Chương 2 Nghị định 170/2004/NĐ-CP: Sắp xếp nông trường quốc doanh

Chapter II

ARRANGEMENT OF STATE-OWNED FARMS

Article 4.- Transformation of State-owned farms

1. State-owned farms which perform the production and business task of specializing in the cultivation of perennial trees, have relatively adequate infrastructure, do business at a profit or are self-financed shall be further consolidated to raise their efficiency on the basis of investing in the intensive cultivation of tree gardens already planted as well as in the renovation, upgrading and expansion of existing processing establishments or the building of new ones along the direction of mobilizing organizations and individuals inside and outside the farms to buy shares; shall only expand new cultivated areas under truly efficient projects. Their unused or inefficiently used land areas shall be recovered by local administrations for use according to the provisions of land legislation.

2. Farms which are tasked to produce, and trade in, annual trees and rear animals and have assigned these jobs to laborers under stable and long-term contracts; form large-scale, concentrated goods production zones, supply raw materials for processing and agricultural goods for export, do business at a profit or are self-financed shall be further consolidated, re-organize their production, act as key suppliers of plant and animal seeds, build models of application and transfer of technical advances, development of processing and purchase of farm products for local farmers.

3. Farms which produce annual trees and rear animals, have no processing establishments, conduct inefficient production and business activities, and have contracted their land to workers for use at their disposal shall retain only part of their land areas for seed production and trading, build models of application and transfer of technical advances to local farmers; the remaining land areas shall be recovered by local administrations according to the provisions of land legislation for assignment or lease to organizations and individuals for use for other purposes with higher efficiency.

4. Farms which are poorly managed, do business at a loss for three consecutive years or have their existing incomes coming mainly from the lease of land shall be dissolved.

5. Farms shall be retained or established in deep-lying, remote, border areas and islands where large numbers of ethnic minority people are inhabited and there are needs to serve sedentarization, security and defense. These farms shall manage only an appropriate portion of land for seed production, building of models of application and transfer of techniques and construction of processing establishments to serve local people; closely combine socio-economic development tasks with security and defense ones.

Article 5.- Operation mechanism of State-owned farms

1. State-owned farms with 100% State capital and operating under the State Enterprise Law, after being transformed into joint-stock companies, shall operate under the Enterprise Law.

2. For State-owned farms performing public-utility tasks, their products and/or services shall be produced/provided under orders placed or plans assigned by the State or bid at the prices or charges prescribed by the State.

3. State-owned farms which conduct production and business activities while still having to perform the social, security and defense function in deep-lying, remote or border areas, strategic defense areas or areas with extremely difficult socio-economic conditions shall enjoy appropriate policies prescribed by the Prime Minister.