THE PLASTIC INDUSTRY IS STRUGGLING

The Vietnam Plastics Association (VPA) has sent documents to the Prime Minister, ministries, and departments, making many proposals to stabilize production during the pandemic situation, especially in Ho Chi Minh City and southern provinces.

According to Mr. Ho Duc Lam, President of VPA, the plastic industry has more than 3,000 businesses with more than 300,000 employees across the country, of which 70% of businesses operate in Ho Chi Minh City and nearby provinces such as Dong Nai, Binh Duong, Long An, and Tay Ninh. The complicated situation of the Covid-19 pandemic has caused many businesses in the industry to fall into disrepair.

Currently, more than 50% of plastic enterprises have closed down or reduced production because they cannot meet the "3-on-site" requirement or the "2-point in 1 path" requirement. And this inevitably leads to many businesses facing the risk of not fulfilling orders, slow delivery, or canceling orders. It is forecasted that the situation in the last months of this year will be extremely difficult.

Under this situation, VPA has sent a document to the Prime Minister, ministries, and departments proposing to consider supporting the extension of bank loans for businesses in the next 6 months for short-term and long-term loans; further reduce 2%-3% of lending interest rates for businesses that are severely affected by Covid-19.

According to VPA, currently, many businesses are located in lockdown areas, production activities only reach 30% and 50% at their best effort, affecting revenue and cash flow. In addition, VPA also proposes to reduce the annual land tax payable in 2021; allow enterprises to delay the time to pay taxes and social insurance in the next 6 months to compensate for the period when they have to stop production and business in 2021.

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Regarding the safe operation method, VPA recommends not to continue to apply "3-on-site" production, but different forms for different enterprises, especially there should be specific regulations for the employees who are allowed to go to work by personal vehicles; provide specific instructions for businesses when F0 cases appear in the factory so as not to be struggling in handling.

In addition, VPA recommends adding plastic businesses to the priority group for vaccination, besides electronics, textiles, footwear, automobiles, steel, agricultural product processing, food, and accelerated injection. Vaccination should be quickly performed for 3 on-site workers and essential goods-producing businesses, so that from the beginning of September, 100% of their employees receive 2 doses of vaccines and be able to produce under the new normal situation. 

VPA proposes, if businesses detect F0, the workplace would be disinfected according to the guidance of the Ministry of Health. F0 would be put in an isolated area in the factory, to manage according to the same instructions as the form of isolation F0 at home is being applied in Ho Chi Minh City.

If F0 is healthy, they can still work, as long as they do not contact people who have not been infected with the virus. For F1, PCR testing is required immediately and after the next 7 days. The F1s of the same department with F0 still continue to work after 3 days of disinfection and are managed according to the same guidelines as the F1 form of home isolation being applied in Ho Chi Minh City. HCM.

In addition, VPA recommends intervening so that shipping lines do not manipulate prices and fees like over the past 1 year. Besides, it is recommended that shipping lines extend the storage time by the container storage time from 14 to 21 days to avoid incurring costs.

Along with that, VPA proposes to the Ministry of Health to confirm each type of test paper and the validity period of each type. When driving through the provinces, which type should be used for the local implementation; get rid of the regulation on granting QR-Code on "green stream" nationwide.

"We are very tired of the difficulties that have piled up, so it is very necessary to unify to circulate goods smoothly, not to let each province direct the same way as it is now, which greatly hinders businesses"- Mr. Ho Duc Lam commented.

---Source: collected ---

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