Sparkling breakthroughs

A modern paper production line of Tomoku Vietnam Company in My Phuoc 3 IP.

Part 2: Promoting internal force and attracting external force

By building industrial parks and perfecting socio-economic infrastructure facility, Binh Duong has attracted domestic and foreign investment capital sources effectively. This is an important capital sources to accelerate the provincial economy’s growth.

Promoting internal force

With measures of focusing on building industrial parks and perfecting socio-economic infrastructure facility, Binh Duong has created an attractive environment for economic sectors. As for domestic capital, the entire province has thus far absorbed 17,428 enterprises, capitalized at US$131,557bil, an over 24.3 fold increase compared with 1997. notably, more and more big enterprises invest in goods production, contributing to improve competition for domestic corporate bloc. They include Ton Hoa Sen, Dai Thien Loc, Dong A, Kinh Do, Thai Binh, Minh Long and more.

Impression on big investment of domestic companies lies in Southern Rubber Industry Joint Stock Company (Casumina). In 2014, Casumina inaugurated a tyre production plant with the total capital of VND3,380bil (equivalent to US$160mil) at Tan Uyen town. The opening of this plant makes up a new development of auto tyre production field, contributing to meet the rising demand of domestic market and reducing dependence on imported products.

Earlier, Vinamilk debuted 2 dairy plants with the total capital of more than US$200mil at the province. These are one of the most modern plants in Asia that help consumers use the best quality products produced on the closed lines.

Meanwhile, Thien Nam Investment and Development JSC contributes importantly to local apparel industry by offering materials, decreasing dependence on import. Thai Binh Shoes Corporation invests in supportive industry to export actively to the US, EU and so on.

Mai Kieu Lien, general director of Vinamilk said that the most modern plant in Asia is a pride of Vietnamese people, meeting local demand and affirming quality of Vietnamese goods on the world market.

Taking advantage of external force

Aside from domestic investment capital, foreign investment capital plays a very important role when FDI capital impacts strongly and effectively on domestic economy.

With US$20.4bil of enterprises from 39 nations and territories investing in the province, Binh Duong really attracts foreign investors, becoming one of 5 localities of the whole country surpassing level of US$20bil in FDI capital.

According to the provincial People’s Committee, local FDI capital under strong increase is a positive signal because economic sector is very important for the local socio-economic development, contributing to make up a big industrial production value and high export turnover. In 2014 alone, the local industrial production value in FDI economic sector reached VND139,068bil, accounting for 69.4% of the total industrial production value in the locality. Meanwhile, in terms of export, FDI economic sector amounted for 82% of the total export turnover with US$17.74bil. Besides, FDI capital contributes greatly to loca budget.

According to investors, Binh Duong is always an ideal destination for investment. Therefore, Pittas Konstantinos, director of Medochemie Pharmateucial Company (the Republic of Cyprus) said that Binh Duong possesses a very good investment environment with modern infrastructure facility plus simple and quick administration procedures, making up many advantages for investors.

Investing in a US$120mil plant in 2014, Marcus IP, general director of Nam Phuong Textile Joint Venture Company said that we realize Binh Duong has enough elements that investors need. Similarly, Xie Zu Hong, director of Zhui Rui Vietnam Co.Ltd. (Hong Kong), specializing in auxiliary industry for footwear sector said that he believes in Binh Duong’s investment environment.

With economic achievements of today, Binh Duong always highly appreciates and respects role of local and outbound enterprises. In order to serve and go with investors, the local administration has launched key tasks such as making up a more transparent investment environment, especially in infrastructure facility; strong development of urban and housing projects; reform of one-door administration procedures; care of local residents’ life; assurance of sustainable development of local economy. Simultaneously, the local leaders at all levels always listen to investors’ ideas to map out proper solutions for the sake of creating a more transparent investment environment.

Reported by T.MINH – Translated by A.C