Phu Tho Industrial Parks: Greening Investment Inflows

1:47:32 PM | 11/10/2023

In addition to removing bottlenecks in site clearance, connection infrastructure and administrative reform, Phu Tho province has robustly promoted and attracted large-scale “green and sustainable” projects with modern technologies. Our reporter has an interview with Mr. Nguyen Ngoc Hanh, Director of the Phu Tho Industrial Zones Authority, on this issue.

Mr. Nguyen Ngoc Hanh, Director of the Phu Tho Industrial Zones Authority, shares his insights on investment promotion at a conference and dialogue with businesses

Could you briefly introduce the current development of Phu Tho province-based industrial parks? What are bright spots that need to be promoted and limitations that need to be overcome?

Phu Tho currently has four operational industrial parks, namely Thuy Van, Trung Ha, Phu Ha and Cam Khe, attracting 187 companies to invest VND25,579 billion and US$2.3 billion in 202 projects, including 98 FDI projects. Tenants are largely involved in manufacturing electronic equipment and components, telephones, mechanical products, construction materials, agricultural products, foods, beverages, animal feeds, textiles and garments, and packaging.

Notably, industrial parks have attracted large-scale projects with modern technologies to generate high production and export value and gradually form new high-tech industries, helping speed up economic restructuring. Many businesses have invested in expansion, increased investment capital, scaled up capacity or made new investments, showing that the business environment in industrial parks has become more favorable.

However, there are still some limitations such as slow site clearance, slow investment licensing and prolonged debt incurred by some businesses. The authority has also coordinated with relevant bodies to advise the Provincial People's Committee to introduce solutions to address these hindrances and initially achieved some positive results.

How are the potential, advantages and development direction of Phu Tho industrial parks assessed and expressed in the Phu Tho Provincial Planning for the 2021 - 2030 period, with a vision to 2050?

Phu Tho is at the heart of the West - East - North subregion, at the confluence of three major rivers - Red River, Da River and Lo River, and a hub for transit and economic exchanges between regions. The province also lies on important road, rail and water traffic routes (National Highway 2, Noi Bai - Lao Cai Expressway, Ho Chi Minh Highway) linking northern mountainous provinces with major economic centers like Hanoi, Hai Phong and other localities. Moreover, localities can exploit traffic advantages to participate in commodity circulation and develop trade cooperation with China and ASEAN.

Phu Tho has some types of minerals in considerable reserves, favorable for developing cement and construction materials industries. The province also has a large area of planted forests for the wood processing industry. In particular, Phu Tho has abundant human resources with over 1 million workers, most of whom are young and trained.

Developing industrial parks to create a clean land fund with synchronized infrastructure, increase investment appeals and generate a driving force for economic growth is a direction defined in Phu Tho Provincial Planning for the 2021 - 2030 period, with a vision to 2050. Accordingly, the province is resolved to develop synchronous, modern industrial parks with appropriate scales in each stage to attract investment capital and technology, create jobs and protect the environment; and attach production to output markets and input sources.

The province plans to develop 12 industrial parks with a total area of 5,095 ha by 2030. Among them, seven industrial parks were approved for construction by the Prime Minister and five others were planned for construction. All have good traffic connections.

Phu Ha Industrial Park is a hub of industrial activity in Phu Tho province

To attract more investors into industrial parks, the authority is speeding up investment promotion, with a focus on green investment. Could you tell us more about this?

To further attract investors into industrial parks and adhere to the direction of the province, the Phu Tho Industrial Zones Authority is coordinating with relevant bodies to woo investors with practical contents and specific activities, focusing on green and sustainable investment with specific solutions below:

First, reforming investment attraction methods; flexibly providing favorable conditions for investors; prioritizing large-scale manufacturing projects with advanced technologies and high added value that invest in specially incentivized fields, can pay big taxes and are friendly to the environment.

Second, coordinating closely with districts, cities and towns in land compensation, site clearance and resettlement support, removing difficulties and obstacles, and resolving backlogs for projects.

Third, ensuring implement environmental protection, waste and wastewater collection and treatment; regularly analyzing and monitoring environmental quality; strengthening inspection into fire prevention and equipment safety to minimize the causes of fire and explosion.

Fourth, guiding, urging and helping businesses to follow labor laws, ensuring the legal and legitimate rights of workers and employers; tightening State management of foreign workers; actively coordinating in training, support, and introduction of labor resources for businesses.

Fifth, speeding up administrative reform aligned with the accountability and responsibility of agency leaders; improving administrative efficiency, effectiveness and discipline; promptly resolving emerging difficulties and problems to turn Phu Tho industrial parks into favorite destinations for domestic and foreign investors.

Thank you very much!

Source: Vietnam Business Forum