Mr. Cao Tien Sy – Chairman of Dong Nai IZ Management Department
Gaining enterprises’ trust to expand their production
*Reporter: Do you see any highlight from the FDI attraction result in the first 9 months of 2017, Sir?
Mr. Cao Tien Sy: From the beginning of 2017 to 30/9/3017, IZ in Dong Nai attracted over 967 million USD from 52 newly invested FDI projects with the total invested capital of over 334 million USD and 88 capital expanded projects with over 633 million USD of investment. That means we reached 96.8% of the 2017 goal (1 billion USD). Especially this year, the expanded investment capital was twice as much as the newly invested capital. Specifically, in the past 9 months, there were 18 existing projects asking for expansion from 10 million USD and above such as Pousung VN Company, Fullway (80 million USD expanded); Powerknit VN (40 million USD increased) and Systeel (39.6 million USD expanded) …
For the past 9 month, Taiwan, Korea and Japan have been the top countries to invest in Dong Nai. Those investors stated that they chose the province to make their investment because they saw the advantages in the infrastructure and the investment procedures there; with all the difficulties incurred would be quickly handled by the local government.
*Reporter: What can be seen from the remarkable FDI attraction result in the first 9 months? Especially from the provincial selective investment attraction guideline in the past years?
Mr. Cao Tien Sy: From 2006, Dong Nai had the guideline to attract investment in for hi-tech industries, supporting industries, green industries and largely invested projects… The guideline is still necessary for the current development. The project invested following the guideline shall reduce trade deficit, maintain an active economy, increase the industrial product competitiveness and obtain the international technologies.
For the past years, Dong Nai province has always been consistent with the selective investment attraction, prioritized the development of the key and comparative industries, focused on the local available resources, especially agricultural resources. Besides, we shall also invest in hi-tech industries and attract investment from big economical corporations in high value added industries such as: electronic machine and equipment, information technology, telecommunication, new material. Supporting industries shall soon be noticed to be developed in order to increase the localization rate of domestic products…
*Reporter: How would the provincial selective investment attraction affect the infrastructure companies?
- Mr. Cao Tien Sy: The changing from common investment attraction to selective investment attraction and prioritizing hi-tech enterprises and supporting industries development led to a new trend of investment for infrastructure investment enterprises in provincial IZ. Before, such enterprises only invested mainly in infrastructure such as ground backfilling, internal traffic system, electricity, water… and asked secondary investors to construct factories. Nowadays, there is a noticeable service that has been exploited by the IZ, especially by Long Duc and Long Thanh IZ. The service provides available factories for the foreign enterprises’ demand, especially small and medium scale supporting industrial enterprises. With this service, many IZ can quickly attract many FDI enterprise and create the opportunity to develop infrastructure enterprises and help minimizing IZ planning difficulties.
Amata IZ, one of the well known IZ for its quality services
Continue to increase service quality in IZ
*Reporter: As you mentioned, one of the reason for the foreign enterprises to choose to invest in Dong Nai is that there are infrastructure advantages. Can you clarify that and in the future, what are its roles in investment attraction?
- Mr. Cao Tien Sy: the traffic infrastructure in residentials, IZ, rural areas in Dong Nai is being step by step completed; series of provincial key traffic constructions has been done and put into operation such as: Highway (HW) No. 1 Bien Hoa Bypass (Vo Nguyen Giap st.), HW2 renovations, Dong Nai Bridge, Vung Tau Intersection Overpass, Amata Overpass and Buu Hoa Bridge… Especially HCM City - Long Thanh – Dau Giay HW which has been put into operation along with logistics infrastructure and services enabled trading to be broadcasted to nearby provinces. This HW also helped filling up several IZ in Thong Nhat Long Khanh and those IZ are also asking for expansion. In the near future, when Long Thanh Airport is constructed, the investment attraction will be much enhanced not only in Dong Nai but also in the whole area.
However, the provincial technical infrastructure network is overwhelmed while there are new IZs and residential areas growing up. Therefore, such infrastructure as traffic, water supply and drainage, electricity, and communication… shall be invested focally and connectively… Facing this situation, Dong Nai is taking the advantage from the central supporting capital, ODA capital, enterprises investment capital, multiple form capital and social funding…
*Reporter: One of the current demand in provincial IZ investment attraction is the IZ services quality improvement. How are the provincial IZ Management Department together with the infrastructure investors doing with this situation?
- Mr. Cao Tien Sy: To focus on industrial development, beside of technical infrastructure investment, service improvement for secondary investors is also concerned by the province with the investment supporting services, workforce supplying, trading services, cultural activities in IZ and especially workers’ accommodation is the most concerned issue.
Hitherto, Most of the IZ infrastructure companies have had schemes for the workers’ accommodation. Highlighting some companies such as IDICO, Sonadezi Long Thanh Company to put to use the workers’ accommodation area. Meanwhile, Amata, Loc An – Binh Son, Bau Xeo, Song May, Tan Phu, Giang Dien, Long Khanh and Nhon Trach 3 IZ… are either rêciving the project, having the project constructed or promoting the procedures. Some other enterprises such as Hung Nghiep Formosa, Viet Vinh Footwear Company also carry on their own workers’ accommodation constructions.
One more important demand in infrastructure development is seriously implementing environmental protection. Dong Nai is having 100% of the operating and operating soon IZ that have converged sewage processing factories with the designed capability of 132,070m3/day. There are 18 IZ to have their in place sewage auto-monitoring system installed and the data transferred directly to Environment and Natural Resources Department to be monitored, controlled and processed before draining the sewage away to minimize environmental pollution.
In the upcoming years, in order to improve IZ services quality, Dong Nai is renewing the investment method following the Industry – Residential – Service green and closed developing model. Besides, projects that requires numerous of workers shall be attracted to rural areas IZ to take the advantage of the in place workforce and reduce the mechanical overpopulation in urban areas, maintaining stable developments.
*Reporter: Thank you, sir!
Dong Nai is having 30 IZ with the synchronized infrastructure, filling 71.77% of the land leased, 41 nations and territories to invest in 1,560 projects, including 1,135 FDI projects with the total invested capital of 21.7 billion USD and 16.2 bilion USD of disbursement.
Vuong The
