Tra Vinh IZs: Focus on Infrastructure Development

11:13:52 PM | 31/3/2010

Vietnam Business Forum conducts an interview with Mr. Duong Van Ken, Head of Tra Vinh IZ Management Board.
How do you assess the development of infrastructure and investment projects of Tra Vinh in 2009?
Tra Vinh has three industrial zones: Long Duc in Tra Vinh town (120.6 ha), Cau Quan in Tieu Can district (250 ha), Co Chien in Cang Long district (200 ha), and Long Duc expansion (*116 ha).
Long Duc IZ has attracted 22 investment projects with a total registered capital of VND1,051.89 billion (equivalent of US$60.11 million) including nine FDI projects with registered capital of US$30 million and 13 local investment projects worth VND526.86 billion. 67.65 ha have been rented or 93.13 percent of the land is for rent (61.9 ha). 16 projects have been licensed or approved while 6 have MOUs signed. 10 projects are already under operation, 4 are under construction and 2 are delayed due to financial difficulties.
Cau Quan IZ has been approved in details by Tra Vinh People’s Committee and is undergoing preparation for infrastructure development.
Co Chien IZ is under planning by Tra Vinh Department of Industry and Trade.
Long Duc IZ expansion is undergoing preparation in details.
Long Duc and Cau Quan IZs are allocated VND70 billion each by central budget in accordance with Decisions 183/2004/QD-TTg of October 19, 2004 and 43/2009/QD-TTg of March 19, 2009.
How did administration reform help businesses in IZs and development in 2010?
Though facing recession of investments in Vietnam, Tra Vinh IZ Management Board has improved the investment environment and attracted several investment projects to Long Duc IZ in 2009. Administrative formalities, infrastructure and human resources development have been improved facilitating investments and business activities in the province. The Management Board has also organized meetings and dialogues between local authorities, investors and businesses to find solutions in accordance with the recommendations of investors. As a result, investors can accelerate the development and operation of their projects.
In 2009, the Management Board has applied “one-stop shop” for administrative formalities with more power delegated to local authorities to help investors and businesses in IZs saving both time and money. Tra Vinh People’s Committee has also issued Decision 1610/QD-UBND of August 24, 2009 to review 76 formalities in IZs.
What are the policy and measures taken by Tra Vinh to meet the demand for trained workforces in IZs ?
Creating jobs for the people in a country under industrialization and modernization is most essential for sustainable development. The government pays special attention to the welfare of the workers, land compensation and resettlement of the owners of the land. Tra Vinh is preparing amendments to the Labour Code to prevent illegal work strikes and improve labour relations, and increase public education on labour law, employment and salaries. The province also made great efforts to develop human resources to meet the demand of the investors.
Economic recession has affected investment. How will you promote investments in the coming years?
Due to economic recession in Vietnam and the world, Tra Vinh had several difficulties in promoting investments in its IZs. Investors lack capital to invest even in projects under development. Under these circumstances, the Management Board in conjunction with related authorities have promoted investments on websites calling investors for projects of low cost and high efficiency in the province. Reasonable land rentals and infrastructure are also promoted to attract investments.
Nguyen Van