5:40:58 PM | 25/8/2006
To review socio-economic achievements recorded by Thai Binh province since the renovation and envisage the future, Vietnam Business Forum had a discussion with Mr. Nguyen Duy Viet, Chairman of Thai Binh People’s Committee.
From a low base, limited budget and shortage of investment capital for socio-economic development, how could the province attain such achievements in recent years?
Thai Binh is an agricultural province in the Red River Delta with an area of 1,524 sq. kilometres, population of nearly 1.8 million people, fertile land, over 43 km of coastline, 4,000 hectares of coastal waters, abundant fresh water source, rich in aquatic product and underground gas. The renovation in recent years has recorded new economic development with average growth rate of 7.21 per cent in 2000-2005. In 2005, GDP was VND6,455 billion, GDP per capita was VND5.7 million (equivalent of US$370).
Agriculture-forestry-fishery have been evenly developed with high value and efficiency and gradually transformed into cash crops with turnover increases 4.04 per cent a year, production value of VND38 million per hectare. The restructuring of species of plants and animals has been stepped up, some regions and models have been formed with high economic efficiency. Though with smaller area for rice cultivation, the food output has increased by over one million tonnes. Progress has also been made in animal husbandry, industrial method has been applied with farm models closely linked with consumption markets.
Fisheries have been developed and expanded, changing from extensive to semi-intensive and intensive raising. The raising is well planned with more investment to infrastructure. Coastal forests have been upgraded to protect sea walls and sea ecology.
Industry and construction increased in volume and value by 16.02 per cent a year. Five industrial zones have been planned and developed with a total area of 690 hectares, eight industrial centres with a total area of 215 hectares, including Phuc Khanh and Nguyen Duc Canh industrial zones with complete infrastructure. 195 investment projects have been registered including 119 projects with capital of VND2,380 billion already under operation, and creating 35,000 jobs. 100 per cent of space in Phuc Khanh and 80 per cent in Nguyen Duc Canh industrial zones have been rented, under operation and construction Crafts and craft villages have been expanded with 100 per cent of communes having stable employment and income for 150,000 people.
Trade develops with the participation of all economic sectors, forming commercial centres, services, supermarkets and new business methods. Trade promotion has been enhanced with initial successes. The retail sales increased 14.7 per cent a year. Products have been exported to 35 countries and territories. The export turnover increased 21.5 per cent a year, US$95 million in 2005, 2.79 times that of 2000. Services develop in scale and quality. The turnover of service sector increased 9.65 per cent a year.
Financial management has been improved in compliance with the State budget law. All levels and agencies are assigned with the tasks of budget revenue and spending, autonomy and responsibility in management, allocation and usage of State budget. The revenue has been fully exploited with a total of VND3,338 billion in five years, increased by 30.5 per cent a year. The local budget spending in five years was VND6,881 billion, increased by 18.8 per cent a year, including VND2,352 billion for development investment (34.2 per cent).
As the province tries to get rid of less-developed position in the Red River Delta by 2010, what is the orientation for socio-economic development
Entering into the new millenium, the province has the task of accelerating the industrialization and modernization in line with the renovation in Vietnam, first of all, socio-economic objectives, cooperation expansion, GDP growth rate of 12 per cent in the next five years (2006-2010). Thai Binh continues the economic development with five priorities :
- High efficiency in existing industrial zones and centres; continued construction of new industrial zones and centres; more resources for high technology and processing industries namely electronic production and assembly, ship-building, software, farming mechanics, consumer goods, export products, agriculture-fishery processing industry.
- Accelerating the agricultural transformation to cash crops; developing concentrated production areas with complete infrastructure; selecting species of high yield and quality to increase economic value per unit; changing 8,000-10,000 hectares of low-yield rice fields to the development of other kinds of higher economic values; and submerged areas to aquatic development; developing animal husbandry in farm and household models for big and stable output.
- Developing the sea-economy, focusing on raising, exploitation, catching, processing and gradually developing services, sea tourism and transport; expanding area, increasing investment and efficiency in raising sea-products inside and outside sea walls; shifting to intensive and semi-intensive raisings; encouraging off-shore fishing; increasing processing and logistics of fisheries.
- Developing crafts and craft villages with some priority for existing ones, introducing new crafts and craft villages, intensive investment to produce high competitive products; planning the construction of craft villages linked with industrial centres and sites to facilitate the development and protection of environment.
- Alongside economic development, Thai Binh will focus on social objectives; increasing social welfare especially in rural and coastal areas; improving production, employment, living conditions and cultural standard of the people; developing human resources by “increasing knowledge, training workforce, promoting and using talents” – both objectives and motivations of economic development; combining socio-economic development with national defence, environment protection for sustainable development.
How can the province attract resources for socio-economic development to attain the above objectives?
For a poor province under transformation like Thai Binh, investment capital from the Central Government is essential for the development of infrastructure of industrial zones and centres, the moving of animal farms from populated areas, the transformation of fish raising areas, especially projects and programmes of ministries and agencies in the province.
The province will make the best use of internal strength including income and revenue from land rent to re-invest in key projects, increase ODA capital in education, health, transport and communication, attract FDI for socio-economic development and important resources from enterprises and households for development.
Thai Binh will increase economic linkage with key economic regions : coordinating with other provinces on division of production zones and markets to promote production and exchanges of products; attracting investments, especially in production and processing of agricultural products and in aquaculture; creating favourable investment environment including attractive investment policy, favourable infrastructure, management, land-use and administrative formalities.
The province will apply preferential treatment to investment in industrial zones, facilitate their construction and expansion, encourage the increase of capital sources, explore new gas deposits in Tien Hai, Kien Xuong and other districts and recommend the government to exploit gas resources in Block 104-105 offshore of Thai Binh.
The province will lift all barriers to facilitate long-term investments, accelerate administrative reform applying one-stop shop. Thai Binh People’s Committee will meet regularly with businesses finding ways and means to solve their problems, timely honouring successful businesses in socio-economic development.
Together with potentials and strength, openness and encouragement, Thai Binh warmly welcome foreign investors, international organizations, overseas Vietnamese and local businesses to expand cooperation for mutual benefit and development in the 21st century.
Reported by Kim Dung
Vietnamese
