14:22 | 07/08/2015 Investment
(VEN) - Thai Nguyen Province currently has 32 industrial clusters (ICs) with total planned area of 1,170ha. Businesses have operated in 19 ICs, while the remaining ICs have not yet attracted investors. Only five ICs have to date been filled with an area of 97.87ha.
Thai Nguyen Province leaders conducted an overall survey of all ICs in the province in April and May this year. According to a general evaluation, almost all districts have made greater efforts in the construction, development and investment attraction in ICs. Many ICs have brought good social effects and created jobs for workers. However, in addition to positive results, infrastructure construction in ICs has faced difficulties, especially in the building of drainage and lighting systems and internal roads. Some ICs are promoting their efficiency. However contributions to increasing the province’s industrial production index remain low, while attracting investment in the construction of infrastructure in ICs remains weak. Investors have faced difficulties in terms of capital and ground clearance. More importantly, technical infrastructure in ICs remains poor and trade and production activities are liable to cause environmental pollution.
Thai Nguyen Province has more than 127,000ha for ICs. To date, 17 projects have been granted investment certificates to operate in ICs with total registered capital of more than VND446 billion, contributing to creating jobs for over 600 workers. However some ICs have faced difficulties in attracting investment due to incomplete infrastructure.
Song Cong Town has three active ICs including Nguyen Gom, Khuynh Thach and Ba Xuyen with total planned area of 86.83ha. Cai Dan Ward’s Nguyen Gom and Khuynh Thach ICs have 15 investment projects, while the Ba Xuyen IC has not yet built infrastructure.
Dong Hy District has five ICs that have been approved by the provincial people’s committee in terms of general planning. Of this, three ICs have been planned in detail, including Nam Hoa, Dai Khai and Quang Son with total area of 137ha. However due to the general difficult situation, no financial support is visible and investors are not willing to invest in the construction of technical infrastructure in ICs.
Dai Tu District has four ICs including Phu Lac 1, Phu Lac 2, An Khanh 1 and An Khanh 2 with total planned area of more than 180ha. Of this, An Khanh 1 and Phu Lac 2 ICs have many plants which are operating efficiently, attracting several trillion Vietnamese dong and creating jobs for local people, while An Khanh 2 and Phu Lac 1 ICs have not found any investors. The district’s biggest difficulty is associated with ground clearance operations. Therefore, businesses have not yet implemented their projects. In addition, inter-communal roads do not meet the need during the construction and development of ICs.
To further attract investment in ICs, local leaders have asked the Thai Nguyen Province People’s Committee to provide budgets and devise mechanisms to support the construction of infrastructure in ICs in the province, inspect the implementation of investment projects, handle violations, direct power and water sectors to work with investors to ensure supplies, and create favorable conditions for investors.
The Thai Nguyen Provincial People’s Committee has asked leaders of the people’s committees of districts and the city of Thai Nguyen to strengthen management and promote investment attraction in ICs, while guiding and directing investors to build technical infrastructure. The Thai Nguyen Department of Industry and Trade needs to cooperate with departments and agencies to devise mechanisms and policies to support investment create favorable conditions for businesses, ask related parties to adopt preferential policies to attract more investment and organize dialogues with investors to seek proper solutions. In terms of ground clearance, districts need to follow the law to facilitate enterprises. In addition, it is necessary to encourage businesses that are operating efficiently and strengthen inspection to ensure public security. Departments and agencies also need to help businesses complete dossiers for investment in ICs.
According to experts, to attract more investment capital in ICs, districts should create favorable conditions for firms, strictly manage planning, enhance inspection and guide enterprises in investment and construction and ensure technical infrastructure connections under detailed planning. Thai Nguyen’s Department of Finance and Department of Industry and Trade need to devise development mechanisms for ICs in the province.