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THE
PRIME MINISTER OF GOVERNMENT
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
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No:
166/2001/QD-TTg
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Hanoi, October 26, 2001
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DECISION
ON A NUMBER OF
MEASURES AND POLICIES TO DEVELOP PIG FARMING FOR EXPORT IN THE 2001-2010 PERIOD
THE PRIME MINISTER
Pursuant to the Law on Organization of the
Government of September 30, 1992;
At the proposal of the Minister of Agriculture and Rural Development,
DECIDES:
Article 1.- To boost the
development of commodity pig farming in order to meet the domestic pork
consumption and export demands, create jobs for laborers and increase income
for peasants. To export 80,000 tons of pork/year by 2005, then proceed to
export more than 100,000 tons of assorted pork a year.
Article 2.- To develop the
export-oriented pig farming in regions endowed with favorable conditions to
ensure environmental safety and sanitation, on a suitable farming scale. In the
first period (2002-2005), the pig farming shall concentrate in some regions
like the Red River delta, northern Central Vietnam, coastal southern Central
Vietnam and eastern Southern Vietnam.
The People’s Committees of the provinces and
centrally-run cities shall revise their land use planning and plans, so as to
reserve a number of adequate land areas far from population quarters for lease
to organizations, individuals and family households for building piggeries,
planting and producing feeds, building slaughterhouses and export
pork-processing establishments, and invest in development of infrastructure
facilities in support of pig farming and export pork-processing establishments
according to the State’s regulations.
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Export-oriented pig farming regions must have
enough stations for rearing grandparent breed pigs (of a scale of 300-500 pigs)
and parent breed pigs for producing sufficient breeds to meet the export-oriented
pig farming demands in such regions.
The Ministry of Agriculture and Rural
Development shall have to direct the management stations which rear pigs of
prototype breeds with capital invested by the State, thus ensuring that the
genetic source of such breeding stock is improved and effectively used.
Article 4.- The Ministry of
Agriculture and Rural Development shall direct the professional bodies to
supply sufficient inoculative and curative drugs, especially those for
controlling dangerous contagious diseases, thus ensuring the epidemic immunity
for pigs.
To work out plans for investment in upgrading
vaccine-producing establishments, first of all the Central Veterinary Drug
Enterprise (Hoai Duc district, Ha Tay province) and the veterinary drug-producing
establishment under Veterinary Supplies Company II; and to deploy the second
phase of VIRBAC-VIETNAM joint-venture project, then proceed to produce
sufficient vaccines to substitute for imports.
Annually, the People’s Committees of the
provinces and centrally-run cities shall direct the veterinary offices to
organize compulsory vaccinations against a number of dangerous contagious
diseases according to the provisions of the Veterinary Ordinance, then proceed
to form epidemic-free areas for export-oriented pig farming in their
localities.
The Ministry of Agriculture and Rural
Development shall negotiate signing of veterinary agreements or treaties with
countries importing Vietnamese pork.
Article 5.- The Ministry of
Agriculture and Rural Development shall assume the prime responsibility and
coordinate with the People’s Committees of the provinces and centrally-run
cities, and concerned ministries and branches in revising and appraising the
actual situation of livestock feed production in the whole country, working out
planning and plans to fully exploit the capacity of the existing feed-producing
establishments, and making new investments in necessary places in association
with on-the-spot raw materials areas.
To quickly expand areas for planting high-protein
maize varieties for use as raw materials for the livestock feed production,
with a view to reducing production costs.
To provide peasants with guidance on pig farming
techniques, including the processing of feed from sources of raw materials available
in the country.
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Establishments farming and slaughtering pigs and
processing pork for export shall have to comply with the current law provisions
on the environment.
The establishments slaughtering pigs and
processing pork for export must be furnished with advanced and modern equipment
and have material and technical foundations meeting requirements of production
process as well as food safety and hygiene standards. The Ministry of
Agriculture and Rural Development shall soon guide and promulgate specific
branch standards for application by enterprises.
Article 7.- The Ministry of
Trade shall help pork- exporting organizations and individuals maintain the
existing export markets and continue seeking new markets for their pork; direct
Vietnamese economic counselors in foreign countries in supplying adequate and
timely information on demand, taste, packing models, prices, payment modes,
etc., to pork-exporting organizations and individuals, and pig farmers.
To encourage and create favorable conditions for
organizations and individuals of all economic sectors to participate in pork
export market research and information, and to organize trade promotion
activities.
Establishments slaughtering pigs and processing
pork for export must sign pig purchase contracts directly with pig farming
organizations, individuals and family households, whereby responsibilities and
rights of both parties are clearly stated. To encourage the contractual forms
of supplying breeds, feed, veterinary drugs, technical services and sale of
products.
The Ministry of Trade, the Ministry of
Agriculture and Rural Development shall, together with the People’s Committees
of Hanoi, Ho Chi Minh City and a number of other provinces, experimentally
build markets for auctioning breed pigs and porkers, with a view to helping pig
farmers not be imposed with unfair prices.
To continue giving rewards for export of
assorted pork till 2003. To readjust the export value reward level for pork
from not-fully-grown pigs to 450 VND/1 USD. To assign the Ministry of Finance
to add this commodity item to the list of commodity items eligible for export
rewards specified in the Finance Ministry’s Decision No.65/2001/QD-BTC of June
29, 2001.
Article 8.- Investment and
credit policies
1. Regarding investment: Budgets (including the
central budget and local budgets) shall be invested in:
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- Upgrading of the Central Veterinary Drug
Enterprise (Hoai Duc district, Ha Tay province) and the vaccine-producing
establishment of Veterinary Drug Supplies Company II.
2. Regarding credit under the State’s plans:
Establishments slaughtering pigs and processing
pork shall be entitled to borrow investment credit capital under the State’s
plans from the Development Assistance Fund according to the Government’s Decree
No. 43/1999/ND-CP of June 29, 1999 and the Prime Minister’s Decision No.
02/2001/QD-TTg of January 2, 2001 on policies on investment assistance from the
Development Assistance Fund for export goods manufacturing or processing
projects and agricultural production projects; and entitled to borrow credit
capital from the Export Assistance Fund according to the Prime Minister’s
Decision No. 133/2001/QD-TTg of September 10, 2001.
To increase capital sources for the Bank for the
Poor and the national target program on employment, so that they can provide
loans to poor households and households farming and slaughtering pigs and
processing pork.
3. Regarding commercial credit:
The State Bank of Vietnam shall direct
commercial banks to ensure sufficient capital sources and carrying out
convenient procedures for pig farming family households and individuals to
borrow capital from banks; coordinate with the Peasants’ Association and
Vietnam Women’s Union in expanding the form of mutual assistance groups and
saving-lending groups in order to help pig farmers borrow capital from banks.
To encourage enterprises, organizations and
individuals of all economic sectors to sign contracts with pig farmers for sale
of products, capital services, feed and veterinary drug supply.
Article 9.- Establishments
raising breed pigs or pigs for export, slaughtering pigs or processing pork for
export shall enjoy investment preference policies provided for in the
Government’s Decree No. 51/1999/ND-CP of July 8, 1999 detailing the
implementation of the Law on Domestic Investment Promotion.
To apply the tax rate of 0% to imported oil
cakes for livestock feed production.
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To set up the insurance fund for export pig
farming on the basis of contributions from farmers and exporters as well as
initial support from the State budget to offset the price or epidemic risks
incurred by producers and exporters. The fund shall be managed and used by the
Pork Export Association according to the regulation and guidance of the
Ministry of Finance.
Article 10.- Pig farming
for export shall be organized mainly in forms of farm households and private
enterprises. To encourage each farm household to raise constantly 50 sows or
100 porkers or more, foreign investors to invest in pig farming for export on a
suitable scale, without causing environmental pollution and harms to
underground water sources. The Ministry of Science, Technology and Environment
shall promulgate specific regulations and permitted farming scales in order to
ensure the safety and sanitation of the environment and underground water
sources, which shall serve as basis for domestic and foreign investors to plan
their activities.
To encourage various forms of cooperative
economy, including cooperatives providing breeding, veterinary, technical,
capital and product consumption services.
The Ministry of Agriculture and Rural
Development shall set up as soon as possible the Pork Export Association
consisting of pig farmers, slaughterers, processors as well as a number of
scientists, who shall support and protect one another in the pork production,
consumption and export.
Article 11.- This Decision
takes effect 15 days after its signing.
Article 12.- The Ministers
of: Agriculture and Rural Development; Finance; Trade; Science, Technology and
Environment; Labor, War Invalids and Social Affairs; and the Governor of the
State Bank of Vietnam, the General Director of the Development Assistance Fund,
the presidents of the People’s Committees of the provinces and centrally-run
cities and the heads of the concerned agencies shall have to implement this
Decision.
FOR THE PRIME MINISTER
DEPUTY PRIME MINISTER
Nguyen Cong Tan
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