1. Project Name: TAN PHU INDUSTRIAL ZONE
2. Project target
+ Contribution to the transfer of economic structure to fasten the development of industry, small scale industry and service based on developing agriculture and forestry
+ Calling for foreign and domestic investors to invest in industrial park.
3. Investment Form
4. Investment scale
Total estimated investment capital:
- Project of building Tan Phu Industrial Park infrastructure: 1020 billion VND.
- Project of industrial production: Depends on type and scale of each project.
Land area: 415.49 ha
- Project of building Industrial Zone infrastructure: Internal road, Water supply system, Drainage system, Power supply system and Communication system.
- Projects of industrial production: Depend on type and scale of each project.
Labor Demand: Depends on the need of each project. Employee will be provided by neighboring area and locality.
5. Project Duration (year), Implementation plan of Project
Project of building Tan Phu Industrial Zone infrastructure: 05 years
Implementation plan: 02 phases
- 2009 - 2010: Premises clearance, Building some essential infrastructure
- 2010 - 2015: Finishing essential infrastructure construction.
Project of industrial production: 50 years
The implementation plan of project depends on investors.
6. Foundation to build project
Advantages for a successful project:
- Duc Trong center is only 30 km far away from Da Lat city to the South.
- Located on intersection of National road No 20 (Da Lat - HCM city) and National road No 27 (Da Lat - Ban Me Thuot), and the intersection of National road No 20 to Ninh Thuan - Nha Trang and the connection road between National road No 20 and National road No 1.
- The good soil and the cool weather in Duc Trong are suitable for long- term industrial plants, vegetables and flowers. Those are the advantages for developing economy and receiving the achievement of science and technology rapidly.
Foundation of Law and Legal document
- Decision No 1053/QD-UBND dated April, 28th, 2008 on adjusting plan to fasten & develop Socio-economy of Duc Trong to 2010
- Development Plan of Lam Dong Industry Sector from 2002 - 2010
- Document No: 6430/UBND dated September 15th, 2008 of Lamdong's People Committee on adjusting and finishing supplementary developing plan of industrial zone and industrial complex in Lam Dong province to 2020.
7. Project sites
- Address: located in the vicinity of Tan Phu commune, Phu Hoi Commune, Lien Nghia town, Duc Trong District, Lam Dong Province. The east of Tan Phu industrial park is about 1 km far away from National road No.20, about 45 km far away form Da Lat city to the North East.
- Project Map.
8. Infrastructure at site
Including main articles as follow:
Kinds of land: Industrial land
- Land for building urban area: 80.83 ha
- Factory land: 288.88 ha
- Land for managed center and trade service: 5.73 ha
- Land for technical infrastructure: 5.84 ha
- Traffic land: 63.6 ha
- Green land: 51.44 ha
Land Situation: Most of land area is for coffee plantation, farm producing land, small trees and grasses. A small part of land is private owner.
Construction quality: Construction site is the fourth level infrastructure.
Particular: Tan Phu industrial park is about 1 km far away from National road No.20. In the infrastructure plan, traffic system will be build so it is very convenient condition to exchange products - Transportation cost per km: VND 3.500 /1 ton.;
Internet, Phone lines are available and convenient.
Power source: The power supply of Tan Phu industrial zone is 110 kv - electric line from the transformer in Duc Trong.
Available water source: There are no water supply systems, so investors can use 2 available water sources as below:
- Water surface source: Dai Ninh Lake
- Underground water source: well
Waste treatment system/Waste water treatment system
- There has not been water treatment system yet. Factories do water treatment by themselves to Point - B before letting out to main ditch
- There is an area for solid waste treatment in Duc Trong. Rubbish and solid waste from industrial zone will be collected and drive to this area
9. Market for products and services
- Project of building Tan Phu Industrial Zone infrastructure: Easy to attract investors from Viet Nam and foreign country because of the advantages of location and potentialities of Duc Trong. Beside, Lam Dong has passed a lot of preference in tax, land lease, ect.
- Projects of industrial production: The cost price is lower than other place because of cheaper expense of input material and work force. That is an advantage competition.
10. Available input for project in domestic & foreign markets
Agri-forestry product: Large area of coffee plantation, tea plantation, mulberry plantation...will be the input source for farm product processing factories and develop small scale industry.
Mineral resources: Bentonite can be exploited to product construction material.
11. Ability to supply work force for project
- The local work force and neighboring area are enough to supply to projects (Population of Duc Trong district is over 167.000 people). When the projects are in operation, it is able to attract the work force from neighboring area.
- Duc Trong has also had vocational schools to train skilled labor for the projects.
12. Preference Investment
The investors who rent the land from the State and have the investment projects in preferential field in conformity with list in appendix II promulgated in conjunction with Decree No. 108 will be exempted and reduced land & water surface rent according to the Law on land and Decree No 142/2005/ND-CP dated November 14th, 2005.
- Project which invests in Bao Loc city is exempted from land & water surface rent in 7 years counting from the day the building is finished and is being for use.
- Project which invests in other districts in Lam Dong (except Da Lat and Bao Loc city ) is exempted from land & water surface rent in 7 years counting from the day the building is finished and is being for use.
b. Business Income Tax
Business Income Tax rate: 25%.
Project which invest in field and location in preferential investment according to the list in appendix promulgated in conjunction with Decree No 124/2008/ND-CP dated December 11th, 2008 will be got exempted and reduced Business Income Tax according to Law on Business Income Tax, The details are as followed:
+ Tax rate incentives: (Stipulated in Article 15 - Decree No 124)
- The incentive tax rate of 10% for 15 years is applicable to:
* New enterprises established under investment projects in geographical areas with extreme socio-economic difficulties (Districts in Lam Dong Province).
* New enterprises established under investment projects in the domains of:
- High technology as prescribed by law; scientific research and technological development;
- Development of water plants, power plants, water supply and drainage systems; bridges, roads, railways; airports, seaports, river ports; airfields, stations and other infrastructure works of special importance as decided by the Prime Minister;
- Manufacture of software products.
- The tax rate of 10% is applicable to incomes of enterprises operating in education-training, vocational training, healthcare, cultural, sports and environmental domains (below collectively referred to as socialized domains) throughout their operation duration.
The Prime Minister shall promulgate a list of socialized domains mentioned in this Clause.
- The incentive tax rate of 20% for 10 years is applicable to new enterprises established under investment projects in geographical areas with socio- economic difficulties (Bao Loc city - Lam Dong Province).
- The incentive tax rate of 20% is applicable to agricultural service cooperatives and people's credit funds throughout their operation duration
After the expiration of the duration for application of the tax rate of 10% specified at Point a, Clause 1 of this Article, agricultural service cooperatives and peoples credit funds shall switch to enjoy the tax rate of 20%.
The duration for application of incentive tax rates specified in this Article is counted consecutively from the first year an enterprise has turnover from activities eligible for tax incentives.
+ Tax exemption and reduction: (Stipulated in Article 16- Decree No. 124)
* Tax exemption for 4 years and 50% reduction of payable tax amounts for 9 subsequent years are applicable to:
- New enterprises established under investment projects specified in Clause 1, Article 15 of this Decree;
- New enterprises operating in socialized domains in geographical areas in Bao Loc city and Districts of Lam Dong Province.
c. Import - Export Tax:
Project which invests in field and location in preferential investment according to the list in appendix I, II promulgated in conjunction with Decree No 108 will be got incentive import-export tax according to Law on Import- Export Tax, The details are as followed:
- Project which invests in field and location in preferential investment according to the list in appendix promulgated in conjunction with Decree No: 108 will be exempted import-export tax with import goods to create fix assets in the processing of setting up enterprise.
- Seed, livestock are allowed to import to implement the investment project.
d. Preferential policies:
Investors who carry out investment projects in Lam Dong organize vocational training for localities will be helped with funds to train workers according to Decision No. 64/2009/QĐ-UBND dated 07/7/2009 signed by Lam Dong Peoples Committee. The details are as follow:
*. Training in the enterprises:
- Support levels: VND 200,000 per month;
- The maximum time support: according to the training program and the course does not exceed 06 months.
*. Sending workers to retrain in other enterprises or follow the training contract with the vocational training bodies:
- Support levels: VND 300,000/person/month;
- Time support:
+ Training at primary level in vocational schools, training centers or training in other enterprises: The time specified in the certificates or certificates for completion the courses; the training does not exceed six (06) months;
+ Training of vocational secondary level, twenty (20) months;
+ Training college career: thirty (30) months.
*. Additional support for the enterprises is VND 100,000/person/ month for the following training subjects:
- Ethnic minorities;
- Poverty households (poverty granted);
- Soldiers, police demobilization;
- The disabled;
- Workers in communes, villages and hamlets in the region III in the list of areas under Program 135 Phase 2 and the communes, rural poverty is over 30% last year.
13. Social effects of Project
Different project gives different social-economic effect. When investing in any project, investors will not only get the profit to themselves but also contribute benefit to society such as:
- Contributing to the calling for investment project, giving an impetus to the development of local socio-economy
- + Limiting environment pollution, Contributing to develop the ecology of the forest in the stable & permanent way + Creating new jobs, reducing jobless, raising income for a part of community especially the ethnic groups + Raising Local State Budget.
14. Viet Nam Partner, Investor of Project
Lam Dong Trade and Industry Department
Add: 02 - 04 Nguyen Viet Xuan, Da Lat
15. Procedures for The issue of investment certification
- The People's Committee of District arranges investment location for projects of which the total investment capital is lower than VND 30 billion.
- The Provincial Peoples Committee arranges investment location for projects of which the total investment capital is more than VND 30 billion.
Requirement for Environment Protection:
- Project of building Industrial Complex infrastructure: Report on assessment of environment effect is required.
- Project of industrial production: Follow the Law on Environment Protection of Viet Nam and the current guidelines.
Body receiving document: Planning and Investment Department
Issue Duration: 50 years
Licensing authority: The People's Committee of Lam Dong Province.