16:54 | 18/09/2015 Economy
Prime Minister Nguyen Tan Dung and Singapore’s Minister for Trade and Industry Lim Hng Kiang launched an order to start construction of the seventh Vietnam Singapore Industrial Park (VSIP) in Vietnam on September 16.
PM Nguyen Tan Dung (centre) and Singaporean Minister of Trade and Industry Lim Hng Kiang attend the launching ceremony of VSIP Nghe An. (Source: VNA)
The new VSIP, located in Hung Nguyen district in the central province of Nghe An, is designed to be a mixed industrial park focusing on light and clean industries such as animal food processing, consumer production, electronics, automobile assembly, building materials and other supporting industries.
In phase I, 198 hectares of land will be dedicated to industrial purposes and 81 hectares of land are for commercial and housing purposes. The total cost of phase I is 76.4 million USD.
In phase II, the project is set to be part of the planning of the province’s Southeast Economic Zone, which has an area of 1,096 hectares.
Once operational, VSIP Nghe An is expected to attract 150 hi-tech, clean and environmentally-friendly enterprises.
It will also develop a commercial urban area which can accommodate 150,000 people with all basic infrastructure facilities, such as schools, hospitals, shopping centres and services.
Addressing at the event, Prime Minister Nguyen Tan Dung said VSIP Nghe An, once operational, will contribute to the socio-economic development of Nghe An in particular and the north central region.
The project will benefit the two governments and their nations’ enterprises while helping cement the strategic partnership and their agreement to connect the two economies in the context of the formation of the ASEAN community with economy and trade as key pillars.
Singapore’s Minister for Trade and Industry Lim Hng Kiang said VISIP Nghe An was tangible evidence of the success of the Vietnam-Singapore strategic partnership and affirmed the industrial park would encompass modern factories that abide by new standards and are environmentally friendly.
Singapore has registered a total investment of 33 billion USD in Vietnam.
Trade between the two countries surged remarkably over the past decade and is estimated to reach 11 billion USD in 2015./.