THE PRIME MINISTER OF GOVERNMENT
 -------
SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
----------
No. 25/2008/QD-TTg
Hanoi, February 05, 2008
 
DECISION
PROMULGATING A NUMBER OF MECHANISMS AND POLICIES TO SUPPORT SOCIO-ECONOMIC DEVELOPMENT IN CENTRAL HIGHLANDS PROVINCES TILL 2010
THE PRIME MINISTER
Pursuant to the December 25, 2001 Law on Organization of the Government;
At the proposal of the Minister of Planning and Investment in Report No. 8409/TTr-BKH dated November 15, 2007.
DECIDES: .
Article 1. - To promulgate a number of mechanisms and policies to support socio-economic development in Central Highlands province (embracing Gia Lai, Kon Tum, Dak Lak, Dak Nong and Lam Dong provinces) up to 2010 with the following principal contents:
1. Major objectives and targets up to 2010:
- The region's GDP growth rate will reach 12-13%/year on average;
- To reduce the rate of poor households by 3-4%/year, sustain hunger elimination and poverty alleviation, and prevent relapse into hunger or poverty;
- To create new jobs for 120,000-140,0000 people/year;
- The rate of trained labor will be 25-30%;
- The total forest area will reach around 3.54 million hectares (including 950,000 hectares of protection forests), increasing forest coverage to 65%;
- The rate of clean water-using inhabitants will be 95% in cities and 80% in rural areas.
2. Key tasks for development of major industries and domains
a/ Industrial sector
To concentrate investment in major industries such as agricultural-forest product processing, irrigation, construction materials production, and mining.
- Agricultural-forest product processing industry:
To develop the agricultural-forest product processing industry is a central task of each locality in the region from now to 2010. The objective is to develop processing into a spearhead industry of the region.
Agricultural-forest product processing establishments will be built based on available raw materials, local production capacity as well as the region's approved branch plannings and plannings on major products. To invest in advanced equipment and modern technologies to turn out high-quality and competitive products.
Industrial development should be promoted through diversifying production scale and modes, combining medium- and small-scale production, building processing establishments in large raw-material zones, and encouraging the development of household-based manual or preliminary processing of simple products which are made in areas far from factories; to encourage domestic and foreign economic sectors to invest in industrial development.
To prioritize the development of processing industries with large-scale investment conditions such as processing coffee, rubber, cashew, cotton, tea, meat, milk, etc. To strive for the target that, by 2010, at least 50% of the region's coffee output will be processed into high-quality branded commodities for export. To invest in upgrading production equipment and synchronizing production lines of existing rubber-manufacturing factories and building new factories so that the product structure will be 45% of granulated rubber, 20% of latex and 35-40% of technical rubber latex, with part of which to be manufactured into high-quality products like automobile inner tubes and tires, conveyor belts, etc., in substitution of imported products. To process cotton and cashew with appropriate technological lines and diversify products for raising production efficiency. To process tea mainly based on the capacity of existing factories while only making investment in replacing equipment and technologies in order to have more than 70% of the tea output up to export standards.
To reorganize existing sugar production establishments in parallel with maintaining manual sugar production with a view to meeting local demands. To process corn and cassava starch for human consumption, animal raising and export suitable to raw-material zones; to restrict cassava development in order to protect the environment and prevent erosion.
To process forest products, especially timber, even timber of annually cut rubber trees. To invest mainly in manufacturing artificial boards, particle boards and refined woodwork to meet domestic and export demands.
- Hydropower: To concentrate efforts on completing projects under construction, step by step diversify modes of electricity investment and business in parallel with eco-environmental protection, combine the construction of hydropower works with the supply of production and daily-life water for inhabitants in the region.
- To promote mechanical repair services for agricultural mechanization, means of transport, manufacture of farming tools and spare parts for the processing industry; to develop the small-cottage industry producing local traditional articles.
- To invest without delay in establishments producing construction materials such as cement, baked brick, stone, feldspar, etc. To bauxite, manufacture alumina and proceed refining aluminum, etc.
b/ Agriculture-forestry
To further extend agricultural and forestry production on the basis of protecting and effectively exploiting the region's potential and strengths. To restructure agricultural and rural economy in the direction of concentrating on intensive cultivation, creating products economic value and making raw materials for the processing industry.
- Cultivation: To step up the production of food and foodstuff and cultivation of plants of high economic value; to adopt policies to support ethnic minority people in building household garden in order to improve their daily meals with more nutritious food.
The central task in agricultural production is to continue developing long-term industrial trees for supplying raw materials for the processing industry, such as rubber, coffee, cashew, etc. Up-to-2010 objectives are to plant around 100,000 hectares of rubber, bringing the coffee area to over 200,000 hectares; to continue reducing the area of coffee in water-lacking and-inefficient production places for stabilizing the coffee area at around 330,000-350,000 hectares, plant cashew tree industrial trees of high economic value, attaching importance to growing high-grade flowers in localities for local consumption and export.
- Animal raising: To strive to increase the herds of buffaloes by 3%/year on average, of cows, by 6%, and of pigs, by 3-3.5%. The central task is to develop the herds of beef and milch cows, proceeding to producing on a large scale high-quality commodities, so that by 2010 around 5,000 milch cows will be reared under planning for sufficient supply of milk for processing factories. To encourage households to develop poultry rearing and aquaculture in localities where conditions permit.
- Forestry: To review plannings on special-use forests, protection forests and economic forests, transform part of protection forests into economic forests in order to allocate them to people for production to supply raw materials for the processing industry and generating incomes; to prioritize the allocation of production land to ethnic minority households and workers who live on forests. Within 5 years, to plant 250,000 hectares of forest, including mainly timber raw-material forests and perennial industrial trees for increasing forest coverage; to speed up the contracted allocation of special-use and protection forests to local village communities and ethnic minority households for direct management and protection to make the fullest use of forest products. Within the next 10 years, to build the Central Highlands into a national key zone for forestry development. To reorganize forest protection teams and groups in villages by studying and applying appropriate mechanisms and policies in order to mobilize combined strengths of administrations, socio-political organizations and people in forest protection; to strictly handle uncontrolled forest exploitation, effectively prevent and fight forest fires, and seriously implement the policy on forest closing in provinces.
To further reorganize and renew state-run agricultural and forestry farms, change their tasks by providing input and output services for farmer households, return land to localities in order allocate production land to and create jobs for people.
Projects should be integrated for agricultural development in an environmentally friendly manner, contributing to changing customs and habits of Central Highlands ethnic groups.
c/ Trade and services
To step by step reorganize trade services such as marketplaces, trade centers and service provision cooperatives for people in urban, rural and exceptional difficulty-hit areas. To consolidate exports-purchasing establishments, paying attention to traditional commodities processed from local raw materials. To prioritize tourism development in order to create jobs, increase incomes and contribute to economic restructuring.