A view of the Tan Rai bauxite mining project in Lam Dong Province.

Vietnamese workers will form the main labor force for a bauxite project underway in the Central Highlands and foreigners will be employed only for specialized training, the government says.

In November 2007, the government had approved a two-project initiative to mine bauxite and extract alumina in the Central Highlands provinces of Lam Dong and Dak Nong through 2015. The projects envisaged being extended through 2025.

The two projects have since evoked concerns that they would take a toll on the environment and social well-being, and undermine national security.

There were also worries expressed by officials and residents that many jobs for Vietnamese workers would be taken by foreign workers after the Chinese Aluminum International Engineering Co. (Chalieco) was contracted to build the alumina extraction plant at the Tan Rai project in Lam Dong Province.

In a recent report sent to the deputies of the NA, the government cited a report by Vietnam Coal and Minerals Industries Group (Vinacomin), the project investor, that a majority of Vietnamese workers would be employed for the Tan Rai project.

Only Vietnamese workers will be hired for bauxite mining and construction of the bauxite-filtering plant under the [Tan Rai] project, the report said.

Regarding the construction of the project’s alumina-extracting plant, Chalieco will be allowed to hire mostly Chinese workers but Vietnamese counterparts are also contributing to part of the construction.

Following its commission, the [alumina-extracting] plant will hire only Vietnamese workers, the report said.

In the initial phase of operating the plant, foreign experts could be hired for a year to train Vietnamese workers, it added.

Around 600 Chinese and 350 Vietnamese workers are working at the [alumina-extracting] plant construction site.

On April 25, the Party Politburo had instructed the government to inspect the economic efficiency and environmental impacts of the Nhan Co project in Dak Nong Province.

The project should only proceed if it is both financially efficient and environmentally sound, the Politburo said.

Break-even point

The government’s report said the two projects would need some 13 years to break even, adding profits would accrue subsequently.

The potential socio-economic benefits for the impoverished region had been taken into account in considering the location of the alumina-extraction plant in the Central Highlands, the report said.

Earlier, several opinions had been expressed that building the plant in coastal areas would be a more rational and beneficial decision.

The construction of the plant in the Central Highlands would create more jobs and boost local industry and services in the region, the report said.

The report also confirmed the red mud left over after the alumina has been extracted from the bauxite ore has no toxic and radioactive element detrimental to the environment.

The Ministry of Natural Resources and Environment will set up task forces to inspect environmental protection measures taken while the two plants in Tan Rai and Nhan Co are being built, the report said.

Source: TN, Agencies