The Ministry of Industry and Trade (MoIT) proposed removing two plants from the list of 12 enterprises punished for low effectiveness and progress.— Photo https://vietnamfinance.vn

HÀ NỘI — The Ministry of Industry and Trade (MoIT) proposed removing two plants from the list of 12 enterprises punished for low effectiveness and progress.

The proposal was put forward at a conference held in Hà Nội yesterday afternoon. The conference was chaired by Deputy Prime Minister Vương Đình Huệ.

The two plants are the DAP Fertiliser Plant No 1 in the northern port city of Hải Phòng and the Việt-Trung Iron and Steel Plant in Thái Nguyên northern province.

Deputy Minister of Industry and Trade Hoàng Quốc Vượng said that the two plants had had incredibly effective work results and gained profits.

A report by the MoIT shows that after one year of punishment and supervision, all 12 enterprises and projects gained better results.

The enterprises have stable work and contributed to stabilising the economy in the area.

Earlier, six plants suffered losses. Now two of them are profitable, including the DAP Fertiliser Plant No 1 with VNĐ146.8 trillion (US$6.3 billion) of profits in the period 2017-18 and the Việt-Trung Iron and Steel Plant with VNĐ686 billion ($29.8 million).

The four remaining plants have gradually improved from their losses. Typically, the Hà Bắc Nitrogenous Fertiliser and Chemicals Co Ltd now have recorded losses of VNĐ203 billion ($8.8 million) this year, a decrease by VNĐ210 billion ($9.1 million) compared with the same period last year.

Three out of the 12 plants were temporarily suspended from working because unsold products had piled up. Now the Đình Vũ Polyester Plant has resumed its work at three workshops since April 20 this year, while the two others have already prepared plans for re-starting their work.

Deputy Minister Vượng also added that three plants had been punished for their uncompleted construction work. Now they are still having difficulties related to contract disputes.

The MoIT’s report also said that punishment for the 12 plants was conducted based on present law. — VNS