On August 18, information from the People's Committee of Lao Cai province said that from August 22, many policies to support the development of medicinal herbs in the area will officially take effect.
Notably, pharmaceutical processing facilities can be supported with a maximum of 10 billion VND/project.
According to Resolution No. 24 issued by the Lao Cai Provincial People's Council of the 16th term on August 11, new policies are aimed at encouraging the formation of concentrated raw material areas, improving product quality and strengthening links between production, preservation, processing, and consumption of medicinal materials.

Subjects eligible for policies include businesses, cooperatives, cooperative groups, households, individuals, and forest owners participating in developing medicinal material production.
In which, medicinal material seed production facilities are supported with a maximum of 50% of the investment costs for infrastructure construction and equipment purchase, with a maximum level of 2 billion VND/project.
For concentrated medicinal herb cultivation, precious and rare medicinal herb groups are supported with a maximum of 1 billion VND/ha; ordinary medicinal herb groups are supported with a maximum of 100 million VND/ha.
Support funds focus on seeds, organic fertilizers, biological products, irrigation systems, environmental sensor equipment, greenhouses, and net houses for new planting areas.
The province also supports the development of medicinal herbs in forests, in which the cost of building a plan for raising, planting, developing, and harvesting medicinal plants is supported with a maximum of 400,000 VND/ha.

In case of new planting of precious and rare medicinal herbs in the forest, a maximum support of 500 million VND/ha is provided.
For raw material areas meeting GACP Vietnam or GACP-WHO standards, the province supports 100% of consulting, evaluation, and certificate issuance costs, up to 200 million VND/project, plan. The issuance of planting area codes is supported with a maximum of 100 million VND/code.
Notably, pharmaceutical preservation facilities are supported with a maximum of 50% of the cost of buying new machinery, production lines, and equipment, not exceeding 2 billion VND/project. The facility must have a minimum warehouse area of 200 m2 and a minimum volume of 600 m3.
For pharmaceutical processing facilities, eligible enterprises and cooperatives are supported with a maximum of 50% of the investment costs of machinery, production lines, and equipment, with a maximum support level of 10 billion VND/project.
To enjoy this policy, pharmaceutical processing facilities using medicinal materials or medicinal ingredients must meet and maintain the Good Manufacturing Practices (GMP) standards; minimum designed capacity of 3 tons of raw materials/day.
Machinery and equipment supported must have dossiers proving legal origin and origin.

According to the resolution, support is provided conditionally, through projects, production plans and post-investment methods, based on the completed workload accepted and certified by functional agencies.
The types of medicinal plants supported must be on the list issued by the Chairman of the Provincial People's Committee. Each support content is only implemented once for one subject.
In case the supported subject violates the commitment to maintain the supported content as prescribed, 100% of the received funds must be returned to the state budget.
