HCMC Investment Attraction for New Countryside Construction: Per Capita Income 1.83 Times Higher

On March 5, 2012, Ho Chi Minh City reviewed its pilot model of new countryside construction in the 2010-2012 period. Preliminary results showed that this model not only developed the agricultural economy and increased incomes for people, but also enhanced people's access to health, social and cultural services and reduced the rich and poor gap.

Speaking at the review meeting, Mr Le Thanh Liem, Director of the Department of Agriculture and Rural Development of HCM City and Head of the Steering Committee for New Countryside Construction Programme, said, apart from the country-level pilot commune of Tan Thong Hoi (in Cu Chi district), since 2010, HCM City piloted this model in five other communes in five districts, including Thai My commune (Cu Chi district), Xuan Thoi Thuong (Hoc Mon), Tan Nhut (Binh Chanh), Nhon Duc (Nha Be) and Ly Nhon (Can Gio). The total expenditure for this programme was VND6,900 billion as of January 2013, of which the central source accounted for VND20.2 billion (0.29 per cent), the city’s budget contributed more than VND1,380 billion (20 per cent), and the public and the community contributed the rest of VND5,497 billion (79.6 per cent). As many as 911 traffic, irrigation, cultural, social and slump-removing projects have been deployed.

 

To date, five pilot communes have basically completed new countryside criteria. Notably, Thai My commune achieved all 19 criteria while other four are striving for the completion of 1-2 remaining criteria this year. Better infrastructure helps draw more investment capital from the public, promote trade, restructure and develop production, change workforce structure, and improve living standards of local residents. Per capita income in pilot communes reached VND31.5 million a year, 1.83 times higher than before the deployment of the programme. No poor households are seen in these localities (according to national poverty line). However, according to the Ho Chi Minh City poverty line (per capita income of VND12 million a year), only 1,188 households are below the poverty line, compared with 4,533 households earlier.

 

These preliminary results showed that this model not only developed agricultural economy and increased incomes for people but also enhanced accessibility of the people to health, social and cultural services and reduced the rich and poor gap.

 

Agriculture and Rural Development Minister Cao Duc Phat said what HCM City is doing is creative and good for others to learn. This is resulted from the drastic guidance of all-level governments and the active participation of the community. Good information helped people understand the purpose and significance of new countryside construction and thus attract a lot to join. In reality, a lot of people actively contribute a lot for the programme. Specifically, more than 7,000 people voluntarily gave up more than 720 ha of land. The city’s government also successfully instructed production organisation in order to improve people's income - the most important and most difficult criterion.

 

Minister Cao Duc Phat suggested the city make more effort to make civil servants and citizens understand right policies. New countryside construction aims to raise incomes and improve livelihoods of local people but, to do this, the city needs the active support from the State, especially the transfer of science, technology, new crop varieties and livestock species. Joining communes are guided to identify key products, focus on mass production to enhance competitiveness.

 

Le Thanh Hai, Secretary of the city’s Party Committee, stressed that the rectitude of the policy has aroused and promoted internal forces of people in [these] communes. He asserted that the people are the determinant element to the success of the programme. Enterprises closely attached to the people and the countryside come to invest in agriculture, industry and services. Thousands of individuals have given their land to build roads, develop production and get riches. It can be asserted that new countryside elements have taken shape and started to expand to other communes. The biggest gain is the Resolution of the Party comes to life and serves people. The entire political system has joined in with a strong determination to translate the policy into life.

 

To continue the success of new countryside construction programme to serve more people and create a new look of rural areas as stated in the Resolution 16 of the Politburo on HCM City’s development orientations, the city will continue promoting and improving the quality of criteria gained in six pilot communes, speed up the progress and boost the effectiveness of national target programme for new countryside construction in order to reach the target by 2015. The city will then have modern, effective and sustainable agriculture. Steering committees for new countryside construction at all levels must grasp guidelines and policies of the Party, the State and the City; and promote activeness, creativeness and determination. Party committees at commune level must change their leadership manner and listen to what the public say. The city should continue supplementing and perfecting mechanisms and policies to attract investment for agriculture and rural development, support farmers and agriculture to facilitate the implementation of urban agricultural development project through 2020. Businesses in the city should have plans for cooperation, association and support to support farmers to sell products.