Sumitomo Forestryis one among five biggest Japanese groups specializing in general trade, wood and forest product processing, real estate trading and construction, high-end villa building, and forest planting and upgrading.
Sumitomo Forestry has invested in a large number of projects in Vietnam in various fields. The latest investment is a contract signed by Vina Eco Board Limited Company under the Sumitomo Forestry group to hire 20 hectares of forests for construction of an artificial plank production plant in Phu An Thanh industrial park in Ben Luc District, Long An Province. This is the biggest of its kind in the Southeast Asian region for having a total investment of US$100 million and an annual capacity of 250,000 cubic metres. The plant is scheduled for operation in November 2011.
In a talk with a reporter of Vietnam Business Forum, Mr. Soichiro Kitamura – Director of Vina Eco Board Limited Company said that his company selects the An Phu Thanh IP as a location for investment because Long An boasts a plentiful potential of forest wood, which is enough for production in the long term. Moreover, authorities in the IP and the province have created favourable conditions for our company plus active support by the IP administration. Last but not least, the IP boasts a transport advantage over others as it is nearby roads, waterways and airport, thus we decided to invest in the IP after a three-year study in Vietnam.
On this occasion, Vietnam Business Forum Reporter had an interview with Mr. Lam Truc Nho, General Director of Phu An Thanh Joint Stock Company.
Despite negative effects of the recent world economic downturn, Phu An Thanh Joint Stock Company has still invested in a series of infrastructure projects including roads, average-voltage power grids, wastewater treatment plants, water drainage systems and clean water supply plants to serve secondary investors. In addition to the project to build an artificial plank production plant by Japanese Sumitomo Forestry group, did the Phu An Thanh industrial attract investment from any other countries, his Excellency?
A large number of foreign investors have advanced their interests and conducted studies to invest in the industrial park (IP) so far this year, including firms from China, Japan and South Korea. Some domestic companies have also begun building their plants in the IP including a 2.5-hectare steel plant by A Chau Steel Joint Stock Company that costs VND70 billion (US$3.68 million) and has an annual capacity of 60,000 tonnes to produce completed steel materials for auto industry, civil steel production and industries. Huu Lien Steel Limited Company under the Huu Lien Chau A Joint Stock Company invested around VND700 billion ($US36.84 million) to build the 11-hectare Huu Lien steel plant with an annual capacity of 10,000 tonnes.
What are outstanding advantages of the Phu An Thanh industrial park over others?
Firstly, Phu An Thanh Industrial Park is located in an area with a transport advantage as it is a gateway to Mekong Delta provinces of Ho Chi Minh City. It is only 6km far from the National Highway No. 1A and only 3km far from the Ho Chi Minh City-Trung Luong. It takes only 30 minutes to travel from the park to the Tan Son Nhat Airport. Secondly, the park is nearby the Van Co Dong River, which is one among the biggest rivers in the southern, facilitating goods import-export and storage via ports including Phu Dinh, Nha Be and Saigon. Currently, the IP’s infrastructure has been nearly completed with available electricity, transport and communication systems and an underway wastewater treatment plant with a daily capacity of 10,000 cubic metres.
Could you please explain why does the Phu An Thanh industrial park has so fast site clearance pace?
Firstly, the IP is a project that our company took over cleared sites from the Long An Province’s authority for a 50-year term and once payment, which helped assure investors to do business in the park with speedy land allocation. This mechanism also brings about benefits to the locality due to quick capital recall and compensation. Our company, with a well-trained and high-responsibility workforce, is very experienced in construction and development of industrial parks.
His Excellency, could you please tell us about the IP’s role in the development process of Long An Province?
The Phu An Thanh industrial park has been attracting a large number of investors in large-scale projects with high-quality products, making great contributions to the provincial GDD growth.
We target to become one among leading industrial parks in the province as provincial authorities have affirmed the Phu An Thanh industrial park could create a numerous jobs, help improve local people’s lives and facilitate agro-forestry-fisheries product sales, and contribute greatly to the local state budget. The IP operation also fosters agricultural production development and helps Long An province develop a high-tech and comprehensive industry sector.
The building of artificial plank production plant in the IP will help consume wood of locals, improving their income and facilitate forest and protection for environmental purposes. In addition, cajuput production output planting is unstable; thus, it is hard to find more outlets and the prices are still low. The aforementioned plant is expected to not only enhance people’s income but also create jobs for over 200 direct labourers and 2,000 indirect labourers.
What are your company’s plans for the coming years?
We are calling for more investment to fill in the gap in the IP that covers an area of 307 hectares in the first phase and 395 hectares in the second phase. We will also develop supporting services inside the IP including trade, entertainment and residential areas.
What are your messages to domestic and foreign investors?
On behalf of our company, I would like to send domestic and foreign partners and investors doing business in the IP a message of friendship and cooperation for mutual benefits. We believe that our efforts to call for investors and resources will support our success. We hope the IP will be a start for every success and we always create favourable conditions for investors plus modern and synchronous infrastructure, available services, competitive investing costs and quick investment consultancy services.
Reported by Anh Dao
Vietnamese
