Hoa Binh Province - Home to Series of Investment Opportunities

3:26:35 PM | 8/7/2005

Hoa Binh Province - Home to Series of Investment Opportunities 


Hoa Binh province is the gateway to the North West of Vietnam. The province has favourable river and road networks for economic development. Highway 6 was upgraded in 2004 and 65 km of Ho Chi Minh highway in Hoa Binh province will be completed by the end of 2005. River ports in Hoa Binh, Bich Ha and Binh Thanh have become operational linking the river transport with Hanoi and Son La province.


Hoa Binh is rich in minerals including granite, limestone, coal, kaolin, and gold for the development of industry. The province has over 209,000 ha of forests for timber and pulp production. The area of medical herbs can be expanded to build a processing factory in the province. The hydro-electricity plant of 1,920MW in the province can ensure power supply for socio-economic development. Currently, the province is building infrastructure for Luong Son IZ (40 km from Hanoi), Xuan Mai town and another IZ near Hoa Binh town.


The natural conditions of the province are most favourable for the development of agriculture and animal husbandry, including high-value products such as purple sugar cane, Shan tea and other fruit for processing industry.


The province is developing a trade and service network. In 2004, the retail sale and consumption increased 9 per cent over 2003, and the import-export value was over US$23 million.


Hoa Binh is also famous for its cultural and historic relics such as Kim Boi hot stream, Tien pagoda, Da reservoir, and Mai Chau valley attracting Vietnamese and foreign tourists.


Due to better investment, the growth rates increased 7.4 per cent in 2002, 8.2 per cent in 2003, and 8.52 per cent in 2004. In 2004, the agriculture, forestry and fisheries increased 5.59 per cent, industry and construction 16.8 per cent, service 7.5 per cent. While the economic structure is improving with 46.1 per cent for agriculture,  21.9 for construction, 32 per cent for industry. The total budget revenue was VND328.93 billion, or 198 per cent of the government plan and 149 per cent of the province plan. The province has 74 investment projects including 64 projects of domestic investment with a total registered capital of VND3,258 million, 10 foreign invested projects with registered capital of US$38 million. 36 projects are under implementation with investment capital of VND230 billion and US$8.5 million, among them 18 projects have started operating (11 domestic and 7 foreign invested projects) creating over 3,000 jobs. Foreign invested projects focus on the production of electronic parts, optical lens, home utensils, processing export products, sport-wear, and golf courses. Meanwhile domestic investment projects include the production of building materials, processing industries, eco-tourism, forest planting and animal husbandry.


In order to attract some 30 new investment projects in 2005, the province will support the building of road networks and power supply, accelerate the development of infrastructure in the two industrial zones to facilitate the investors in the implementation of projects.


In 2005, Hoa Binh will try to attain a growth rate of 9 per cent including 4.5 per cent in agriculture, 19 per cent in industry and 9 per cent in services.

  • Phuong Hien