Quang Ngai Industry Extends Growth Momentum

Standing steadfast during the COVID-19 pandemic outbreak and making rapid post-pandemic recovery and development, Quang Ngai industry has played a very important role in local economic growth and budget revenue, become a major exporter, and created jobs for many workers.

National Assembly Vice Chairman Tran Quang Phuong pays a working visit to Vinasoy Quang Ngai’s factory

The industry of Quang Ngai province achieved impressive results in 2022 when the industrial and construction value accounted for over 43.6% of the gross regional domestic product (GRDP). Industrial production value was estimated at VND128,679.9 billion, up 6.5% year on year and 0.3% higher than the yearly plan. Particularly, steel output reached 5.5 million tons and petrochemical output amounted to 6.9 million tons.

A number of key industrial products grew quite well: Confectionery (12 million tons, fulfilling 100% of the target), mineral water (120 million liters, 100%), manioc starch (55,000 tons, 100%), beer (230 million liters, 135.3%), electricity (1,860 million kWh, 128.3%), and leather footwear (15 million pairs, 111%).

In addition, Dung Quat Economic Zone and industrial zones continued to be invested for development to house many more manufacturing projects and create jobs for more workers. Dung Quat Economic Zone and Quang Ngai industrial parks now have 343 valid projects with a total registered investment capital of VND364,615 billion (US$16.7 billion), including 55 foreign direct investment (FDI) projects with US$1.82 billion and 288 domestic direct investment (DDI) projects with VND324,209 billion. Up to now, 249 projects have been put into operation and employed 69,000 workers. 15 industrial zones are housing 104 operational projects which are employing nearly 4,000 workers. Their occupancy rate is 67%.

According to the Quang Ngai Department of Industry and Trade, in 2023, the two key industrial products - petrochemical and steel - are likely to decline sharply. However, by the end of January 2023, the province's industry had shown signs of growth, with the Industrial Production Index rising 4.53% year on year in the month. Some key industrial products continued to grow well, including petroleum and petrochemicals (up 6.6%), beer (27%), processed seafood (9.7%), garment (22.5%), chemical fertilizers (17.6%), and electricity (3.3%).

In order to realize industrial development goals in 2023, Quang Ngai is focusing on fostering industrial development by increasing the share of high-tech industries and growing supporting industries for local advantages. The province will review, promptly amend, supplement and develop mechanisms and policies for industrial development according to the resolution of the Provincial Party Committee on mobilizing and effectively using resources for stronger industrial development.

Moreover, the province will effectively implement the Project on Quang Ngai Industrial Restructuring to 2030, with a vision to 2045 and the Project on Quang Ngai Supporting Industry Development to 2025, with a vision to 2030, coupled with digital transformation to create breakthroughs and new growth engines. At the same time, Quang Ngai will reduce the share of preliminarily processed, processed and assembled industrial products, and increase the localization rate of some key industrial products. The province will develop food processing, wood processing, leather and footwear, textile and garment and mechanical engineering. It will attract projects that make high value-added products and use modern technologies to Dung Quat Economic Zone and industrial parks in the locality.

In addition, Quang Ngai province will continue to support construction investors, complete and operate hydroelectric projects, accelerate infrastructure projects in Dung Quat Industrial Urban Area, Binh Hoa - Binh Phuoc Light Industrial Park, VSIP 2 Industrial - Urban - Service Park, Dung Quat Refinery and Hoa Phat Dung Quat 2 Iron and Steel Production Complex.

Source:  Vietnam Business Forum