Removing difficulties and obstacles for Korean investors

(Baonghean) -Currently, in Nghe An, there are many investment projects of investors from Korea being implemented. However, there are many obstacles that are affecting their production and business. The Department of Planning and Investment and other sectors are having solutions to remove difficulties so that businesses can feel secure in investing and producing. Nghe An Newspaper quotes some opinions of investors and leaders of surrounding departments and sectors about obstacles and solutions to obstacles in investment projects in Nghe An.

1. Banana planting and exporting project of Globe Farm Vietnam Co., Ltd.: Lack of land to implement the project

Ms. Pham Thi Hong - Farm Manager of the fresh banana growing and exporting project (belonging to Globe Farm Vietnam Co., Ltd.) in Vien Thanh commune (Yen Thanh) said: The banana growing farm project for export with a total investment capital of 3 million USD was granted Investment Certificate No. 271 043 000001 by the Provincial People's Committee on February 26, 2010. Land area used: 200 hectares, of which, the packaging factory is 1 hectare (the State leases land for a term of 50 years); The remaining land area for the farm: leased agricultural production land allocated to households and individuals according to Government Decree No. 64/ND-CP for production using tissue culture method; banana export of all banana products in bunches is 10,000 tons/year.

Growing bananas for export in Vien Thanh - Yen Thanh district

Currently, the banana growing area of ​​Yen Thanh district and Vien Thanh commune has completed the land lease contract procedures with farmers with an area of ​​52 ha/200 ha of banana growing according to the plan. In 2012, the enterprise exported 60 tons and is expected to export 200 tons in 2013. The company has imported banana tissue from the Philippines for breeding and planting in the 2012 plan; in addition to the 52 ha of bananas planted (equivalent to 104,000 seedlings), the company's nursery still has nearly 40,000 seedlings (equivalent to nearly 20 ha of planting), but there is no land to plant because the initially determined area was inaccurate, leading to huge losses for the company in terms of seedlings.

In addition, the road to the project from National Highway 7 has not been cleared, so container trucks cannot enter the farm area to transport goods, causing difficulties in harvesting bananas. The Provincial People's Committee has directed Yen Thanh District and the Department of Natural Resources and Environment on the Company's issue.

* Mr. Nguyen Van Lap - Deputy Director of the Department of Agriculture and Rural Development answered as follows:

- The land area for the banana farm that the company leases from the people is located in Vien Thanh commune and neighboring communes. Yen Thanh District People's Committee will actively direct the People's Committee of Vien Thanh commune and neighboring communes to work with the people to continue handing over the land to the Company as agreed to ensure meeting production and business needs.

- In addition, the Company can consider surveying more land in 2 districts: Tan Ky and Con Cuong (these two districts have been surveyed since 2010) to have an additional area of ​​about 200 - 250 hectares adjacent to the region/district, enough to build a banana processing factory to ensure capacity when put into operation.

- Globe Farm Vietnam Co., Ltd. needs to speed up the implementation of the banana planting and processing project in Vien Thanh commune, Yen Thanh district and expand the project to two districts: Tan Ky and Con Cuong; At the same time, regularly coordinate and report to the People's Committee of Yen Thanh district, Vien Thanh commune and the Departments: Agriculture and Rural Development, Planning and Investment and the Provincial People's Committee to know and find ways to remove difficulties for investors.

Regarding traffic, Mr. Nguyen Hong Ky - Director of the Department of Transport answered as follows:

The project is having trouble clearing the land of 2 households at the beginning of the route (route Km 0+000 -:- Km 1+000); the reason is that the compensation price for site clearance has not been agreed upon with the 2 households. It is recommended that the People's Committee of Yen Thanh district actively direct the People's Committee of Vien Thanh commune to soon agree on the compensation and clearance plan for the above 2 households, hand over the land to the construction unit for construction and early completion of the project.

2. Investment project for leather and textile products production - Investor: Prex Vinh Garment Company Limited (Lac Son Industrial Park - Do Luong District):Continuous power outage, heavy damage
The investor representative was upset about the recent arbitrary power outage schedule, without prior notice to the company; from January to May 2013, there were 10 days of power outage, the company had to run the generator for 3,055 minutes and lost 1,920 liters of diesel. The electricity company needs to notify the company in advance of the power outage schedule to facilitate the arrangement of appropriate holiday changes. The second difficulty the company reported was that National Highway 15 passing through the factory was not yet completed and the lighting system on the route to the company was not yet available, which could easily lead to accidents when entering or leaving work.

On production shift at Prex Vinh Garment Factory (Do Luong). Photo: Luong Mai

* Do Luong District Electricity has Official Dispatch No. 72 dated June 5, 2013, with Mr. Nguyen Van Binh - Deputy Director responding as follows:

According to the summary of 10 power outages on the 35kV line 372E15.11 from January to May 2013 related to Prex Vinh Garment Company Limited in Lac Son Industrial Park (Do Luong), there were 3 line incidents; 1 time due to the 110kV station trying to operate the circuit breaker without prior notice to Do Luong Power Company; 1 time changing the operating scheme for nearly 20 minutes; 5 planned outages. For all planned outages, Do Luong Power Company notified in writing to the People's Committee of Do Luong district and informed customers through Do Luong Radio and Television Station. For important customers, Do Luong Power Company also notified directly by phone to the representative in accordance with the "Regulations on conditions, order and procedures for stopping and reducing power supply" stipulated in Decision No. 39/2005/TT-BCT of the Ministry of Industry and Trade.

In case of power outage due to incidents or prolonged force majeure, Do Luong Electricity always notifies important customers by phone, including Prex Vinh Garment Company Limited in Lac Son Industrial Park, Do Luong.

Solution in the future:Do Luong Electricity will manage and operate the grid in the safest way possible to provide stable power to customers, including Prex Vinh Company Limited. In case of planned power outages, we will maintain proper notification procedures and to the right people. In case of force majeure, we will also notify important customers in the fastest way.

About the street lighting system on the route to Prex Vinh Company:

Do Luong District will consider the planning and development plan for street lighting infrastructure in the coming time. Regarding speeding up the construction progress of National Highway 15 through the factory: Nghe An Department of Transport will actively advise the central ministries and branches to pay attention and arrange capital to complete the project.

3. Haivina Kim Lien Garment Factory: Insurance issues

Mr. Kim TaeHyung - Director of Haivina Kim Lien Company Limited said: During the process of paying social insurance from 2010 to present at Nam Dan District Social Insurance; The company encountered many difficulties when the number of employees increased, increased and decreased continuously, the policies continuously arose, there were mistakes in the process of entering source data such as: duplicate payment time, declaration procedures for printing books, making leaflets, medical issues, changing medical examination and treatment locations, unemployment insurance... Therefore, it needs the support and guidance of the provincial Social Insurance on insurance procedures. The company proposed to transfer insurance procedures from Nam Dan District Social Insurance to Nghe An Provincial Social Insurance.

* Mr. Le Truong Giang - Deputy Director of Social Insurance (SI) of Nghe An province answered as follows:

The provincial Social Insurance will send staff directly to the unit to inspect, handle and resolve difficulties and problems according to the content of the reflection, and at the same time guide the unit to implement social insurance, health insurance and unemployment insurance policies for employees in accordance with regulations.

On May 14, 2013, Haivina Kim Lien Company Limited sent a document requesting to transfer insurance procedures to the provincial Social Insurance. Nghe An Provincial Social Insurance agreed and issued a decision to adjust the decentralization of management of social insurance and health insurance collection; issuance of social insurance books, health insurance cards and settlement of social insurance and health insurance regimes to the provincial Social Insurance from July 1, 2013.

4. Vietnam - Korea Food Factory Project of Vietnam - Korea Import-Export Joint Venture Company (VIVINA Company): Need a commitment on environmental protection

Vivina Company representative said: Although the joint venture with Hai An Seafood Import Export Company Limited was established on September 21, 2012, until May 8, 2013, the Company has not yet received investment documents and documents related to product production. Specifically as follows:

The Vietnam - Korea Food Factory Project of Vivina Company was granted Investment Certificate No. 272202200080 by the Management Board of Southeast Nghe An Economic Zone, dated August 7, 2012. Because the project dossier lacked an Environmental Protection Commitment, Article 3 of the Investment Certificate clearly stated: "This Investment Certificate will expire if after 2 months from the date of issuance of the Investment Certificate, the investor has not yet submitted an Environmental Protection Commitment that has been confirmed by the competent authority". After that, Vivina Company made an Environmental Commitment for the Vietnam - Korea Food Factory Project and submitted it to the People's Committee of Nghi Loc District. The People's Committee of Nghi Loc District asked for opinions from the Management Board of Southeast Nghe An Economic Zone and the Department of Natural Resources and Environment of Nghe An. However, this project is a joint venture with Hai An Seafood Import-Export and Trading Company Limited, so it is located on the land of Hai An Seafood Processing Factory, invested by Hai An Seafood Import-Export and Trading Company Limited. Meanwhile, the Hai An Seafood Processing Factory Project of Hai An Seafood Import-Export and Trading Company Limited still has some problems in environmental protection that have not been resolved. Therefore, Nghi Loc District People's Committee has not confirmed the Environmental Commitment for the Vietnam - Korea Food Production Factory Project of Vivina Company. On December 6, 2012, the Management Board of Southeast Nghe An Economic Zone issued Document No. 653/KKT-KHDT, agreeing to extend the validity of Investment Certificate No. 272202200080, issued on August 7, 2012, to March 15, 2013.

During that time, the Management Board of the Southeast Nghe An Economic Zone received a request from Hai An Seafood Import-Export and Trading Company Limited to revoke the Investment License of Viet Han Food Import-Export Company Limited. However, this request was illegal because Hai An Seafood Import-Export and Trading Company Limited unilaterally requested it.

* The Southeast Economic Zone Management Board responded as follows:Currently, Investment Certificate No. 272202200080 of Vivina Company has been extended until March 15, 2013. Vivina Company needs to agree with the joint venture Hai An Seafood Import-Export and Trading Company Limited to submit the Environmental Protection Commitment for the competent authority to appraise and approve.

Chau Lan (synthesis)