Long Thanh IZ Minimizing Cost, Optimizing Profit, Providing Best Support to Tenants

10:25:32 AM | 14/4/2021

After more than 17 years of operation (2003 - 2021), with the resolution of Dong Nai province and the prestige and strong financial capacity of the investor - Sonadezi Long Thanh Joint Stock Company (a member of Sonadezi Corporation - a giant industrial park developer), Long Thanh Industrial Zone has achieved tremendous success and become an ideal destination for domestic and foreign investors and creating a driving force for local economic restructuring.

Ideal destination

Long Thanh Industrial Zone, covering more than 488 ha, is developed as a completely new industrial urban model featuring many distinct advantages over other industrial zones. With a well-positioned location, modern planning, synchronous investment infrastructure, convenient traffic connection, flexible product design, and professional and enthusiastic personnel, right after going into operation, Long Thanh Industrial Zone focused on cooperation with many domestic and foreign investors. Up to now, 124 projects have invested US$1,155 million and hired 248.71 ha in Long Thanh Industrial Zone. Tenants in Long Thanh Industrial Zone come from South Korea, Japan, the United States, Australia, Taiwan, France, Denmark and Vietnam, and are operating very effectively. World-renowned tenants include Bosch Vietnam, Olympus Vietnam, Ajinomoto Vietnam, Acrowel Vietnam and Aurole Fine Chemical Products. They have helped raise budget revenue, increase export and import value for Long Thanh Industrial Zone in particular and Dong Nai province in general and generate jobs for about 10,000 local workers.

In addition to its efforts to draw investment funds into Long Thanh Industrial Zone, Tam An 1 Residential Area has been effectively deployed by Sonadezi Long Thanh to add a convenient and reasonable residential product for tenants and workers in the park as well as external dwellers. Dormitories built right inside Long Thanh Industrial Zone have become a highly social product and help tenants stabilize accommodations for more than 4,000 workers, thereby helping employees feel secure for a long-term commitment.

To achieve current investment results, since its inception, Long Thanh Industrial Zone has always received timely support from Dong Nai province, Long Thanh district and Sonadezi Corporation - a leading infrastructure investor and developer in Dong Nai province. Furthermore, the industrial park also creates a competitive advantage with flexible business policies and diverse support services; supports investors to carry out investment procedures, apply for investment certificates, construction permits and business licenses in the shortest time; constantly improves service quality and customer care and fulfills commitments to investors who may recommend their partners to the industrial park in return. Sonadezi Long Thanh always actively offers appropriate solutions so that tenants will receive best support and incentives to start their operations, reflected in flexible payment options, competitive land rentals and attractive tax incentives (exempting corporate income tax for two years and a 50% reduction in the next four years). This combination of the above advantages has helped Long Thanh Industrial Zone effectively promote all values, all available potential and strengths and achieve extraordinary success, thus becoming an ideal destination for investors.

Grasping opportunities

Anticipating the huge demand for land and factory lease from foreign investors relocating their manufacturing facilities from other countries into Vietnam, Sonadezi Long Thanh prepared industrial factories for lease in Long Thanh Industrial Zone, Chau Duc Industrial Park (Ba Ria - Vung Tau province) and Long Phuoc 1 Industrial Complex, helping investors reduce costs and start-up time to quickly go into production. Mr. Pham Anh Tuan, General Director of Sonadezi Long Thanh Joint Stock Company, said transportation costs currently account for a very high share of operating costs. Thus, in its factory development strategy, the first factor that Sonadezi Long Thanh takes into account is the location for a smooth connectivity to traffic and trade to significantly reduce time and shipping costs for customers. Based on these prerequisites, the company decided to invest in industrial workshops for rent in Long Thanh Industrial Zone, Chau Duc Industrial Park and Long Phuoc 1 Industrial Park, which have geostrategic locations and convenient traffic infrastructure for customers to reduce transport requirements.

Besides Long Phuoc 1 Industrial Park, which will have technical infrastructure built in 2021, Long Thanh Industrial Zone has to date leased 51 factories covering 255,998.02 square meters (25.59 ha). In Chau Duc Industrial Park, Sonadezi Long Thanh also signed a contract with two customers to lease three factories (NX 01, NX 02 and NX 03) and offer for lease factories No. 04 and 05. Needless to say, with the decision to invest in industrial factory development in Dong Nai province and Ba Ria - Vung Tau province - among Top 10 biggest recipients of investment funds, Sonadezi Long Thanh's products benefit greatly from the local infrastructure system, especially transport infrastructure linked to Long Thanh International Airport, highways, deep-water seaports and other key national projects. “With these advantages, we will also focus on enhancing the brand reputation of Sonadezi brand in general and Sonadezi Long Thanh in particular and focus on product development toward quality, convenience and diversity to meet all customer needs in new conditions. This is also how we persistently accompany investors to success and help them to minimize costs, optimize profits, quickly have stable operations and develop effective business,” said Mr. Tuan.

By Thanh Tung, Vietnam Business Forum