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Government projects should use domestic materials: Industries
Government-funded projects should use locally-made materials and equipment to help domestic producers, many of whom are struggling, newswire VietnamNet quoted some industry associations as saying.
In a joint note to Prime Minister Nguyen Tan Dung recently, the Association of Mechanical Industries, the Building Ceramic Association, the Glass Association and the Steel Association asked the government to reduce value-added tax on a series of goods in the four sectors.
They also sought preferential treatment for local contractors in government-backed projects, according to the newswire.
Foreign investors seeking to bid should have to enter into a joint venture with local companies or bid as subcontractors, the associations suggested, adding local enterprises should head the joint ventures.
Earlier, the Ministry of Industry and Trade said while the local machinery industry makes “competitive products,” many power and cement projects use only imported equipment as their foreign contractors prefer imports.
The ministry said Tuesday the government should approve a Vietnam Coal and Minerals Group proposal to implement EPC (engineering-procurement-construction) tendering packages – to supply coal and other materials – for some coal-fired power plants, and cement and fertilizer projects.
Thanh Nien
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