Duc Hoa III Industrial Park Prepared to Catch New Investment Wave

9:37:55 AM | 17/7/2020

As the COVID-19 pandemic is causing an intensive effect on all economic sectors, Minh Duc Long An Investment and Development Joint Stock Company (Minh Duc - LA) has chosen to accelerate investment while the economy seemed to be “frozen”. The kickoff ceremony of Duc Hoa III - Slico Industrial Park on May 15, 2020 showed confidence about Minh Duc - LA's capacity and preparation to catch the “Eagle”. Vietnam Business Forum’s correspondent has an interview with Mr. Duong Ngoc Hao, Chairman of the Board of Directors of Minh Duc Long An Investment and Development Joint Stock Company.

Duc Hoa III - Slico Industrial Park (IP) is the third largest IP among 13 IPs invested by Duc Hoa and is expected to have significant imprint on the development of Minh Duc and the development of Long An province as well. Can you tell us about the project investment and Minh Duc's commitment to construction progress?

Duc Hoa III - Slico Industrial Park, covering a total area of 195.79 ha in Duc Lap Ha commune, Duc Hoa district, Long An province, is the third largest industrial park in 13 component industrial parks of Duc Hoa III Industrial Park. In addition to the advantage that it lies in one of four districts planned for prioritized industrial development in Long An province, Duc Hoa III - Slico Industrial Park is also adjacent to the Tay Bac Cu Chi Urban Area. These are huge advantages for industrial development and investor attraction.

Duc Hoa III - Slico Industrial Park was kicked off on May 15, 2020. Currently, we are building the infrastructure as planned, especially completing the most important project - the wastewater treatment plant - by the end of 2020 to start subleasing infrastructure in early 2021.

From your company’s actual investment and the current development of industrial parks in Vietnam, do you have any ideas to attract investors and develop industrial and economic zones effectively?

Developing industrial zones in Vietnam helps renovate Vietnam's business investment environment and boost the country's overall socioeconomic development, GDP growth, per capita income, investment attraction industrial production development and employment. However, basically, the IP development is still extensive and multi-sector. It has exposed certain limitations like lacking specialized IPs to form sizeable production clusters inside an IP; lacking interconnectivity of IPs to develop commodity production and logistics chains, lacking regional connectivity and participation in global manufacturing value chains; and lacking technological applications and innovations in IPs. Most projects in IPs have an average technological level. Developing social infrastructure and livelihoods for IP workers still faces a lot of difficulties, while environmental violations still occur as the mass media reported.

Thus, we proposed some solutions to attract investment flows and develop industrial parks as follows: (1) supporting potential enterprises to develop serviced urban industrial zones under Decree 82/2018/ND-CP. The development of serviced urban areas and creation of a good social security environment will solve personnel matters for investors, create motivations to attract industries that employ high-quality human resources and sustainable industries; (2) clearly planning sector development and linking IPs and economic regions; prioritizing the development of ancillary industries, attracting large and potential investors; (3) creating mechanisms and policies to attract industries with high technical content; improving the workforce capacity to meet industrial development needs; (4) industrial development goes hand in hand with environmental protection and social infrastructure construction to harmonize the development inside and outside the industrial zones. The development of transport infrastructure connecting to seaports needs to be focused in order to create more incentives to attract investment flows.

What do you think about the quality and effect of administrative procedure reform in Long An province in recent years? For you, what are specific solutions that the provincial needs to adopt and the business community needs to support to make investment inflows into Long An province stronger and more effective?

The province’s administrative reform continues to produce positive changes. The executive guidance on public administration reform continues to be strengthened; the role and responsibility of agency leaders is raised; and administrative discipline has been consolidated.

Administrative procedures continue to be reviewed and streamlined to reduce the settlement time and facilitate people and businesses.

To attract more investment resources, the province needs to act stronger with administrative reform, complete infrastructure, especially roads and seaports to make the most of the position as a gateway that links two key economic regions (Southern key economic region and Mekong Delta key economic region).

On enterprises, sustainable development must be a top goal. In addition to investment funds for business development, we always focus on balancing social, economic and environmental factors and constantly create practical values for the community.

Source: Vietnam Business Forum