New attractions of Mekong Delta IZs

12:08 | 02/05/2016 Economy

(VEN) - Improved infrastructure and a dynamic investment environment are new advantages that have helped industrial zones in the Mekong Delta attract investors.

Hung Phu I Industrial Zone - Photo: sggp

According to the Long An Economic Zone Authority, since the beginning of this year, industrial zones (IZs) throughout the province have attracted 40 projects, a rise of 37.9 percent compared with the same period in 2015. These include 19 foreign direct investment (FDI) projects with total capital of US$208 million, and 21 domestic investment projects with total capital of nearly VND1.13 trillion. Apart from these new projects, 15 ongoing projects, mostly in the fields of textiles and garments, leather footwear, and food, increased their capital by a total of US$172 million.

Nguyen Thanh Hung, Head of the Can Tho Export Processing and Industrial Zone Authority, said that in the first quarter of this year IZs in the city attracted four new investment projects, the biggest of which was that of the Republic of Korea’s Tae Kwang Industrial Co., Ltd. with total investment of more than US$171.48 million. Another project that is invested in by the Truong Hai Auto Joint Stock Company aims at building a showroom and a repair and maintenance facility worth VND100 billion.

Currently, 220 projects are ongoing in Can Tho’s IZs with total registered capital of more than US$2.11 billion, of which over US$903.8 million have been disbursed. These included 22 FDI projects with total registered capital of more than US$369.8 million, of which over US$181.9 million has been disbursed.

The Hau Giang Department of Industry and Trade said that in the first quarter of this year the province attracted 73 investment projects, of which 39 projects have been put into operation. Through these projects, domestic and foreign investors registered to invest nearly VND65.94 trillion and US$693.7 million in the province, generating jobs for 16,000 workers, including 309 foreign workers.

Yasuzumi Hirotaka, Director of the Japan External Trade Organization in Ho Chi Minh City, said that transport infrastructure in the Mekong Delta had improved, and that the region offered great potential for investment in fields such as agricultural product and seafood processing, manufacturing machinery for hi-tech agriculture, services, tourism, transportation, and logistics, so it had attracted the attention of foreign investors, including those from Japan. For example, the Japanese Beef Import-Export Association has signed a memorandum of understanding with the Can Tho City People’s Committee to import straw from the Hau River Farm to make cattle feed; the Republic of Korea-Vietnam Incubator Park based in Can Tho has commenced operations, attracting hi-tech projects.

To create favorable conditions for investors, provinces and cities in the Mekong Delta have concentrated on improving major infrastructure works, highways, thermal power plants, and the infrastructure in IZs. The Can Tho, Ham Luong, Rach Mieu, Co Chien, Nam Can, and Dam Doi bridges have been built, helping facilitate transport over the region’s numerous rivers. Transport between delta localities and the rest of Vietnam and the world has also been facilitated with the Can Tho and Phu Quoc international airports.

 

Thao Duong

 

 

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