With the working principle “Your trusted partner always”, Sai Gon VRG has been highly appreciated by customers and maintained stable growth. The corporation has also boldly spent more than VND1,000 billion of investment capital on a series of industrial park (IP) projects. To better understand the outstanding position and brand that Sai Gon VRG has created, our reporter has conducted an interview with Mr. Lu Thanh Nha, General Director of Sai Gon VRG.
Phuoc Dong Industrial Park, Go Dau district, Tay Ninh province is an attractive investment destination
Could you please tell us about the milestones that Sai Gon VRG passed on its journey to make a popular impression on infrastructure investment scale, service development and investment attraction?
Sai Gon VRG Investment Corporation, established in 2007, is largely engaged in investment, construction and operation of industrial park and residential area infrastructure. To date, after 17 years of construction and development, Sai Gon VRG has become a prestigious industrial estate developer and a trusted partner of more than 200 domestic and foreign investors, attracted more than US$8 billion of investment capital, and become one of the largest listed industrial park developers in the Southern region.
One of the first projects that laid the foundation for Sai Gon VRG’s development is the 342.53-ha Dong Nam Industrial Park (Cu Chi) in 2008. Then, in 2009, the corporation established the 2,436.11-ha Phuoc Dong - Boi Loi Industrial - Urban - Service Complex in Tay Ninh province. In 2013, Sai Gon VRG formed Thanh Phuoc transit port (Tay Ninh) to provide logistics service for Phuoc Dong Industrial Park and neighboring areas. Also in 2013, the firm developed 497.77-ha Loc An - Binh Son Industrial Park (Dong Nai). In 2014, the second industrial park in Ho Chi Minh City was established, Le Minh Xuan 3 Industrial Park, with a total area of 311 ha. In 2019, Sai Gon VRG shares were listed on UPCOM with the ticker symbol of SIP and switched to be listed on the Ho Chi Minh Stock Exchange. To date, the industrial parks of Sai Gon VRG have attracted more than US$8 billion of domestic and foreign investment capital and generated jobs for nearly 100,000 workers.
Tay Ninh is focusing on the third phase development strategy for Phuoc Dong Industrial Park. What is this project expected to attract?
Phuoc Dong Industrial Park is considered a bright investment destination in Tay Ninh province. It has attracted 53 domestic and foreign investors, most of which are giant international corporations, with a combined investment capital of nearly US$6 billion. In the coming time, based on the local development plan and its strengths, the industrial park will target to encourage mechanical engineering, electronic components, chemicals, rubber tires, textile and garment, food processing, beverages, plastic production, household appliances and other industries.
What makes Phuoc Dong Industrial Park so attractive and why does it attract so much investment capital? It is because the park has a large land fund, a synchronous and modern infrastructure system, a convenient multi-connection location and good investment incentive policies. In addition to leasing land in the industrial park to secondary investors to establish investment projects, Phuoc Dong Industrial Park also flexibly develops more diverse products for their needs, including ready-built factories for rent, built-to-order factories for rent and ready-built warehouses for rent.
Continuing that success, Sai Gon VRG planned to focus resources to implement the third phase of this project on nearly 568.5 ha of land, hence adding abundant supply for large-scale production projects in the coming time. By gradually completing industrial infrastructure to optimally meet tenants’ needs, the corporation will continue to upgrade existing infrastructure to better satisfy their demands.
To develop sustainable industrial parks, how does the corporation focus on infrastructure construction and completion?
Economic, technical and industrial infrastructure development, when implemented effectively, will create a solid foundation for economic development. Being aware of this early, Sai Gon VRG has focused on action plans, especially in Phuoc Dong Industrial Park, which has basically completed industrial infrastructure construction with five internal transformer stations (an installed capacity of 693 MVA), two water supply plants (daily capacity of 20,000 cubic meters) and three wastewater treatment plants (daily capacity of 15,000 cubic meters). Its traffic routes are spacious and airy, with 60-meter wide 6-lane trunk roads and 2-4-lane internal roads of 29-35m wide.
Moving towards sustainable development, Phuoc Dong Industrial Park also focuses on developing urban infrastructure for workers, including houses, dormitories, schools, hospitals, entertainment areas and many other service facilities to meet the modern and convenient life of residents. In addition, the industrial park has carried out many activities to take care of the material and spiritual life of workers in the industrial park as well as local residents.
Sai Gon VRG Investment Corporation and tenants in Phuoc Dong Industrial Park always actively participate in local social activities. The corporation established the Phuoc Dong Industrial Park Social Fund. After more than 10 years of operation, the fund has supported interest-free loans for over 100 cases directly affected by the company’s project as well as for poor families business to stabilize their lives.
In parallel, Sai Gon VRG always focuses on human resource development through many training measures. In addition, welfare policies are also well implemented to help workers improve their lives.
What does Sai Gon VRG expect from local authorities, especially in improving the Provincial Competitiveness Index (PCI)?
The Tay Ninh provincial government has recently actively sped up administrative reform, improved the investment and business environment, and removed difficulties for businesses and investors. As a result, Phuoc Dong Industrial Park and Tay Ninh province generally are becoming one of the investment attraction locations in the Southern region.
The Tay Ninh Provincial Planning for the 2021-2030 period, with a vision to 2050, defines seven development breakthroughs: Infrastructure development, human resource development, institutions, small and medium enterprise development, sustainable development: green Tay Ninh, tourism development, and service economic development. Effectively carrying out these seven development breakthroughs is the solution to improve PCI as well as develop Tay Ninh quickly, comprehensively and sustainably in the coming time. Specific development solutions are being implemented step by step by the province and are showing initial results.
Sai Gon VRG also hopes that the Tay Ninh Economic Zone Authority and other agencies will continue to promote effective investment attraction measures and inter-regional transport infrastructure, strengthen investment promotion and introduce appropriate incentive policies in the future.
Thank you so much!
By Cong Luan, Vietnam Business Forum
Vietnamese
10/12/2024
Hanoi, Ho Chi Minh City