Circular No. 05/2014/TT-BKHĐT guiding the implementation of Decree No. 210/2013/NĐ-CP on policies encouraging enterprises to invest in agriculture and rural areas

CIRCULAR

H||| Circular guiding the implementation of Decree No. 210/2013/NĐ-CP dated December 19, 2013 of the Government on policies encouraging enterprises to invest in agriculture and rural areas.

||| Pursuant to Decree No. 116/2008/NĐ-CP dated November 14, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Planning and Investment;

||| At the proposal of the Director of the Department of Agricultural Economy,

_____________________

||| The Minister of Planning and Investment issues this Circular guiding the implementation of Decree No. 210/2013/NĐ-CP dated December 19, 2013 of the Government on policies encouraging enterprises to invest in agriculture and rural areas.

Pursuant to Decree No. 210/2013/ND-CP dated December 19, 2013 of the Government on policies encouraging businesses to invest in agriculture and rural areas;

||| Article 1. Scope of regulation: This Circular guides the conditions, procedures, and formalities for implementing preferential and support policies for investment as prescribed in Decree No. 210/2013/NĐ-CP dated December 19, 2013 of the Government on policies encouraging enterprises to invest in agriculture and rural areas (hereinafter referred to as Decree No. 210/2013/NĐ-CP).

||| a) Enterprises established and registered for operation under the Law on Enterprises shall be eligible to receive preferential and support policies for investment as prescribed in Decree No. 210/2013/NĐ-CP;

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation and Applicability

||| b) Agencies, organizations, and individuals related to the implementation of policies encouraging enterprises to invest in agriculture and rural areas.

第二条 组织和实施奖励工作的支出水平，如政府第152/2025/NĐ-CP号决定关于分级授权和奖励领域的分权规定

||| 1. List of areas with difficult socio-economic conditions and extremely difficult socio-economic conditions is the list specified in Appendix II issued together with Decree No. 108/2006/NĐ-CP dated September 22, 2006 detailing and guiding the implementation of certain provisions of the Investment Law.

||| 2. Local labor force refers to laborers who have permanent residence registration in the province or centrally governed city where the project is implemented.

Article 2. Interpretation of Terms

||| 3. Developed countries as defined in point c, Clause 1, Article 11 and point c, Clause 2, Article 15 of Decree No. 210/2013/NĐ-CP are those with per capita income exceeding 10,000 USD/year, according to the latest data published by the General Statistics Office. All other countries are considered developing countries.

||| 4. Original documents refer to documents consisting of original copies or certified true copies in accordance with the provisions of the law.

||| 1. Procedures and formalities for implementing exemptions and reductions in land use fees; exemptions and reductions in land rental fees and water surface rental fees by the State shall be carried out in accordance with the laws on land.

||| 2. The date when the project completes basic construction as stipulated in Clause 1, Article 7 of Decree No. 210/2013/NĐ-CP is the actual completion date confirmed by the competent authority specified in Clause 13, Article 3 of this Circular.

Article 3. General Guidelines

||| 3. The date when the project commences operations as stipulated in Clauses 2, 3, and 4 of Article 6 of Decree No. 210/2013/NĐ-CP shall be determined as follows:

||| a) In cases where the actual completion date precedes or follows the approved project date, it shall be calculated based on the actual completion date.

||| b) In cases where the project includes multiple independent construction items or phases, the completion date shall be calculated separately for each item or phase. If separate calculation is not possible, the completion time shall be calculated based on the largest capital-intensive item that has been inspected and accepted.

||| 4. Forest planting and protection projects of agricultural and forestry enterprises formed from state-owned farms shall be exempted or reduced from land use fees in accordance with Decree No. 210/2013/NĐ-CP.

||| 5. The area of land planted with macadamia trees and medicinal plants in the project is the area of land assigned, leased by the State, or the area of land jointly developed or linked with households, families, and individuals, or the area of land rented or borrowed from households, families, and individuals.

||| Macadamia trees can be planted scatteredly or concentratedly. When planted scatteredly, every 500 trees are converted into 0.1 hectare. Seedling production facilities may establish nurseries and seedling gardens at different locations.

||| 6. Large-scale processing factories for agricultural, forestry, and aquatic products, which have invested significantly, employed many workers, and had a significant impact on local economy and society as defined in point b, Clause 1, Article 16 of Decree No. 210/2013/NĐ-CP, are those with annual revenue over 100 billion VND or employing at least 200 workers with long-term contracts and social insurance contributions.

||| 7. Actual capacity of the factory or actual equipment capacity of the processing facility/facility for agricultural, forestry, and aquatic products, slaughterhouse is the actual product output created by the factory/facility within a specific period (minimum 4 working hours), verified and multiplied by the working time of the factory/facility during the production year. The maximum working time of the factory/facility eligible for support is 300 days/year.

||| In cases where raw materials are harvested seasonally, the working time of the factory/facility is calculated based on the supply season of raw materials and the storage time of raw materials within the year, and the specific operating time of the factory/facility during the year. The provincial People's Committee decides the operating time (days) of the factory/facility during the year when issuing the Investment Support Decision.

||| In cases where a project produces multiple products, each product is verified independently.

||| 8. Conversion units for some products to calculate support as follows: 1(m

) medium density fiberboard (MDF), particle board, plywood (laminated board), floor panels, wood strips, glued laminated timber from wood, equivalent to 750 (kg); 1(m

) bamboo board equivalent to 1000 (kg).³||| 9. Existing agricultural, forestry, and aquatic raw materials in the locality include raw materials produced through cultivation and breeding, natural raw materials permitted for exploitation and utilization under the law, and raw materials generated from changes in land use purposes in the province.³||| The provincial People's Committee bases its decision on existing raw materials to determine the scale of capacity of processing and preservation facilities for agricultural, forestry, and aquatic products eligible for support when issuing the Investment Support Decision in accordance with Article 5 of this Circular.

||| 10. Proportion of rice, corn, potatoes, cassava, seafood by-products, coffee raw materials at point d, Clause 2, Article 14 and proportion of agricultural, forestry, and aquatic products at point e, Clause 2, Article 16 of Decree No. 210/2013/NĐ-CP for supported facilities are defined as follows:

||| a) The quantity of rice, corn, potatoes, cassava, seafood by-products, and coffee raw materials proposed for support by the facilities shall not exceed the annual yield of rice, corn, potatoes, cassava, seafood by-products, and coffee in the planned zoning area for the facilities.

10. The ratio of rice, corn, potato, cassava, aquatic by-products, coffee at Point d Clause 2 Article 14 and the ratio of agricultural, forestry, and aquatic products at Point e Clause 2 Article 16 of Decree No. 210/2013/NĐ-CP for investment-supported facilities shall be specified as follows:

a) The quantity of rice, corn, potato, cassava, aquatic by-products, and coffee proposed for support by the facilities shall not exceed the annual production of rice, corn, potato, cassava, aquatic by-products, and coffee within the planned area designated for such facilities.

b) The quantity of agricultural, forestry, and aquatic raw materials of the entities requesting support shall not exceed the annual planned production volume corresponding to that entity as forecasted in the planning.

c) The yield of rice, corn, potatoes, cassava, aquatic by-products, coffee, and agricultural, forestry, and aquatic products is calculated based on the average of the three most recent years, according to the data published annually by the Provincial Statistics Office or based on calculations and publications by the Department of Agriculture and Rural Development.

11. The list of high-yield livestock breeds specified in point c, Clause 1, Article 11 of Decree No. 210/2013/NĐ-CP and the lists of agricultural, forestry, and aquatic products, auxiliary products, and mechanical products supported under Article 16 of Decree No. 210/2013/NĐ-CP shall be implemented in accordance with the regulations of the Ministry of Agriculture and Rural Development.

12. Investment projects in the priority investment sector in agriculture specified in point đ, Clause 1, Article 17 of Decree No. 210/2013/NĐ-CP are defined as follows:

a) Border area projects are projects carried out in districts where part of the administrative boundary coincides with the national border on land.

b) Island projects are projects carried out on islands and island groups of Vietnam.

c) High-tech projects are projects applying high technology in agricultural, forestry, and aquaculture production and are subject to review and confirmation by the Ministry of Agriculture and Rural Development in collaboration with relevant agencies.

d) State budget support for high-tech application projects shall be provided at the level specified in Appendix I attached to this Circular.

13. The main authority responsible for acceptance inspection: The Department of Agriculture and Rural Development confirms the completed volume of investment items and contracts; accepts the completion of projects supported under Decree No. 210/2013/NĐ-CP; except for research topics, items, and projects on science and technology specified in point c, Clause 1, Article 9 of Decree No. 210/2013/NĐ-CP which are confirmed and accepted by the Department of Science and Technology.

14. Research topics creating new technologies and products led by enterprises: Enterprises cooperate with scientists from public universities and research institutes to carry out the research.

15. The transportation support funding specified in point b, Clause 1, Article 15 and point c, Clause 1, Article 16 of Decree No. 210/2013/NĐ-CP shall be settled by enterprises in the categories specified in Appendix I attached to this Circular.

16. Selection of implementation forms for support

Enterprises may choose one of the following two support forms:

a) Implementation according to the current basic construction investment process: The condition is that the contents of support must be approved by the People's Committee of the province (or the agency authorized by the People's Committee of the province) for the design and estimate of the item or project before implementation.

b) Self-execution form: Enterprises self-approve the design and estimate according to general regulations; self-divide investment items and contracts; self-implement the support content (may hire contractors or not). In this case, enterprises will be paid according to the support levels specified in Appendix I attached to this Circular.

17. The percentage-based support levels specified in Articles 11, 12, and 16 of Decree No. 210/2013/NĐ-CP shall be converted into absolute values specified in Appendix I attached to this Circular.

18. The ratio of local budget specified in Clause 1, Article 17 of Decree No. 210/2013/NĐ-CP refers to the ratio calculated based on the total annual expenditure from the provincial budget, excluding central government support.

19. Investment incentives procedures: Enterprises base their determination of incentives and procedures for enjoying investment incentives at competent state authorities, as stipulated in Article 38 of the Investment Law, on the incentives and conditions for investment incentives prescribed in Decree No. 210/2013/NĐ-CP.

Chapter II

PROCEDURES FOR IMPLEMENTATION OF INVESTMENT SUPPORT DOCUMENTS, PROCEDURES, AND FORMALITIES

Article 4. Investment Support Application Documents

1. To be eligible for support, enterprises must submit the following application package:

a) Business Registration Certificate;

b) Investment Certificate (if applicable), accompanied by a summary report on the project's implementation status and results from the start of operations to the date of the investment support request (for projects that have already been implemented);

In cases where the Investment Certificate has not yet been issued, the enterprise must submit an economic and technical justification regarding the objectives, scale, location of the investment; investment capital, clearly explaining the requested investment support items;

c) An application for investment support for enterprises investing in agriculture and rural areas pursuant to Decree No. 210/2013/NĐ-CP, including a detailed explanation of the reasons and calculation methods for the requested investment support items according to the model specified in Appendix II attached hereto;

2. Enterprises with investment projects eligible for investment support under Decree No. 210/2013/NĐ-CP must submit eight sets of application documents (including one original set, the remaining sets stamped by the enterprise) via postal service or directly to the Department of Planning and Investment at the location of the investment project;

3. Enterprises are responsible under the law for the authenticity of information recorded in the application documents requesting state support for investment (for enterprises investing in agriculture and rural areas pursuant to Decree No. 210/2013/NĐ-CP);

Article 5. Procedures for Issuing Investment Support Decisions

1. After receiving the complete application documents as stipulated in Clause 1 of Article 4 of this Circular, within three working days, the Department of Planning and Investment will send the documents to solicit opinions from the following agencies: Department of Finance, Department of Agriculture and Rural Development, People's Committee of the district where the project is located, and relevant specialized agencies or Industrial Park Management Board, Export Processing Zone Management Board, High-Tech Park Management Board, Economic Zone Management Board (for projects located within industrial parks, export processing zones, high-tech parks, economic zones);

2. Within five working days from the date of receipt of the solicitation letter, the agencies mentioned in Clause 1 of this Article shall provide their review comments in writing to the Department of Planning and Investment and bear responsibility for matters within their management functions;

3. Content of the review of the investment support request:

a) The investment project falls within the scope prescribed by Decree No. 210/2013/NĐ-CP;

b) The investment project meets the conditions for investment support as prescribed by Decree No. 210/2013/NĐ-CP;

c) Review the investment support items proposed by the enterprise as prescribed by Decree No. 210/2013/NĐ-CP;

4. Within five working days from the end of the deadline for receiving opinions from the agencies, the Department of Planning and Investment will compile the opinions of the relevant agencies and based on the budget balancing capacity, prepare a review report to submit to the Provincial People's Committee for a decision on investment support for the project;

a) In cases where there are differing opinions, the Department of Planning and Investment will organize a review meeting before submitting to the Provincial People's Committee;

b) For projects that were implemented prior to the effective date of Decree No. 210/2013/NĐ-CP, the Department of Planning and Investment will take the lead in organizing inspections and preparing inspection records of the actual contents of the enterprise's investment support before submitting to the Provincial People's Committee as stipulated in Article 14 of this Circular;

c) For projects using central government budget support as prescribed in Article 17 of Decree No. 210/2013/NĐ-CP, the provincial people's committee will submit the review request report and the review result report of the Department of Planning and Investment to the Ministry of Planning and Investment for review of the funding source;

5. Within five working days from the date of receipt of the local application for review of investment support, the Ministry of Planning and Investment will seek opinions from the Ministry of Finance and related agencies (if necessary); within seven working days from the date of receipt of the solicitation letter, the Ministry of Finance and related agencies will provide their written opinions to the Ministry of Planning and Investment regarding the funding source and the ability to balance funds from the central government budget to support the project, and forward it to the locality;

6. Within five working days from the date of receipt of the review report of the Department of Planning and Investment for projects using local government budget, or the funding source review document of the Ministry of Planning and Investment for projects using central government budget support, the Provincial People's Committee will issue the Investment Support Decision for the project. In cases where partial or full rejection of the requested investment support is made, the Department of Planning and Investment will notify the enterprise in writing and specify the reasons;

The Investment Support Decision shall be in the form prescribed in Appendix III attached hereto.

Article 6. Final acceptance of investment components and tender packages of the project

1. The enterprise and contractor (if any) shall conduct self-acceptance and bear full responsibility for the accuracy of the acceptance content.

2. After completing self-acceptance, in cases where the enterprise needs to disburse support funds according to point b, Clause 2, Article 17 of Decree No. 210/2013/ND-CP, the enterprise shall submit a written request to the leading acceptance agency specified in Clause 13, Article 3 of this Circular to confirm the completed volume of investment components and tender packages.

Within five days from the date of receipt of the enterprise's request, the leading acceptance agency shall inspect and issue a record confirming the completed volume of investment components and tender packages of the project. Each participant in the confirmation shall retain one copy, while the enterprise shall retain two copies as legal basis for disbursing support funds with the State Treasury.

In cases where investment components and tender packages are technically complex, the leading acceptance agency may invite specialized agencies to confirm the completed volume.

Article 7. Final acceptance of the completed project

1. Acceptance documents:

a) The enterprise's request letter (original);

b) Decision on investment support issued by the provincial People's Committee;

c) Approval decision on design and budget estimates within the authority stipulated in Clause 15, Article 3 of this Circular;

d) Purchase contract (in case of goods purchase);

đ) Certificate of origin of goods, quality certificate of goods (if imported goods);

e) Report on research results of experimental production projects (for scientific and technological products).

2. The enterprise shall submit three sets of documents as prescribed in Clause 2 of this Article (including one original set) via postal service or directly to the leading acceptance agency.

3. Within five working days, the leading acceptance agency shall be responsible for inviting representatives from the Department of Planning and Investment, the Department of Finance, related specialized agencies, the district-level People's Committee where the project is implemented, and the enterprise representative to conduct final acceptance of the project.

4. Content of acceptance: Inspection of acceptance documents; confirmation of completed volume; verification of project implementation according to Decree No. 210/2013/ND-CP and regulations stipulated in this Circular.

5. The leading acceptance agency shall prepare an acceptance record of the completed project, signed by all participating representatives; each participant shall retain one copy, while the enterprise shall retain two copies as legal basis for disbursing support funds with the State Treasury.

Article 8. Payment, settlement, and management of investment support funds

The payment, settlement, and management of support funds for enterprises shall be carried out in accordance with the guidelines of the Ministry of Finance.

Chapter III

ESTABLISHING INVESTMENT SUPPORT PLANS, MONITORING INVESTMENTS AND REPORTING SYSTEMS

Article 9. Development of a program to encourage enterprises to invest in agriculture and rural areas

1. Based on investment needs, the Department of Planning and Investment shall compile a list of projects calling for investment in agriculture and rural areas of the locality, submit it to the provincial People's Committee for approval, and organize meetings to encourage enterprises to invest in agriculture and rural areas or include them in the local investment promotion conference program (the meeting shall be held at least once every three years).

2. The provincial People's Committee shall approve the list of projects expected to receive state investment support annually and over the medium term based on the consolidated investment needs proposed by enterprises. Prior to approval, the provincial People's Committee shall report to the Ministry of Planning and Investment for comments on the list of projects. The format of the annual and medium-term agricultural and rural investment project list is stipulated in Appendix IV attached to this Circular.

3. Principles for compiling the list in order of priority as follows:

a) Projects linked to restructuring the agricultural sector according to Decision No. 899/QD-TTg dated June 10, 2013 of the Prime Minister approving the restructuring plan for the agricultural sector towards increasing value and sustainable development.

b) Projects establishing raw material zones and linking raw material production with farmers according to Decision No. 62/2013/QD-TTg dated October 25, 2013 of the Prime Minister regarding policies to encourage the development of cooperation and linkage in production tied to consumption of agricultural products and large-scale fields.

c) Projects employing many workers and having significant impacts on the local economy and society.

Article 10. Establishing investment support plans for enterprises

1. Basis for planning:

a) Guidelines from higher-level agencies on developing annual and medium-term economic and social development plans.

b) Projects that have received investment support decisions.

c) The project's ability to complete according to the approved schedule.

2. Procedure for allocating plans:

a) Based on the provisions regarding local budget usage requirements under Clause 1, Article 17 of Decree No. 210/2013/ND-CP, the Department of Planning and Investment shall take the lead and coordinate with relevant agencies to forecast the level of capital usage from the local budget annually and over the medium term, report to the Provincial People's Committee for submission to the Provincial People's Assembly for decision on the total amount of capital to implement Decree No. 210/2013/ND-CP annually and over the medium term at the local level.

b) After determining the total amount of capital, the Department of Planning and Investment shall base its plan on the project's implementation capacity, compile a list of projects and forecast the allocation of support capital for each project, report to the Provincial People's Committee for submission to the competent authority for decision.

c) For projects that have been approved for support from the central government budget, the Department of Planning and Investment shall compile a list and report to the Provincial People's Committee for submission to the Ministry of Planning and Investment and the Ministry of Finance for consolidation.

d) The Ministry of Planning and Investment shall take the lead and coordinate with relevant agencies to balance the central government budget support capital for implementing Decree No. 210/2013/ND-CP, report to the competent authority for consideration and decision.

e) After the Prime Minister issues a decision allocating the total support capital to ministries, sectors, and localities, the Ministry of Planning and Investment shall allocate detailed project plans and specific capital amounts according to the annual and medium-term plans for ministries, sectors, and localities.

f) The Provincial People's Committee shall announce the list of projects and the support capital for enterprises, the planned capital for each investment component and tender package of the project decided by the enterprise, and notify relevant state agencies to serve as the basis for confirmation and acceptance during project implementation.

g) Timeframe for establishing and allocating plans: Plans for projects are established and allocated concurrently with the budget allocation as stipulated by the Law on Public Investment. Projects are implemented upon receiving support decisions from authorized agencies before being allocated support capital plans.

Article 11. Integrating various sources of capital to implement Decree No. 210/2013/ND-CP

1. Projects implemented in accordance with Decree No. 210/2013/ND-CP may utilize multiple different sources of capital, including capital from national target programs, centrally-funded targeted support programs, local budget capital, and other lawful sources of capital.

2. Annually, when the Provincial People's Committee is informed of the centrally-funded support capital for national target programs and targeted support programs, the Department of Planning and Investment shall take the lead and coordinate with related departments to integrate these various sources of capital, forecast their allocation to projects carried out by enterprises under Decree No. 210/2013/ND-CP, report to the Provincial People's Committee for submission to the Ministry of Planning and Investment for review and consolidation.

Priority should be given to integrating capital from programs and projects with similar objectives such as human resource training and science and technology.

3. Integration of centrally-funded capital for projects already included in the list assigned by the Ministry of Planning and Investment: After the State allocates the plan for at least six months, the Provincial People's Committee has the right to reallocate capital from projects that lack implementation capability or are not effectively implemented to projects supported under Decree No. 210/2013/ND-CP, subject to the agreement of the Ministry of Planning and Investment.

4. Integration of local budget capital: The Provincial People's Committee decides to integrate local budget capital immediately when formulating annual and medium-term plans to implement Decree No. 210/2013/ND-CP.

5. For projects using integrated capital, enterprises are entitled to apply the implementation and disbursement regulations of Decree No. 210/2013/ND-CP and related guidelines.

Article 12. Investment Supervision and Reporting System

1. The People's Committee of the province shall be responsible for directing the Department of Planning and Investment and relevant agencies to supervise the implementation of Decree No. 210/2013/ND-CP and this Circular, and to inspect the management and use of support funds in accordance with the law.

2. In cases where enterprises fail to comply with the contents of incentives and support as stipulated in the investment support decision, the Department of Planning and Investment shall report to the People's Committee of the province for consideration and decision on the recovery of incentives and support for non-compliant contents, and the submission to the state budget or transfer of support to another project that has received an incentive and support decision, after seeking the opinion of the Ministry of Planning and Investment regarding the central government support funds.

3. When enterprises complete their investment projects, they shall prepare an investment supervision and evaluation report in accordance with Decree No. 113/2009/ND-CP dated December 15, 2009 of the Government on investment supervision and evaluation, and submit it to the Department of Planning and Investment for consolidation.

4. The People's Committee of the province shall evaluate the implementation of Decree No. 210/2013/ND-CP at the local level, and report to the Ministry of Planning and Investment, the Ministry of Finance, and the Ministry of Agriculture and Rural Development in September each year.

The report shall clearly state the amount of capital already implemented, the operational status of supported enterprises, difficulties and challenges arising from Decree No. 210/2013/ND-CP, and recommendations to central agencies.

Chapter IV

IMPLEMENTING PROVISIONS

Article 13. Responsibility for Implementation

The Minister, Heads of Ministries at the level of ministerial departments, Heads of provincial People's Committees under the central government, and Heads of related units shall be responsible for implementing this Circular.

Article 14. Transitional Provisions

Projects commenced before February 10, 2014, the effective date of Decree No. 210/2013/ND-CP, which meet the conditions for incentives and support, shall enjoy such incentives and support as follows:

1. They shall benefit from incentives and support for the remaining duration of the project calculated from February 10, 2014.

2. Only components and packages of the project implemented after February 10, 2014 shall be eligible for support.

3. No retroactive support shall be provided for components and packages of the project implemented prior to February 10, 2014.

Article 15. Effective Date of Implementation

1. This Circular shall take effect 45 days from the date of signature and revoke Circular No. 06/2011/TT-BKHĐT dated April 6, 2011 guiding the procedures and forms for issuing "Supplementary Investment Support Confirmation Certificate for Enterprises Investing in Agriculture and Rural Areas under Decree No. 61/2010/NĐ-CP dated April 6, 2010 of the Government."

2. During the implementation period, if there are difficulties or obstacles, ministries, sectors, provincial People's Committees, centrally administered municipalities, and enterprises are requested to promptly reflect these issues to the Ministry of Planning and Investment and related ministries and sectors for research and appropriate amendments and supplements./.