Quyết định 1008/QD-BCT

DECISION

APPROVING THE “PLAN ON DEVELOPMENT OF VIETNAM’S PAINT & PRINTING INK INDUSTRIES UP TO 2020 AND VISION EXTENDED TO 2030"

MINISTER OF INDUSTRY AND TRADE

Pursuant to the Government’s Decree No. 95/2012/ND-CP dated November 12, 2012 defining functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to the Government’s Decree No. 92/2006/ND-CP dated September 07, 2006 regarding the establishment, approval and management of the master plan on socio-economic development and the Government’s Decree No. 04/2008/ND-CP dated January 11, 2008 on amendments to the Decree No. 92/2006/ND-CP;

Pursuant to the Decision No. 1621/QD-TTg dated September 18, 2013 of the Prime Minister approving the “Plan on development of Vietnam’s chemical industry up to 2020 and the vision extended to 2030”;

At the request of the Director General of the Vietnam Chemicals Agency,

DECIDES:

Article 1. To approve the “Plan on development of Vietnam’s paint & printing ink industries up to 2020 and vision extended to 2030" with the following principal contents:

1. Development viewpoints

a) Develop the Vietnam’s paint & printing ink industries in consistent with socio-economic development strategies, the plan on development of chemical industry and approved plans on relevant industries and sectors.

b) Concentrate on investment with focuses and main points in a certain products with competitive advantage and development potential in association with the objectives of environmental protection and sustainable development.

c) Invest and promote technologies in order to increase output and quality of products and produce eco-friendly products with diverse types and models.

2. Development objectives

a) General objectives

Develop the paint & printing ink industries with synchronized processes from supply of raw materials and production to finished products. Gradually increase proportion of domestic raw materials, mostly meet domestic market demand and reduce proportion of imported goods and direct forwards exporting products with highly economic value.

b) Specific objectives

- Make from 12% to 13% by 2020 and 14% in stage 2021 – 2030 of average growth rate of industrial output value of paint & printing ink industries.

- Make 13% by 2020 and 14% in stage 2021 – 2030 of average growth rate of value added of paint & printing ink industries.

- Increase from 11% in 2012 to 11.5% in 2020 and make 12% in 2030 of proportion of industrial output value of paint & printing ink industries to the whole chemical industry.

- Domestic source of raw materials can meet 50% and 75%, in 2020 and 2030 respectively, of total demands of the whole industry.

3. Development orientation

a) The paint & printing ink industries shall be developed by eradicating obsolete technologies and equipment which shall be step by step replaced by advanced technologies and equipment, minimizing use of raw materials and chemicals harmful to ecologic environment and human health and producing high quality and high value products.

b) The investment shall be carried out in high value products, especially production of resin compounds, coloring matters, chemicals and other additives.

4. Plan on development of Vietnam’s paint & printing ink industries up to 2020 and vision extended to 2030

4.1. Plan on development up to 2020

a) By 2015:

Expand and modernize existing paint & printing ink production facilities and gradually close operations of production facilities applying obsolete technologies and equipment. To be specific:

- Group of paint products: Expand and increase total capacity of existing production facilities up to 400 million liters/year.

- Group of printing ink products: Expand and increase total capacity of existing printing ink production facilities up to 30,000 tonnes/year.

- Group of raw materials and additives: Expand and increase total capacity of facilities producing alkyd resin, acrylic resin and other kinds up to 160,000 tonnes/year.

b) By 2020:

Invest in depth, adopt new technologies and increase output and quality of products. Invest in products of protective paints, ship paints and wood paints in order to basically meet domestic demand and direct forwards exporting; develop a certain types of new eco-friendly paint products. Increase total capacity of plants producing various types of paints and printing inks up to 500 million liters/year and 50,000 tonnes/year respectively. Carry out new investment and increase total capacity of resin materials up to 230,000 tonnes/year and produce a certain types of organic solvents.

- Group of paint products:

Expand and increase total capacity of existing facilities producing decorative paints and construction paints up to 280 million liters/year and build a new plant producing decorative paints and construction paints with total capacity of 50 million liters/year.

Expand, increase capacity and quality of products of one or two key plants producing protective paints and ship paints up to 60 million liters/year.

Expand and increase total capacity of existing power coatings production facilities up to 35,000 tonnes/year.

Expand and increase total capacity of existing wood paint production plants up to 90 million liters/year and build a new wood paint production plant with total capacity of 20 million liters/year.

- Group of printing ink products:

Expand, increase capacity and quality of products of existing printing ink production facilities up to 40,000 tonnes/year and build 01 new high-quality printing ink production plant with capacity of 10,000 tonnes/year.

- Group of raw materials and additives:

Expand and increase capacity of existing resin compounds production facilities up to 180,000 tonnes/year and build 01 new plant producing resin materials (alkyd, acrylic, epoxy, polyurethane, etc.) with capacity of 50,000 tonnes/year.

Build a new plant producing various kinds of solvents in paint & printing ink industries with capacity of 20,000 tonnes/year to provide for domestic plants producing oil paints, wood paints and printing ink.

 Build a new plant producing inorganic coloring matters made of domestic existing raw materials with capacity of 6,000 tonnes/year.

4.2. Vision extended to 2030:

- Group of paint products:

Expand and increase total capacity of the plants producing decorative paints and construction paints up to 700 million liters/year.

Expand and increase total capacity of the plants producing ship paints and protective paints up to 80 million liters/year. Build new plants producing ship paints and protective paints with total capacity of 60 million liters/year.

 Build 02 new plants producing wood paints with capacity of 50 million liters/each plant/year.

Expand and increase total capacity of existing or newly built power coatings production plants up to 45,000 tonnes/year for the purpose of meeting estimated demand of about 80,000 tonnes/year by 2030.

- Group of printing ink products:

Newly invest or expand production activities of existing printing ink plants for meeting 100,000 tonnes of various types of printing ink/year in 2030. Attach special importance to development of high-quality printing ink products, including digital printing ink.

- Group of raw materials and additives:

Expand, increase capacity of Build new solvent production plants according to market demand and in harmonious with domestic existing raw materials.

Build new plants or expand and increase capacity of existing plants producing inorganic coloring matters up to 12,000 tonnes/year.

List of investment projects in the Plan on development of Vietnam’s paint & printing ink industries up to 2020 and vision extended to 2030 is defined in Appendix herewith.

5. Solutions and policies for executing the Plan

5.1. Group of breakthrough solutions

a) Development of scientific and technological potential

- Increase capacity of specialized research agencies and technical and technological divisions of companies to be capable of approaching, doing research and applying new technologies.

- Encourage scientific and technological organizations, enterprises and individuals to invest in transferring, receiving transfer, owning and applying technologies to production of paint and printing ink raw materials, especially high-quality paints and printing inks, additives in paint and printing ink industries, resin compounds of various kinds, coloring matters which are unable to produce domestically and marketing activities, trade promotion and trademark advertising of paint and printing ink products.

- Encourage the enterprises, by means of joint venture or association, to carry out technological transfer for domestically producing equipment used in paint and printing ink industries and meeting modern technical requirements.

- Give support to a number of scientific and technological enterprises engaging in paint and printing ink industries to be strong enough for producing high-tech and eco-friendly products and establish a prestigious trademark in both domestic and international market.

b) Human resources development and assurance solutions

- Engage in intensive training and promote capacity of scientific and technological researchers of specialized research institutes and technical, technological and management divisions of paint & printing ink enterprises.

- Promote training in paint & printing ink majors at universities, colleges and vocational training colleges; adopt modern training methods associated with actual demands.

- Step up international cooperation in training human resources for managing paint & printing ink projects.

c) Improve capacity of product quality management system

- Perfect systems of specialized specifications and standards for Vietnam’s paint & printing ink products, firstly thresholds of lead content, tin content and volatile organic compounds (VOCs) content, in conformity with regional and international standards and specifications.

- Upgrade quality evaluation and accreditation systems of the competent quality testing authorities for paint & printing ink products.

5.2. Group of long-term solutions

a) Market solutions

- Promote investment in market investigation, research and forecast activities and trade promotion in order to obtain sufficient, exact and timely market data.

- Promote export promotion including traditional and potential markets, especially demands and features of consumers shall be considered to develop comparative advantage of the paint & printing ink industries in consistent with demands of key market.

- The enterprises must establish long-term plans and strategies on trademark development for the purpose of maintaining and developing the market share, improving product quality and models, diversifying products and strengthening and developing product consuming system.

- Participate in domestic and foreign trade promotion programs.

b) Investment solutions

- Mobilize all resources and facilitate in attraction of domestic and foreign investment capital from different economic sectors.

- Refuse to grant investment certificates to investment projects with obsolete technologies and equipment.

- Encourage enterprises to expand their production activities, innovate technologies and equipment and adopt energy saving solutions. Give priority to production of materials serving paint & printing ink industries and production of paint & printing ink products used in high-tech fields.

c) Environmental protection solutions

- Prioritize the development of projects applying new technologies, producing eco-friendly products, generating less waste, applying energy saving solutions, increasing the efficiency of new materials and reusing all types of waste generated during the processes of production.

- Expedite the relocation of paint & printing ink production plants to industrial parks and clusters for centralized management and reduction of environmental pollution. Paint & printing ink production facilities applying obsolete technologies and causing environmental pollution will be shut down.

- Carry out chemical risk assessment, make plans and measures on prevention and response against chemical accidents and keep close control of highly toxic chemicals used in paint & printing ink production facilities in accordance with applicable laws.

5.3. Group of solutions on policies

a) Policies on investment promotion

- Publish the list of projects calling for investment in each stage in order that the investors can select suitable investment plans.

b) Financial policies

- Establish active support policies on scientific and technological activities, establishing new enterprises, accessing to markets and developing new markets.

c) Policies on land and infrastructure

- Promulgate suitable and unanimous regulations on resettlement and site clearance affairs to give support to the investors of paint & printing ink production projects for timely developing such projects and ensuring quality.

Article 2. Implementation

1. The Ministry of Industry and Trade leads and coordinate with relevant Ministries and agencies and the people’s committees of central-affiliated provinces and cities to publish the plan and guide the execution of the plan. To be specific:

a) Frequently follow and monitor the execution of the plan, carry out specialized inspection on fulfillment of investment requirements and state management for projects belonging to their authority.

b) Coordinate with Vietnam National Chemical Group, Vietnam Oil and Gas Group, Vietnam National Coal - Mineral Industries Group; Vietnam Paint & Printing Ink Association, etc. to check investment targets, clearly determine focuses and main points for investment and adjust investment structure for each region in consistent with the approved orientation.

2. Ministry of Planning and Investment, Ministry of Finance, Ministry of Natural Resources and Environment, Ministry of Construction, Ministry of National Defense, Ministry of Science and Technology, Ministry of Health and Ministry of Education and Training, according to their functions, coordinate with the Ministry of Industry and Trade to go into details of the solutions and policies specified in this plan.

3. The people’s committees of central-affiliated provinces and cities coordinate with the Ministry of Industry and Trade to implement the plan on development of Vietnam’s paint & printing ink industries under synchronous and suitable manners with relevant projects in localities.

4. Societies and Associations strengthen their roles of connecting enterprises' cooperation with the Ministry of Industry and Trade in suggesting policies on development of Vietnam’s paint & printing ink industries.

Article 3. This decision takes effect from the date of signing.

Article 4. Ministers, Heads of ministerial-level agencies, Heads of Government’s agencies, Chairpersons of People’s Committees of central-affiliated provinces and cities and relevant organizations and individuals shall implement this Decision./.

APPENDIX

LIST OF INVESTMENT PROJECTS IN THE PLAN ON DEVELOPMENT OF VIETNAM’S PAINT & PRINTING INK INDUSTRIES UP TO 2020 AND VISION EXTENDED TO 2030
(Promulgated under Decision No. 1008/QD-BCT dated February 08, 2014 of the Minister of Industry and Trade)

(*) Scale, investment capital and location of the project shall be particularly calculated, selected and determined in the course of preparing and submitting for approval on the investment project in consistent with actual conditions.