Vietnam feasibility study - EITI

capital investment and usually process raw materials, while the national scale companies exploit
various kinds of minerals with a high capital investment. Examples of these latter companies
are the Vietnam National Chemical Group (Vinachem); Vietnam Cement Industry Corporation
(Vinacem); Vietnam Oil and Gas Group (Petrovietnam); and Vietnam National Coal - Mineral
Industries Group (Vinacomin). Vinacomin produces about 43 million tons of coal per year and has
an annual average total sale of 57,000 1 billion VND (2.98 billion USD) (Xa Luan, 2009).
• The private owned enterprise: this group includes the limited and joint venture companies that
operate mainly in exploiting and processing building materials and in recollecting metal minerals
on a small scale. This group has a high number of companies, though their technological and
financial capacity is often limited. Recently, some private companies are able to explore and
exploit some mines at a medium scale.
• The foreign invested enterprises mostly operate in the exploiting and processing minerals for the
cement industry, such as Nghi Son, Chinfon, Lask Vietnam cement company; in exploiting ashlars
paving stone, such as Latina An Giang, Yabashi, Carbonate Calcium YBB Joint Stock company; and
in extracting mineral water, such as Lavie (Le, 2008).
• Collective, individual and household enterprise: this group often operates in exploiting and
processing normal building minerals, such as stone and sand on a tiny scale and is usually only
able to serve local demand.
the role of local communities
Mining activities cause huge negative impacts on the environment in mining areas. It is difficult to rehabilitate
the environment. Obviously, the local people are daily impacted by and suffer from these mining activities.
Natural resources with a variety of high trade value in the market inspire people and organizations inside
and outside the mining area to exploit in all forms, both secretly and openly, both legal and illegal. A lot of
pressure is placed on natural resources from many sides, especially local communities.
According to the law, the role of local communities is indispensable in mining activities. They are the
people who live near the natural resources. They have the track conditions and indigenous knowledge.
Benefits from natural resources are really sticking directly and regularly with local communities so
that they will be often forces to protect, preserve and promote. Local communities are ears and eyes
as well as the core force of government in all activities, as well as contribute to the development of
sustainable resources.
the role of social organizations
Currently, the organizations led by the Fatherland Front (Farmers Association, Women Union, Youth
Union, Veterans Association), civil society organizations, non-governmental organizations and some
other organizations are playing an increasingly important role in the protection and development
of natural resources. These organizations through consultation and support of the authorities have
gradually shown their power in protecting natural resources. These organizations support law
enforcement to people and reflect the aspirations of people to the authorities. In addition, these
organizations have the role of social communication to raise awareness about environmental
protection for people in and outside of the mining areas. These organizations also play a critical role in
natural resource monitoring and evaluation through daily activities.
*1: 1US$ is equal to 19,100 VND (exchange rate in January, 2010).
The Extractive Industries Transparency Initiative and the Implementation Perspective of Vietnam
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