In Vietnam, what are regulations on actions against disputes and violations in course of performing linkage contract and project in production and consumption of agricultural products?

Nội dung chính

• Regulations on actions against disputes and violations in course of performing linkage contract and project in production and consumption of agricultural products in Vietnam: 
• Reponsibilities of ministries and ministerial-level agencies in production and consumption of agricultural products in Vietnam:

Regulations on actions against disputes and violations in course of performing linkage contract and project in production and consumption of agricultural products in Vietnam: 

Pursuant to Article 15 of the Decree 98/2018/NĐ-CP stipulating actions against disputes and violations in course of performing linkage contract and project in production and consumption of agricultural products in Vietnam as follows: 

1. If participants in a linkage fail to strictly and fully perform commitments and obligations (except force majeure events such as disaster or epidemics) in the course of performing a linkage contract granted subsidies from state budget, they shall:

a) be ineligible for state incentives or subsidies, face penalties in accordance with applicable laws and make compensation to damaged parties; and

b) be ineligible for state incentive policies for linkages within a period of 05 years from the date on which a report on violation is made.

2. If participants in a linkage make breach of a linkage contract, the following measures shall apply:

a) Enforce compliance with terms and conditions of the linkage contract;

b) Impose fines for breach of the linkage contract;

c) Suspend the performance of linkage contract;

d) Terminate the performance of linkage contract;

dd) Cancel the linkage contract;

e) Enforce payment of compensation to related parties;

g) Implement other methods as agreed upon between the participants in the linkage in conformity with applicable laws.

3. Forms of settling disputes concerning the linkage contract: The Government encourages the settlement of disputes concerning the linkage contract by negotiation and conciliation. In case of failure to an amicable settlement, the dispute shall be settled by a commercial arbitrator or a competent court.

Reponsibilities of ministries and ministerial-level agencies in production and consumption of agricultural products in Vietnam:

Pursuant to Article 16 of the Decree 98/2018/NĐ-CP stipulating reponsibilities of ministries and ministerial-level agencies in production and consumption of agricultural products in Vietnam as follows: 

1. The Ministry of Agriculture and Rural Development shall:

a) Take charge of performing assigned duties as regulated herein;

b) Formulate pilot linkage modes associated with the agricultural restructuring and building of new-style rural areas;

c) The Ministry of Agriculture and Rural Development shall take charge and cooperate with the Ministry of Industry and Trade and relevant authorities in implementing the Scheme for development of the network of centers for supply of agricultural products of Vietnam in the 2018 – 2020 period;

d) Cooperate with the Ministry of Natural Resources and Environment in providing instructions and combining rural environmental protection tasks with linkages and consumption of agricultural products;

dd) Monitor, consolidate, inspect and submit reports on the implementation of this Decree.

2. The Ministry of Planning and Investment shall: Take charge and cooperate with the Ministry of Agriculture and Rural Development in consolidating and allocating investment funding derived from state budget for performing linkages as regulated.

3. The Ministry of Finance shall: Take charge and cooperate with the Ministry of Agriculture and Rural Development in consolidating and allocating non-business funding derived from state budget for performing linkages as regulated.

4. The Ministry of Industry and Trade shall: Take charge and cooperate with the Ministry of Agriculture and Rural Development and relevant authorities in implementing the Scheme for commercial development in rural areas in the 2010 – 2015 period with a vision by 2020.

Best regards!