Preparing the Best for Investors

10:12:11 AM | 31/5/2022

Vinh Long province is making efforts to carry out the Vinh Long Industrial Zone Development Program in 2021-2025 adopted by the Provincial Party Committee, with focus placed on removing bottlenecks in policy, connection infrastructure, site clearance and other matters to provide the best conditions for investors, said Mr. Pham Thanh Khon, Director of Vinh Long Industrial Zones Authority, in an interview to this effect granted to Vietnam Business Forum.

Could you please present the highlights in the current picture of Vinh Long industrial zones?

Vinh Long province was approved by the Prime Minister to have five larger-scale industrial parks with a total area of 1,335 ha, including 250-ha Hoa Phu Industrial Park (first and second phases), 143-ha Binh Minh Industrial Park, 350-ha Dong Binh Industrial Park (planned for construction), 400-ha Binh Tan Industrial Park (approved for construction to Gilimex Vinh Long Industrial Park Joint Stock Company), and 200-ha An Dinh Industrial Park (planned for construction by Long Hau Joint Stock Company).

Local industrial parks attracted 63 projects with a total spent/registered capital of VND1,946 billion/VND3,103 billion and US$567 million/US$796 million (71.27% of the total), leasing 179 ha out of 274 ha of rentable land by April 2022.

What are the advantages of Vinh Long industrial parks in investment attraction?

Vinh Long is located in the center of the Mekong Delta, between two major economic centers of Ho Chi Minh City and Can Tho City, thus endowed with favorable conditions for industrial, trade, service and logistics development. The province also lies on the intersection of two important economic-urban corridor axes: Song Tien - Song Hau Axis (East-West Economic Corridor) and National Highway 91 (Nam Song Hau Corridor) with the westernmost being An Giang and Dong Thap border gates, the easternmost being Soc Trang urban - coastal port and seaport system (Tran De Port); and National Highway 1 - Ho Chi Minh Road Urban Economic Corridor Axis (North - South direction) with Can Tho City being the regional center and the northernmost point being My Tho City. In particular, Hoa Phu and Binh Minh industrial parks are located close to National Highway 1A, so they are very convenient for distribute goods by road. Binh Minh Industrial Park is close to Hau River, thus easing waterway transportation of goods.

In recent years, the infrastructure of industrial zones has been increasingly improved. Internal and external traffic systems are gradually connected synchronously with local and regional infrastructure. Wastewater treatment plants in industrial zones are also operational, an active magnet to FDI projects.

Given stable social and political environment, industrial zones are always prioritized by the Provincial Party Committee, the Provincial People’s Council and the Provincial People's Committee. Administrative procedure reform in Vinh Long has been accelerated and produced practical results. The Vinh Long Industrial Zones Authority always actively coordinates with other agencies and local authorities to launch the single-window mechanism for handling administrative procedures and unify inspection plans so as to create an open and transparent investment environment and reduce investment preparation time (for getting certificates of investment, construction, environment and other affairs).

How is the current performance of tenants in Vinh Long industrial parks?

In the first quarter of 2022, tenants in industrial parks made a production value of VND4,144 billion, up 22.77% year on year; revenue of VND166,088 billion, up 25.56%; an export value of US$152 million, up 27%; an import value of US$55 million, down 41%. They are currently employing 45,717 workers, an increase of 4,089 people over the same period in 2021.

Amid the Covid-19 epidemic outbreak in 2021, they effectively coordinated with the authority, relevant agencies and localities to launch appropriate production and business solutions, purchase vaccines, medical facemasks and disinfection tools, and provide financial support for redundant workers. After restoring the "new normality", they quickly stabilized production and business and soon arranged jobs for layoffs.

In 2022, what solutions is the authority advising to better accompany businesses and investors?

The Vinh Long Industrial Zones Authority is investing to build the industrial zone infrastructure system, especially synchronous internal and external traffic connections. The authority also accelerates administrative procedure reform, first of all, carrying out regulations on coordinated management between the authority with relevant agencies and local authorities to apply the single-window mechanism and unify inspection plans; reduce the time of investment preparation, investment licensing and construction permission. The authority also strengthens contacts and dialogues with businesses and investors to promptly deal with all difficulties and problems in a timely manner.

The Vinh Long Industrial Zones Authority is investing to build the industrial zone infrastructure system, especially synchronous internal and external traffic connections. The authority also accelerates administrative procedure reform, first of all, carrying out regulations on coordinated management between the authority with relevant agencies and local authorities to apply the single-window mechanism and unify inspection plans; reduce the time of investment preparation, investment licensing and construction permission. The authority also strengthens contacts and dialogues with businesses and investors to promptly deal with all difficulties and problems in a timely manner.

In addition, the authority continues to apply ISO standards to public administration, administrative reform and single-window software to deliver completed procedures and leave no backlogged documents unaddressed; foster information technology application in management and administration.

How does the enactment of Decision 483/QD-UBND dated March 2, 2022 on the action plan for implementation of the Vinh Long Industrial Zone Development Program in 2021-2022 of the Provincial Party Committee mean to Vinh Long province's economic development? What existing matters still need to be addressed?

Carrying out the action plan for implementation of the Vinh Long Industrial Zones Development Program in 2021-2025 adopted by the Provincial Party Committee not only helps accelerate industrial growth and successfully realize the growth target of 12% a year stated in the resolution of the Provincial Party Congress (2020 -2025 term) but also matches the development of industry with the development of technical infrastructure, trade, services, tourism, and agriculture. The program, once launched, also contributes to unlocking potential advantages, creating effective linkages between industrial zones, ensuring rapid sustainable development and environmental protection, accelerating economic growth and providing more jobs for people.

In order to successfully achieve these goals, the authority is advising the Provincial People's Committee to remove existing "bottlenecks" below:

For Dong Binh Industrial Park, the authority will focus on coordinating with investors, the Binh Minh Town People's Committee and other agencies to speed up site clearance to create a clean land fund for building the infrastructure system and attract tenants.

For Binh Tan and An Dinh industrial parks, the authority will actively cooperate with investors to complete investment documents to submit to the Prime Minister for approval and then establish Binh Tan Industrial Park, prepare site clearance support resettlement for people.

In addition, the agency will coordinate with planning consultants to add new industrial zones into the provincial industrial park planning in accordance with the Planning Law, including expanded Hoa Phu (157 ha, third phase), Tan An (500 ha); Phuoc An (200 ha), Trung Thanh Tay (300 ha), Dinh Khao (400 ha) and My Hoa Industrial, Port and Logistic Complex (300 ha).

Do you have any recommendations for central and provincial authorities?

The Vinh Long Industrial Zones Authority recommends that central agencies soon have a plan to upgrade National Highway 54, the section that passes through Vinh Long province (Dong Binh and Binh Tan Industrial Parks are located next to National Highway 54). At the same time, the Provincial People's Committee proposes soon building a road from National Highway 54 to Binh Minh Industrial Park (including Road N3 in Binh Minh Industrial Park).

Thank you very much!

Source: Vietnam Business Forum