Marching with the province's economy, the industry and trade sector of Binh Phuoc province has constantly grown to make important contributions to socioeconomic development. In particular, the sector has consistently implemented solutions to attract investment and promote industrial, trade, service, import and export growth. Vietnam Business Forum has an interview with Mr. Vu Ngoc Long, Director of the Binh Phuoc Department of Industry and Trade.
Binh Phuoc province’s delegation paid a working visit to GMP Pharmaceuticals within the framework of the trade promotion program in Australia
Could you please introduce some outstanding results of industrial zone infrastructure, electricity infrastructure and commercial infrastructure development of the sector in the past time?
Following directions of the Provincial Party Committee, the Provincial People’s Council and the Provincial People's Committee, the Department of Industry and Trade has closely adhered to the planning approved by competent authorities as well as legal documents to advise the Provincial People's Committee to develop industrial zone, electricity and trade infrastructure as follows:
Industrial zone infrastructure development
After advising the Provincial People's Committee to announce the development plan on 35 industrial complexes with a total area of 1,295.17 ha to 2020 and further to 2030 (including 22 industrial complexes with 583 ha to 2020) according to Decision 420/QD-UBND dated March 2, 2018 of the Provincial People's Committee approving the Binh Phuoc Industrial Complex Development Plan to 2020, with a vision to 2030, the department has actively attracted investors to invest in industrial zone infrastructure development and operation and attract secondary investors to existing industrial zones. By 2022, the province had nine industrial complexes, including 10-ha Ha My Industrial Complex in operation and eight others under construction.
As the national economy is encountering various difficulties, the department has advised the Provincial People's Committee to reduce industrial complexes to 32 to boost economic efficiency in localities with and without industrial complexes. At least two industrial complexes will be developed for specific industries such as cashew, wood and fruit - local strengths - in the infrastructure development of industrial zones in the 2023 - 2030 period.
Electricity infrastructure development
The current power infrastructure has basically met the requirements of industrial development, industrial zones and people in the province. In industrial development, no urgent needs for electricity in industrial zones have come up.
Currently, the industry and trade sector has reviewed and advised the Provincial People's Committee on electricity, energy and renewable energy development planning, integrated into the provincial master plan to 2030, with a vision to 2050 and submitted it to the Government for approval and implementation to meet growing development needs of industry, trade, services and people's livelihoods in the province and the region.
Power Plan VIII, which was recently ratified by the Prime Minister, will be the basis for the industry and trade sector to give advice to the Provincial People's Committee on developing electricity infrastructure, especially attracting investment capital to develop new forms of renewable energy that the province has advantages. Besides, the sector together with related parties will accelerate the progress of site clearance for power projects to go into operation soon.
Its detailed and updated information will be announced soon when the Government approves the Binh Phuoc Plan for the 2021 - 2030 period, with a vision to 2050.
Trade infrastructure development
Trade and service infrastructure such as commerce, e-commerce and border trade are invested for development throughout the province. Market purchasing power has been strengthened steadily year by year. Consumers can quickly access online shopping applications. However, the province's retail network is unevenly distributed, small in scale, and has yet to engage all economic sectors to develop trade and service, especially modern trade such as commercial centers and supermarket. The progress of socializing commercial infrastructure investment and development is still slow.
Before this reality and the need for speeding up trade and service infrastructure development to quickly unlock local industrial potential and raise people's livelihoods, the Department of Industry and Trade consulted the Provincial Party Committee and the Provincial People's Committee to issue Conclusion 365-KL/TU dated June 25, 2022 of the Standing Board of the Provincial Party Committee; Decision 1707/QD-UBND dated September 19, 2022 of the Provincial People's Committee ratifying the Commerce, E-commerce and Border Trade System Development Project; and Plan 339/KH-UBND dated November 18, 2022 on implementation of the Project in Binh Phuoc province in 2021 - 2025 and to 2030. The department worked with district governments to review and select commerce, e-commerce and border trade infrastructure development needs in the coming time. On that basis, the agency made and introduced a list of eligible investment projects to investors in 2023 and the following years. It urged competent bodies in border gates, the Binh Phuoc Economic Zones Authority, and People's Committees of three border districts to jointly review and deal with emerging problems at border gates, restrictions to border trade, import and export, border gate management and local border gate development tasks to counsel the Provincial People's Committee to direct implementation. At the same time, the department accelerated applications of enterprises and changed people's traditional consumption habits to promote e-commerce development. It also worked with the Market Management Department to step up management, inspection and handling of illegal dealings on e-commerce websites and social networks.
Before complicated market fluctuations, what solutions has the industry and trade sector taken to support and promote commercial and service activities in the province?
Our first solution is to identify right causes to classify trade promotion support activities or adapt to complicated domestic and foreign market fluctuations to minimize difficulties for companies. Accordingly, the department has prioritized strengthening cooperation solutions with other localities across the country, wholesaling companies, supermarkets and commercial centers for domestic consumption; promote domestic and international online sales channels; bring Vietnamese goods to the countryside and encourage Vietnamese people use Vietnamese goods in the best and most economical ways.
Well performing traditional main exports such as cashew nuts, wood products, wood pellets and industrial components need to attract and retain orders at more competitive prices. The department connects local commercial banks, through the State Bank of Vietnam (SBV), to enjoy interest rate reduction and competitive interest rates; find solutions to reduce production costs; search new markets through Vietnamese trade counselors and embassies in other countries to have more opportunities to negotiate and sign contracts.
Underperforming exports with local advantages such as pepper, avocado, banana and durian need to quickly develop standard growing areas; complete necessary and sufficient conditions for export to specific countries; reduce production costs by all means to sharpen competitiveness; and focus on eco-labeled and organic products to increase sales opportunities in this high-end segment.
By analyzing opportunities from new-generation free trade agreements, Vietnam's commitments to other countries, the support of Vietnamese trade counselors and embassies in other countries, and the support of the Ministry of Industry and Trade, the department will continuously update export opportunities for each product and commodity of Binh Phuoc to each potential export market. At the same time, the department will clarify each necessary and sufficient condition for successful export to each market for enterprises, cooperatives and people.
In addition, the department advised the Provincial Party Committee and the Provincial People’s Committee to introduce specific medium-term solutions for cashew nut, wood, fruit, food and supporting industries. Decisions and plans of the Provincial People's Committee are posted on the website address of the Binh Phuoc Department of Industry and Trade (https://socongthuongbp.gov.vn).
What are the top goals that the sector will focus on developing in the coming time as well as key solutions in 2023?
Based on local potential strengths to develop processing, manufacturing, export supporting industries defined by the Provincial Party Committee, the Provincial People’s Council and the Provincial People’s Committee in the medium-term strategic vision to 2030, a series of conclusions of the Standing Board of the Provincial Party Committee, and decisions and plans of the Provincial People's Committee, the Department of Industry and Trade announced top goals for 2023 as follows:
First, completing sectoral, field and product development plans; infrastructure development plans and land-use plans relating to industrial, electricity, trade and logistics activities in the province.
Second, completing the selection of key investment positions and projects (specialized industrial complexes designed for cashew, wood and fruit processing industries; trade center and supermarket investment projects; logistics and ICD centers; supporting industrial investment projects) when legal conditions, site clearance, social utilities are met.
Third, promoting and attracting domestic and foreign investment for industrial projects prioritized in 2023. On that basis, the department will draw experience and prepare roadmaps for the next years.
Thank you very much!
By Bich Hanh, Vietnam Business Forum
Vietnamese
October 2024
Hanoi