The Heart of Northern Focal Economic Zone

4:07:04 PM | 31/10/2008

Hai Phong is one of eight provinces and cities forming the northern focal economic zone. It holds much potentiality to become a regional economic locomotive.
The northern key economic zone is constituted by Hanoi, Hai Phong, Quang Ninh, Hai Duong, Hung Yen, Ha Tay (now merged with Hanoi), Vinh Phuc and Bac Ninh. According to the Prime Minister’s Decision No. 145/QD-TTg, the average annual GDP growth rate will be higher than the national average by 1.3 folds in the 2006-2010 period and 1.25 folds in the 2011-2020 period. The economic zone’s contribution to the country’s GDP increased from 21 per cent in 2005 and is expected to reach to 23-24 per cent in 2010 and 28-29 per cent in 2020. The average export value per capita was US$447 in 2005 and is expected to amount to US$1,200 in 2010 and US$9,200 in 2020.
 
The technological renovation speed averages 20-25 per cent per annum. The unemployment will be reduced to 6.5 per cent by 2010. The poverty ratio will be pushed to below 1.5 per cent in 2010 and below 0.5 per cent in 2020. The natural population growth will be decreased to 1 per cent in 2010 and below 0.8 per cent in 2020.
 
According to the land use plan developed by the Ministry of Natural Resources and Environment, the northern key economic zone form and develop urban systems around the capital of Hanoi and along the Hai Phong – Quang Ninh coastal economic corridor.
 
Nucleus urban zones are Hanoi, Hai Phong and Ha Long cities. New urban zones surrounded the nucleuses will form super-urban strips Hanoi - Haiphong, Hanoi - Hoa Lac, and Hai Phong - Ha Long.
 
Hai Phong City is one of the nucleus cities of the northern focal economic zone and in Vietnam. Satellite urban zones will be 20-30 km around Hai Phong City.
 
The inner urban zone of Hai Phong City is the nucleus and the economic centre (industry, service and tourism) of the entire northern region. This will be the main gateway to the sea for northern provinces and the traffic hub of the region. It is also a strategic military point. According to the statistical forecast, Hai Phong will have 1.8 million residents in 2020, including some 1.2 million urban dwellers. The city together with Minh Duc, Do Son, Nui Deo, An Lao, Kien Thuy, Cat Ba and others will form the coastal urban cluster.
 
In another development plan, Hai Phong is an integral part of the northern coastal region. According to the Prime Minister Nguyen Tan Dung’s Decision 865/QD-TTg on the plan for construction of the northern coastal region until 2025 and vision to 2050, to exploit all potentiality and advantage to develop the northern coastal region into a general economic zone in Vietnam, especially in the country’s seaborne economic development strategy. The northern coastal region consists of Hai Phong, Quang Ninh, Thai Binh, Nam Dinh and Ninh Binh, with a total natural area of 12,005.93 km2. By 2015, the regional population will reach 8.3- 8.65 million people and 8.7- 9 million people by 2025.

The northern coastal region will be a multi-polar urban cluster along Hai Phong - Ha Long. This is the driver for the economic, industrial and service development along the Hai Phong - Ha Long - Mong Cai economic axis.
The key zones of the northern coastal region are in Hai Phong and Quảng Ninh, which form the backbone economic corridor along the National Road, National 18 and National Road 10 with Hanoi.
 
The northern coastal region will have a modern and complete traffic system (roadway, railway, waterway and airway). Hai Phong international port will be invested to accommodate ships with loads of 30,000 DWT - 80,000 DWT. Hai Ha Port will be built to serve heavy industries and energy industry. Cam Pha coal port and Hon Net port will be upgraded to serve mining industry. Cai Lan and Dinh Vu ports will have new wharves built. Hon Gai International Passenger Port will be constructed. Cat Bi Airport will be upgraded into an international destination, a complement to Noi Bai International Airport. A new airport will be built in Van Don (Quang Ninh).
Commercial centres will be formed in Hai Phong, Quang Ninh and Ninh Binh to distribute commodities for the whole region. High-quality medical centres will be built in Hai Phong City and Nam Dinh to reduce the burden of hospitals in Hanoi. The region will have three training centres in Hai Phong, Nam Dinh and Ha Long, where 15 additional universities and colleges will be built, bringing the total tertiary education establishments in the region to 35.
 
The two development plans for the northern region are very important to develop the national economy. Hai Phong City is holding much advantage to make stronger growth.
 
Social and economic indicators in the first 9 months of 2008:
GDP is estimated to reach VND13,399.8 billion, up 12.52 per cent from a year earlier (estimated at 13 – 13.5 per cent). The service registered a growth of 13.98 per cent, industry and construction at 12.97 per cent, and agriculture, forestry and fishery at 4.54 per cent. Industrial production value totalled VND25,281.5 billion, equal to 70.8 per cent of the full-year plan and up 18 per cent. Agricultural production value was estimated at VND1,736 billion, equal to 68.2 per cent of the year and up 5.5 per cent. Export value was US$1,106.7 million, up 26.8 per cent.
 
Budget collection was VND18,730.6 billion, a 2.09 fold rise from a year earlier.
 
Total social investment capital was estimated at VND14,494.5 billion, equal to 67.4 per cent of the full-year plan and up 16.5 per cent year on year. Foreign investment capital reached US$1,209.13 million, a 4.84 fold rise year on year.
 
Cargo throughput at Hai Phong Port was estimated at 21.713 million tonnes, equal to 83.5 per cent of the whole year plan and up 30.2 per cent. Visitor arrivals to Hai Phong were forecast to reach 3.045 million, or 71.7 per cent of the annual plan and up 6.2 per cent. International arrivals were 527,000, a rise of 8.9 per cent year on year and an equivalent of 58.6 per cent of yearly plan.
Thanh Yen