With 24 years of constant efforts, Ho Chi Minh City-based Tan Thuan Export Processing Zone (EPZ) has quickly become a favourite destination of foreign investors. As the first and most successful EPZ in Vietnam, Tan Thuan EPZ has not only helped enhance the appeal of the local investment environment, but also accelerate economic restructuring in the city towards industrialisation and modernisation and side with the city to assert its leading position in the country’s economic development.
Top destination for investors
The primary advantage of Tan Thuan EPZ is its prime location, just 4 km from the downtown of HCM City and a short drive from Tan Son Nhat Airport and Phu My Hung Urban Zone. It is also interconnected with the port system; thus, travelling, transactions and cargo transportation are very convenient. In addition to favourable geographical location, Tan Thuan EPZ’s strengths also lie in its complete infrastructure systems and perfect public facilities. To realise the goal of turning Tan Thuan EPZ into an investor-friendly and sustainable investment destination, the developer, Tan Thuan Co., Ltd (TTC), has focused its investment resources to construct perfect modern technical and social infrastructure systems to serve tenants and workers, including roads, power grid, water supply system, environmental monitoring system, industrial waste treatment facility, bonded warehouse, post offices and banks as well as public utilities like worker homes, clinics, cultural centres, and supermarkets, thus creating a stable and safe working environment for tenants.
Especially, to improve the management quality, in 1999, Tan Thuan started to apply the ISO international management system and became the first EPZ in the world to adopt this advanced management system. In addition, the government of HCM City always provides the best conditions for tenants in the EPZ to access investment incentives and enjoy simple and nuisance-free administrative procedures. For its part, TTC always closely collaborates with the HCM City Export Processing and Industrial Zones Authority (Hepza) and customs authorities to support tenants to tackle difficulties, thus allowing them to focus on their business operations. The dedicated support for the sake of investors’ interests is one of important factors to make Tan Thuan EPZ an attractive destination and a top-choice destination for FDI investors. Up to the present time, Tan Thuan EPZ has 184 tenants, including 183 licensed projects with a combined investment capital of US$1.567 billion. They rented approximately 168.62 ha, or 80.63 percent of rentable area and 56.21 percent of the total area of 300 ha. Thus far, 146 projects have gone into operation and five are under construction. The technological level of tenants is classified advanced and synchronized; thus, they manufacture advanced products with high intellectual content and strong competitiveness. Not only creating jobs for 60,000 workers, tenants have also introduced advanced technologies and governance experience; boosted export; generated incomes in foreign currencies, sped up socioeconomic development of HCM City towards industrialisation and modernisation.
With its important contributions to local and national socioeconomic development, TTC was honourably bestowed the Labour Orders of Third, Second and First Classes by the President of Vietnam in 1998, 2001 and 2006, respectively. In 2011, TTC was proud to become one of the first companies with FDI capital to be awarded the Third-Cass Independence Order by the President of Vietnam. Besides, Tan Thuan EPZ was also voted the best Asia - Pacific EPZ by EuroMoney Corporate Location Magazine (UK).
Investment attraction goes with environmental protection
In addition to its golden achievement in investment attraction, Tan Thuan EPZ is also considered a good living and working environment as it always takes the lead in building environmental infrastructure, preserving energies, and use and recycle resources, thereby helping build a green clean and friendly EPZ. Deputy General Director Tran Thanh Hong said, after 24 years of construction and development of Tan Thuan EPZ, TTC has built complete infrastructure and environmental protection works and positively contributed to local socioeconomic development and community development. The company’s criteria towards sustainable development, formation of a best, safest production environment for tenants and improvement of spiritual and material life of workers are at all times treasured.
With the above directions, Tan Thuan EPZ has successfully built an environment protection system according to environmental impact assessment plans and reports. The EPZ now has waste collection and wastewater treatment system, industrial waste transport system, separate wastewater and rainwater drainage system, automatic observation system, and wastewater treatment plants operated with advanced environment-friendly technology. Furthermore, the EPZ has also developed processes and ready facilities to respond to environmental incidents for the entire EPZ and for every tenant; built green parts inside the EPZ; and gradually used renewable resources in an economical manner. Currently, Tan Thuan EPZ is a leader in using sewage sludge discharged by wastewater treatment plants to produce organic fertiliser for internal consumption, use treated wastewater to water trees; and replaced traditional electric lamps with power-saving ones which reportedly reduce 70 percent of power consumption.
To effectively protect the environment, it is important to enhance the awareness of tenants. For that reason, TTC regularly cooperates with Hepza and the Department of Natural Resources and Environment of HCM City to organise training courses and communication events to disseminate legal regulations on environmental protection to businesses; deliver the "Handbook of Environmental Protection" to guide investors to raise their understanding of environmental protection; uphold obligations and responsibilities of every environmental protection organisation and every citizen; and impose sanctions to coerce organisations and individuals to adhere to environmental protection regulations.
With its constant top priority for environmental protection, the company always applies modern environment-friendly measures treat wastewater as well as other energy-saving measures to create a greener environment. Currently, Tan Thuan EPZ is a leading light in environmental protection in HCM City and is awarded lots of medals and awards for its environmental protection.
With the intention of becoming an exemplary green EPZ, Thuan Thuan EPZ will focus on attracting projects using clean and environment-friendly technologies like high-tech science, software technology and biotechnology in the coming time. For existing projects, the EPZ will pay attention to environmental protection while expanding their operations. Besides, the EPZ will create all favourable conditions and encourage tenants to upgrade technologies and improve manufacturing processes towards cleaner production.
Thanh Tam