DECISION

APPROVING THE SCHEME ON REORGANIZING AND RESTRUCTURING THE CIGARETTE INDUSTRY

THE PRIME MINISTER

Pursuant to the Law on Organization of the Government of December 25, 2001;
Pursuant to the Governments Decree No. 76/2001/ND-CP of October 22, 2001 on cigarette production and trading activities;
At the proposals of the Ministry of Industry in Report No. 773/CV-KHDT of March 6, 2002 and Official Dispatch No. 3971/CV-KHDT of October 9, 2002, and comments of the Ministry of Finance, the Ministry of Planning and Investment, the Ministry of the Interior, and the People�s Committees of Ho Chi Minh and Hai Phong cities, and Phu Yen, Ben Tre, Binh Duong, Khanh Hoa and Dong Nai provinces,

DECIDES:

Article 1.- To approve the scheme on reorganizing and restructuring the cigarette industry according to the provisions in the Government�s Decree No. 76/2001/ND-CP of October 22, 2001 on cigarette production and trading activities as follows:

1. To assign the Managing Board of Vietnam National Tobacco Corporation to continue reorganizing the Corporation�s State enterprises according to the Government�s Decree No. 76/2001/ND-CP of October 22, 2001 and relevant provisions.

2. To assign the People�s Committees of Ho Chi Minh and Hai Phong cities, and Khanh Hoa, Dong Nai and Binh Duong provinces to directly manage the cigarette-producing enterprises according to the provisions of the Government�s Decree No. 76/2001/ND-CP and relevant provisions, including:

- Khanh Viet Corporation (Khanh Hoa province).

- Ben Thanh Tobacco Company (Ho Chi Minh city).

- The July 27 Company (Ho Chi Minh city).

- Dong Nai Tobacco Company (Dong Nai province).

- Binh Duong Tobacco and Import-Export Company (Binh Duong province).

- Hai Phong Tobacco Company (Hai Phong city).

3. To assign the People�s Committee of Ben Tre province to coordinate with the concerned ministries and branches in elaborating the plan on transferring Ben Tre Tobacco Plant to Vietnam National Tobacco Corporation in 2004.

4. The Ministry of Trade shall direct the termination of the production of cigarettes by Sundries Trading Company No. II as from January 1, 2003.

5. To assign the People�s Committees of Nghe An and Phu Yen provinces to coordinate with the Ministry of Industry and the concerned ministries and branches in ceasing the production of cigarettes as from January 1, 2003 by the following enterprises:

- Nghe An Tobacco Plant (Nghe An province).

- Tuy Hoa Trade and Tobacco-Processing Joint-Stock Company (Phu Yen province).

And at the same time to continue reorganizing these enterprises according to the current regulations.

6. The Ministry of Planning and Investment shall coordinate with the People�s Committee of Can Tho province in inspecting the license observance by Can Tho VINASA Tobacco Production Joint-Venture according to the provisions of the Law on Foreign Investment in Vietnam, the license shall be withdrawn if it is not strictly complied with.

Article 2.- This Decision takes implementation effect after is signing.

The Ministers of Finance, Planning and Investment, Industry, and Trade; the presidents of the People�s Committees of Ho Chi Minh and Hai Phong cities, and Can Tho, Da Nang, Nghe An, Thua Thien-Hue, Khanh Hoa, Phu Yen, Dong Nai, Binh Duong and Ben Tre provinces, and the Chairman of the Managing Board of Vietnam National Tobacco Corporation shall have to implement this Decision.