Deal #3378

Location #1

Spatial accuracy level
Administrative region
Location
Quảng Ninh, Vietnam

Target country
Vietnam
Comment on location
at 37 communes of 7 districts and towns in Quang Ninh province (including Hoanh Bo, Ba Che, Binh Lieu, Tien Yen, Dam Ha, Hai Ha, Mong Cai town)

Land area

Size under contract (leased or purchased area, in ha)
[2010] 100000
Size in operation (production, in ha)
[2015] 1700
Comment on land area
This is just one of 6 concessions of the company in Vietnam. Altogether the concessions of the company amount to 349,000 ha.

Intention of investment

Intention of the investment
Timber plantation (for wood and fibre)
Comment on intention of investment
Objectives and scope of Project in the Investment License: Plantation of high quality industrial material forests

Nature of the deal

Nature of the deal
Lease

Negotiation status

Negotiation status
[2006] Concluded (Contract signed)
Comment on negotiation status
Investment License: No 221.043.000.082, issued on December 14th, 2006. Amended Investment License No 22.122.000.086 dated April 18th, 2007.

Implementation status

Implementation status
[2006] In operation (production)
[2015] In operation (production)
Comment on implementation status
Part of the project has been temporarily abandoned/halted, since parts of the concession are located in areas that are “sensitive to the national security and defense” , but there are still 1700 hecta in operation (http://www.vir.com.vn/forest-projects-facing-the-axe.html).

Contract #1

Duration of the agreement (in years)
50

Number of domestic jobs created

Jobs created (domestic)
Yes
Comment on jobs created (domestic)
Initially, it hired local people to look after this plantation, but many of them have quit because the pay is low and the work is hard. Mr. Vi said InnovGreen paid only 70,000 dong (US$ 4) per day but workers had to cut down trees, carry fertilizer bags and transport seedlings to hill peaks. Local people don’t accept such hard work for such low payment.

Operating company

Operating company

 

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Data source #1

Data source type
Company sources
File
Date
2013-01-01

Data source #2

Data source type
Media report
File
Date
2010-04-10

Data source #3

Data source type
Company sources
File
Date
2010-01-01

Data source #4

Data source type
Media report
File
Date
2010-12-28

Data source #5

Data source type
Media report
File
Date
2015-03-15
Comment on data source
According to Vietnamese source, the project is still allowed to continue with the total area of 1700 hecta and under strict supervision of the provincial government.

How did the community react?

Community reaction
Rejection
Comment on community reaction
All the 17 families in Ban Danh village depend on the forest. Says Mr. Pun Tai, 65 year of age: ‘Thanks to the forest I can earn some money from chopping down reeds and drying them to sell. If foreigners cut down all bamboos and reeds to grow eucalyptus, how can we make a living then? We have been living from the forest for a long time and we cannot give it to them (foreigners)’. Ban Danh villagers also worry that they may lose their only pasture land.

Promised benefits for local communities

Comment on promised benefits for local communities
Leasing forest in Ha Lau commune, InnovGreen promised to build roads and create jobs for local people, but until now the ten kilometer road to Ban Danh village is still a rough dirt road.

Former land owner (not by constitution)

Former land owner
State
Community

Former land use

Former land use
Pastoralism
Forestry

Former land cover

Former land cover
Cropland
Forest land

Detailed crop, animal and mineral information

Crops area
Accacia, Eucalyptus, Trees (unspecified)

In country processing of produce

In country processing of produce
Yes

Aug. 12, 2016, 7:56 p.m.

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Aug. 8, 2016, 10:01 p.m.

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Aug. 8, 2016, 2:21 p.m.

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April 1, 2015, 5:06 p.m.

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April 1, 2015, 1:27 p.m.

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April 1, 2015, 1:24 p.m.

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March 27, 2015, 7:03 p.m.

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June 10, 2013, 7:52 p.m.

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March 12, 2013, 1:43 p.m.

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