On 05 July 2018 the government promulgated Decree No. 98/2018/NĐ-CP regulates on incentive policy for development of linkages in production and consumption of agricultural products. This Decree will tale effect om 20 August 2018.
Accordingly, Decree No. 98/2018/NĐ-CP has some new points are paying attention as follows:
1. Development of linkages in production and consumption of agricultural products
The Decree regulates a linkage leader may receive a subsidy as 100% of cost of hiring consultants for establishing a linkage, including consultancy for formulating linkage contract, linkage project, business, production and market development plans, provided it shall not exceed VND 300 million
A linkage project may be eligible for getting a subsidy from state budget as 30% of total investment in machinery, equipment and construction of infrastructural facilities serving the linkage, including workshops, warehouses or yards serving the production, preparation, storage, processing and consumption of agricultural products. Total subsidy shall not exceed VND 10 billion
Funding and specific amounts of subsidies specified in Clause 1 of this Article shall conform to plans, programs and projects of the National target program for building new-style rural areas, the National target program for agricultural restructuring, disaster preparedness and mitigation, and community living stabilization, and other programs and projects
2. Subsidies on agricultural extension, training
In addition to subsidies on construction of infrastructural facilities serving the linkage, the participants in a linkage may get subsidies from state budget for performing to stablish agricultural extension model; Providing vocational training, technical training, training in managing skills, production techniques, capacity for managing contracts, value chains and market development; Subsidies on breeds, materials, packaging and labeling of agricultural products for not more than 03 crops or 03 production cycles through concentrated services of a cooperative; State budget gives a subsidy equal to 40% of cost of transfer and application of advanced techniques, and uniform chain-based application of technical process and quality management. I
Funding, specific amounts and mechanism for getting subsidies as specified in Point a, Point b Clause 1 of this Article shall conform to programs and projects on agricultural extension; vocational training programs in agriculture for unskilled workers; policies on personnel training of cooperatives, and other programs and projects.
Funding, specific amounts and mechanism for getting subsidies specified in Points c, d Clause 1 of this Article shall conform to the National target program for building new-style rural areas, and other programs and projects.
3. Eligibility requirements for subsidies
Theo Nghị định, các bên tham gia liên kết được hỗ trợ phải đáp ứng đồng thời các điều kiện sau: Accordingly, the participants in a linkage must satisfy all of the following requirements
– The linkage is conformable with the local socio – economic development plan;
– There is a certification of compliance or a commitment to comply with law regulations on product quality, foods safety, disease-free status and environmental protection;
– The stability of a linkage must be ensured: With regard to agricultural products with an agricultural or production cycle of 01 year and above, the linkage period must be at least 05 years; With regard to agricultural products with an agricultural or production cycle of less than 01 year, the linkage period must be at least 03 years.
– The linkage project or the proposal for subsidies for the linkage has been given approval by a competent authority.
Therefore, it can be seen that Decree No. 98/2018/NĐ-CP specifically provided on the development of linkages in production and consumption of agricultural products. Through that to create an advanced condition for the personal products, produce output and quality, provide the general development of the Agriculture of the water home