Turning Thai Binh EZ into Driving Force for Economic Development

The Resolution of the 20th Thai Binh Provincial Party Congress affirmed that the construction of Thai Binh Economic Zone is a key task, a driving force of economic development and a top key political task in the 2020 - 2025 term and beyond. To find out about solutions to this goal, Vietnam Business Forum's reporter has an interview with Mr. Pham Tung Lam, Director of the Thai Binh Economic and Industrial Zones Authority.

Could you please briefly introduce the Thai Binh Economic Zone, what are its potential, advantages and approach to investment flows?

The province has eight industrial parks: Two inside the economic zone and six outside it, with a total area of 1,900 ha.

Thai Binh Economic Zone, established by the Prime Minister in 2017, is one of 18 coastal economic zones of Vietnam, covering 30,583 ha. It consists of 25 industrial sections (8,020 ha); Thai Binh Seaport (500ha in Diem Dien, Tra Ly and Ba Lat); 7,000-MW Thai Binh Power Center (853 ha) consisting of a thermal power center and a wind power zone; tourism - service area (3,110 ha); agricultural, forestry and aquaculture area (4,715 ha) and urban area (3,000 ha).

Well-positioned Thai Binh Economic Zone lies near Hai Phong City, near to national key traffic routes, 25 km from Cat Bi International Airport, 30 km from Lach Huyen Port and 15 km from Nam Do Son and Van Uc Ports (approved for construction in 2021-2030). It is conveniently connected to coastal roads (completed in 2022), the road spanning over Hoa Bridge (completed in the second quarter of 2022) and National Highway 37.

Thai Binh Economic Zone lies in populous areas (1.9 million people in Thai Binh province and 2 million people in surrounding localities.). Thai Binh province has two universities and 30 vocational training schools capable of training nearly 35,000 people a year. Workers are industrious, capable and professional.

Infrastructure in industrial zones is designed to be synchronous and modern with a vast land fund for lease to all investors. Land rentals are lower than other localities. Situated in a special locality, Thai Binh Economic Zone is entitled to provide highest investment incentives in the regulatory framework announced by the government of Vietnam and locally by Thai Binh province (Decision 13/2020/QD-UBND dated June 29, 2020 of the Provincial People's Committee).

Thai Binh determines that building the economic zone is a top task and investors will be therefore supported to carry out administrative procedures in the simplest manner.

Thai Binh Economic Zone gives priority to projects using high-tech, environmentally friendly industries, engaging in medicine industries, employing renewable energy sources (wind power and solar power), zero carbon, apparel material manufacturing, tourism and urban residence; hi-tech agricultural projects; seaport construction and operation projects.

Given the impact of the COVID-19 pandemic, in the first nine months of 2021, Thai Binh Economic Zone attracted US$420 million of FDI capital, an increase of 7 times over the same period in 2020. Typically, Greenworks Vietnam Company invested US$200 million; Lotte Vietnam Company, US$120 million; and Jeanson Company, US$75 million. In addition, many large corporations are researching investment opportunities here, including Iris and Ohsung.

To make Thai Binh Economic Zone a key and driving force for economic development in the coming time, what tasks and solutions is the province focusing on?

Thai Binh province continues to prevent the COVID-19 pandemic, establish a sustainable green pandemic-free area and facilitate enterprises to develop their business. Besides, the province further informs and raises awareness of economic zone construction and development for people in Tien Hai and Thai Thuy districts where the economic zone is located, making them know importance, opportunity, difficulty and ease of building and developing an economic zone to create a broad consensus in economic zone construction, particularly site clearance.

The locality will also complete reviewing and adjusting the master plan for economic zone construction, detailed plans for itemized construction to attract investors and mobilize investment funds for infrastructure construction, especially traffic routes linked to Hai Phong City and ports and facilities and utilities for workers.

Thai Binh pays special attention to administrative reform, business environment improvement; investment project support, especially for large-scale projects, to closely monitor and support investors from investment research, construction investment deployment and business operations.

The province also strengthens investment promotion in many forms to introduce local potential, comparative advantages, planning, development orientations and policies to encourage investment; strengthen contact with trade promotion agencies and Vietnamese ambassadors in developed countries such as the European Union, Japan, South Korea and Singapore, as well as actively contact domestic and foreign corporations and investors to call for investment in the economic zone.

Besides, the province also actively solves difficulties and problems faced by investors, making them confident in investment in the province.

What does the authority recommend to central and local authorities and share with existing and future investors in the Thai Binh Economic Zone?

Thai Binh Economic and Industrial Zones Authority proposes that the Government soon issue a decree to amend and supplement Decree 82/2018/ND-CP dated May 22, 2018 of the Government. Contents to be amended and supplemented include regulations on minimum occupancy rate in established economic zones when a new infrastructure construction project is licensed. No extra regulations on occupancy rate of infrastructure investment and operation projects in economic zones in districts listed in the List of Localities entitled to incentives in economic zones. The authority also proposed clearly defining legal position, functions, tasks, organizational apparatus, and staff requirements. It also hoped central and local agencies would provide funds for infrastructure construction investment, and introduce investors to research and invest in local economic and industrial zones.

Thai Binh Economic and Industrial Zones Authority has a geographical location, a favorable investment environment, a synchronously planned and invested infrastructure system, and highest investment incentives, thus becoming an attractive and reliable address for investors. We are committed to listening, accompanying, supporting investors and making them confident in business development in Thai Binh. Investors only need to prepare investment ideas and funds, while investment procedures will be supported and resolved by departments and sectors in the fastest way.

Thank you very much!

Source: Vietnam Business Forum