaluate the support and development for enterprises. Thereafter, it will propose to adjust and add policies to create favourable conditions for enterprises investing in agriculture. Ha Cong Tuan, deputy ministry of agriculture and rural development, told Vietnam News Agency about those issues.

{keywords}

 

 

What is the ministry doing to create favourable conditions for enterprises while developing investment activities in the agricultural industry?

In recent years, the government has issued many mechanisms and policies to attract investments from enterprises to the agricultural industry. Two important policies were Decree 210/2013/NĐ-CP on incentives for enterprises putting investment to the farming industry and the rural area and Decree 55/2015/NĐ-CP on credit policies for development of the agricultural and rural areas. In addition, there were many other policies to support investment activities in the farming industry, including a poverty reduction policy and the national target programme on new rural development.

We think that those policies have created initial changes in investment activities for agriculture. Recently, some large enterprises have invested in agriculture. However, a number of investors, as well as a number of investments in agriculture have been still lower than those of other sectors.

To implement the Resolution 19/2016/NQ-CP of the government on major tasks and solutions on improving the business environment and national competitive ability in 2016 and 2017 and to 2020, and the Resolution 35, the ministry has reviewed existing investment incentives to evaluate efficiency of those incentives. So, it can know why some policies have not helped efficiency. For instance, many enterprises have complained that they cannot seek credit or get incentives under Decree 210.

In addition, the ministry has also compiled a decree on investment incentives to agriculture for foreign investors, mainly including food hygiene and safety, fertiliser, medicine and animal feed.

The second thing is the land policy. There are many enterprises needing land for their investments in agriculture. The State and the agricultural industry must create favourable conditions for enterprises to have land and also ensure land for farmers. But, in fact, the state has not had a large clear land available for enterprises.

Since the State cannot take land from the farmers to give to enterprises it has restructured agricultural and forestry companies to receive land for enterprises putting their investment into produce high-tech agricultural products.

We have proposed that enterprises combine with farmers for developing a large field model in producing rice, industrial and forestry trees. The combination is very important because the State does not have hundreds of hectares of land to hand over to enterprises.

The third issue is equitisation and restructuring of state-owned enterprises in agriculture to attract more investment from the private sector to agriculture.

The ministry expects in 2017, all state-owned enterprises in agriculture to be equitised. This year, equitised enterprises will continue to divert capital from non-core business. Many enterprises have withdrawn all funds from non-core business, including the Viet Nam National Vegetable, Fruit and Agricultural Product Corporation, Viet Nam Tea Corporation and the Viet Nam General Corporation of Agricultural Materials.

The government has asked ministries and industries to develop a programme under implementation of the Resolution 35. They will report on development of the programme to the government before July 1, 2016. What does the ministry do according to the government’s  equirement?

The ministry expects before June 15 to have specific plans on implementing the Resolution 35 and Resolution 19. The two resolutions are closely related. The ministry has set up a steering committee to implement the two resolutions.

Now, the ministry has been reviewing implementations of existing mechanisms and policies on land and administrative reforms.

Recently, the ministry has submitted to the government a draft of regulations on conditions for investment and business activities in agriculture. According to the draft, agriculture will reduce conditional business lines from 99 to 32. Each business line will also have reduction in requirements for administrative procedures to save money for enterprises.

During a review of business conditions in agriculture, what will the ministry do to reduce conditional business lines to 32?

The ministry has reviewed the entire legal document related with investment and business conditions in agriculture and rural development, including seven laws, five ordinances, 17 decrees, and one decision of the government, in addition to 39 circulars of the Ministry of Agriculture and Rural Development. The ministry has found that agriculture has 99 conditional business lines.

According to the Law on Investment, agriculture has 35 conditional business lines. The ministry has proposed to the government that they do not have business conditions for three business lines including business of ornamental and shade trees, firewood and charcoal business, and business of fishing gear and fisheries instruments.

Meanwhile, for business conditions of other business lines, the ministry has proposed to reduce administrative procedures and conditions on administrative procedures and to retain basic conditions for ensuring quality of products and food hygiene and safety.

What difficulties has the ministry faced while reducing conditional business lines?

The ministry has taken a long time to review regulations on business conditions in the fields of plant protection, veterinary medicine and aquaculture. Those fields need careful consideration to ensure reduction of business conditions on administrative procedures, create favourable conditions for enterprises and also ensure quality of products and better production process.

    
related news

Vietnam to promote agriculture investment    

Ministries vow more reform this year    

Deputy PM: Administrative reform remains slow

Source: VNS

MORE NEWS

VIETNAM NEWS HEADLINES OCTOBER 7

Two more national parks nominated ASEAN heritage ones

Coc Coc browser, search engine recognised national digital platform

Vietnamese-developed Coc Coc browser and search engine is now eligible to become a digital platform serving the people in 2022, the Ministry of Information and Communications announced on October 7.

VIETNAM BUSINESS NEWS OCTOBER 7

Vietnamese firms attend M-Tech Osaka 2022 expo

Vietnam Airlines flight makes emergency landing to save German passenger

A Vietnam Airlines flight en route from Germany to Ho Chi Minh City made an emergency landing at Baku Heydar Aliyev Airport of Azerbaijan on late October 6 to save a German passenger with health problem.

SSC warns investors about online securities trading apps

Some businesses have created websites and trading applications, such as Passion Invest, Finhay, Tikop, Infina, Savenow and BUFF, to raise capital under unlicensed business cooperation contracts.

Investors warned of the possibility of corporate bond default

In the financial market, investors need to keep in mind the principle of high risk, high return. Therefore, the higher the bond yield, the greater the probability of default.

PetroVietnam, BSR seek foreign capital for Dung Quat

A delegation of officers from PetroVietnam and Binh Son Oil Refining and Petrochemical JSC has attended a thematic seminar on export funding – TXF Asia 2022 – in Singapore.

Lenders look further afield for recruitment

As digital transformation calls for a different set of skills and knowledge, many financial institutions are turning to the overseas market for recruitment.

Moss-covered houses on Tay Con Linh Mountain

The moss-covered houses of the Dao ethnic people are among the special features of Tay Con Linh Mountain in the northern province of Ha Giang.

PM orders karaoke service licensing be tightened

The prime minister has ordered the Ministry of Culture, Sports and Tourism to study and issue more stringent karaoke service licensing regulations.

Six airports proposed for expansion under PPP format

The Ministry of Transport has written to the prime minister proposing upgrading and expanding six airports under the public-private partnership (PPP) format.

VN companies can now compete fairly with cross-border platforms

Cross-border TV OTT platforms will have to have operating licenses and pay tax, and domestic firms will be subjected to looser censorship, thus creating opportunities for domestic firms to compete with foreign ones.

Vietnam ranks 48th in 2022 Global Innovation Index

Vietnam is placed 48th among 132 economies in the Global Innovation Index 2022.

New UNDP Resident Representative pledges support to Vietnam’s development

Ramla Al Khalidi, newly-appointed UNDP Resident Representative in Vietnam, has pledged to further support Vietnam’s development, covering climate change response and the settlement of bomb and mine consequences.

VN should not become a place where investors exploit only cheap labor

Vietnam wants foreign investors to come to cooperate and not build closed facilities that are separate oases in the economy, former chair of the Vietnam Confederation of Commerce and Industry (VCCI) Vu Tien Loc said.
back_to_top