Powerful Transformation

In recent years, the economy of Dong Thap province has made impressive breakthroughs, with average annual growth of 14.12 percent in 2006 - 2010, ranking second in the Mekong Delta region. Remarkably, in the 2010 provincial competitiveness index (PCI), Dong Thap becomes one of three localities rated “very good for doing business” in Vietnam. Effectively applying a “rolling out the red carpet to welcome investors” policy, Dong Thap is strongly growing to become a dynamic economic engine in the region.

 

Lying in the Mekong Delta region, Dong Thap has very convenient overland and waterway traffic systems for good transportation. Especially, Dong Thap shares a 48 km borderline with Cambodia and seven border gates, including two international border gates of Thuong Phuoc and Dinh Ba. These are very favourable conditions for commercial exchange and economic development. Besides, Dong Thap is the third largest granary of Vietnam with an annual total output reaching more than 2.6 million tonnes. The province also supplies over 245,000 tonnes of fish and 2,000 tonnes of shrimps a year for export processing. It also has a variety of delicious fruits. In addition, it has more than 38,000 ha of short-day vegetables and industrial crops, and 300 ha of ornamental plants which supply hundreds of species of flowers and ornamental plants for the country and for export. These are favourable factors for Dong Thap to develop commerce, service and foreign trade.

 

Mr Le Minh Hoan, Chairman of Dong Thap People’s Committee, said besides advantages of raw materials, good infrastructure in industrial parks and industrial complexes is necessary to attract investors and enterprises. Thus, Dong Thap is focusing on building infrastructure and calling domestic and foreign investors. The province also outlined the construction of six large-scale concentrated industrial parks, including three operational ones (Tran Quoc Toan, Sa Dec and Song Hau) where 117 projects have been licensed. Besides, the locality has 34 industrial complexes with a combined area of more than 2,100 ha. Effective operating enterprises and promising investment projects are creating a bright picture for industry in this promising land.

 

Apart from developing industrial parks and complexes, Dong Thap has been calling investors to tap the potential and advantages in border economic zones. With natural area of nearly 32,000 ha, this economic zone is designed for different industries like industry, commerce, service, tourism, agriculture, forestry and fisheries, and is an international centre of trade exchange with Greater Mekong Sub-region countries, particularly Cambodia. Additionally, making the economic zone an urban border zone will help boost the development in the north of Dong Thap province and play an important role in national security and defence.

 

Along with fast-growing industry, trade and service systems are also significantly improved and reasonably distributed throughout the province: rice processing zone in Sa Dec, fruit wholesale market in My Hiep (Cao Lanh district), supermarkets in three provincial commercial centres (Cao Lanh City, Sa Dec Town and Hong Ngu Town), and traditional markets stretching across the province to facilitate the development of producers and consumers. In 2010, total retail revenues of goods and services exceeded VND27,000 billion, up nearly 25 percent over 2009. Total export turnover totalled VND585.84 million, up 33 percent year on year.

In addition to investments for infrastructure development in industrial parks and complexes, Dong Thap also pays special attention to tourism infrastructure development investment. This is considered a major tourist centre of the Mekong Delta region and promises to provide many exciting experiences for visitors.

 

By exploiting all its potential and strengths and actively reforming administrative procedures, the investment environment of Dong Thap province has been constantly improved. Administrative agencies are applying the single-window mechanism which provides the best services for people in the shortest time. Additionally, the province also flexibly applies central policies to most benefit enterprises, especially incentives relating to preferential tax and credit support, and offers most favourable conditions for enterprises to operate at highest efficiency. Remarkably, the province will fund 50 percent of worker training costs for companies. It will also support companies to boost trade promotion activities like free introduction of products on the provincial economic information portal www.dongthaptrade.com.vn; and fund companies with partial fees to attend domestic and international trade fairs (as stipulated by the Dong Thap People’s Committee - the provincial executive body). It will also offer soft loans, free land rents and free basic infrastructures for enterprises investing in science and technology fields. Dong Thap will adjust its policies based on the actual situation to provide the best treatment for enterprises.

 

If they invest in poorer districts like Hong Ngu, Tan Hong, Tam Nong or Thap Muoi, they will be offered highest preferences if their projects generate jobs for 5,000 workers onwards, or invest in infrastructure construction in industrial parks and economic zones. In other districts like Cao Lanh, Binh Thanh, Lap Vo, Lai Vung and Chau Thanh, they will enjoy investment incentives as stipulated by the Government. When there are any changes in incentives, they will be given the best ones.

 

Director of the Dong Thap Department of Planning and Investment, Khuc Quang Dung, noted: “In the provincial competitiveness index (PCI) ranking in 2010, Dong Thap was one of three localities rated “very good for doing business” in Vietnam, ranking first in the Mekong Delta region. This is the clearest evidence for the attitude of friendly cooperation as well as responsibility of authorities toward the business community. That evidence proves the enthusiasm and determination to listen and solve all legitimate requirements for companies to help them do business most effectively in the province.”