VIB Forum has conducted an interview with the Chairman of Son Tay township’s People’s Committee, Phung Van Thiep concerning the township’s opportunities for reaching its socioeconomic targets.
Which socio-economic achievements has the township gained over the past few years and what targets have been set for the coming years?
Son Tay township, one of Vietnam’s ancient urban areas, is the second largest economic, cultural and politic centre in Ha Tay province, and has already witnessed significant changes in all fields over the past few years. The township registered an annual economic growth of 9.8% on average while the per capita income is US$350 per annum. The economic structure has also changed in accordance with industrialization and modernization process. Last year, the industry sector topped the list with a proportion of 48%, followed by trade & service and agriculture sectors with respective figures of 36% and 16%.
Owing to a favorable geographical location not far from Hoa Lac Hi-Tech Zone and lying at the entrance to the capital city of Hanoi, the township was included in a project to set up the urban chain of Mieu Mon – Xuan Mai – Hoa Lac – Son Tay. Meanwhile, the township has a great natural ecosystem that includes many famous natural and historic sites, which has also helped the township to become one of three largest tourism sites in the province. Regarding such advantages, tourism has been earmarked by the township as an industry for development between now and 2010. The township aims to reach tourism and trade proportion of 40% by this time. To this end, the township is working out projects to re-build Duong Lam cultural historic sites, invest more in Dong Mo and Xuan Khanh tourism sites, boost tourism promotion activities in both domestic and foreign markets, and diversify tourism and service forms such as its festival culture, eco-tourism, and weekend relaxation excursions.
Total earning from the tourism and service sector is reported to have increased by 15% per annum over the last three years. In 2001, the township reaped VND270 billion from its tourism and service sector. Earnings had increased to VND405 billion last year, giving an opportunity to the township to develop its tourism and service sector in the near future.
In addition to the tourism, trade and service sector, the township has also seen several positive changes in industry and handcraft sectors and also in business quality with an annual growth of 13.2%. In order to further encourage industry development, the township has strived to complete construction on Phu Thinh, Son Dong, and Dong Trang – Xuan Son – Thanh My industrial zones. The township has to date licensed more than 20 projects covering a total area of 332,128 sq.m and capitalized at a total VND50 billion. The industrial production value is expected to increase by 11.5% by 2010 with a focus on developing small-sized mechanic, electric, electronic, and hand-made assembly sectors, giving top priorities to technology renovation in high-quality processing, and restoring such traditional crafts as embroidery and handicraft.
Apart from the above-mentioned advantages and potentials for calling for investments, what are the major challenges for Son Tay township, where the first International University will be built?
Over the past few years, as many as 39 projects, excluding those invested by the province and the government, has hired land for production. In the coming time, more domestic and foreign investment will be flown into the township as constructions on some key roads and bridges are completed. The township has been selected to implement the project to set up the US International University thanks to its infrastructure and natural atmosphere. When underway, this large-scale project will help the township attract large numbers of domestic and foreign students, contributing to the positive development of the township. However, the township has also encountered several problems concerning site clearance, resettlement, and unemployment.
Ha Tay province is now rolling out the red carpets for investors and aims to promote its image. What will Son Tay township contribute to the campaign?
At present, Son Tay township is carrying out detail plans on traffic construction and agriculture and handicraft development with a view to building up a new image combining both the traditional and the modern to investors. The township will create favorable conditions for all investors, especially those interested in the tourism, trade, service and light industry sectors. The township has also asked the province to soon issue regulations on trade promotion credit and financial mechanisms and to simplify project-licensing procedures. To this end, the investment environment will be improved in Ha Tay province in general and Son Tay township in particular. The province will build up its new image to host more and more investors in the coming time.
Luu Hiep
Vietnamese
