Investment conditions reduced in the agricultural sector

In order to facilitate and encourage investment and business in the agricultural sector, on 17 September 2018, the Government issued Decree No. 123/2018/ND-CP amending and supplementing a number of Decrees regulating investment and business conditions in the field of agriculture (“Decree 123”).

As of the effective date of Decree 123, factories and warehouses for preserving pesticides must be located in industrial zones. The factories and warehouses for preserving pesticides planted outside industrial parks before the effective date of Decree 123 are still maintained but must comply with environmental legislation.

In addition, Decree 123 permits the advertisement of animal feeds without having to be confirmed by the competent State authority of the contents of the advertisement; at the same time, many business conditions are reduced in the following areas:

a. Business conditions for plant protection and quarantine; plan breeders; raising of common forest animals; breed; mariculture ; food;

b. Business conditions relating to the veterinary sector;

c. Business conditions relating to animal breed and mariculture; and

d. Business conditions relating to genetically modified organisms, genetic specimens and products of genetically modified organisms.

Decree 123 took effect on 17 September 2018. Under Decree 123, Circular No. 48/2015/TT-BNNPTNT of the Ministry of Agriculture and Rural Development dated 16 December 2015 providing detailed guidance on conditions for plant protection services is abolished.