THE PRIME MINISTER
-------- No. 1556/QD-TTg | SOCIALISTREPUBLIC OF VIETNAM
Independence - Freedom - Happiness
---------------- Hanoi, October 17, 2012 |
DECISION
APPROVING THE SCHEME “SUPPORTING THE DEVELOPMENT OF MEDIUM AND SMALL ENTERPRISES ENGAGED IN ANCILLARY INDUSTRIES”
THE PRIME MINISTER
Pursuant to the Law on Government organization dated December 25, 2001;
Pursuant to the Government’s Resolution No. 22/NQ-CP dated May 05, 2010 on the commencement of the Government s Decree No. 56/2009/NĐ-CP dated June 30, 2009 of the Government on supporting medium and small enterprises engaged in ancillary industries;
Pursuant to the Prime Minister’s Decision No. 12/2011/QĐ-TTg dated February 24, 2011 on the development policies for some ancillary industries;
At the proposal of the Minister of Industry and Trade,
DECIDES:
Article 1.Approving the Scheme “Supporting the development of medium and small enterprises engaged in ancillary industries”, in particular:
I. VIEWPOINTS, ORIENTATION, AND TARGETS OF SUPPORTING THE DEVELOPMENT OF MEDIUM AND SMALL ENTERPRISES ENGAGED IN ANCILLARY INDUSTRIES BY 2020
1. Viewpoints on the development of medium and small enterprises engaged in ancillary industries:
a) Develop medium and small enterprises engaged in ancillary industries on the basis of attracting investment from all economic sectors, especially foreign investment.
b) Develop medium and small enterprises engaged in ancillary industries to participate in the production network of multinational corporations.
c) Develop medium and small enterprises engaged in ancillary industries on the basis of utilizing human resources and domestic resources.
d) Develop medium and small enterprises engaged in ancillary industries to improve their competitiveness under the integration pressure..
2. Orientation of supporting the development of medium and small enterprises engaged in ancillary industries by 2020:
a) Develop medium and small enterprises engaged in ancillary industries based on the concentration site of medium and small enterprises engaged in ancillary industries in some localities.
b) Develop medium and small enterprises engaged in ancillary industries by implementing the incentive policies on developing medium and small enterprises engaged in ancillary industries, and the policies on developing ancillary industries.
3. Targets:
By 2020, the development of medium and small enterprises engaged in ancillary industries by 2020 must achieve the following targets:
- Boost the quantitative and qualitative growth of medium and small enterprises engaged in ancillary industries; ensure that medium and small enterprises engaged in ancillary industries may supply approximately 50% of the demand for domesticization of various manufacturing industries;
- The number of medium and small enterprises engaged in ancillary industries reaches approximately 2,000 enterprises.
II.SOLUTION
1. Group of solutions related to the policies on medium and small enterprises engaged in ancillary industries:
a) Formulate policies on concentration sites of medium and small enterprises engaged in ancillary industries: promulgate provisions on standards and incentives for ancillary industry zones and specialized industrial parks.
b) Organize the ancillary industries: sort the activities of ancillary industries into various economic and technical disciplines at various levels, business registration, customs, tax, and statistics of General Statistics Office.
c) Build a quality system of accessories: Build a system of Vietnam’s standards to support medium and small enterprises engaged in ancillary industries on the basis of considering international standards as well as the existing standards of multinational corporations in Vietnam that engage in ancillary industries.
d) Group of solutions related to incentives for medium and small enterprises engaged in ancillary industries: focus on implementing incentive policies, encourage the development of ancillary industries under the Prime Minister’s Decision No. 12/2011/QĐ-TTg dated February 24, 2001, on the policies on developing some ancillary industries; the Prime Minister’s Decision No. 1483/QĐ-TTg dated August 26, 2001, on the List of prioritized products of ancillary industries and relevant legal documents, especially the projects of producing products of ancillary industries for medium and small enterprises being investors.
dd) Financial solutions: the Vietnam Development Bank shall introduce their provisions on capital loan applicable to medium and small enterprises engaged in ancillary industries.
2. Group of solutions related to programs and projects of supporting medium and small enterprises engaged in ancillary industries:
- Program of disseminating technologies for ancillary industries to medium and small enterprises;
- Program of supporting medium and small enterprises in being suppliers to multinational manufacturing corporations in Vietnam;
- Program of supporting medium and small enterprises in applying the management system to production;
- Program of training human resources for medium and small enterprises engaged in ancillary industries;
- Program of building a database and websites that provide information about ancillary industries.
(The program details are specified in the Annex enclosed with this Decision)
Article 2.Implementation organization
1. The Ministry of Industry and Trade shall be in charge of the deployment of activities supporting the development of medium and small enterprises engaged in ancillary industries.
2. The Ministry of Planning and Investment shall be in charge of introducing policies on concentration sites for ancillary industries for medium and small enterprises.
3. The Ministry of Science and Technology shall budget this Scheme from the National program of technological innovation and the Program of productivity and quality enhancement; the Ministry of Planning and Investment shall budget this scheme from the development aid for medium and small enterprises.
4. The Ministry of Industry and Trade, the Ministry of Planning and Investment, the Ministry of Science and Technology, based on the objectives of the Scheme, must make and send annual budget estimates to the Ministry of Finance for appraisal, and implement them as prescribed by current law provisions.
5. Ministers, Heads of ministerial-level agencies, Heads of Governmental agencies, the Presidents of People’s Committees of central-affiliated cities and provinces, Heads of relevant agencies are responsible for guide and inspect the implementation of this Decision.
6. The medium and small enterprises engaged in ancillary industries, theVietnam Association of Small and Medium Enterprises must promptly implement this Decision.
Article 3.This Decision takes effect on the date of its signing.
Article 4.Ministers, Heads of ministerial-level agencies, Heads of Governmental agencies, the Presidents of People’s Committees of central-affiliated cities and provinces, and relevant agencies are responsible the implementation of this Decision./.
| FOR THE PRIME MINISTER
DEPUTY PRIME MINISTER
Hoang Trung Hai |
ANNEX
SOME TASKS, PROGRAMS, AND PROJECTS SERVING THE DEPLOYMENT OF THE SCHEME “SUPPORTING THE DEVELOPMENT OF MEDIUM AND SMALL ENTERPRISES ENGAGED IN ANCILLARY INDUSTRIES”
(Promulgated together with the Prime Minister’s Decision No. 1556/QĐ-TTg dated October 17, 2012 of the Prime Minister)
I. THE LEGAL DOCUMENTS GOING TO BE FORMULATED AND ADMENDED TO COMPLETE THE LEGAL FRAMEWORK FOR DEVELOPING MEDIUM AND SMALL ENTERPRISES ENGAGED IN ANCILLARY INDUSTRIES
Name of document | Targets of reform; amendments and supplements, difficulty resolution | Agency in charge, time of implementation |
1. Decision No. 12/2011/QĐ-TTg dated February 24, 2011 on the development policies for some ancillary industries | Updated and amended depending on the actual situation | The Ministry of Industry and Trade; the Government’s Office |
2. The Prime Minister’s Decision No. 1483/QĐ-TTg dated August 26, 2011 on the list of prioritized products of ancillary industries | Updated and amended depending on the actual situation | The Ministry of Industry and Trade; the Government’s Office |
II. POLICIES ON INCENTIVES, ENCOURAGEMENT, AND SUPPORT FOR MEDIUM AND SMALL ENTERPRISES
Name of policy, incentive, encouragement, and support for medium and small enterprises | Targets of the policies, method of proposals of difficulty resolution; the content of policies and solutions | Agency in charge, time of implementation |
1. The incentives and policies on concentration sites of medium and small enterprises engaged in ancillary industries (ancillary industry zones and specialized industrial zones) | Incentive for tax and land rents | The Ministry of Planning and Investment; the Government’s Office |
2. The provisions on capital loan applicable to medium and small enterprises engaged in ancillary industries. | Create more opportunities to get the loan | The Vietnam Development Bank |
III. PROGRAMS AND PROJECTS OF SUPPORTING MEDIUM AND SMALL ENTERPRISES
1. Program of disseminating technologies for ancillary industries to medium and small enterprises |
a | Introduction | The system of Vietnamese enterprises still has a habit of inclusive production. This Program is to introduce some technologies and technical standards for ancillary industries in Vietnam. |
b | Targets | Draw the attention of and provide certain knowledge about technologies for manufacturing medium and small enterprises so that they can participate in ancillary industries. 2,000 enterprises are approached |
c | Subjects | Medium and small enterprises engaged in mechanics, electricity - electronics, plastic - rubber… |
d | Main activities | - Raise the awareness of ancillary industries - Spread knowledge about the process of ancillary industries, contracting mechanism, methods of approaching clients, and standards of products of ancillary industries - Introduce and disseminate some technologies and technical requirements of ancillary industries in Vietnam - Discuss with assembling factories and suppliers of ancillary industries |
dd | Agencies in charge | The Ministry of Industry and Trade; the Ministry of Science and Technology |
e | Time | Annually, from 2013 – 2020. 3 courses each year, each course lasts 1 week. |
g | Estimated budget | 10 billion VND |
h | Budget sources | The National program of technological innovation; the Ministry of Science and Technology |
2. Program of supporting medium and small enterprises in being suppliers to multinational manufacturing corporations in Vietnam |
a | Introduction | For medium and small enterprises, being suppliers and participating in the production network of multinational corporation are very challenging, that they must satisfy plenty of demands from buyers. It is very hard for medium and small enterprises to achieve. |
b | Targets | - Create efficient connections between medium and small enterprises and large corporations - 300 enterprises participate in the program, 100 enterprises become suppliers |
c | Subjects | The manufacturing medium and small enterprises that have reached a certain level and scale. |
d | Main activities | - Assess the ability of medium and small enterprises - Connect with clients being multinational corporations or superior suppliers - Provide consultancy and technical support for medium and small enterprises so that they can satisfy the defined standards - Other consultancy |
dd | Agencies in charge | The Ministry of Industry and Trade; the Ministry of Planning and Investment |
e | Time | 2013-2020 |
g | Estimated budget | 50 billion VND |
h | Budget sources | - The budget supporting the development of medium and small enterprises - the Ministry of Planning and Investment - Support from multinational corporations |
3. Program of supporting medium and small enterprises in applying management systems to the production |
a | Introduction | The application of management systems to the production and administration is a standard of ancillary industries, one of the criteria for being a supplier to large corporations. It is very hard for medium and small enterprises apply such processes to their enterprises without support from external experts. |
b | Targets | Support and advise medium and small enterprises engaged in ancillary industries to apply some management system to the production 200 medium and small enterprises engaged in ancillary industries successfully apply |
c | Subjects | The manufacturing medium and small enterprises that have reached a certain level and scale. |
d | Main activities | - Preliminarily assess the medium and small enterprises - Provide consultancy and technical supports for medium and small enterprises to apply management systems to the production; and other consultancy - Organize the assessment and certification of quality |
dd | Agencies in charge | The Ministry of Industry and Trade; the Ministry of Science and Technology (The Office of Quality certification) |
e | Time | 2013-2020 |
g | Estimated budget | 50 billion VND |
h | Budget sources | - The Program of Quality and Productivity – the Ministry of Science and Technology |
4. Program training human resources for medium and small enterprises engaged in ancillary industries |
a | Introduction | The human resources for ancillary industries is one of the most difficult issues of medium and small enterprises. This is the source of skilled technicians with have strong awareness of industrial production and may work with modern technologies and machinery. |
b | Targets | Provide technical human resources for medium and small enterprises engaged in ancillary industries. Train 50,000 qualified technicians for ancillary industries. |
c | Subjects | Colleges and vocational schools of the Ministry of Industry and Trade |
d | Main activities | - Allocate annual budget to train 50,000 qualified technicians for ancillary industries. - Develop quality training programs for ancillary industries at some schools - Build a strong connection with local enterprises that demand technical human resources |
dd | Agencies in charge | The Ministry of Industry and Trade; the Ministry of Labor, War Invalids and Social Affairs; |
e | Time | 2013-2015; 2016-2020 |
g | Estimated budget | 50 billion VND |
h | Budget sources | - ODA - Support from multinational corporations |
5. Program of building a database and websites to provide information about ancillary industries |
a | Introduction | Information about domestic capacity of ancillary industries is a major obstacle to domesticization of assemblers The grasp of information about the demands and capacities of ancillary industries, the support for formulating policies on developing ancillary industries as well as medium and small enterprises |
b | Targets | Build a database and websites to provide information medium and small enterprises engaged in ancillary industries, annually updated until 2020 |
c | Subjects | The producers of ancillary industries, including suppliers (mainly medium and small enterprises) and assembler |
d | Main activities | - Budget for surveying enterprises and building initial database - Annual budget for establishing and maintaining the websites - Annual budget for information update |
dd | Agencies in charge | The Ministry of Industry and Trade; the Ministry of Science and Technology; |
e | Time | 2013 -2015; 2016-2020 |
g | Estimated budget | 20 billion VND |
h | Budget sources | The National program of technological innovation; the Ministry of Science and Technology |
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