Tien Giang Striving for Investment Attraction

5:18:59 PM | 15/8/2012

Being the province in the Southern Key Economic Zone and in the Mekong Delta, Tien Giang has much potential and strength to attract socio- economic investment. To study more about such potentials and advantages, Vietnam Business Forum had an interview with Mr Tran Van Dung, Director of Tien Giang Department of Planning and Investment. Ha Linh reports.
Can you share about Tien Giang’s investment attraction results in the first 6 months of 2012?
In the first 6 months, the province licensed 13 investment projects with total registered capital of VND3,502 billion, including 7 FDI projects with registered capital of VND3,187 billion. 187 businesses registered for establishment with total registered capital of VND468.3 billion, down 17.3 percent in the number and 42.6 percent in the amount of registered capital. Besides, 78 ones registered to increase the capital with the total amount of VND 2,417.4 billion and 165 ones registered for addition of business fields while 33 branches and 12 representative offices were issued with operation license. In addition, 39 enterprises were dissolved and 8 changed their form etc.
In general economic difficulties of the country, provincial investment attraction in the first months saw the decrease year by year in terms of the number of new investment licenses, amount of registered capital including FDI etc and number of dissolved businesses.
Do you think such achievements are corresponding to the potentials of Tien Giang?
Investment attraction in recent years have contributed much to the provincial socio-economic development and promoted local economic sectors. The total social investment increased from VND5,003 billion in 2005 to VND14,893 billion in 2011 and expectedly VND16,500 billion in 2012, making up about 35 percent GDP on average; the growth rate was anticipated at 18.6 percent/year in the period 2006-2012 (including price escalation).
However, there are many challenges and difficulties caused by economic crisis impacts, high inflation etc and infrastructure, especially that of transport asphalted and open but with some routes incomprehensively invested on bridge – road; poor quality of human resource to meet enterprises’ needs etc. They influence the provincial investment attraction, making it not corresponding to the possessed strengths and potential, especially in appealing investment to develop 2 planned industrial zones which are Southeast Tan Phuong – attached to Highway HCMC – Trung Luong and the Eastern one – to exploit marine economy; and to develop and rice-agricultural products processing center in Cai Be – Cai Lay region etc.
At present, the province and agencies are focusing on reforms to create an investment environment which is preferential, open and attractive to both national and international investors etc.
What are strengths of Tien Giang in investment attraction?
Being the province in the Southern Key Economic Zone and in the Mekong Delta, Tien Giang has much potential and strength to attract economic-social economic investment.
Firstly, the convenient geographical location and transport route connected to other regions and cross the country such as Highways 1A, 50, 30, 60, the Tien River, Cho Gao canal etc, especially highway HCMC –Trung Luong has shortened the time to go from Tien Giang to HCMC.
Secondly, the province has many potentials to develop marine economy, including industrial growth, sea harbor, and tourism etc and initial exploitation of coastal tourism sites. Meanwhile, aquaculture production and exploitation is also promoted. Logistics service for fising sector has seen rather strong growth with stable operation of My Tho, Vam Lang fish harbors which annually receive 13,000 fishing vessels at productivity of 60,000 tonnes per year). Currently, the province has also made planning on the construction of Go Cong region on the area of 13,052 ha focusing on fostering new industries such as container, ships, barges, drilling platform etc, petroleum exploitation services; mechanic metalic equipment manufacturing; petroleum warehouse, construction; river and sea port, loading yards and harbor services. Notably, Soai Rap Petroleum Service industrial zone has been put into operation.
Thirdly, the province has advantages in large scale agricultural production and is the concentration of agricultural products, which makes it more preferential in attracting investment on processing industries, especially in the Eastern area. To exploit this advantage, the province has studied and made planned to call for investment to build projects, the modern agricultural product processing centers for rice, fruits in Cai Be – Cai Lay. Additionally, there’s a plan prepared for Southeast Tan Phuoc industral zone with the advantage of being next to highway HCMC – Trung Luong (along which Long Giang industrial zone has been in use).
Fourthly, the province has strengths in attracting tourists and investment on tourism. Varied natural conditions of different ecological regions and preference of rivers and isles on rivers, eco-tourism on river has seen increasing number of national and international visitors to Tien Giang. The tourism has witnessed growth and played a more important role in tourism development of HCMC, Mekong Delta etc. There are now many plans prepared to attract investment on tourism such as Thoi Son isle, Tan Thanh sea etc.
Fifthly, Tien Giang still has abundant land for expansion and development of indutrial zones and urban areas so that supporting industries for high-rank services can be promoted etc. Meanwhile, the plentiful energetic human resources has become more skilled and qualified. It is effort in reforming administrative procedures and assisting enterprises etc that partially make up attractiveness of Tien Giang toward investors.