Binh Phuoc Confidently Accelerating on Industrialisation Road

In the 19 years since its re-establishment, Binh Phuoc province has attained many significant achievements in all aspects, notably the economy. Since 1997, the province's economy has maintained a relatively strong economic growth rate, with gross regional domestic product (GRDP) reaching VND10,150 billion in 2015, a 7.7-fold increase over 1997 (VND1,311.27 billion). The average annual GRDP growth in the 1997-2015 period was 11.9 per cent. People’s income and livelihoods have been constantly improved, with GRDP per capita amounting at VND39.8 million in 2015, an increase of 15.2 times over 1997 (VND2.62 million). The economic structure has shifted in the right direction to promote every sector’s advantages. In 1997 the share of agriculture, forestry and fisheries in GRDP accounted for 70.6 per cent, the share of industry and construction made up 6.9 per cent, and the share of services was 22.5 per cent. In 2015, the share of agriculture, forestry and fisheries fell to 36.7 per cent, the share of industry and construction climbed to 24.8 per cent, and the share of services went to 38.5 per cent. Marked progress has been seen in every sector and industry.

 

The province’s export turnover reached US$1,113 million in 2015, an increase of 33.4 times against 1997 (US$33.3 million), representing an average annual growth of 21.5 per cent in the 1997 - 2015 period. Import value reached US$302 million in 2015, up more than 154 times against 1997 (US$1.956 million), representing an average annual growth of 32.3 per cent in the 1997 - 2015 phase. Imports not only ensure local production development, but also provide the province with access to new and modern technologies to raise product quality and competitiveness, meet people's demands and serve export.

 

The province had only 181 companies with a total registered capital of VND35 billion in 1997, and the number rose to 4,670 companies with VND33,800 billion of investment capital in 2015 (a 25-fold increase in companies and more than 950-times increase in value over 1997). Similarly, Binh Phuoc had only one FDI project with US$20.58 million in 1997 and 134 projects with US$1.097 billion in 2015 (up 134 times in projects and 53.4 times in value), including 95 projects in operation, which employed more than 33,000 workers.

 

In addition to economic development achievements, the province also saw much progress in cultural and social aspects. Education, training and literacy rate improved. In 2015, the poverty rate fell to 2.53 per cent.

 

 

Binh Phuoc province is connected to CLV provinces and the southern key economic zone with National Road 14, National Road 13 and the border gate system. Being famous for its solidarity and amity with border-sharing localities in Cambodia and Laos, Binh Phuoc has many cooperative and supportive activities with CLV provinces in such fields as agriculture, health, education and infrastructure development.

 

Specifically, the province has given over VND18 billion to provinces in Laos and Cambodia in various forms in the past years. Furthermore, Binh Phuoc and Cambodian border provinces have completed borderline delimitations and demarcations with a total length 260.4 km, and the province is erecting landmarks. The province now has four investment projects in Cambodia with a total registered capital of US$148,232,500. These projects hire 28,642 ha, of which 20,230 ha (70.6 per cent) are cultivated land.

 

To boost cross-border trade cooperation development, Binh Phuoc province has focused on investing and upgrading border gates (Hoa Lu, Loc Thinh, Hoang Dieu and Tan Tien). Besides, the province has invested in constructing infrastructure of the 28,364-ha Hoa Lu Border Gate Economic Zone to prepare adequate land fund for domestic and foreign investors.

 

In the coming time, to interlink CLV provinces, apart from inheriting and promoting its achievements in investment, trade, agricultural, health and education cooperation, investing in transport infrastructures is the most important demand in any CLV province, particularly ground infrastructures that link major seaports in central Vietnam (Da Nang, Dung Quat and Quy Nhon) and ports in Dong Nai province and Ho Chi Minh City. In addition, Binh Phuoc province will complete procedures to call for support funds from the Asian Development Bank (ADB) for border area development in CLV, and mobilise investment resources to carry out residential projects in border areas in association with national defence and security. Binh Phuoc has also coordinated with CLV provinces to achieve contents of meetings of the CLV Coordinating Committee and CLV Summit for joint development, particularly agricultural production and calling development partners to invest in technical infrastructure in the region.

 

In the coming time, the province will propose that the Government build two railways, namely Di An - Loc Ninh connecting to Cambodia (to extend to other ASEAN countries) and Central Highlands Railway (Da Nang - Kon Tum - Dac Lac - Chon Thanh - Ho Chi Minh City). These two important railway lines will boost CLV regional economic development.

 

In the coming time, Binh Phuoc will concentrate on developing key industries expected to create breakthroughs in socioeconomic development such as cashew, rubber and wood processing industries, cement and clinker production industries, electronic component industry, mechanical engineering industry, garment - textile industry, and leather - footwear industry. In agriculture, the province will place priority on the livestock industry, expected to become a strong advantage of the province in the future.

 

To develop these spearhead economic sectors, the province has prepared clear land fund to serve new investors. In addition, investors are entitled to enjoy the same investment incentive policies stipulated in Decision 01/2016/QD-UBND dated January 7, 2016 of the Provincial People’s Committee, and assured of non-discriminatory treatment in a healthy competitive environment. At the same time, Binh Phuoc province will create favourable conditions for businesses to access local land, raw material sources and training support.

 

The province will focus on accelerating economic restructuring and raising growth quality; set up driving areas and industries based on the adoption and application of scientific and technological advances; and manufacture well-branded products with strong domestic and international competitiveness. It will strengthen cooperation with relevant localities to promote strengths and motivating roles of each region and each economic centre to speed up economic growth; centrally invest and effectively operate industrial, commercial and residential and economic zones as well as tourist attractions. Binh Phuoc province will continue to expand concentrated specialised areas to develop industrial crops, livestock and forests.

 

The province will give priority to developing industries with local advantages to become spearhead industries such as construction material production and agri-forestry product processing. It will modernise industries using advanced technologies, seeking exports and employing many workers. Existing industrial and economic areas will be basically leased out to investors in the 2016-2020 period, develop synchronous social infrastructure, form some specialised industrial zones for metallurgy, electronics, information technology, chemical, high-tech and supporting industries to draw more investors.

 

In addition, the province also will effectively carry out solutions to develop transportation networks, promote investment and trade, and raise human resource quality.