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Hai Duong Province: Industrial Parks Potential Development - Part 1 PDF Print
Tuesday, 28 January 2014 17:15

Hai_Duong_Eco3VIETRADE -  Over the past years, investments in Industrial Parks (IPs) construction and development in the provincial compass have resulted in successful outcome which preliminarily contributed to the Hai Duong socio-economic development task, providing employment to tens of thousands and, progressively shifting economic, labor structures toward industrialization, modernization.


IPs development planning: Hai Duong Province has been authorized by the Government to establish, by the year 2015 with vision to 2020, 17 concentrated IPs on an allotted land space of 3,607ha, 10 out of the 17 IPs have been approved because of detailed plans occupying 2,087ha, whereby 1,393ha are for factories building. IPs list as follows: Nam Sach IP: 62.4ha, Dai An IP: 607.22ha (including anticipatory extension), Phuc Dien IP: 100.6ha, Tan Truong (inclusive of extension possibility): 311.9ha, Viet Hoa – Kenmark IP: 46.4ha, Tau Thuy – Lai Vu IP: 212.89ha, Phu Thai IP: 72ha, Cong Hoa IP: 357.03ha, Lai Cach IP: 132.4ha, Cam Dien – Luong Dien IP: 183.96ha.


Investment in IPs infrastructures building: 8 out of 10 IPs undergoing construction investment have engaged domestic investors doing the infrastructures, one IP engaged foreign investors (Viet Hoa – Kenmark IP) and the other, had a domestic-foreign partnership to do the work (Cam Dien – Luong Dien IP). Funds involved in infrastructures construction recently have reached VND 1,561 billion and USD 36.4 million (total funds for Ip infrastructures was earmarked at VND 3,498.43bn and USD 141.6m) making 34% of the allocation or capital mobilization required. Most funding came from domestic investors. Beside investment by chief investors in IPs, Hai Duong authorities have also timely pitched in funds from provincial budget to implement extramural work outside IPs: collection roads, water supply drainage, systems etc … worth some VND 50bn. To this date, 6 IPs have basically completed technical infrastructures building and filled up lease space such as Nam Sach IP, Dai An IP (phase I), Phuc Dien IP, Viet Hoa – Kenmark Ip, Tau Thuy – Lai Vu IP, Tan Truong IP (phase I). The remaining IPs are in the process of land clearing and infrastructure building Cong Hoa IP, Phu Thai IP, Lai Cach IP, Cam Dien – Luong Dien IP; they are still involved in infrastructures building for the extension parts according to the approved plans.


Beside IP planning with bearing on planning of municipalities, townships, urban centers in rural districts, IP host cities, the province also has allocated land close to IPs for community development, housing to workers with a concept of socialization of worker dwellings and passing on land to investors to invest in construction. Investment attraction and business production byenterprises established inside IPs. By the policy of concomitant investment in technical infrastructures in IPs, over a limited period of time, Hai Duong has attracted 118 investment projects and issued investment licenses to both domestic and foreign investors (inclusive of investment in Ip infrastructures construction); total registered capital investment came to USD 1.844bn (inclusive of 93 FDI projects at USD 1.43bn registered capital and 13 domestic investment projects at USD 414m registered capital). Paid-up capital by investment projects in IPs in 2008, was USD 293m, which accrued from previous investment, would come to USD 784.1m.


Upon issuance of investment certificates, investors quickly proceed to basic construction. To this date, there have been 75 projects in business operation, making USD 627m business revenue and employing 32,000 labors. Recently, the global financial crisis and economic recession have greatly affected domestic and foreign investment, particularly the later. New investment projects and registered capital in IPs dropped signicantly. Paid-up capital slowed down compared to the registered capital. Many investors have proposed to delay project implementation till 2010. Hai Duong IPs show higher land occupancy filling than other IPs nation wide. Average occupancy filling actually comes close to 77.2%.


Hai_Duong_Eco4Environmental management: Aiming at building clean, environment friendly IPs, the Administrative board has given high concern for environment management, making focused directives. Presently there are 2 waste treatment plants in official operation, another in operation readiness. 41 out of 117 enterprises did evaluation reports of business impacts on the environment and pledged to practice environmental protection according to prescribed regulations when entering production operation.


Investment promotion: Domestic and foreign investments promotion has always been given high concern through close, constant coordination with related authorities and officials, in concurrence of sought support, assistance from ministries, divisions of the Central Government. Moreover, infrastructures investors also do heavy investment calling to testify to their prestige and promotional ability. Hai Duong Province facilitates investor access to funding loans, ODA funds and funding from other governmental sources for IP development, in particular, funds for environmental control. Investment promotion programs have been initiated both inside the country and abroad, targeting strong investment groups in the country and in the world. Several promotion missions have been sent to EU countries, Japan, South Korea, and Taiwan.


Human resources training and labor force employment: The province paid heed to making plans for training human resources qualitatively and quantitatively, with varying scales, for input into IPs; training would focuss on mechanical assembly, electricity, electronics, informatics, garment making, agricultural products-food processing. Annual supportive allowances to workers training, professional skills acquisition are made to training schools, professional training centers, business enterprises doing their own insitu training. Special attention is given to jobs creation to the labor force dwelling in industrial development zoning areas. Good implementation of land clearance compensation and resettlement of displaced people whose land was appropriated for industrial development is made in accordance with regulations assuring these people occupational transference to the service sector catering to IPs or jobs opportunities in IPs. In 2008, jobs placement offices of the IP administrativeboards did garments manufacture training, provided IPs with 330 labor and, concurrently, placed 880 jobs in business enterprises. According to 2009 plans, 706 placement offices would train 500-600 laborers, offer employment consultancy and recommend 9,000-10,000 job seekers with anticipation of 1,000 successful cases.


The province will strive, in 2009, to raise efficiency of technical tasks in Ip management, doing a good job of investment promotion in IPs. It will strive to welcome in about 15-20 projects, to issue investment licenses, adjust for investment capital increment of IPs projects to attain USD 200-250m. (Source: Hai Duong industrial parks administrative board, Hai Duong website)

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