More preferential policies for industrial cluster development

The Government has just issued many preferential and support policies for industrial clusters in Decree No. 68/2017/ND-CP.

According to the Decree, investment projects in production and business in industrial parks are exempted from land rent for 7 years and enjoy other incentives according to the provisions of law.

Overall planning of Dong Hoi Industrial Park (Hoang Mai-Nghe An). Photo by Nguyen Nguyen

Investment projects in technical infrastructure business of industrial clusters are exempted from land rent for 11 years, considered for State investment credit loans at a rate not exceeding 70% of the total investment and enjoy other incentives according to the provisions of law.

The project to build technical infrastructure for industrial clusters is considered for investment in the form of public-private partnership.

Incentives for craft village industrial clusters

The Decree stipulates that investment projects in production and business in craft village industrial clusters are exempted from land rent for 11 years and are considered for State investment credit loans at a level not exceeding 70% of the total investment.

Investment projects in technical infrastructure business of craft village industrial clusters are exempted from land rent for 15 years and are considered for State investment credit loans at a level not exceeding 70% of the total investment.

The local budget supports the relocation of enterprises, cooperatives, household and individual production facilities in craft villages to craft village industrial clusters; the specific support level is decided by the Provincial People's Committee.

The central and local budgets consider prioritizing support for investment in building technical infrastructure for craft village industrial clusters.

In addition to the above policies, investment projects in technical infrastructure and production and business in craft village industrial clusters are also entitled to incentives and support for industrial clusters and related laws. In case of multiple levels of incentives and support, the highest level of incentives and support shall apply.

The Decree clearly states: Craft village industrial clusters that receive incentives and support must be included in the Planning, established and operated in accordance with the provisions of law on industrial cluster management.

The number of enterprises, cooperatives, cooperative groups, household and individual production establishments in craft villages accounts for over 60% of the number of enterprises and production establishments that have relocated or registered to relocate to craft village industrial clusters.

Up to the time of consideration for incentives and support, the registration rate was over 80%, of which over 60% were from enterprises, cooperatives, cooperative groups, household and individual production establishments in craft villages as confirmed by the People's Committee at the district level.

According to Phuong Nhi