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No proof to apply trade defence on fertiliser imports- VN Competition Authority

时间:2024-03-28 22:42:44  来源:http://computergk.com  阅读:

No proof to apply trade defence on fertiliser imports: VN Competition Authority

Production line at Hà Bắc Nitrogenous Fertiliser Plant. Hà Bắc and Ninh Bình fertiliser plant have faced losses due to difficulties in production but not imports. - Photo vneconomy.vn

HÀ NỘI – There’s no evidence showing that fertiliser imports have damaged local fertilser products to apply trade defence measures for the imports, according to a report by the Việt Nam Competition Authority (VCA) under the Ministry of Industry and Trade.

According to the report sent to the ministry, the authority said two nitrogenous fertiliser production enterprises in Việt Nam, Hà Bắc and Ninh Bình, faced many difficulties due to an increase in coal price over the past months.

Việt Nam has four plants producing nitrogenous fertiliser, including two plants producing fertiliser from gas -- Phú Mỹ and Cà Mau -- with an annual capacity of  八00,000 tonnes each. The two remaining plants, Hà Bắc and Ninh Bình, use technology producing fertiliser from coal, with an annual capacity of  四 八0,000 tonnes and  五 六0,000 tonnes, respectively.

The authority said Phú Mỹ and Cà Mau had still earned profit because their selling price at VNĐ 五, 六00 per kilo is higher than production cost at VNĐ 四, 五00- 四, 八00 per kilo.

No proof to apply trade defence on fertiliser imports- VN Competition Authority

Meanwhile, the production cost is at a higher level of VNĐ 一0,000 per kilo for the Ninh Bình fertiliser plant and VNĐ 七, 六00 per kilo for the Hà Bắc plant. Therefore, the two plants’ products were unable to compete with imported fertiliser products.

Ninh Bình plant has been forced to suspend its production while Hà Bắc plant has also temporarily stopped production since August  二0 一 六 due to high inventory and annual output reaching just half of the capacity.

No proof to apply trade defence on fertiliser imports- VN Competition Authority

The VCA said the two enterprises producing fertiliser from coal had incurred losses because they were using outdated technology, while the global trend was the production of fertiliser from gas. Additionally, the two plants were buying coal at a higher price against the global price, reported.

Therefore, there was not enough proof to conclude that the main reason they were facing difficulties currently was because of imports.

The fertiliser plants themselves have said the primary reasons for difficulties included the unreasonable value added tax policy and the higher purchase price of coal against the world coal price. – VNS

No proof to apply trade defence on fertiliser imports- VN Competition Authority

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