PCI 1 brings capital to rural businesses

08:15 | 21/03/2013 Industry

(VEN) - Following business demands and helping them utilize the advantages of localities, the Industry Promotion and Development Consultancy Center No. 1 (PCI 1) has provided an effective bridge for rural industrial businesses to access industry promotion budgets.

In 2012, PCI 1 carried out 14 industry promotion projects with over VND4.73 billion disbursed in provinces such as Ninh Binh, Nam Dinh, Bac Kan, Lao Cai and Thai Nguyen. The leadership of the Agency for Industrial Promotion (AIP) highly appreciated the effectiveness of projects developed by PCI 1 and said they could be popularized.

Last year, PCI 1 organized vocational training courses on headwear and footwear production for 300 rural workers of Nam Dinh Province. After they attended the training courses, all the workers were tested on their skills, received certificates and have been employed by the Hong Viet Joint Stock Company. Vocational training on mechanical engineering was provided for 300 workers in Nam Dinh and Ninh Binh provinces. All the trained workers have been employed with an average income of VND1.5-2 million per person per month. Training on handicraft design skills was provided for 300 students from craft villages and businesses in Bac Giang, Nam Dinh and Ninh Binh provinces.

A report of the Agency for Industrial Promotion (AIP) under the Ministry of Industry and Trade shows that in 2012, Vietnam's total budget for industry promotion was VND79.63 billion; 248 industry promotion projects were developed, of which 241 projects were carried out by the industry promotion centers of provinces, institutes and training organizations with total expenditure of 67.6 billion; 34 projects were implemented by the AIP, PCI 1 with VND15.1 billion.

In 2012, PCI 1 also assisted the development of eight technical demonstration models with total expenditure of VND1.8 billion in Bac Kan, Thai Nguyen and Ha Nam provinces. The center provided assistance for the Tan Hiep Thanh Production and Trading Company Limited in Hanoi to use modern equipment and machinery in production.

Most technical demonstration models developed with support from PCI 1 are effectively operating. Examples include the artichoke jelly production model in Lao Cai, which has helped Traphaco Sapa make annual profits of VND1 billion; and the concrete block production model which will bring annual net profit of VND2.26 billion to the UDIC Kim Binh Joint Stock Company in Ha Nam Province.

According to the leadership of PCI 1, however, the center has met numerous difficulties in implementing its tasks. The center's operations cover 28 northern provinces and cities with different terrains and cultures while its human resources are limited. The cultural standards of local people and industrial development levels of northern midland and mountainous provinces remain limited, so it is difficult for the center to persuade rural industrial businesses to join in implementing industry promotion policies.

Moreover, complicated administrative procedures remain a big hindrance for industry promotion activities, discouraging rural industrial businesses from taking part in industry promotion projects.

To successfully fulfill their tasks so that industry promotion activities can be a fulcrum for industrial development in rural areas, PCI 1 leaders wished that AIP would quickly put in place legal documents providing guidance for implementing Governmental Decree 45/ND-CP on industry promotion with the aim to simplify administrative procedures in this field and increase the support for businesses which take part in industry promotion projects.

In addition, PCI 1 will carry out surveys to prepare key industry promotion projects based on the advantages of each locality. The center will concentrate on training human resources to serve the needs of rural industrial businesses and create jobs, increase incomes for workers in order to promote sustainable industrial and craft production development. PCI 1 will prepare projects to build technical demonstration models in the fields of wood processing, cotton processing and mechanical engineering in provinces which are located in the Red River Delta. The center will coordinate with localities in the region to carry out surveys and prepare industry promotion projects aimed at promoting cleaner production in rural areas./.

By Viet Nga

Theo ven.vn