Binh Dinh IZs: Destination for Investors  

Binh Dinh is a coastline province in the southern region of Central Vietnam and is one of the five provinces of the central region’s key economic zone. Despite lying far away from the two largest cities of Hanoi and Ho Chi Minh City, Binh Dinh has favourable natural conditions for social and economic development, especially national synchronous transport system (land roads, railways, sea routes and air routes) linking Binh Dinh with the rest of the country. It has a large potential for natural resources and well-trained human resources. The provincial economic growth continually hits over 9 per cent per annum and its economic structure has shifted into increasing industrial and service proportion in GDP. Industrial production value and export turnovers have continually increased by between 20 per cent and 30 per cent respectively per annum in the 2001-2005 period.

Binh Dinh industrial zones (IZs) were founded and developed in line with the development pace of the whole nation. Currently, Binh Dinh has two operational industrial zones set up under the Prime Minister’s decisions. They are the Phu Tai Industrial Zone covering 348 hectares and the Long My Industrial Zone in the first stage (with an area of 100 ha). 130 enterprises, occupying 90 per cent of rental areas, involving forestry and mineral processing, consumer goods and building material production and others for both local demand and for export to Europe, America and Asia.

Enterprises in IZs annually make up 35 per cent of the industrial production value and 40 per cent of the export turnover of the province, and create and secure jobs for over 20,000 people. In the coming time, Binh Dinh will carry out the building of the Long My Industrial Zone in the second phase with an additional 100 hectares and the Nhon Hoa Industrial Zone with 300 hectares to create more rooms for enterprises to lease for production. Besides, the 1,200-hectare Nhon Hoi Industrial Zone in the Nhon Hoi Economic Zone is being lobbied for construction and many others are in the planning stage.

These remarkable achievements result from efficient investment by both domestic and foreign investors into Binh Dinh’s industrial zones and from the favourable investment environment and investment incentive policies in Binh Dinh, and especially from decisive development guidance from all levels of government and the invaluable backing of the locals to set up industrial zones synchronously and swiftly. In the near future, Binh Dinh will advocate further improvement of the investment environment and more streamlined procedures and more investment incentive mechanisms to facilitate investment and production. 

The Binh Dinh Industrial Zone Authority, set up under the Governmental Decision No. 49/1999/QD-TT dated March 24, 1999 by the Prime Minister, supervises industrial zones in Binh Dinh under the Industrial Zone, Export Processing Zone and Hi-tech Zone Regulation issued in accordance with the Governmental Decree 36/CP dated April 27, 1997 by the Prime Minister. It has also executed other tasks assigned by central bodies and Binh Dinh Provincial People’s Committee.

The outstanding achievements of the past have brought in Certificates of Merit conferred by the Prime Minster and the Binh Dinh Provincial People’s Committee, Emulation Flag by the Ministry of Planning and Investment for its leading roles in central region and central highlands. However, Binh Dinh requires more efforts to tap its potential and advantages. In the coming time, with economic development orientations in the direction of industrialisation and modernisation, guidance of the Binh Dinh People’s Committee, guidance and aid from central agencies, investment by enterprises, support from local authorities, branches and residents in industrial zones, Binh Dinh IZs are sure of advancing into a brighter future.

• M.T