Concentrating on Developing Industry in Depth

 

Impressive growth figures for recent years have shown increasing scale and industrial production capacity of Dak Lak; quality of several goods have met requirements and been competitive on the market. By now, Dak Lak’s industry has established a fairly comprehensive system, including sectors: industry of exploiting and producing construction materials, processing industry, water and electricity industry.

 

The provincial industry of exploiting and producing construction materials has contributed the smallest volume and value to the industry sector: to 2012, industrial production value reachedVND318 billion, making up 3 percent. Generally, there is no big change in product structure, but the group has seen two basic changes, including a strong increase in volume of common construction materials and quality change of bricks (from baked bricks to non-baked bricks to protect the environment). These adjustments have satisfied the demand for common construction materials locally, product quality has been improved, the environment has been protected with sustainable practices.

The processing industry has contributed to the provincial industry sector: industrial production value to 2012 reached VND8,492 billion, accounting for 79 percent; including major product groups: agricultural processing group; food and beverage; forestry products; machinery, producing steel; chemicals and fertilizers; consumer products; and handicrafts.

 

The water industry and electricity industry have strongly increased, the production value to 2012 reached VND1,977 billion, accounting for 19 percent of provincial industry sector, in 2012, production reached 3,735 million Kwh, 52.6 times higher than that in 2005.

 

Dak Lak has a strong advantage in exporting wooden and rubber products, especially coffee, but they are mainly raw products. Therefore, to increase added value of exported products, recently the province has paid special attention on developing the processing industry.

 

According to Mr Vo Thanh, Director of Industry and Trade Department, value of exported goods depend on many factors like brands, product source, demand – supply in the market, product quality and product materials. For Dak Lak, materials and product quality are important factors, therefore, the province has identified to promote processing to improve product quality, process in depth to produce goods with high value added.

 

And to develop the processing industry, the province has issued Resolution 27/2011/NQ -HDND dated 22^{nd December 2011 of provincial People’s Committee and Decision 20/2012/QD-UBND dated 26th June 2012 of provincial People’s Committee on encouraging and supporting investments in Dak Lak in the period of 2012 – 2015. Provincial committee of the Party and provincial People’s Committee have issued Resolution 05 – NQ/TU and Plan 04/UBND – KH on the provincial Strategy of industrial products in the period of 2011 – 2015 and by 2020, to limit raw products and develop processed products with high value. Results of policies on developing the provincial processing industry have been proved by strong growth of processing industry, and the appearance of high value processing products like instant coffee, RS sugar, elastic thread and latex rubber.}December 2011 of provincial People’s Committee and Decision 20/2012/QD-UBND dated 26June 2012 of provincial People’s Committee on encouraging and supporting investments in Dak Lak in the period of 2012 – 2015. Provincial committee of the Party and provincial People’s Committee have issued Resolution 05 – NQ/TU and Plan 04/UBND – KH on the provincial Strategy of industrial products in the period of 2011 – 2015 and by 2020, to limit raw products and develop processed products with high value. Results of policies on developing the provincial processing industry have been proved by strong growth of processing industry, and the appearance of high value processing products like instant coffee, RS sugar, elastic thread and latex rubber.

For recent years, industrial production of Dak Lak has had in – depth, environment – friendly development. With convenient geographic position and available resources, in the next period the province will continue developing industries that have advantages on materials resources, developing reasonably recycling energies. Structural reform inside the industry has been properly conducted, by 2015 water, electricity and fuel industries will have proportion of 41 percent – 42 percent; proportion of exploiting industry will reduce to 2 percent – 3 percent; processing industry will account for 56 percent – 57 percent. Moreover, the province will concentrate on developing industrial products, prioritising major industries, step by step making industry a key economic sector, contributing to the industrialization and modernisation of the province.