Approval of investment policy for a project to plant large-timber forests, combined with growing medicinal herbs

Medicinal herbs cultivated under the forest canopy (illustrative photo: Lien Minh xanh)

Accordingly, the project will focus on developing large-timber forests in a sustainable direction, enhancing the economic value of the forestry sector while cultivating medicinal herbs under the forest canopy in a professional and modern manner, creating a high-quality raw material area to serve the traditional medicine and health supplement industries.

The project is expected to contribute to reducing greenhouse gas emissions, protecting and developing forests, conserving soil resources, regulating water sources, preventing erosion, mitigating the impacts of natural disasters, responding to climate change, promoting green growth, and gradually accessing the carbon credit market, while also creating jobs and improving the incomes of local residents.

The project covers a land area of approximately 60.55 hectares, with total investment capital estimated at around 27 billion VND. It will be implemented in the Compartment 7, Sub-area 126, Binh Dien Commune, Hue City, and the investor will be selected through a bidding process in accordance with the law. The selected investor must ensure sufficient financial resources to implement the project once the investor-selection result is approved.

Once implementing the project, the investor will receive many incentives related to the sectors and localities with especially difficult socio-economic conditions, including a 15-year exemption from land lease fees, as well as other investment and tax incentive policies as stipulated by law.