Major Contribution to Local Development

By carrying out many consistent solutions to deal with difficulties, supporting businesses to promote industrial and commercial investment; improve production and business capacity; and search for and expand the market, the Department of Industry and Trade of Hau Giang province has effectively helped improve the business investment environment and socioeconomic development. Vietnam Business Forum has an interview with Mr. Huynh Thanh Phong, Director of Hau Giang Department of Industry and Trade.

How have the industrial, service and trade sectors of Hau Giang province fared in the past time?

At present, Hau Giang province has 176 industrial companies and 4,644 small industrial facilities. Major industries include food, beverage, footwear and paper. In 2019, the province’s industrial output reached VND40,799 billion, 13.50% higher than in 2018. The Index of Industrial Production (IIP) rose by 7.6%.

Trade and service sectors grew steadily. In 2019, the total retail revenue of consumer goods and services and the revenue of accommodation, catering, travel and tourism services were estimated at VND37,914,966 billion, 8.82% higher than in 2018 and 2.18% higher than the full-year plan.

The total value of exports, imports and foreign currency payment services was estimated at US$1,067,942 million in 2019, down 4.165 from 2018 and 2.69% higher than the full-year plan.

Can you tell us some remarkable results of attracting investment in industry, trade and service sectors in Hau Giang province? What is the investment attraction orientation of the province in the coming period?

In order to catch up with integration and development trends, Hau Giang province has given priority to inviting really capable investors bringing with advanced technologies to promote sustainable industrialization and modernization and realize the goal of becoming an industrial province in the near future time.

Currently, the province has two large-scale industrial parks and four smaller industrial zones managed by the Hau Giang Industrial Zones Authority, covering more than 832.79 ha, and six small-scale industrial zones administered by local authorities, covering 323.94 ha. In recent years, more investors have come to Hau Giang, with projects increasing in size, quantity and quality. Up to now, local industrial zones have attracted 84 projects (including 54 projects in operation) with a combined investment fund of VND75,186 billion (local) and US$488.4 million (foreign).

To tap local potential and strengths, Hau Giang is encouraging the development of agricultural and aquatic processing industry, supporting industries and renewable energy. At the same time, priority is given to attracting projects to develop electronics, automobile, logistics, apparel, footwear, handicraft, agriculture and pharmaceutical industries that employ advanced technologies and cause little impact on the environment.

To carry out the above tasks, the Department of Industry and Trade will promote cooperation with relevant units to mobilize, call, and promote investment and expect to attract large-scale investors with modern technology. It will continue to carry out transitional and new planning projects, focusing on the industry and trade planning projects.

What do you think about the improvement of the investment and business environment and PCI growth of Hau Giang over the years? Could you please tell some solutions that the department takes to make these better?

In the past years, Hau Giang has made great efforts to boost investment promotion, improve business environment and support businesses. Leaders at all levels in the province regularly hold dialogues to promptly support investors to deal with emerging difficulties, particularly in site clearance and administrative procedures concerning project execution.

Besides, Hau Giang is applying preferential mechanisms and policies to attract investors because seven out of eight districts have extremely difficult social and economic conditions. When they carry out investment projects in the province, they will be entitled to preferential corporate income tax, import tax, land rent and water surface rent, according to the regulations.

Thereby, it shows Hau Giang's activeness and resolution to make investors satisfactory. This factor has also helped improve Hau Giang's PCI in recent years. In 2019, Hau Giang ranked No. 42 out of 63 provinces and cities nationwide, two places higher than 2018, scoring 64.14 points.

As an advisory body to the Provincial People's Committee to perform State management of industry and trade, the Department of Industry and Trade will continue to carry out many measures to improve Hau Giang province’s PCI as follows:

First, make public and transparent administrative procedures, sector and subsector plans managed by the Department of Industry and Trade; carry out business support policies, closely coordinating with relevant agencies and localities to focus on prompt solution to difficulties and problems faced by enterprises to improve the business environment and facilitate stable business development.

Second, renew the content and form of investment attraction: improving the quality of information and publications to create initial appeal to investors; actively coordinate with localities to seek partners to invest in established projects, particularly projects to build supermarkets, markets, industrial zones.

Third, effectively carry out industrial promotion projects launched by National and Local Industrial Promotion Programs to support companies to boost production and application of modern science, technology, machinery and equipment to industrial production development.

Fourth, further promote the Campaign “Vietnamese people give priority to using Vietnamese goods"; strengthen support for businesses to build and develop brands and find output markets; organize and participate in local and external trade promotion activities to advertise brands of typical local products; boost cooperation to expand the domestic market and increase exports; close monitor the market, actively forecast supply, demand and prices to assist enterprises to promptly work out appropriate production plans.

Last but not least, the department has coordinated with tourism, agriculture and localities to boost agritourism development linked to consumption of locally typical products, especially agricultural and fruit products. Notably, the province has focused on developing OCOP (One Commune One Product) products of high quality and beautiful designs and building showrooms and selling products at tourist spots for easy access to tourists.

Source: Vietnam Business Forum