Vietnam aims to complete re-organising forest companies by 2020

Wednesday, 2019-08-21 16:17:32
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Workers are taking care of young plants at a forest company in Tuyen Quang province. (Photo: Bao Tuyen Quang)
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NDO - Vietnam aims to complete the re-organisation of state-owned agriculture and forest companies by 2020, Deputy PM Vuong Dinh Hue said at a workshop on August 21.

But he noted that the organisation process is just the first step in a longer cause of action to increase the performance of such enterprises, the Deputy PM added.

According to Deputy Minister of Agriculture and Rural Development Ha Cong Tuan, 160 companies have been re-organised to operate in a new model, equivalent to 62.5% of total agriculture and forest enterprises in need of a shakeup.

Another 69 companies are expected to have their re-organisation completed by the end of 2019.

The companies that need re-organising are located in Soc Trang, Quang Tri, Yen Bai, Thai Nguyen, Tuyen Quang, Bac Giang, Dak Lak, Quang Ngai, Son La and Thua Thien-Hue provinces.

Deputy PM Hue noted that badly-performing companies could be allowed to go bankrupt.

In March 2014 the Politburo issued a resolution on re-organising and enhancing the performance of agriculture and forest companies by obliging them to operate in accordance to the Law on Enterprises.

Later the same year, the government issued a follow-up decree that outlines the details of the re-organisation process, under which such companies will be converted to joint-stock or limited companies, or dissolved in cases of poor performance.