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Friday, October 29, 2021

Firms, associations seek Govt’s help to overcome difficulties triggered by Covid-19

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HCMC – Enterprises and associations, at a teleconference with the prime minister on August 8, made multiple proposals to remove their difficulties so as to resume production during the pandemic, stressing the need to accelerate the Covid-19 vaccination for laborers.

They expected the Government to issue consistent and effective policies to prevent the supply chain disruption, the local media reported.

Most of enterprises agreed that the key solution is to quickly vaccinate laborers in the production and transport sectors and supply chains as the vaccination cost is much lower than their losses if they go bankrupt.

Vu Duc Giang, chairman of the Vietnam Textile and Apparel Association (VITAS), said the raging pandemic in HCMC and other southern localities had forced many textile and garment enterprises to suspend operation. Those applying the stay-at-work mode are at risk of failing to complete orders.

To concurrently maintain production activities and fight the pandemic, ensure laborers’ income and limit the supply chain disruption, the Government and the Ministry of Health should prioritize vaccines for laborers in factories and industrial parks, drivers and shippers, Giang noted.

He added that enterprises were willing to make contributions to the purchase of vaccine and accelerate the vaccination drive.

According to Nguyen Cong Hung, vice chairman of the Vietnam Automobile Transportation Association, the cargo circulation has been disrupted in many areas due to a high number of checkpoints, reducing the effectiveness of transport activities and increasing the coronavirus infection risk for drivers.

Hung said localities should make it easy for the transport of goods and conform to the common regulations.

Dao Trong Khoan, vice chairman of the Vietnam Logistics Business Association, said that the Government needs to remove obstacles facing the transport of goods and materials for production and import-export.

In addition, the application of policies that will raise the logistics fees should be delayed to reduce pressure on enterprises, such as the seaport fee in HCMC which is set to be applied from October 1.

VITAS Chairman Giang shared the view, adding that the regulation on QR codes for vehicles transporting essential products should be eliminated nationwide. Instead, the Government should allow the transport of cargo as normal provided that enterprises meet anti-pandemic regulations, except for products banned or limited from being traded.

Enterprises also proposed the Government minimize taxes and fees and allow enterprises to operate based on their safety levels.

Moreover, enterprises in localities which have gone 14-24 days without new Covid-19 cases should be allowed to reopen to regain the confidence of partners. Enterprises will take responsibility for their production mode.

Do Thi Thuy Huong, a member of the executive board of the Vietnam Electronic Industries Association, said taxes and fees were a burden for enterprises during the pandemic. The association suggested halving the value added, corporate income and import taxes for enterprises and the personal income tax for laborers.

The association also proposed delaying the payment deadlines of other taxes by six to 12 months, halving land rentals for 2020 and 2021 and reducing the lending rates by 30%.

Additionally, the Government should direct the local authorities and medical agencies nationwide to work out a common pandemic prevention process so that enterprises can quickly isolate Covid-19 cases from their factories to maintain production activities.

Meanwhile, Vietjet CEO Nguyen Thi Phuong Thao proposed the Government support airlines by offering preferential loan packages.

In addition, apps should be synchronized so that all residents and foreign visitors will have their QR codes to declare their health conditions and vaccination.

At the teleconference, Prime Minister Pham Minh Chinh affirmed that the Government, ministries and agencies had striven to create the most favorable conditions for enterprises to maintain, recover and develop their production.

The Government always accompanies and supports enterprises, the Government leader added.

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