1. Project name: KA DO INDUSTRIAL COMPLEX
2. Project target
+ To contribute and move the economic structure quickly from agriculture and forestry to industry, handcraft industry and service.
+ To call for domestic and foreign investment.
3. Form of investment
4. Investment scale
Total capital estimated:
+ For the project of constructing the infrastructure: 80 billion VND + For production projects in the industrial complex: depending on the kind and scale of every project.
Total area of this industrial complex: 47.2 ha
+ About the infrastructure: Internal roads: 2,175 meters; Water supplying system: 2,492 meters; Waste water treating system; Power supplying system.
+ About projects investing in produce: depending on scale and type of every project.
Demand of Labor force: depending on every project. They are available in the district and other neighboring ones.
5. Project duration (years), implementation plan of project
Project on building the infrastructure for Ka Do industrial complex: 10 years.
The implementing plan: 03 stages
- 2009 - 2010: to clear the ground, to execute some necessary infrastructure works;
- 2011 -1015: to execute the necessary infrastructure works;
- 2016 - 2020: to finish the necessary infrastructure works.
Project on producing: 50 years
The implementation plan depends on the project manager.
6. Foundation to build project
There are many advantages for this project:
- The location is convenient for the traffic because its located on the intersection road to Ninh Thuan, Khanh Hoa, Binh Thuan provinces, etc following the NR 27. The good conditions of land and climate are suitable for developing forestry, vegetable, flower and other short-time industrial crops.
The legal basis and documents:
+ Decision No 1385/QD-UBND dated on May 26th, 2008 about adjusting plan of the breakthrough and speed-up in the development of socio-economic conditions in Don Duong district to 2010.
+ Development plan of the industry Sector in Lam Dong province from 2002 to 2010.
+ Decision No 132/QD-UB dated on July 4th 2005 of Lam Dong Peoples Committee about approving the detailed project of building Ka Do industrial complex, Don Duong district, Lam Dong province.
7. Project site
-Address: Ka Do commune, Don Duong district, Lam Dong province. Its 1 km from the national road, 3 km from Thanh My town, 33 km from Da Lat city, 293 km from HCM city, 18 km from Lien Khuong airport and 40 km from Ninh Son town - Ninh Thuan province.
- There is a map of this land area enclosed.
8. Infrastructure at site
Kind of land: Industrial land
- Land for building factory: 37.40 ha
- Land for building office and public service: 0.62 ha
- Land for building infrastructure: 1.78 ha
- Land for building the internal traffic system: 4.12 ha
- Land for planting trees: 1.98 ha
- Land for worker's accommodation and resettlement: 1.3 ha
The actual State: There were threes enterprises invested into the industrial complex to produce agricultural products, dried and frozen agricultural products, farming, processing and preservation meat products, that registered total investment capital is 126 billion dong, occupied 11,5 ha. Fulfill rate occupied 30,74% of total area of the entire Ka Do industrial complex
The Standard for construction: Technical infrastructure level 4.
Characteristic: Ka Do industrial complex is contiguous to the district road 413 with the space along the road of 27m, 4th grade asphalted mountainous road; the average width of road surface is 7m. The industrial complex is 1km from NR 27, 13km from NR 20 and other routes that create an ideal traffic system for exchanging goods as well as trading.
- The average transport charges: 3,500 VND/1 ton/ 1km.
Internet, telephone: there is the telecommunications system to make people easy to exchange information.
Source of supplied power: There is a 22-KV line along the Provincial 413 pass by Ka Do industrial complex and a 110-KV Da Nhim - Duc Trong line which is 100m far from NR 27. A110-KV station is now building close to NR 27, which is about 1 km from Ka Do industrial complex. It's convenient to supply power and enough for producing.
Some water sources supplied for the project: there isn't any water supplying system, so we can use 2 existing sources:
- The water on the ground: It's Da Nhim river which is 250 meter from the industrial complex. This is the main source supplying water for the area. Besides, there is a project of building a water supplying factory at Don Duong dam with the capacity of 12000m3/a day. The factory is 9km from the industrial complex which has a big water pipe along NR 27; the pipe is 1 km far from the complex.
- The Underground water: we can get water from Bazan water containing floor which is an important reserve source for producing.
The waste and waste water treating system
There isn't any waste water treating factory. In the short term, factories will treat by themselves to pole B before waste water runs to the public ditch.
Now, there is an area - 6 km from the industrial complex - which contains and treats solid waste following the project of Don Duong district.
9. The market for consuming products or trading service
- To the project of building the infrastructure of Ka Do industrial complex: because of the advantages of geographic location and the districts potentialities, it's easy to attract many domestic and foreign investment projects. In addition, Lam Dong province has much preference about tax policy and land lease.
- To the projects of industrial production: The products' cost price here will be lower than the other ones because of the abundance and cheapness of local materials and labors. This creates the competitive advantages for enterprises and holds a large market share in domestic as well as in the foreign countries.
10. The available materials for this project
Agricultural products: up to 2010, the area for growing vegetable and flower is nearly 18,900 ha, more than 500 ha of pepper tree, 2,500 ha of strawberry, 700 ha of cocoa, 2,000 ha of fruit-tree with temperature origin and 2,000 ha of coffee trees. All of them are main material sources for processing industry. Forestry: Don Duong district has 2,097 ha of the artificial forest and 34,871 ha of the natural one which can supply materials for producing paper and handicrafts products.
Mineral: granite, clay, kaolin, etc are used for producing construction materials, pottery and porcelain.
11. Ability to supply work force for project
There are enough labors from Don Duong and other neighboring districts. According to the statistical data, the population of Don Duong district is 93,000 people. Besides, there are other workforces from Ninh Thuan, Duc Trong, etc.
Don Duong has a vocational school which is an advantage to train a number of skilled workers providing for the projects.
12. Conditions or preferences for 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 deducted land & water surface rent according to the Law on land and Decree No 142/2005/ND-CP dated on 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 district in Lam Dong (except Da Lat and Bao Loc city) is exempted from land and water surface rent in 11 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 will promulgate a list of socialized domains mentioned in this Claude.
- 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 peoples 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 people's 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 People’s 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. The Social effects of the project
Every project brings the different socio-economic effects. In general, this project not only brings the economic benefits for investors but also contributes to bring Social benefits such as:
+ To attract investment projects, to impulse the development of socio-economic conditions in the local;
+ To produce fresh agricultural products which are good for health;
+ To limit the environment pollution, to contribute to develop stable eco- environment of the forest.
To create jobs for the local people that reduces the unemployment and increases the budget income.
14. Vietnamese partner - Investor of the project
Lam Dong Trade and Industry Department
Add: 02 - 04 Nguyen Viet Xuan, Da Lat
15. The procedure for issuing the investment certificate
- For the project of which the investment capital is under 30 billion VND, the People’s Committee of the district will issue the arrangement of investment location.
- For the project of which the investment capital is over 30 billion VND, the Provincial People’s Committee will issue the arrangement of investment location.
Requirement on protecting environment:
- To the project of building the infrastructure of Ka Do industrial complex: report on assessment of environmental effect.
- To the project investing into the industrial complex: to obey the Law of Environment Protect of the Socialist Republic of Vietnam.
Body receives documents: The Planning and Investment Department
Duration to issue certificate: 50 years
Licensing authority: The Peoples Committee of Lam Dong Province.