Hoa Binh Corporation: Rising up to a New Height with Confidence

Hoa Binh Corporation: Rising up to a New Height with Confidence

Over recent years, Vietnam's construction sector has seen many new developments. However, at the threshold of international integration, the sector is faced with numerous difficulties and challenges. As one of the largest construction corporations in Vietnam, how has Hoa Binh Corporation prepared to seize new opportunities rendered by the prospect of Vietnam's accession to the WTO? To find an answer, Vietnam Business Forum conducted an interview with Mr. Le Viet Hai - General Director of Hoa Binh Corporation.

Could you please make your comments on the development of Vietnam’s construction sector over the past few years?

During the last five years, Vietnam's construction sector has seen significant but mainly spontaneous development. The unit costs provided by State-owned bidders fail to comply with market requirements, thus causing quite a few difficulties to bidding in construction projects. Recently, the fluctuation in rough steel's price has induced negativity in procurement of construction materials and posed a headache to civil works enterprises. The current law of construction also needs to be revised. But I believe that in the years to come, the construction sector will make important breakthroughs.

Could you please talk about the recent achievements of Hoa Binh Corporation?

Over the past ten years of development, the corporation has made great efforts to enhance its strength and improve its service quality. Since 1997, the Board of Directors and department heads have attended training courses on ISO 9000. Since mid-2001, the corporation has successfully adopted the international quality control standard of ISO 9001:2000. In 1998, the project of Tan Son Nhat hotel designed and built by Hoa Binh Corporation was completed, and was given the Gold Medal for High Quality Work by the Ministry of Construction. Besides, with the successful building of the Delta Juice Plant in Long An in 1999, Hoa Binh Corporation has reiterated its construction qualifications of international standard. Other works such as Saigon Sky Garden Apartments, Stamford Court, Riverside Apartments, Legend Hotel, Melinh Point Tower, and Ocean Place demonstrate that Hoa Binh Corporation is the best contractor to meet all the requirements of clients.

Furthermore, in 2004, the 16^th Construction Award Council (the New Millennium Award sponsored by Editorial Office and Trade Leader’s Club) of the building industry has chosen Hoa Binh Joint Stock Company as the recipient of this honor.

As Vietnam is at the threshold of WTO membership, what are the advantages and disadvantages for construction enterprises, in your opinion?

According to current regulations, foreign contractors must set up joint-venture with State-owned companies in which the former can contribute up to 30% of the total capital. In the future, when Vietnam becomes a member of WTO, foreign contractors will directly tender for construction projects in Vietnam. Generally, Vietnam’s civil engineering companies are deficient in capital, technical qualification and modern machinery. Therefore, Vietnam’s admission to the WTO will create a good opportunity for domestic construction enterprises to absorb global management experience and building expertise. Hoa Binh Corporation has worked out plans to attract foreign investment capital, improve its construction techniques and management skills, and invest in modern equipment. 

Could you tell us the orientations for Hoa Binh Corporation in the future?

At the moment we have ten specialized units that are responsible for producing and supplying ten different categories of products and services, including construction design; civil and industrial engineering; road and bridge and infrastructure building; repairing and interior decoration; design, production and installation of wooden doors and high-grade furniture; production of hodastone, aluminium and glass works; development of new technologies; and supply of high-class construction and interior decoration products. We will strive to improve the quality of goods and services to meet all the demands of clients and markets at home and abroad.

• Reported by Doanh Thu