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THE PRIME MINISTER
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SOCIALIST REPUBLIC OF
VIET NAM
Independence - Freedom – Happiness
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No .250/1998/QD-TTg
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Hanoi, December 24,
1998
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DECISION
ON THE MANAGEMENT OF RICE EXPORT AND FERTILIZER IMPORT IN
1999
THE PRIME MINISTER
Pursuant to the Law on Orgnization of the
Government dated September 30, 1992;
At the proposals of the Minister of Trade and the Minister of Agriculture and
Rural Development,
DECIDES
I. ON RICE EXPORT
Article 1.- To ratify
the 1999 rice export quota of 3.9 million tons, which is allocated as follows:
a/ Southern provinces: 2.7 million tons
(including State enterprises, that cover also the major rice exporting
enterprises being members of the Central
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b/ Centrally-run companies: 1.0 million tons.
c/ Foreign-invested companies operating in the
field of rice production and processing for export: 50,000 tons.
d/ Enterprises beside the main rice exporters,
which find new customers and/or markets: 50,000 tons.
e/ Northern provinces: 100,000 tons.
To allocate a quota of 3.24 million tons in the
first phase for the above-said objects for implementation as from January 1st,
l999 (according to Appendix No. 1 attached to this Decision).
The further allocation of the 1999 rice export
quota shall be considered by the end of September 1999, on the basis of the
concrete situation of agricultural production, domestic and foreign markets,
and results of the fulfilment of quota already allocated in the first phase.
The Ministry of Trade is assigned to coordinate
with the Control Board to keep the total rice export volume of the provinces
and enterprises (mentioned in Appendix I) in the first quarter of 1999 at about
1 million tons.
Basing themselves on the market demand, the
situation of the conclusion of rice export contracts by enterprises, the
Ministry of Trade and the Control Board shall report to the Prime Minister for
the prompt adjustment the above-said rice export, volume in the first quarter
of 1999.
Article 2.- On the
allocation of quotas to enterprises:
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The presidents of the People’s Committees of the
provinces and centrally-run cities shall not allocate quotas to enterprises
other than those authorized as the major rice exporters.
b/ The allocation and adjustment of quotas for
foreign-invested enterprises operating in the field of rice production and
processing shall be considered and decided by the Minister of Trade on the
basis of the Prime Minister�s
directing principles in Document No. 1182/CP-KTTH of October 6, 1998 and
Document No. 304/VPCP-QHQT-m of November 6, 1998.
c/ The allocation of rice export quotas to
objects mentioned in Point d, Article 1 of this Decision shall be considered by
the Ministry of Trade before submission to the Prime Minister for decision.
d/ Basing themselves on the rice production
situation in the northern provinces, the Ministry of Trade and the Ministry of
Agriculture and Rural Development shall, after consideration, propose the Prime
Minister to allow enterprises in Northern Vietnam to participate in rice export
according to thequotas set in Point e, Article 1 of this Decision.
Article 3.- For the
countries where rice import is assigned exclusively to only one organization of
such countries, the Ministry of Trade shall work out a plan and submit it to
the Prime Minister for negotiating, signing governmental agreements and
assigning one or several enterprises to sign specific contracts; the Ministry
of Trade and the Control Board shall take joint responsibility for allocating
quotas for the implementation of such contracts to the major rice exporting enterprises
in a transparent and fair manner.
For the countries where free rice export is
allowed, the Vietnamese major rice exporting enterprises are allowed to take
initiative in signing contracts for the direct sale or sale through companies
of third countries, according to the allocated quotas and the price bracket set
by the Ministry of Trade.
Article 4.- For the
export of rice under the Government’s plans on debt repayment and payment for
import goods, the Government's regulations on bidding shall apply in cases
where bidding cannot be organized, the Ministry of Planning and Investment
shall assume the prime responsibility and coordinate with the Ministry of
Finance in elaborating a plan and notifying it to the Ministry of Trade so that
the latter may allocate quotas to the major rice exporting enterprises
according to the total quotas already allocated to localities and enterprises.
II. ON FERTILIZER IMPORT
Article 5.- To approve
the 1999 quotas for import of fertilizer of various kinds as follows:
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- SA fertilizer: 270,000 tons;
- DAP fertilizer: 300,000 tons;
- Potassium fertilizer: 310,000 tons
The above- mentioned quotas for import of
fertilizer of various kinds shall be allocated to localities and centrally-run enterprises
stated in Appendix II enclosed herewith for implementation as from January 1st,
1999.
The fertilizer importing enterprises shall take
self-responsibility for the efficiency of fertilizer import; the State shall
not make up for any losses incurred.
Article 6.- The Ministry
of Industry shall have to direct the NPK fertilizer-producing enterprises to
ensure the full and timely supply of this fertilizer for agricultural
production, provided that the selling price of the home-made NPK is not higher
than that of the imported NPK.
The Ministry of Agriculture and Rural
Development shall assume the prime responsibility and coordinate with the
relevant branches in monitoring the production and supply of NPK fertilizer by
the domestic production establishments; in cases where the domestic fertilizer
production fails to meet the above-said requirements, the Ministry of
Agriculture and Rural Development shall together with the Ministry of Trade,
promptly report to the Prime Minister on measures for additional import so as
to ensure the supply and demand and stabilize the domestic fertilizer prices.
Article 7.- For
fertilizers of special types (micro-biological fertilizers, leaf fertilizers)
which have not yet been produced in the country but permitted to be used in
Vietnam, enterprises having appropriate business lines registration shall be
entitled to import them according to their production and business demands.
For chemical fertilizers used as raw materials
for the production of composite fertilizers, enterprises having production
permits, certificates of registration of products’ quality and trademarks as
currently prescribed by law, shall be allowed to directly import such
fertilizers in service of their production activities. The specific types and
import volume of fertilizers shall be considered and decided by the Ministry of
Trade according to the enterprises’ production demand.
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The establishment of such warehouses must be
detailed in a plan to be submitted to the Ministry of Trade and the General
Department of Customs for consideration and further submission to the Prime Minister
for decision.
III. ORGANIZATION OF
IMPLEMENTATION
Article 9.- The
adjustment and addition of enterprises to act as major rice exporters or
fertilizer importers shall be decided by the Prime Minister at the proposals of
the provincial/municipal People's Committees and on the basis of the appraisal
by the Ministry of Trade and the Ministry of Agriculture and Rural Development.
Article 10.- Basing
themselves on this Decision and the list of major enterprises allowed by the
Prime Minister to engage in direct export of rice and import of fertilizers,
the presidents of the provincial/municipal People 's Committees shall issue
decisions to allocate specific quotas for rice export and fertilizer import to
the major rice exporting and fertilizer importing enterprises located in their
respective provinces or cities, then notify the Ministry of Trade, the General
Department of Customs, the State Bank of Vietnam, the Ministry of Finance and
the Ministry of Planing and Investment thereof for coordination in directing
the implementation.
Article 11.- Basing
itself on this Decision, decisions of the presidents of the
provincial/municipal People's Committees (to allocate rice export or fertilizer
import quotas to the major enterprises allowed to export rice or import fertilizers
in their respective provinces or cities) as well as the Trade Ministry's
guidance on the rice export schedule, the General Department of Customs shall
provide guidance for the border customs stations in the clearance of customs
procedures for goods import and export.
Article 12.- The rice
export and fertilizer import quotas allocated in 1998 shall cease to be
effective by the end of December 31, 1998.
For contracts which are negotiated based on the
1998 quotas, the negotiation is allowed to continue and the quotas thereof
shall be accounted into the 1999 quotas.
Article 13.- The
Ministry of Trade, the Ministry of Agriculture and Rural Development and the
Control Board shall coordinate with the provincial/municipal People's
Committees in closely directing the management and guiding the export tempo
suited to the commodity rice volume in each harvest, thus ensuring the full and
prompt consumption of commodity rice for farmers and food security, not causing
any price fluctuation on the domestic market, efficiently exporting, and
promptly supplying materials and services for agricultural production.
Article 14.- The State
Bank shall direct the commercial banks in arranging capital sources for the
provision of full and timely loans to enterprises to buy rice and import
fertilizers under this Decision.
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enterprises of the Food Corporations, be
entitled to apply the lending limits according to Point a, Clause 1, Article 79
of the Law on Credit Institutions.
Article 15.- To apply
the following measures to support rice trading activities in the first 6 months
of 1999:
- The Ministry of Finance shall apply a tax rate
of zero per cent for the export of assorted rice as from January 1st, 1999.
- To assign some major rice exporting
enterprises, mainly in the provinces with high commodity rice output, and the
Food Corporations (as mentioned in Appendix III enclosed herewith) to buy about
1 million tons of rice at the harvest of Spring-Winter crop as reserve for
export, thus ensuring the timely purchase of commodity rice and keeping the
flooring buying price of rice in the Winter-Spring crop not bellow 1,650
dong/kg.
The Government Pricing Commission and the
Ministry of Agriculture and Rural Development shall consult the presidents of
the provincial/municipal People's Committees to provide detailed guidance for
rice purchase at the above-said flooring price.
The Ministry of Agriculture and Rural
Development, the presidents of the provincial/municipal People's Committees
shall direct enterprises to purchase 1 million tons of rice as mentioned above
in the period of from February 1st to March 31st, 1999. The commercial banks
shall provide loans to enterprises at common interest rates. To allow the use
of price stabilizing fund to cover 100 per cent of lending interest rates for 2
months so that enterprises may effect the above-mentioned temporary reserve;
the fund for covering interest rates shall be allocated directly to
enterprises, based on their bank loans already used for the purchase of 1
million tons of rice as mentioned above. The State Bank of Vietnam and the
Government Pricing Commission shall provide detailed guidance on the allocation
of fund to cover interest rates.
Article 16.- This
Decision takes effect after its signing. The ministers, the heads of the
ministerial-level agencies, the heads of the agencies attached to the
Government and the president of the People’s Committees of the provinces and
centrally-run cities shall have to guide the implementation of this Decision.
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APPENDIX I
1999 RICE EXPORT QUOTAS TO BE ALLOCATED IN THE
FIRST PHASE
(Issued together with Decision No. 250/1998/QD-TTg of December 24, 1998 of
the Prime Minister)
Unit:1,000 tons
No.
Provinces/Enterprises
First phase
of 1999
A
Localities
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1
Long An
170
2
Tien Giang
290
3
Dong Thap
270
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Vinh Long
280
5
Tra Vinh
100
6
Can Tho
340
7
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100
8
An Giang
340
9
Kien Giang
100
10
Bac Lieu
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11
Ca Mau
50
12
Ben Tre
10
13
Ho Chi Minh City
90
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Centrally-run enterprises
840
1
The Northern Food Coporation
300
2
The Southern Food Corporation
500
3
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20
4
The Agricultural Materials Corporation
20
C
Other enterprises
200
1
Foreign-investment enterprises
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2
Enterprises having new markets
50
3
Northern provinces
100
Total
3,240
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APPENDIX II
FERTILIZER IMPORT QUOTAS IN 1999
(Issued together with Decision No.250/1998/QD-TTg of December 24,1998 of
the Prime Minister )
Unit:1,000 tons
No.
Provinces/Enterprises
Types of
fertilizer
URE
DAP
SA
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Nationwide
1,650
300
270
310
A
In the South
900
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120
140
1
Long An
70
30
10
10
2
...
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80
30
10
10
3
An Giang
80
30
10
...
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4
Vinh Long
80
30
10
10
5
Tien Giang
70
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10
10
6
Can Tho
80
30
10
10
7
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30
10
-
-
8
Bac Lieu
30
10
-
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9
Ca Mau
20
10
-
-
10
Dong Nai
30
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10
20
11
Kien Giang
20
10
-
-
12
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20
-
-
-
13
The Southern Food Corporation
50
30
10
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14
Vietnam Chemicals Corporation
20
-
10
10
15
The Agricultural Materials Corporation
220
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10
20
16
The Vietnam Rubber Corporation
-
-
10
10
17
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-
-
10
10
B
In the North
510
-
80
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1
Hai Phong
90
-
20
20
2
Hanoi
80
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20
30
3
Nghe An
70
-
20
40
4
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40
-
20
10
5
Nam Dinh
30
-
-
...
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6
Ha Tinh
20
-
-
-
7
The Northern Food Corporation
30
...
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-
-
8
The Agricultural Material Corporation
150
-
-
10
C
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240
-
70
50
1
Phu Yen
40
-
20
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2
Quang Nam
40
-
10
10
3
Binh Dinh
30
...
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10
10
4
Dac Lac
20
-
10
-
5
...
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20
-
10
-
6
The Agricultural Materials Corporation
40
-
-
...
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7
General Import-Export Company No.3
30
-
10
10
8
The Southern Food Corporation
20
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APPENDIX III
QUOTAS TO BE ALLOCATED FOR THE PURCHASE OF 1
MILLION TONS OF COMMODITY RICE AS TEMPORARY RESERVE FOR EXPORT
(Issued together with Decision No.250/1998/QD-TTg of December 24,1998 of the
Prime Minister)
Unit:1,000 tons
No.
Province/enterprises
Quantity
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Long An
90
2
Tien Giang
70
3
Dong Thap
120
4
...
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60
5
Tra Vinh
40
6
Can Tho
130
7
Soc Trang
...
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8
An Giang
170
9
Kien Giang
40
10
Bac Lieu
20
...
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Ca Mau
30
12
The Southern Food Corporation
120
13
The Northern Food Corporation
60
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1,000