Decision No. 1325/QD-TTg 2020 Scheme on development of the salt industry in 2021-2030

DECISION

Approving the Scheme on development of the salt industry
in the 2021-2030 period^[1]

THE PRIME MINISTER

Pursuant to the June 19, 2015 Law on Organization of the Government;

Pursuant to August 5, 2008 Resolution No. 26/NQ-TW of the 7^th plenum of the Party Central Committee of the X^th National Congress on agriculture, peasants and rural areas;

Pursuant to the Government’s Decree No. 40/2017/ND-CP of April 5, 2017, on management of salt production and trading;  

Pursuant to the Prime Minister’s Decision No. 899/QD-TTg of June 10, 2013, approving the Scheme on restructuring of agriculture toward higher added value and sustainable development;

Pursuant to the Prime Minister’s Decision No. 1819/QD-TTg of November 17, 2017, approving the Plan on restructuring of agriculture in the 2017-2020 period;

Pursuant to the Prime Minister’s Decision No. 357/QD-TTg of March 10, 2020, promulgating the Plan to implement the Political Bureau’s Conclusion No. 54-KL/TW of August 7, 2019, on a number of guidelines and solutions to continue implementing the Resolution of the 7^th plenum of the Party Central Committee of the X^th National Congress on agriculture, peasants and rural areas;

At the proposal of the Minister of Agriculture and Rural Development,

DECIDES:

Article 1. To approve the Scheme on development of the salt industry in the 2021-2030
period (below referred to as the Scheme) with the following principal contents:

I. VIEWPOINTS

1. Salt is an essential commodity and plays an important role in ensuring national food security. To develop salt production, processing and sale and diversify salt products in order to meet domestic salt demand and supply salt for food processing, healthcare, and chemical industry, and eventually export natural sea salt products.

2. To develop the salt industry in line with the national socio-economic development strategy. To invest in centralized and large-scale salt production in areas with favorable natural conditions, thereby forming areas for industrial salt production with modern technologies, combining production with processing, recovering salt co-products and developing other economic sectors.

3. To develop the salt industry based on investment in, and synchronous support for, salt production, processing, storage and sale. To diversify salt products in association with renewing technologies and upgrading salt-field infrastructure facilities in order to improve productivity, quality and efficiency of the salt industry, thus ensuring livelihood of, and increase income for, salt makers and help them get rich by salt making.

II. OBJECTIVES

1. General objectives

To develop the salt industry toward efficiency and sustainability by making the best use of advantages of localities with salt production tradition in order to improve salt productivity and quality and diversify salt products to meet the domestic demand, while striving to seek salt export markets and create more jobs, increase income and stabilize livelihood for salt makers.

2. Objectives by 2025

a/ The total area for salt production will be maintained at 14,500 hectares with an annual output of 1,500,000 tons, including 5,000 hectares for producing crystalline salt by the method of covering salt fields with canvas sheets with an output of 650,000 tons (accounting for 43%) and an output of 500,000 tons of processed salt.

b/ For industrial-scale salt production: To form an area of 4,805 hectares for industrial salt production with an annual output of 640,000 tons (accounting for 42%); to apply science and technology to improve salt productivity by at least 20%.

c/ For manual salt production (producing salt by sand-drying and dispersed seawater vaporization methods): To renovate and upgrade salt-field infrastructure facilities, particularly salt-field irrigation systems; to apply science and technology to salt production and processing in order to improve productivity by at least 20% and increase the value of salt products by at least 20% compared with the present value.

d/ To invest in infrastructure facilities for salt production; machinery and equipment for salt production and processing to meet the market demand. To develop the production of salt of various categories to meet the domestic demand, attaching importance to synchronously supporting the production of salt containing numerous natural minerals and micronutrients with a low NaCl content which is beneficial to human health.

3. Objectives by 2030

a/ The total ​​salt production area will be 14,244 hectares with an annual output of 2 million tons to meet the domestic demand.

b/ To invest in the development of areas for industrial-scale salt production; to form key regions for industrial-scale salt production in the South Central Coast’s provinces; to apply science and technology to and realize mechanization in salt production, especially in salt harvest and post-harvest salt treatment, thereby improving the salt productivity by at least 30% with stable salt quality and meeting needs of industries; to salvage byproducts from the salt production (gypsum, bittern).

c/ To invest in upgrading infrastructure facilities and solidifying salt-field irrigation systems; to form key regions for producing crystalline salt by the method of covering salt fields with canvas sheets in the Central, Southeastern and Southwestern provinces in order to improve salt productivity by at least 30%; to apply science and technology to salt production and processing; to diversify processed salt products to meet demands for consumption and food processing, and increase the added value of salt products by at least 30%.

d/ To support the development of salt products and others products processed from salt to serve export, tourism and healthcare.

(Salt production areas and output in each province in the 2021-2025 and 2026-2030 periods are provided in Appendices I and II to this Decision).

III. TASKS OF THE SCHEME

1. To invest in salt production in association with processing and the market

To invest in salt production in association with processing and the market in the medium-term public investment plan for the 2021-2025 period and the subsequent period.

a/ To invest in infrastructure facilities for salt production

-  For industrial-scale salt production: To invest in building infrastructure facilities for industrial-scale salt production to meet needs of the chemical industry, and demand for raw materials for processing of high-quality refined salt in Khanh Hoa, Ninh Thuan and Binh Thuan provinces.

- For manual salt production: To invest in renovating and upgrading infrastructure facilities and solidifying salt-field irrigation systems in association with supporting the development of processing models and diversification of salt products in order to increase the added value in Thai Binh, Nam Dinh, Thanh Hoa, Nghe An, Ha Tinh, Quang Ngai, Phu Yen, Binh Dinh, Ba Ria-Vung Tau, Ben Tre, Tra Vinh, Soc Trang, Bac Lieu and Ca Mau provinces and Ho Chi Minh City.

b/ To invest in machinery and equipment for salt production and processing: To support investment in the system of equipment for salt processing, analysis of salt quality, salt product designing and packaging for small- and medium-sized salt production and processing establishments in order to meet market needs.

c/ To invest in and support the development and duplication of models of salt production linkage in the value chain from production, processing to sale; a pilot model of combination of salt production and rural tourism and convalescence tourism; a model of applying technological advances to pure salt production; model of production of salt containing numerous natural minerals and micronutrients with a low NaCl content which is beneficial to human health.

d/ To support renovation and upgrading of the system of salt preservation warehouses: To encourage and support organizations and individuals to renovate and upgrade their systems of salt preservation warehouses, ensuring salt reserves for production and trading, and purchase of salt for temporary reserve.

2. To intensify research and application of science and technology to salt production and processing to improve salt productivity and quality and diversify salt products

a/ For salt production by the method sand-drying and dispersed seawater vaporization (manual salt production): To research and improve technology  and equipment for producing crystalline salt by the method of covering salt fields with new-material sheets; developing models of salt production linkage in the value chain between enterprises, cooperatives and salt farmers; to research and apply technology and develop models of salt crystallizing with application of the greenhouse effect in order to mitigate climate change impacts; to research and support pilot models of combination of salt production with tourism in traditional salt-making villages in order to promote salt making and sell salt in salt fields in Thuy Hai (Thai Binh province); Bach Long (Nam Dinh province); Ho Do, Ky Ha-Ky Anh (Ha Tinh province); Sa Huynh (Quang Ngai province); Hon Khoi (Khanh Hoa province); and Can Gio (Ho Chi Minh City).

b/ For concentrated water-heating salt production: To research and complete the salt production process in the direction of mechanization, modernization and synchronization of stages from seawater supply to harvest, transport, cleaning and piling up of salt for preservation; to seek solutions to respond to climate change; to apply new technologies and information technology to the measurement and processing of data on seawater concentration, heat radiation and wind in the salt production process.

c/ To develop a system of national standards and technical regulations on salt products in conformity with international standards and technical regulations and salt production and processing reality in Vietnam.

d/ To support research and transfer of technology for salt production directly from seawater to organizations and individuals that invest in salt production with new technologies in order to create pure salt products to meet needs of the society.

dd/ To study and evaluate export potential of salt with a low NaCl content and numerous minerals; to carry out trade promotion and build brands of exported salt products of Nam Dinh, Thai Binh, Nghe An and Ha Tinh provinces, etc.

3. To encourage the restoration, conservation and development of traditional salt-making villages, and diversify salt products in association with rural tourism in localities.

4. To consolidate and strengthen the apparatus of state management of salt industry in localities; to increase human resources to meet development needs of the salt industry; to support salt cooperatives and cooperative groups.

IV. MAJOR SOLUTIONS

1. To support investment in infrastructure facilities for salt production

a/ For manual salt production by households, individuals, cooperatives and cooperative groups: The state budget shall support investment in renovating and upgrading infrastructure systems in salt production regions in association with salt processing and sale; to implement salt-field accumulation to build salt fields for concentrated commodity production and application of mechanization and technological advances to increase income for salt makers.

b/ For industrial-scale salt production: Not to recover and convert land areas, and to consider allocating stable land areas for the development of industrial-scale salt production and concentrated commodity production to improve salt quantity and quality up to the market demand.

(The list of priority investment projects is provided in Sections I and II, Appendix III to this Decision).

2. To support investment in models of salt production linkage

To support investment in developing a pilot model of salt production linkage

in combination with rural tourism and convalescence tourism; a model of pure salt production; and a model of applying new technologies and information technology to salt production; to attach importance to supporting the development of models of producing salt containing many natural minerals and micronutrients with a low NaCl content which is beneficial to human health. To support and encourage the development of salt production and trading cooperatives and cooperative groups in order to increase the added value in the value chain.

(The list of programs to support investment in models of salt production linkage is provided in Sections III, Appendix III to this Decision).

3. Regarding science and technology

a/ The state budget shall provide support for households, individuals, cooperatives and cooperative groups to develop models of association in applying scientific and technological advances and adapting to climate change in salt production such as: provision of financial support for purchase of instruments, engineering machinery, equipment and essential supplies; and provision of funding to cover 100% of expenses for training based on different models, and expenses for public information work.

b/ For scientific research and technological development: The state budget shall provide up to 100% of funds for scientific researches; 50% of total funds for investment in trial salt production or processing projects and 70% of total funds for investment in trial salt production or processing projects.

c/ To propose projects on science and technology research and application to the production of industrial salt, crystalline salt produced on new materials, new salt products and environmental-friendly salt products containing many natural minerals and micronutrients which are beneficial to human health.

(The list of scientific and technological research programs is provided in Section IV, Appendix III to this Decision).

4. Regarding investment loans

a/ To provide loan interest support to organizations and individuals that apply mechanization and new technologies to production in order to improve productivity and reduce product costs, thereby providing sufficient industrial salt for chemical production and refined salt processing, and gradually reducing salt import.

b/ To encourage and prioritize salt producers, traders and processors in their access to loans in accordance with the Government’s Decree No. 55/2015/ND-CP of June 9, 2015, on credit policies for agricultural and rural development, and the Government’s Decree No. 116/2018/ND-CP of September 7, 2018, amending and supplementing a number of articles of Decree No. 55/2015/ND-CP.

c/ Projects on the list of those entitled to loan provision and eligible for state investment credit may be considered for borrowing loans from the Vietnam Development Bank.

(The list of investment projects eligible for borrowing concessional loans from the Vietnam Development Bank is provided in Appendix IV to this Decision).

5. Regarding human resource training

Based on localities’ needs for training of human resources for salt industry, to integrate human resource training programs for the salt industry:

a/ Salt makers in the working age bracket are entitled to state budget support for elementary degree training  and under-3-month training in salt production techniques. Funding levels must comply with current regulations on elementary degree training and under-3-month training.

b/ Training and further training in salt production and processing techniques must comply with regulations on agricultural extension, industrial extension, development of rural trades, and building of new-style countryside, and current guiding documents.

c/ To encourage universities and training centers to open faculties for technical and management training for persons working in the salt industry.

6. Product development and trade promotion

a/ To develop typical salt products and salt co-products of localities to meet the market demand, particularly rural tourism and health care services.

b/ To support development of a website to introduce and sell products online; to create product designs and packaging models; to develop brands and geographical indications, and protect trademarks for salt products of localities.

c/ To develop environmental-friendly salt products containing many natural minerals and micronutrients with a low NaCl content which are beneficial to human health.

V. FUNDS FOR IMPLEMENTATION OF THE SCHEME

1. To diversify and integrate resources for investment in development of salt production and processing in localities. To prioritize funds for investment in developing new salt products of high economic value; to mechanize the concentrated industrial-scale salt production; to invest in renovating and upgrading infrastructure facilities and solidifying irrigation systems of salt makers; to apply technological advances to the production of crystalline salt on new materials with a view to increasing salt productivity, quality and efficiency. The total sources of funds for the implementation of the Scheme until 2030 is estimated at about VND 2,824 billion, of which:

a/ Central budget funds are estimated at about VND 1,940 billion (accounting for 68.69%), including medium-term investment capital in the 2021-2025 period and the 2026-2030 period investing in infrastructure facilities for the salt industry; funding sources for the performance of scientific and technological tasks, trade promotion and agricultural extension under annual plans of the Ministry of Agriculture and Rural Development; funding sources from the national target program on sustainable poverty reduction in the 2021-2025 period; national target program on building of new-style countryside in the 2021-2025 period; and national target program on socio-economic development in ethnic minority and mountainous areas in the 2021-2030 period, and other lawful funding sources.

b/ Funds allocated by the State to local budgets are estimated at about VND 300 billion (accounting for 10.6%) from programs on agricultural extension, industrial extension, poverty reduction, and building of new-style countryside, which will be allocated to localities, and part of local budgets.

c/ Lawful funding sources of enterprises, cooperatives and people’s contributions are estimated at about VND 534 billion (accounting for 18.9%).

(The list of priority investment programs and projects and general funding estimates for implementation are provided in Appendix III to this Decision).

d/ Funds allocated to the Ministry of Agriculture and Rural Development to direct and organize the implementation of the Scheme (public information work; training; conferences and seminars; formulation of projects and pilot models; inspection and supervision) are estimated at about VND 50 billion (accounting for 1.77%) from the funding source of the national target program on building of new-style countryside and annual non-business funds.

2. Credit loans from the Vietnam Development Bank are estimated at about VND 285 billion.

(The list of investment projects eligible for borrowing concessional loans from the Vietnam Development Bank is provided in Appendix IV to this Decision).

VI. ORGANIZATION OF IMPLEMENTATION

1. The Ministry of Agriculture and Rural Development shall act as the focal point and:

a/ Assume the prime responsibility for, and coordinate with related ministries, sectors and provincial-level People’s Committees in, organizing the implementation of the Scheme; direct the formulation and implementation of programs and projects to support the development of salt production, processing and sale.

b/ Disseminate, and provide training and guidance on, the contents of the Scheme.

c/ Formulate annual plans and cost estimates for development of the salt industry, then send them to the same-level finance agency to be included in budget allocation plans and submitted to the competent state agency for consideration and decision in accordance with the Law on the State Budget.

d/ Inspect, supervise, evaluate and annually report to the Prime Minister on the implementation of the Scheme.

2. Related ministries and sectors shall, based on their assigned functions and tasks, coordinate with the Ministry of Agriculture and Rural Development in implementing the Scheme.

3. Provincial-level People’s Committees shall:

a/ Direct the state management of the salt industry in their localities. Based on the Government’s Decree No. 40/2017/ND-CP of April 5, 2017, on management of salt production and trading, and the tasks set forth in the Scheme, provincial-level People’s Committees of salt-producing localities shall work out implementation plans and adopt specific policies to annually allocate funds from local budgets for supporting investment in the development of the salt industry.

b/ Assign provincial-level Departments of Agriculture and Rural Development to assume the prime responsibility for, and coordinate with related provincial-level departments, sectors and district-level People’s Committees of salt-producing localities in, formulating plans on development of salt production, processing and sale and submitting them to provincial-level People’s Committees for approval.

c/ Direct district-level People’s Committees of salt-producing and trading localities to increase investment in and support the development of salt production; formulate plans and cost estimates in local annual budget estimates and submit them to competent agencies for approval under regulations.

d/ Direct provincial-level Departments of Agriculture and Rural Development in formulating plans and funding estimates for development of salt production, processing and sale, then sending them to same-level finance agencies to be included in annual budget allocation plans, and direct and organize the implementation of such plans after they are approved by competent authorities.

dd/ Regularly inspect the performance of the state management of salt production and trading; report to the Ministry of Agriculture and Rural Development on the implementation of the Scheme in December every year.

Article 2. This Decision takes effect on the date of its signing.

Article 3. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees of salt producing and processing localities, and heads of related agencies and units shall implement this Decision.-

For the Prime Minister
Deputy Prime Minister
TRINH DINH DUNG

* The Appendices to this Decision are not translated.