HANOI – Strong incentives will be offered to those companies producing 49 selected items tentatively listed by the Ministry of Industry and Trade as key products in the supporting industries.
Ministry mulls incentives for 49 items in supporting industries
By Dong Ha - The Saigon Times Daily
Workers at the assembly line of Toyota Vietnam. Suppliers of components for auto manufacturing will likely enjoy strong incentives as Vietnam is determined to develop supporting industries - Photo: Dong Ha HANOI – Strong incentives will be offered to those companies producing 49 selected items tentatively listed by the Ministry of Industry and Trade as key products in the supporting industries.
The Ministry on Wednesday had a working session with related agencies in a bid to implement Decision No 12/2011/QD-TTg dated February 24, which was issued by the Prime Minister with an aim to encourage development of supporting industries.
At the working session, the Heavy Industry Department under the ministry put forth the tentative list that covers 49 product items in six different industries, comprised of mechanics, electronics and informatics, auto assembling, apparel, footwear and high-tech industry.
The draft list is expected to focus incentives on certain supporting industries effectively, said director of the department Nguyen Manh Quan.
According to the decision, incentives and preferential treatment is given to those producing materials, parts, components and semi-finished products for such industries.
To be subject to the incentives, products must have high adaptability, can be produced en masse, and must be are made from local materials.
Those producing the selected items will be given priority to receive land incentives, tariffs, financial support and other assistance like design copyright, software, hiring foreign experts, transferring technology and labor training.
According to the ministry, the priority list of items will be completed this month and submitted for the Prime Minister’s approval. When implementing the regulation, the list will be updated and supplemented where necessary.