THE PRIME MINISTER OF GOVERNMENT
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom – Happiness
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No. 210/1998/QD-TTg
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Hanoi, October 27, 1998
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DECISION
ON THE
EXPERI-MENTAL APPLICATION OF A NUMBER OF POLICIES ON DEVELOPMENT OF MOC BAI
BORDER-GATE ECONOMIC AREA, TAY NINH PROVINCE
THE PRIME MINISTER
Pursuant
to the Law on Organization of the Government of September 30, 1992;
At the proposal of the President of the People's Committee of Tay Ninh province
in Official Dispatch No.975/TT-UB of August 19, 1998 and after considering
opinions of the relevant ministries and branches,
DECIDES:
Article 1.-
To allow the experimental application of a number of policies on the
development of Moc Bai border-gate economic area with 21,292 ha, including some
1,000 ha for urban area, which embraces administrative units of Long Thuan,
Tien Thuan, Loi Thuan and An Thanh communes of Ben Cau district, and Phuoc Luu,
Binh Thanh and Phuoc Chi communes of Trang Bang district, Tay Ninh province.
Article
2.- The Moc Bai border-gate economic area shall be given priority for the
development of trade, services, tourism, agricultural- forestry and aquatic
product-processing, production of consumer goods and subcontracted production
of goods for export in accordance with the laws of the Socialist Republic of
Vietnam and international practices.
Article 3.-
The Socialist Republic of Vietnam Government respects and protects the
legitimate rights and interests of Vietnamese and foreign investors in Moc Bai
border-gate economic area in accordance with the current laws and policies of
Vietnam as well as international agreements which the Socialist Republic of
Vietnam has signed or acceded to.
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The People's Committee of Tay Ninh province
shall perform the function of regulating and coordinating State management
organizations and activities on the provincial territory regarding economic
activities in Moc Bai border-gate economic area; delegate power and assign
appropriate responsibilities to the People's Committees of Ben Cau and Trang
Bang districts.
Article 5.-
Investors in Moc Bai border-gate economic area are entitled to mobilize capital
from various sources within and outside the country in appropriate forms
prescribed by law, and mobilize public labor for the construction of necessary
infrastructure projects and business production establishments according to the
plans for socio-economic development and national defense and security
maintenance.
In order to accelerate the construction of
infrastructure in the Moc Bai border-gate economic area, the People's Committee
of Tay Ninh province is entitled to set up an infrastructure construction and
development company which shall be a State enterprise in Moc Bai border-gate
economic area.
Article
6.-
1. In the period from 1999 to 2002, the State
shall annually make separate investment in infrastructure construction in Moc
Bai border-gate economic area through the provincial budget, which, according
to the ratified plan, shall not be lower than 50% of the total import-export
tax amount collected at Moc Bai border-gate economic area. The investment
capital levels and the list of infrastructure construction projects entitled to
separate investment shall be proposed by the People's Committee of Tay Ninh
province and decided by the Ministry of Planning and Investment after
consulting the Ministry of Finance.
2. The president of the People's Committee of
Tay Ninh province is entitled to sign decisions ratifying Group B- and C-
capital construction projects after reaching agreement with the Ministry of
Planning and Investment and consulting the Ministry of Defense so as to ensure
national defense and security and control the border-gate area. Regarding the
use of capital sources mentioned in Clause 1 of this Article for investment
projects in Moc Bai border-gate economic area, the People's Committee of Tay
Ninh province shall discuss in detail the capital allocation with the Ministry
of Planning and Investment and the Ministry of Finance so as to ensure the
implementation schedule.
Article 7.-
To diversify production and business forms on the territory of the Moc Bai
border-gate economic area. The licensing and business registration in Moc Bai
border-gate economic area shall comply with the current provisions of law and
the one-door regime.
The People's Committee of Tay Ninh province is
entitled to license the establishment and business registration of private
enterprises, limited liability companies and joint stock companies in Moc Bai
border-gate economic area, which operate under the Law on Private Enterprises
and the Law on Companies.
Article 8.-
Domestic and foreign investors are encouraged to invest in production and
business development as well as infrastructure construction in Moc Bai
border-gate economic area in accordance with the Law on Domestic Investment
Promotion and the Law on Foreign Investment in Vietnam. In addition to
preferences they are entitled to under the current regulations, they shall also
enjoy the following:
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2. Foreign investors, when transferring their
profits abroad, shall be entitled to the lowest tax rates in the Tax Index
prescribed by law.
Article
9.- The People's Committee of Tay Ninh province is entitled to consider and
license foreign direct investment projects capitalized at no more than USD 5
million each in Moc Bai border-gate economic area.
Article
10.- Article 10.- For land and workshops already hired or purchased in Moc
Bai border-gate economic area but not yet used for the purposes stated in the
investment licenses, if their use purposes are expected change, such change
must be re-negotiated, then permitted by the competent agency.
Article
11.- While their investment and/or business licenses are still valid,
enterprises, after getting approval from the investment licensing agency, may
transfer to other investors their assets already built on the rent land or
properties already installed in the workshops in accordance with the current
provisions of Vietnamese law. The transferees shall have the right and
responsibility to continue the implementation of contracts which have been
signed by their respective transferers with partners.
Article
12.- Trade, service and production activities in Moc Bai border-gate
economic area shall be carried out in accordance with the current regulations,
including:
1. Activities related to export, import,
temporary import, re-export, goods transit, bonded warehouses, duty-free shops,
showrooms, border-gate markets, subcontracted production of export goods, goods
preservation, banking, information and communica-tions, representative offices
and branches of foreign and domestic companies. Such activities must comply
with the following provisions:
- Enterprises of different economic sectors set
up under the current provisions of law and headquartered in Moc Bai border-gate
economic area are entitled to conduct direct import and/or export of goods of
different categories (except for those banned from import and/or export by the
State). The import and/or export of goods that require State's quotas or
conditional norms shall comply with the current regulations of the State and
under guidances of the Ministry of Trade.
- Foreign goods temporarily imported into Moc
Bai border-gate economic area, if having not yet been re-exported, must be
deposited into bonded warehouses and, when being re-exported to other
countries, must be subject to the re-export procedures. In cases where the goods
are imported into the domestic market, the goods owners shall have to pay
import tax. If the goods deposited in bonded warehouses in Moc Bai border-gate
economic area are not further transported, they must be sent back to their
places of origin according to the current regulations and international
practices.
The Ministry of Trade shall guide and authorize
the People's Committee of Tay Ninh province to issue permits to foreign
enterprises for setting up their branches or representative offices in the field
of trade, tourism and services in Moc Bai border-gate economic area, and to
allow enterprises to organize international commodity exhibitions-cum-fairs in
Moc Bai border-gate economic area under guidances of the Ministry of Trade.
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- Enterprises, branches and representative
offices of companies of different economic sectors in the country set up under
the provisions of law and headquartered in Moc Bai border-gate economic area
are allowed to manufacture goods in service of people's daily life; and to
conduct direct import and/or export of goods of different categories.
- Materials and supplies imported into Moc Bai
border-gate economic area for the production of export goods or import
substitutes are subject to the import tax which shall be reimbursed when the
goods are exported according to the current regulations of the State.
Article
13.- Management of entry and exit.
1. Cambodian nationals residing in Cambodia's
districts that border on Moc Bai border-gate economic area are allowed to
travel in and out of Moc Bai border-gate economic area with their identity
cards or border laissez-passers, issued by the Cambodian competent agency(ies).
Their stay duration in Moc Bai border-gate economic area shall not exceed 7
days. If they wish to travel to other places in Tay Ninh province or to other
provinces and/or cities of Vietnam, they shall be considered for visa granting
at border gates by the Entry-Exit Management Agency of the Vietnamese Ministry
of Public Security. A travel permit is only valid for one travel and not more
than 15 days and shall not be extended.
2. Cambodian nationals residing outside the area
mentioned in Clause 1 of this Article are allowed to travel in and out of Moc
Bai border-gate economic area with their passports, be exempt from entry and
exit visas and be able to stay in Moc Bai border-gate economic area for not
more than 15 days. If they wish to visit other places of Tay Ninh province or
other provinces and/or cities of Vietnam, they must have passports and be
considered for visa granting at border gates by the Entry-Exit Management
Agency of the Vietnamese Ministry of Public Security.
3. Foreigners (other than Cambodian nationals),
who hold valid passports, shall be exempt from entry and exit visas when
entering Moc Bai border-gate economic area and their stay duration there must
not exceed 15 days. If they want to visit other places of Tay Ninh province or
other provinces of Vietnam, the Entry-Exit Management Agency of the Vietnamese
Ministry of Public Security shall consider and issue them entry/exit visas at the
Moc Bai border gate, except for cases where visa exemption is applied under
bilateral agreements.
4. To encourage the organization of group tours
for foreigners from Moc Bai border-gate economic area to other places of Tay
Ninh province and other provinces and/or cities throughout Vietnam. For
Cambodian nationals and other foreigners who are allowed to enter Moc Bai
border-gate economic area, and wish to take part in package tours in group of
at least 5 people to other places of Tay Ninh and other provinces of Vietnam,
organized by Vietnamese travel companies with permission of the Vietnam General
Department of Tourism, the Entry-Exit Management Agency of the Vietnamese
Ministry of Public Security shall consider and help them quickly fulfill the
procedures at Moc Bai border gate economic area.
5. Vietnamese citizens living in Moc Bai border
gate economic area, Trang Bang and Ben Cau districts are allowed to visit the
neighboring country for a certain period of time with their identity cards or
border laissez-passers issued by the Vietnamese competent agency.
Article
14.-
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2. If transport means mentioned in Clause 1 of
this Article want to travel to other ports, berths, stations and/or border
gates of Tay Ninh province for the delivery and/or receipt of goods, permission
from the functional management agency is required and customs and tax
procedures must be carried out in accordance with the current provisions of
law.
Article
15.-
1. The recruitment of laborers shall comply with
the current provisions of Vietnamese law. Laborers recruited to work in
enterprises in Moc Bai border-gate economic area shall have to submit
registration dossiers to the competent agency. The laborer recruitment must be
carried out in a democratic and open manner in accordance with the current regulations.
2. With regard to types of work which cannot be
undertaken by Vietnamese laborers, enterprises are entitled to employ foreign
laborers for a certain period of time, but not more than one year for work
Vietnamese laborers are already qualified to. The recruited foreign laborers
must have their diplomas and/or professional certificates be examined by the
competent agency of Moc Bai border gate economic area. During such period, the
concerned enterprise shall have to organize the training of Vietnamese laborers
for replacement of foreign ones.
Article
16.- The People's Committee of Tay Ninh province shall assume the prime
responsibility and coordinate with the concerned ministries, ministerial-level
agencies and agencies attached to the Goevrnment in making annual preliminary
review and the final review by the year 2002 of the application of the
above-said policies, then propose appropriate amendments and/or supplements to
the Prime Minister.
Article
17.- This Decision takes effect from January 1st, 1999. 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 Committee of Tay Ninh province
shall, within their functions, tasks and powers, take initiative in preparing
necessary conditions for implementation and have to implement this Decision.
THE PRIME MINISTER OF GOVERNMENT
Phan Van Khai