Giving Priority to Large and High Value Added Projects

Tay Ninh province presently has six industrial parks set up at the approval of the Government. These industrial parks house more than 500 domestic and foreign investment projects, contributing to the prosperity of Tay Ninh province and making great strides in the industrialisation and modernisation process. To attract domestic and foreign projects, Tay Ninh province has adopted many consistent and effective solutions to build trust among local investors. Vietnam Business Forum interviewed Mr Nguyen Manh Hung, Director of Tay Ninh Department Planning and Investment, on this issue. Kim Bang and Minh Tuan report.

 

Tay Ninh province lies in the Southeast region and the Southern Key Economic Zone. It is bordered by the Kingdom of Cambodia in the north and west, with a 240-km borderline with two international border gates (Moc Bai and Xa Mat), four main border gates and 10 side border gates. It is also surrounded by Binh Duong and Binh Phuoc provinces in the east and by Ho Chi Minh City and Long An province in the south. Moc Bai International Border Gate is 70 km from Ho Chi Minh City and 170 km from Phnom Penh, Cambodia.

 

By efficiently tapping geographical location advantages, Tay Ninh province has developed industrial parks and economic zones (Trang Bang, Phuoc Dong - Boi Loi, Bourbon - An Hoa, and Moc Bai) along Trans-Asia Highway and National Road 22B to meet the needs of investors. The province also has 18 ports and wharves along the Vam Co Dong River and the Sai Gon River (eight general ports, three petroleum depots and seven construction material ports) with a total designed handling capacity of 17.4 million tonnes a year.

 

In an effort to create a favourable, transparent and easygoing business and investment environment, Tay Ninh province has caught the attention of domestic and foreign investors. However, its geographical position is both an advantage and a disadvantage in investment attraction (it is near Ho Chi Minh City, but it lies in the last part of the South Key Economic Zone while Trans-Asia Highway is currently degraded and narrowed), Tay Ninh province faces difficulty in attracting investment because they do not see development prospects. Ho Chi Minh Road - which used to be expected to bring new development momentums - was suspended under the Government's Resolution 11. If these two routes are properly invested, they will create investment opportunities for future development.

 

As of October 31, 2013, Tay Ninh province had 207 FDI projects and 308 domestic investment projects with a total registered capital of over US$2.02 billion and VND36.38 trillion.

 

Indeed, most domestic and foreign investment projects in Tay Ninh province are rated small and medium-scaled. But recently, investment attraction efforts produced positive changes. The province has drawn a number of relatively big projects like Sailun Vietnam Co., Ltd (US$400 million), Vinh Du Vietnam (US$45 million), Brotex Vietnam Co., Ltd (US$ 98 million), and Gain Lucky Vietnam Co., Ltd (US$98 million). Currently, they are building factories, showing their trust, appreciation and assurance of investment prospects in the province. Some investors have increased their investment to expand production capacity.

In the coming time, we continue to give priority to large projects with a high level of added value.

 

Planning and site readiness for investors is always among our primary concerns. We always announce and update planning on the province’s information portals like socioeconomic development planning, land-use planning, sectoral planning, urbanisation development planning, and industrial, residential and urban zone development planning to draw investment capital.

 

This aims to facilitate investors in Tay Ninh province to access land in industrial parks and economic zones easily and limit industrial production projects located outside industrial parks and economic zones.

 

Currently, Tay Ninh province has six industrial zones established at the approval of the government, including four operational industrial parks of Trang Bang, Phuoc Dong - Boi Loi, Bourbon - An Hoa, and Cha La. Among two industrial parks, Hiep Thanh is being prepared for construction, while Thanh Dien is calling for investors.

As planned, the province has 23 small-scaled industrial complexes covering a total area of 2,402.4 ha. But after reconsideration, the province reduced to 11 industrial complexes with a total area of 902.48 ha. In implementing Decision 105/2009/QD-TTg of the Prime Minister dated August 19, 2009 on regulations on industrial complex management, the province rearranged its five industrial complexes (with individual area larger than 50 ha) into 14 industrial complexes. To date, Tay Ninh has 20 industrial complexes with a combined area of 902.48 ha. They recently drew six new projects with a total registered capital of US$14 million and VND117.5 billion, leasing 122.23 ha out of 360.8 ha. Accumulatively, 15 projects registered to lease 122.23 ha out of 360.8 ha in six industrial complexes, of which nine projects are currently in operation in three industrial complexes (Hoa Hoi, Ben Keo and Thanh Xuan), one project is under construction and five projects yet to be kicked off. They registered to invest US$27 million and VND1,086.1 billion in total, of which US$9 million and VND360 billion was already disbursed.

 

In addition to industrial parks and industrial complexes mentioned above, Tay Ninh also has Moc Bai Border Gate Economic Zone (housing 46 projects with a registered investment capital of US$122.13 million and VND6,745.5 billion) and Xa Mat Border Gate Economic Zone (agreeing nine projects with a registered investment capital of VND315.96 billion).

 

To better support businesses, the Ninth Congress of Tay Ninh Party Committee set out three groundbreaking programmes including public administration reform with the focus of administrative procedure reform; human resource development; and infrastructure system development, especially transport infrastructure. These three action programmes will facilitate investors to do business in the province and affect local socioeconomic development in the 2011-2015 period and beyond.

Besides, the Provincial Party Committee and the Provincial People's Committee will also have other policies and guidance, reflected by additional action programmes and action plans, e.g. the action programme for implementation of the Resolution of the Ninth Party Congress on mobilisation of resources for industrialisation and modernisation of the province in 2011-2015; action programme on construction and promotion of Vietnamese entrepreneur force in the period of accelerated industrialisation, modernisation and international integration; and action programme on development and performance improvement of economic sectors in the province in the 2011-2015 period.

 

The above-mentioned action programmes clearly show the guidelines and viewpoints of the province on accompanying businesses and building trust among investors and the business community in the province.

 

In the coming time, Tay Ninh will flexibly select capable investors to efficiently tap key priority areas like industrial products (rubber, plastic products, refined products from agricultural, forest and aquatic products, pharmaceuticals, cosmetics, new energy products, etc.); existing industrial parks and industrial complexes; and tourist sites (Ba Den Mountain, Ma Thien Lanh, etc.); commercial centres, supermarkets, border gate economic zones, border markets and wholesale markets; and market information system development.