In order to help small and medium-sized enterprises develop, in recent years, many industrial encouragement projects have been implemented. In spite of not meeting all actual needs, industrial promotion policies have had positive impacts on the production and business activities of industrial establishments.
In order to help small and medium-sized enterprises develop, in recent years, many industry encouragement projects have been implemented. In spite of not meeting all actual needs, industry encouragement promotion policies have had positive impacts on the production and business activities of industrial establishments.
Creating motivates for enterprises
Currently, the whole province has more than 15,500 small and medium-sized enterprises. Many of them lack funding. Therefore, investing in machinery and production lines that meet the standards to improve product quality for these businesses is necessary.
In recent years, the Industry and Trade sector has applied many policies to support businesses, especially for technology improvement. In 2018, the local industry encouragement funding was only VND1.1 billion for 8 enterprises to invest in advanced machines and equipment. By 2019, the province has invested more than VND1,5 billion to support enterprises. In which, it is worth noting that the industrial promotion project "Application of advanced machines and equipment for B40 grid production" of business Nguyen Le Huyen Trang (in A Thi hamlet, Ba Cum Bac commune, Khanh Son district) with VND115.2 million; the project "Investing in the showroom to introduce handicraft products" by Tram Huong Bien Quoc Dung Co., Ltd. (based in Ninh Ha ward, Ninh Hoa town) has been supported with VND50 million; the project "Application of advanced machines and equipment in manufacturing unburnt block bricks" of Hung Phat Khanh Vinh private enterprise (Group 7, Khanh Vinh town, Khanh Vinh district) has been supported with VND90 million. In addition, the provincial Department of Industry and Trade also requested the provincial People's Committee to approve and support VND431.5 million to carry out a local industrial promotion scheme for North Van Phong Company Limited (in Ninh Quang commune, Ninh Hoa) and Thao Vy Anh Company Limited (in Ba Ngoi ward, Cam Ranh city). The financial support is not much, but it has helped enterprises boldly invest more machines and equipment, expand production, and increase competitiveness.
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Cap Van Ha - Chairman of Board of Directors, cum Director of Nam Viet Biotechnology Joint Stock Company (in Dien Phu Industrial Group, Dien Khanh district) said, “Thanks to the support from the industry encouragement funding, small and medium-sized enterprises like ours have opportunity to change production lines and invest more in machines to produce better quality products. Although the investment source has not met all the needs of businesses, it partly motivates them, enhances production capacity and increases the competitiveness of products ”.
According to Le Hoang Tho, Deputy Director of the provincial Department of Industry and Trade, the supported enterprises this year have invested mainly in production lines and technological equipment innovation to catch the needs of domestic and foreign markets. It can be affirmed that the State's support in combination with investment of enterprises is bringing very satisfactory results. Most businesses have developed brands, creating jobs for local workers as well as contributing to the State budget.
Not meeting all needs
From 2014 till now, Khanh Hoa Province Department of Industry and Trade has directed and implemented more than 50 industrial promotion projects to support enterprises to build technical performance models and apply advanced equipment in industry - and handicraft with a total budget of over VND 6.5 billion. In addition, the department has also supported 11 typical rural industrial product developing projects, with a total budget of over VND1.3 billion. Industrial Promotion and Trade Promotion Center (under the provincial Department of Industry and Trade) has cooperated with localities to carry out 20 projects to improve management capacity and organize the implementation of industrial promotion activities with more total budget of VND212 million; and 14 projects providing information on industrial development and industry encouragement policies with a total budget of VND376 million.
However, according to Nguyen Sanh Duong - Director of the Industry Promotion and Trade Promotion Center and Industry Manager of the provincial Department of Industry and Trade Department, the current industrial promotion funding only meets a part of the needs of businesses. There are still many enterprises wishing to receive support from the program, but due to the limited capital, the selection of units to support must be carefully considered in many aspects.
“In the coming time, the provincial Department of Industry and Trade will continue to have timely policies to support small and medium-sized enterprises more effectively and practically. However, besides the support from the State, the enterprises also need to be proactive in production and business to meet the trend of the market and the integrated economy, ” Le Hoang Tho said.
Dinh Lam
Translated by T.T
T.T
