With its growth, the trade and industry sector of Hai Phong City has made great contributions to the city's socioeconomic development. The year 2014, with the theme "Economic recovery and renewed growth model", will be a year for the industry and trade sector to further develop. To explore the directions aimed at accomplishing this goal, Vietnam Business Forum had a talk with Mr Pham Van Phuong, Director of Hai Phong’s Department of Trade and Industry. Bao Han reports.
Can you tell us some outstanding achievements that the trade and industry sector of Hai Phong has achieved in recent years? In your opinion, what are the core elements responsible for these successes?
In the 2003-2013 period, the city’s industry grew strongly in scale, ranking seventh in industrial production value among that of the whole country and third in the northern region. Industrial production value in 2013 reached over VND10 billion. Commercial activities also achieved significant results. From 2003 to date, exports of Hai Phong has developed relatively with turnover of over US$1 billion in 2006 and over US$3 billion in 2013, ranking 3rd in the Northern region and 7th in the country. Total retail sales of goods and service revenue in 2013 was over VND58 billion, 7.6 times that of 2003.
These achievements are the result of efforts made by the Industry and Trade sector, the close and drastic direction of the Party Committee and guidelines and policies consistent with the practice and promoting the sector’s performance which are timely issued by the city’s People's Committee which always accompanies enterprises to grasp the situation and help remove difficulties so that they can maintain stability and develop production and business.
What does the Department do to create conditions attracting businesses to invest effectively?
Under Decision 2523/QD-UBND, the Department has advised the City People's Committee to issue the list of industrial projects the city encourages investment into, invests with conditions and does not approve in the city to 2020. Simultaneously, the Department reviews and assesses projects to match with real situation and to attract more projects with large-scale, advanced technology and environmental friendliness.
To create favourable environment for businesses, apart from performing well specialised State management, the Department regularly keeps in touch with businesses. Annually the Department sends mission groups to work in its affiliates to supervise their operation, share their difficulties, listen to their opinions and promptly proposes measures. In addition, the Department also organises a number of conferences with businesses of various fields and particularly pays attention to the industry struggling with difficulties operating in the fields of clothing, footwear, steel and building material production, shipbuilding.
What fields will Hai Phong Industry and Trade sector focus on?
In 2014, Industry and trade sector is determined to accomplish the goal of "economic recovery and renewed growth model" proposed by the city. The city’s industry has long been built in the foundation of traditional industries such as shipbuilding, manufacturing of building materials, textiles, leather and footwear. Therefore, the recovery and exploitation of products in these fields is whar we focus on. All measures aimed to reach and expand product markets and to lift growth for these fields are urgently implemented. The sector also focuses on restructuring through large-scale projects with high added value which make great contribution to the budget and develop industry by applying modern technology and supporting industries.
Realising the bright spots in the relations between the city and Japanese partners, the Department, in collaboration with the Department of Planning and Investment, has mapped out the in-depth industrial park project. The mechanical industry is given priority to this industrial park.
In 2013, the city’s PCI ranked 15th among 63 cities and provinces, up 35 spots compared to 2012. In your opinion, to improve this index as well as create a more favourable environment, what solutions does Hai Phong need to implement?
Being aware of the fact that raising the PCI needs implementing continuously and creatively, I assume that Hai Phong should focus on addressing the following issues synchronously: Improving effectiveness of the operation of the government at all levels to ensure smooth efficiency from the city to smaller units; reforming and simplifying administrative and land procedures; enhancing the dissemination on improving investment environment; innovating investment promotion activities; improving the quality of professional qualifications and ethics of officers and civil servants; maintaining and enhancing supporting services, dialogues and contact with enterprises.