Vietnam-Lao Agreement

Agreement for Economic, Cultural, Scientific and Technological Cooperation between the Government of the Socialist Republic of Vietnam and the Government of Lao People’ Democratic Republic signed on January 08, 2009 in Ho Chi Minh City takes effect since January 08, 2009.

AGREEMENT

ON ECONOMIC, CULTURAL, SCIENTIFIC AND TECHNOLOGICAL COOPERATION BETWEEN THE GOVERNMENT OF THE SOCIALIST REPUBLIC OF VIETNAM AND THE GOVERNMENT OF LAO PEOPLE’S DEMOCRATIC REPUBLIC SIGNED IN 2009

Vietnam-Lao Agreement

Being fully aware of the directions by Poliburo of the Communist Party of Vietnam and the Lao People’s Revolutionary Party;

Pursuant to the Agreement for Economic, Cultural, Scientific and Technological Cooperation between the Government of the Socialist Republic of Vietnam and the Government of Lao People’s Democratic Republic in the 2006 – 2010 period signed in Ho Chi Minh City takes effect since January 04, 2006 in the capital city of Vientiane (Laos);

Aiming to continue developing friendly relationship, special consolidation and comprehensive cooperation the Socialist Republic of Vietnam and Lao People’s Democratic Republic;

The Government of the Socialist Republic of Vietnam and the Government of Lao People’s Democratic Republic (hereinafter referred to as “the two parties”) have agreed on contents of the cooperation program as follows:

Article 1. Development cooperation

Pursuant to Article 1, the Agreement for Economic, Cultural, Scientific and Technological Cooperation in the 2006 – 2010 period between the Government of the Socialist Republic of Vietnam and the Government of Lao People’s Democratic Republic signed on January 04, 2006 in the capital city of Vientiane, the Government of the Socialist Republic of Vietnam has set aside a non-refundable aid valued VND 320 billion in 2009 for the Government of Lao People’s Democratic Republic for implementing the contents as stated in Appendix 1 enclosed herewith.

Article 2. Training and enhancement of quality of human resources

1. The two parties shall continue to implement the cooperation and training protocol signed in January 15, 2002.

In 2009, the Government of the Socialist Republic of Vietnam has set aside 650 scholarships for Lao staff and students to attend tertiary and graduate programs and short-term training courses in Vietnam (including national defense and security and 15 Vietnamese Laos);

Prioritize provision of training to political and management staff at tertiary levels; officials based in localities within the Cambodia-Laos-Vietnam Development Triangle area (CLV) and provinces sharing borders with Vietnam; officials from Ministries, sectors and localities who have studied and attended training courses in Vietnam and officials working in cooperation programs and projects between the two parties;

Develop the plan for training Lao staff and students in Vietnam in 2009 as presented in Appendix 2 enclosed herewith;

2. The Government of Lao People’s Democratic Republic have set aside 30 scholarships to long-term fully accredited training programs for Vietnamese officials and students to study types of industry in Laos.

3. The ministries of education and training from the two parties shall continue to take training quality enhancement seriously; reinforce supervision, inspection and management of Lao students toward compliance with study regulations.

4. The two parties continue to upgrade living facilities for staff and students. Continue to delegate Vietnamese teachers to teach Vietnamese language at secondary schools and ethnic minority boarding schools in Lao localities; intensify qualification, techniques and experts for faculties of Vietnamese at Lao National University;

5. The two parties encourage use of personal capital or sponsorships by other organizations, businesses and countries for training programs at various levels.

Article 3. Comprehensive and stable development cooperationin border areas of the two parties

1. The two parties continue to promote projects on investment cooperation for economic development in the border areas to bring about economic benefits, help eliminate hunger, reduce poverty, and make a contribution toward stabilizing and developing border areas of the two parties.

2. The two parties continue their cooperation in developing agreements between leaders of the two parties on programs for cooperation and construction of sub-villages in Laos.

3. The two parties encourage cooperation in establishing and organizing implementation of plans and models of investment cooperation in agricultural and forestry production in border areas, especially cultivation and development of cattle, aquaculture, afforestation for agro-forestry development and sustainable management of natural resources; carry out the planning for socio-economic development along with prioritization of capital sources for the construction of roads linking the two countries; continue consideration and upgrading of the system of checkpoint pairs in accordance with the development of the two countries.

4. Encourage development cooperation among localities in border areas of the two countries, cooperation in the management of borders and prevention of trade frauds, tax evasion, illegal trading and transport of narcotic substances, women and children across borders; cooperate in dealing with issues such as free migration and couples living together without marriage registration;

5. Prioritize cooperation and investment in provinces that are located in remote areas, facing economic difficulties and sharing borders with Vietnam with the aim of handling difficulties and enhancing life quality for the people.

Article 4. Agriculture, forestry, aquaculture, natural resources and environment

The two parties continue to step up programs for cooperation and exchange of experiences in the areas of agriculture, forestry, aquaculture, hydrometeorology, natural resources and environment in various manners, protection of forests associated with settled agriculture, creation of means of livelihood for people living in buffer areas and protection of sustainable environment, especially border areas.

Article 5. Cooperation in culture, sports, tourism, information communication, health and society

1. The two parties continue to reinforce exchange and cooperation in the areas of culture and arts Vietnam shall delegate its experts to help Laos build the program and provide training in the areas of cinematography, arts and music…

2. Vietnam continues to help Laos successfully organize SEA Games 25 held in Laos at the end of 2009; help Laos train athletes in Vietnam; appoint Vietnamese trainers to Laos for training referees and exchanging experience in organization of competitions; give loan of facilities and means serving competitions in SEA Games;  

3. The two parties continue tourism promotion and marketing activities Organize full-package tour programs between the two countries; Facilitate satisfaction of demands for tourism of the people from the two countries and tourists from a third country visiting the two countries by road and air; cooperate with Cambodia in implementing “Three Countries One Destination” Program;

4. The two parties agree to reinforce cooperation in the area of post and telecommunications under the Agreement between the Government of the Socialist Republic of Vietnam and Lao People’s Democratic Republic signed on October 06, 2008.

The two parties agree to reinforce cooperation in the areas of journalism, publishing, radio and TV broadcasting. The two parties shall carry out exchange of journalists to reinforce mutual understanding of socio-economic, cultural, scientific and technological issues for the people from the two countries and other countries in the region.

5. The two parties continue their cooperation in preventing and combating infectious diseases, and implementing the Agreement on Cross-border Medical Quarantine between the two countries.

6. Vietnam is ready to delegate experts for exchange of experiences in cultural and social issues, jobs, hunger eradication, poverty reduction; promote close cooperation in controlling and preventing illegal drug trade across borders.

7. The two parties promote close cooperation in the management of Vietnamese employees in Laos under applicable regulations and at the same time reinforce education about customs and practices of Laos for Vietnamese employees. Laos shall create favorable conditions for Vietnamese employees to reside and work in Laos in accordance with laws of Laos.

8. The two parties continue to reinforce cooperation in seeking, exhuming and returning home remains of Vietnamese martyrs who sacrificed their lives through periods of time in Laos.

Article 6. Commerce, investment, transport, finance, banking and state audit

1. Commerce:

– Continue to coordinate implementation of the project on commercial development between the two countries in the 2008 –  2015 period according to two-way trade targets of US$ 1 billion in 2010 and US$ 2 billion in 2015;

– Give priority and preferential treatment to each other on the basis of established special relationship; continue to implement agreed preferential policies on tariffs on goods originating from the two countries; study and extend the lists of duty-free commodities;

– The two countries sign and implement the Agreement on Goods in Transit between Vietnam and Laos.

The two parties urge relevant ministries and sectors to monitor and supervise the implementation of the Agreement between ministries of industries and trade of the two parties on commodities receiving import and export tax incentives; the Minutes of the 6^th Vietnam – Laos Conference on management of border markets and trading.

– The two parties reinforce exchange of experiences in the areas of the same interest during the international and regional integration, market surveillance tasks; coordinate prevention of illegal trades and tax evasion;

2. Investment

– The two parties coordinate establishment of investment cooperation plan in the coming years, looking for measures to diversify investment resources in appropriate manners as well as measures to expand investment in a variety of areas in each country.

– Coordinate propagation of the Law on Investment of each country in Vietnamese and Lao language; establish preferential policies with the aim of boosting investment from Vietnam to Laos and vice versa; encourage Vietnamese and Lao businesses to establish models of joint-venture enterprises for cooperation and investment; Urge businesses to comply with regulations, practices and relevant law provisions of each country as well as carry out periodical reporting to each country’s relevant agencies;

– Encourage businesses of all economic sectors of each country to invest in the areas of industry, agriculture, processing, energy, electricity, mining, services… in each country; Prioritize projects on creation of jobs associated with hunger eradication and poverty reduction, making a contribution toward stabilizing societies, increasing state budget revenues and export turnover;

Laos shall encourage Vietnam’s investment in production and processing of agro-forestry goods which have advantages of investment incentives and other goods for export; construct infrastructure of Densavan Trade Zone, Savannakhet Province and other checkpoint areas; construct Vietnamese shopping malls in Laos and Lao shopping malls in Vietnam, Vietnamese trade urban areas in Vientiane capital, Luangprabang, Savannakhet.

– The two parties shall establish preferential policies in accordance with regulations of WTO as the basis for the establishment of processing and exporting zones, open economic zones and economic zones, especially along the roads linking two countries.

– The two parties shall encourage young businesses from the two countries to cooperate in investment, assist each other in strengthening capacity; encourage businesses to set up funds for supporting human resource development and construction of infrastructure in localities.

– Energy, electricity:

The two parties continue to encourage sale and purchase of electricity along the two countries’ borders; step up construction of Xekaman 1 and Xekaman 3 Hydropower Projects and other PDA projects in accordance with progress; facilitate the development of Luangprabang hydropower project, projects under consideration for signing MOU; Urge Viet – Laos power joint-stock company to carry out a survey and design the 115KV line from Xekaman 1 hydropower project to 115 KV station in Attapeu; urge EVN, EdL to take prompt action for the construction of 500KV line from Attapeu Province (Laos) to Pleiku, Gia Lai Province (Vietnam) under agreements by the two parties.

– Search, survey, exploitation and processing of minerals:

The two parties agree to urge Vietnamese businesses to implement signed contracts for search, survey, exploitation and processing of minerals and continue to facilitate such activities in the territory of Laos meeting each country’s targets for economic growth; encourage businesses from the two countries to cooperate investment in processing and enhancing value of minerals with the aim of creating more jobs, making a contribution toward eradicating hunger, reducing poverty and stabilizing societies and national security.

– Agriculture and forestry

The two parties facilitate attracting investment from economic sectors that produce export commodities of advantages in terms of investment incentives; encourage Vietnamese enterprises to invest in the production of potential agro-forestry products including cultivation of industrial trees in the areas under the planning for national land distribution and the planning for sustainable agricultural production zones with the aim of forming zones of raw materials serving processing and husbandry; the two parties shall continue to cooperate in the protection of forests and seek measures to prevent deforestation making a contribution toward the stabilization of eco-system. Laos shall continue to create conditions for Vietnamese businesses to invest in agricultural production in “3+2″ manner in the areas where possible.

3. Transport

– The two parties accelerate development of the next steps to carry out inspection of goods and transport vehicles in the “single-window and one stop” manner at Lao Bao – Densavan International Checkpoint in accordance with GMS Agreement.  Laos shall speed up investment and construction progress, renovation of working locations, inspection vehicles, communication system and other infrastructures meeting demands of these inspection manners.

– Assign transport sectors to exchange plans for using Vung Ang Port effectively on the basis of the Agreement on Using Vung Ang Port signed on July 20, 2001; continue to facilitate implementation of projects on cooperation in air and road transport between the two countries;

– The two parties shall cooperate to make amendments to the Agreement and Protocol on road transport and relevant information in accordance with Hanoi Agreement 2007 and Documents signed within Greater Mekong Sub-region Cooperation Program.

4. Finance, banking and state audit:

The two parties continue to cooperation in exchange of experience, providing training for staff working in the areas of finance, securities and state audit;

Article 7. Implementation and management of sponsorship programs and projects

1. The two parties agree to coordinate regular inspection of the implementation of cooperation projects between the two countries.

2. In 2009, the two parties agree:

– Complete hand-over and finalize the projects on supplementation and completion of Bo Keo Vocational School and Dongkhamxang Finance College;

– Projects with capital plan recorded in 2008 and implemented in 2000: (i) Repairs and upgrades of Kaysone Phomvihane Museum (ii) Radio and TV broadcasting stations in Champasack (iii) Radio and TV broadcasting stations in Luangprabang Province (iv) National School of Arts and Music of Laos (v) construction of joint control station at the Phoukeua international border checkpoint in Attapeu Province.

– Continue to implement the projects: (i) translation of classics authored by Marx and Angels, Lenin and Ho Chi Minh from Vietnamese into Lao language (ii) Increase and upgrade Vietnam – Laos border marker system (iii) Compilation of historical documents regarding traditional relationship and consolidation between Vietnam and Laos (iv) construction of Saysetha Park and Pha That Luang Square (v) establishment of Vietnam – Laos Cooperation Strategy in the 2011 – 2020 period associated with the establishment of development plan to the year 2020 of each country (vi) Lao National Archives Department (vii) Laos – Viet Friendship High School (viii) Restoration of Lao Military Printing Factory (ix) Planning industrial tree zones in Southern Laos (x) Criminal Science Center under Laos Ministry of Public Security (xi) National Sports Training Center of Laos;

– Prepare new projects: (i) strategy for development of Lao agriculture and rural agriculture (ii) supports for development of rural agriculture and production of goods in sub-villages within the area irrigated by Dongphosy and Thapha Nongpong irrigation systems (iii) construction of Lao National Politics and Administration Institute – Phase II (iv) Enhancement of capacity of Lao Justice Sector (v) Secondary Ethnic Minority Boarding School in Huaphan Province (vi) construction of the master plan for enhancement of capacity of state administration on Lao post and telecommunications;

Article 8. Implementation of agreements

– The two parties agree to develop, speed up, inspect and make regular reports on the implementation of the signed agreements.

– Vietnam continues to supply electricity to Laos in the areas along Vietnam – Laos borderlines under the signed contracts and study sale of electricity to other areas at the request of Laos.

– Coordinate making supplements and amendments to “Agreement on financial regulations and management of projects using Vietnamese non-refundable aids for Laos signed on January 15, 2002” in accordance with applicable mechanism and policies of each country;

– The two parties cooperate in the implementation of commitments as agreed in the cooperation programs within the framework of ASEAN, GMS, ACEMECS, CLV, CLV+J, CLMV, East-West Economic Corridor (EWEC)…to development and cooperation targets of the two countries; the two parties shall further close cooperation with other relevant countries in the implementation of 1995 Mekong Agreement for the sustainable development and management of natural resources of water in the Mekong River Basin.

– The two parties continue to study and propose mechanism and policies on making amendments and supplements appropriate to relationship and situation of each country, and effectively implement Hanoi Agreement in 2007;

Article 9. Implementary provisions

This Agreement takes effect from the signing date until the next agreement is signed. During the implementation, this Agreement may be supplemented and amended under written agreement between the two countries. Appendices enclosed herewith are an integral part of the Agreement.

Done in duplicate at Ho Chi Minh City on January 08, 2009, each in the Vietnamese and Lao language.