Thua Thien Hue has accelerated its administrative reform and applied preferential treatment to attract investment in its potential. Several projects of large investment and modern technology have been implemented. Areas of special attraction to investors are construction materials (cement, enamelled and granite tiles, etc.), aqua-product processing, garments and minerals. The province has great potential in raising aqua-products, exploitation of its rich silicate sand (99 per cent) with a deposit of one billion cubic metres, as well as other minerals and has abundant human resources to support businesses. Electronics and information technology are also highly promising.
Foundation laid for investment
The province is planning to develop two industrial zones in Phu Bai and Chan May and a trade and economic promotion zone in Chan May. Phu Bai IZ has completed Phase 1 and 53 hectares have been fully occupied. Phase 2 with 132 hectares is under construction. Investors can rent desirable blocks facing the road network on 1-3 sides. Factories will make up no more than 65 per cent of the area.
Chan May IZ has an area of 700 hectares. Phase 1 is 300 hectares. The IZ is only 4 km from Chan May deep-water seaport. Berth 1 of the port is 300 metres long and capable of receiving ships of 30,000-50,000 tonnes. Water is supplied from Bo Ghe station with a capacity of 6,000 cubic metres a day and a pipeline connected to the IZ. The power supply is from 110/22KV transformers linked with the national grid of 110KV and built next to the IZ. Chan May IZ encourages investments of light industry, high technology and clean industry.
Chan May Trade and Economic Promotion Zone has an area of 1,000 hectares with 250 hectares for the production of export commodities, and 750 hectares for industrial zones, trades and services and offices. It is a comprehensive zone for industry, trade, tourism and other services such as post and telecommunication, financial, banking, insurance, transport, exhibition fairs and trade promotion activities for the outlet.
To attract investment in the three zones, the province is responsible for land compensation and clearance within 60 days after the signing of agreements with investors. The province will offer exemption from enterprise income tax for 5-6 years and apply single fees in water supply and drainage, and waste treatment. The province will finance 30 per cent of training fees at local centres, 30 per cent of the charge for quality management systems and 50 per cent of registration fees for trademarks and patents. The province will also offer other preferential treatment to investors.
Mr. Nguyen Xuan Ly, Chairman of Thua Thien
Expansion of cooperation
An advantage to investment in Thua Thien Hue is access to the programme of the Bank of Investment and Development of Vietnam (BIDV). The bank offers preferential loans to VND200 billion to support the province in infrastructure development, VND1,200 billion in credits to local and foreign investors and VND300-500 billion in loans for the restructuring of local economic sectors, especially non-State enterprises of small and medium size. Mr. Tran Bac Ha, BIDV General Director said that BIDV will provide consulting services to investors and through its network of clients call for investment in the province.
Thua Thien Hue has developed cooperation with other localities especially