THE PRIME MINISTER OF GOVERNMENT
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
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No. 73/2006/QD-TTg
Hanoi, April 04, 2006
  
DECISION
APPROVING THE GENERAL PLANNING ON DEVELOPMENT OF VIETNAM'S INDUSTRIES BY TERRITORIAL REGION TILL 2010, WITH A VISION TO 2020
THE PRIME MINISTER
Pursuant to the December 25, 2001 Law on Organization of the Government;
At the proposal of the Industry Ministry in Report No. 2723/TTr-KH of May 27, 2005, and Official Dispatch No. 4373/CV-KH of August 16, 2005; and considering the opinions of concerned ministries and branches,
 
DECIDES:
 
Article 1.- To approve the general planning on development of Vietnam's industries by territorial region till 2010, with a vision to 2020, with the following principal contents:
I. DEVELOPMENT VIEWPOINTS, OBJECTIVES AND ORIENTATIONS
1. Viewpoints
a/ Viewpoint for development of the entire industrial sector
- Industry must be developed on the basis of bringing into play the aggregate resources of all economic sectors, of which state-run industries shall play the steering role.
- Industry must be developed in the direction of forming a dynamic balance and ensuring the priority for development of different branches and regions to match resources and advantages in each period and suit the process of international economic integration.
- Industry must be developed in a way that secures Vietnam's active and effective participation in industrial alignment and production cooperation among enterprises, among different industries, and with transnational conglomerates around the world.
- Industrial development must be closely associated with service development as well as rural industry development, with a view to creating a direct driving force for agricultural and rural industrialization and modernization and accelerating the urbanization process.
- Industrial development must satisfy the requirements of sustainable development, social progress and justice and environmental protection.
- Industrial development must be attached to the requirements of defense and national security
consolidation.
b/ Viewpoint for industrial development by territorial region
To bring into full play advantages of each region to develop an open economic structure which shall be associated with demands of domestic and overseas markets.
To promote the leading role of key economic regions in rapid development toward industries with high technologies, techniques and added value which can boost the development of other regions.
To attach labor-intensive industries and farm, forest and marine product-processing industries with raw material areas as well as rural and mountainous areas.
2. Orientations for industrial development
a/ Orientations for industrial development till 2010
To concentrate on developing industries, which are capable of bringing into play the competitive edge, taking up the domestic market and boosting export, such as hydroelectricity, processing of farm, forest and aquatic products, garment, leather-footwear, electronics-informatics, a number of mechanical products, pharmaceuticals and consumer goods, etc.
To build in a selective manner a number of establishments in such heavy industries as oil and gas, metallurgy, manufacturing mechanical engineering, production of base chemicals, fertilizers and building materials, with rational steps suitable to capital, technology and market conditions, thus bringing about efficiency.
To prioritize the development of hi-tech industries, especially information technology, telecommuni­cations, electronics and automation. To attach importance to development of computer software industry.
To efficiently develop industrial parks, export processing zones and construct a number of hi-tech parks and open economic zones.
To encourage the development of medium- and small-sized industrial clusters in rural areas so as to facilitate the development of industrial production establishments engaged in various business lines and trades and attract large numbers of laborers, thus contributing to the acceleration of agricultural and rural industrialization and modernization.
b/ The 2020 vision of Vietnam's industry
To strive for the target that by 2020 the GDP of industry and construction sectors shall increase at least five times over 2000. The industry and construction ratio to the total GDP of the whole country shall reach over 45% by 2020. The structure of industries shall shift in the direction of quickly raising the ratio of processing industries to 87-88% by 2020. The proportion of trained laborers to the entire labor force shall reach 60%. The ratio of manufactured products for export shall reach 70-75%. The ratio of the group of industries where high technologies are used shall rise to around 40-50%. The ratio of the export value of industrial products shall reach 85-90% of the whole country's export value.
3. Objectives
The value of industrial production shall grow at an annual average rate of 15-16% in the 2006-2010 period.
The ratio of industry and construction sectors in the total GDP shall be 43-44% (particularly, industry shall be 37-38%) by 2010.
To maintain the annual growth rate of added value of the industrial sector at above 10.2% in the 2006-2010 period and above 10.3% after 2010.
The rate of technological renewal in the industrial sector shall be at an annual average of 12-15%.
To build up a sufficient contingent of scientific and technological laborers in the industrial sector with adequate qualifications to research, apply, receive, operate and exploit in an efficient manner technologies and equipment of the sector.
The export value of industrial products shall grow at an annual average rate of 16-18%.
For specific growth targets, see Appendix I.
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