LINKAGES IN AGRICULTURAL PRODUCTION MAY BE ELIGIBLE FOR A SUBSIDY UP TO VND 10 BILLION
On July 05, 2018, the Government issues the Decree No. 98/2018/ND-CP on incentive policy for development of linkages in production and consumption of agricultural products.
According to this Decree, a linkage project in production and consumption of agricultural products may be eligible for getting a subsidy as follow:
- A subsidy of 30% of total investment in machinery, equipment and construction of infrastructural facilities serving the linkage, including workshops, warehouses or yards serving the production, preparation, storage, processing and consumption of agricultural products. Total subsidy shall not exceed VND 10 billion.
- A subsidy of 100% of cost of hiring consultants for establishing a linkage, including consultancy for formulating linkage contract, linkage project…; total subsidy shall not exceed VND 300 million.
- Subsidies on breeds, materials, packaging and labeling of agricultural products for not more than 03 crops or 03 production cycles through concentrated services of a cooperative.
- State budget gives a subsidy equal to 40% of cost of transfer and application of advanced techniques, and uniform chain-based application of technical process and quality management.
In order to get a subsidy, the participants in a linkage must satisfy all of the following requirements: The linkage is conformable with the plan; There is a certification of compliance or a commitment to comply with law regulations on product quality, foods safety, disease-free status and environmental protection; The linkage period must be at least 03 years or 05 years, depend on each agricultural product.
This Decree takes effect on August 20, 2018.
