14:31 | 20/05/2018 Industry
(VEN) - The Department of Industry and Trade of Thai Nguyen Province has proposed solutions to avoid overlap and create more favorable conditions for the development of industrial clusters (ICs).
According to the master plan for Thai Nguyen’s IC development by 2020, with a vision to 2030, the province will have 35 ICs with total area of 1,259ha. As of date, some 18 ICs have come into operation. However management and development of ICs in the province still face many difficulties, one being the low occupancy rate that averages 39.32 percent.
Other hurdles include a limited budget for investment in IC infrastructure, which depends mainly on businesses, many of which lack significant financial capacity.
Investment attraction in ICs is also uneven. Districts with favorable conditions for economic development have attracted many projects. Dinh Hoa District, for example, has three ICs, but no projects have been registered. On top of it all, the efficiency of state management remains low.
The ICs in the northeastern province have attracted 80 investment projects with total registered capital of more than VND9.55 trillion, of which 51 are in operation, 11 are under construction and 18 are not yet operational.
According to the Thai Nguyen Department of Industry and Trade, most of ICs have not synchronously invested in infrastructure, and environmental problems have been neglected, making it difficult to call for investment. In addition, legal documents regulating the responsibility for state management of businesses in ICs are not specific.
Consultancy services in terms of investment in science and technology, finance and credit have not met the needs, either, while compensation for ground clearance in many localities takes an unreasonably long time.
According to the Thai Nguyen Department of Industry and Trade, the province has consistently implemented the state’s mechanisms and policies in land acquisition in accordance with the law to form ICs. In addition, the province has reduced land use tax in ICs, so that investors can promote infrastructure development.
To overcome difficulties in IC infrastructure investment, Thai Nguyen Province has also added tasks to the provincial industry promotion center. The province has also assigned the center to invest in the Son Cam 2 Industrial Cluster covering an area of 52ha, with the goal of providing complete infrastructure so that some production facilities in residential areas can be moved to this IC.
To avoid overlaps in management, the provincial department of industry and trade is responsible for state management of ICs, according to Governmental Decree 68/2017/ND-CP. In addition, the state will provide more financial support for the province from the central budget through industry promotion programs to enable formulation of detailed planning for all ICs. In addition, the government is requested to direct the State Bank of Vietnam to provide preferential credit packages for those who invest in the construction and development of IC infrastructure in Thai Nguyen Province and other mountainous areas. The provincial people’s committee has been asked to adopt specific mechanisms and policies to support investors in the development of IC infrastructure.
The construction of ICs in Thai Nguyen Province in accordance with appropriate standards will help the province promote the growth of its industrial sectors and ensure its sustainable development.