Development below potential
According to the Department of Chemicals ( Ministry of Industry and Trade ), in Vietnam, among the 10 largest industries in the country according to level 2, the chemical industry is ranked in the third group, accounting for 2-5% of the GDP of the entire industry.
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| The chemical industry accounts for 2-5% of the GDP of the entire industry. Photo: CHC |
The growth rate of industrial production value of the industry is about 10-11%/year; the labor force is about 2.7 million (accounting for nearly 10% of the total labor force in the industry) and labor productivity is 1.36 times higher than the average labor productivity of the entire industry (due to a relatively high level of automation).
Some sectors have basically met domestic demand such as fertilizers, pesticides, tires, common paints, and cleaning products. The types and structure of products are increasingly diverse, providing input materials for many other industries such as electronics, metallurgy, textiles - footwear, food processing, automobiles, etc.
Although some significant achievements have been made, the scale and growth rate of the industry are not commensurate with its role and development potential; many types of raw materials and chemical products still depend on imports; investment in the industry is still limited, the investment structure is still unreasonable, there are not many products with high added value, and the value chain of chemical products in the region and globally has not been formed.
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| The Law on Chemicals (amended) is expected to create a breakthrough for the chemical industry. Illustrative photo |
Opening up more space for the chemical industry
In order to create appropriate mechanisms and policies to implement the Party's guidelines and policies, and at the same time develop the chemical industry towards sustainability, green growth, safety and environmental friendliness, in the process of drafting the Law on Chemicals (amended), the Ministry of Industry and Trade has advised the Government on 5 solutions, including:
First , supplement regulations on building and implementing strategies for developing the chemical industry.
The draft supplements regulations on the development and implementation of the chemical industry development strategy in the direction of clearly defining requirements for the content of the strategy; strategy formulation stage; responsibility for development, approval authority and responsibility for organizing the implementation of the chemical industry development strategy.
Second , develop requirements, criteria, and specific regulations for chemical projects.
The concept of “Chemical Project” has been clarified compared to the 2007 Chemical Law, specifically: A chemical project is an investment and construction project formed and implemented with the main objective of conducting production and storage of chemicals and products of the chemical industry.
Third , incentives for key chemical industry sectors.
In order to create appropriate mechanisms and policies to implement the Party's guidelines and policies on promoting the development of the chemical industry into a modern, fundamental industry, the draft Law stipulates key chemical industry sectors and investment projects in these sectors that are consistent with the chemical industry development strategy, have investment capital scale and disbursement progress according to Government regulations, and are entitled to special investment incentives and support according to the provisions of the Investment Law and other relevant laws.
Fourth , develop regulations to manage and promote the consulting network in chemical activities, supporting development in both quantity and quality.
Specifically, the Draft Law on Chemicals (amended) has supplemented regulations on chemical consulting activities in the direction of: Supplementing conditions on chemical expertise for consultants performing construction activities. The granting of certificates to these subjects is implemented according to current regulations of the Construction Law.
Along with that, supplement regulations on professional conditions and certification for a number of consulting activities directly related to technology and chemical safety and security.
The representative of the Department of Chemicals said that the addition of regulations on chemical consulting activities aims to improve the effectiveness of chemical safety work, ensure the rights of project investors, and select appropriate, effective, and cost-saving technological, construction, and safety solutions.
Fifth , amend the regulations on the time of appraisal of the Chemical Incident Prevention and Response Plan.
According to the assessment of the Department of Chemicals, the appraisal of the Chemical Incident Prevention and Response Plan during the feasibility study (FS) report preparation stage not only ensures the effectiveness of the appraisal and approval work of the state management agency, but also helps enterprises minimize the damage that may arise due to the need to modify the construction structure. Based on the design documents from the FS stage, the management agency has sufficient information to conduct the appraisal of the Chemical Incident Prevention and Response Plan; the inspection and approval of this plan will be combined with the inspection and acceptance of the completion of the construction work, without administrative procedures.
| According to the Department of Chemicals (Ministry of Industry and Trade), the chemical industry currently accounts for 2-5% of the GDP of the entire industry. |
Source: https://congthuong.vn/5-giai-phap-kich-hoat-tiem-nang-nganh-cong-nghiep-hoa-chat-385017.html
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