"The biggest advantage of Nam Dinh is the quality of human resources"

3:32:36 PM | 30/12/2014

Currently, Nam Dinh province is applying many solutions to create an open business and investment environment to stimulate and attract internal and external investment sources. In mid-August 2014, leaders of the Nam Dinh Provincial People's Committee hosted a meeting with FLF Joint Venture Global Investment Joint Stock Company (KLF) to introduce its potential and advantages and call for its investment into the province. Vietnam Business Forum has an interview with Mr Nguyen Thanh Binh, CEO of KLF, to learn more information. Duy Anh reports.
Would you mind telling us about the meeting contents and resulting agreements with the leaders of Nam Dinh Provincial People's Committee?
After the meeting, with information provided by the provincial leaders, we reinforced our knowledge of the province’s capabilities and potential in the Red River Delta region. We see that the provincial leaders really want to create favourable conditions for investors.
The most important result is that both sides need each other.
Five years after its establishment, KLF has confirmed its position in the market. In the context of general difficulty facing enterprises, what solutions and strategies has KLF taken to stabilise operation and development?
KLF is specialised in trading (import and distribution of milk powder, consumer goods and construction materials), services (tourism, helicopter services, yachting and golf clubs), real estate, agricultural chemicals and agriculture.
Our company now has over 200 employees. KLF has a registered capital of nearly US$75 million and total assets of US$100 million, according to its financial data reported in October 2014.
In the current context of economic slowdown, businesses generally have difficulty seeking investment capital to improve infrastructure, invest in new technology and enhance competitiveness. We are no exception to this.
With income primarily coming from services and consumer goods, KLF is very active in its working capital and focusing on expanding investment into its strengths and profitable businesses.
To fund our projects, in addition to owner’s equity, we sell shares to raise the registered capital. We manage to reduce loans and minimise financial costs.
Along with real estate investment projects, KLF is boosting its investment capital into new areas like agriculture, using advanced technologies from developed countries like the US, Israel and Japan.
From the perspective of an investor, how do you assess the current investment environment in Nam Dinh?
In my opinion, Nam Dinh has some disadvantages in investment attraction compared to surrounding provinces, but it also has its own advantages.
The biggest advantage of Nam Dinh province is its much higher high quality of human resources than many other localities in the region.
The second advantage is the short development which is providing numerous opportunities for investors. Nam Dinh can develop many industries based on its comparative advantages against surrounding provinces, such as services, high technology, garment, textile and supporting industries.
In my opinion, both the government and people of Nam Dinh province are aspiring for strong development. This is an important condition for investors.
With its potential and strengths, what keys will Nam Dinh province hold to unlock investment sources?
The most important key for us is not only preferential policies but also the attitude and service manner of the bureaucracy. Like other businesses, we want to see professional, scientific and quick service.
Unless Nam Dinh accelerates administrative procedure reform, especially investment licensing procedures, it will not have the advantage that other provinces around it have. We define to build cooperation ties based on mutual benefit.
The second important thing is the response and solution to problems arising from the working process. When complicated issues emerge, legitimate interests of enterprises must be protected.
Only then will investors feel assured in doing long-term business in the province. If a business is left in difficulty, it is understandable that other firms will look into that case to think of their treatment in the future.