Over the past time, the Management Board of Industrial Parks in Dak Lak province has always monitored and grasped the situation of investment, production and business activities of enterprises in order to promptly coordinate and remove difficulties and create conditions for enterprises to accelerate project implementation schedule and efficiency. Mr. Pham Van Tich, Director of the Management Board of Dak Lak Industrial Parks, had an interview with a reporter of Vietnam Business Forum about this.
Could you tell me more about the planning of industrial parks in Dak Lak province?
Currently, Dak Lak province has Hoa Phu Industrial Park in operation with a planned area of 181.73ha. According to the master plan approved by the Prime Minister in Document 1110/TTg-CN dated July 28, 2017, on the Scheme on adjustment and supplementation of the master plan for development of industrial parks in Dak Lak province to 2020, Hoa Phu Industrial Park was expanded by 150ha (total area of industrial park after expansion is 331.73ha), adding Phu Xuan Industrial Park in Ea Drong commune, Cu M'gar district, with a scale of 325.6ha in the development planning of Vietnam's industrial parks up to 2020.
Regarding the plan to develop the industrial park system integrated into the planning of Dak Lak province in the period of 2021-2030, with a vision to 2050, in the period of 2021-2030, the province will focus on investing in infrastructure of Hoa Phu Industrial Park, and at the same time complete the investment procedures for Phu Xuan Industrial Park.
In the period after 2030, the province will add 03 industrial parks, including the industrial park of Ea H'Leo district (Ea H'Leo commune, Ea H'Leo district) with an area of approximately 500ha; Ea Kar Industrial Park (Ea O Commune, Ea Kar District) with an area of about 200ha and M'Drak District Industrial Park with an area of about 500ha.
Up to now, what are the achievements in infrastructure investment and investment attraction in industrial parks in the province?
Regarding infrastructure investment, Hoa Phu Industrial Park is invested in infrastructure according to 02 Decisions approving investment projects: Decision 370/QD-UBND dated February 19, 2008 of the Provincial People's Committee on approval for technical infrastructure of Hoa Phu Industrial Park, Dak Lak province (total investment of VND 278,044 million); and Decision 2930/QD-UBND dated October 30, 2015 of the Provincial People's Committee, approving the investment project to build a traffic system in the fence of Hoa Phu Industrial Park (total investment of VND 80,000 million). The province is calling for investment in the extension of Hoa Phu Industrial Park by 150ha.
Besides, in order to facilitate the transportation of goods, the travel needs of businesses as well as the management and assurance of security, order and environment, to attract investment in Hoa Phu Industrial Park, the Board has proposed investment policy on the project of the main road to Hoa Phu Industrial Park in Report 144/BC-KCN and submitted for appraisal in Report 145/TTr-KCN dated March 15, 2021, then coordinated with relevant units to complete the prescribed procedures. On September 24, 2021, the Provincial People's Committee issued Decision 2647/QD-UBND, approving the Feasibility Study Report on investment in construction of the main traffic road project to Hoa Phu Industrial Park. In which, the provincial civil and industrial construction investment project management board is assigned as the project investor. After carrying out the prescribed procedures to select a construction contractor, the investor handed over the site to the construction contractor on July 27, 2022. The project is currently under implementation and is expected to be completed by the end of 2023.
In addition, up to now, the dossier of approval for investment policy of Phu Xuan Industrial Park's infrastructure development investment project has also been appraised by the Ministry of Planning and Investment and is being submitted to the Prime Minister for consideration.
Regarding investment attraction results, up to now, Hoa Phu Industrial Park has 53 valid projects, including 52 projects of domestic investors with a total registered investment capital of about VND 4,485 billion; 01 project of a foreign investor (100% Korean FDI capital) with registered investment capital of about US$ 22.6 million. The main industries and occupations are: Steel production, agricultural product processing, construction material production, wood processing, fertilizer production, semi-finished shoe production, etc., contributing to job creation for about 2,400 employees (approximately 7,000 employees in 2023) with an average income of VND 5.5 to 6.6 million per month.
However, attracting investment in industrial parks in Dak Lak province is not really good. Can you tell me more about the reasons for this?
Besides the achieved results, there are still shortcomings and limitations that have not yet attracted many FDI projects. The main reasons are because Dak Lak is still a mountainous province, there is no seaport, no rail transport system; freight transportation is mainly by road; investment in construction of technical and social infrastructure has not been given due attention. In the past time, many businesses, especially foreign-invested enterprises, have asked for investment, but the technical infrastructure has not yet met the requirements, so investors have left.
In addition, despite being a locality with a large population, having abundant and diverse labor resources, high-tech workers are still in short supply, unable to meet the projects that require high-quality labor, especially foreign-invested projects.
What solutions does the management board of provincial industrial parks have to attract investment in industrial parks in the near future?
In order to improve the efficiency of investment attraction, the Board will focus on implementing the following solutions such as improving business environment and business development; enhancing the improvement of the investment environment, focusing on administrative reform, shortening the time limit for handling administrative procedures, creating all favorable conditions for businesses. The Board will also accelerate the construction of infrastructure, identify enterprises as service objects, regularly propagate and promote the investment potential and opportunities, natural, socio-economic conditions and advantages of the province.
It will also prioritize attracting large projects with economic potential, projects with advanced technology, high added value, low environmental pollution, in the direction of clearly defining key industries and fields, strategic investors and projects with high spillover dynamics.
The Board will monitor and grasp the investment and production and business activities of enterprises in order to promptly coordinate and remove difficulties and create conditions for enterprises to accelerate project implementation; timely detect errors to handle and remove slow investment projects that affect the investment environment; encourage and create conditions for enterprises to participate in technological innovation programs; implement solutions to expand the market and strengthen the link between product manufacturing enterprises and supporting industries.
Simultaneously, it will improve qualifications, building a contingent of civil servants and public employees with good moral qualities, competence, high professionalism and dedicated service.
Currently, businesses have been facing many difficulties due to the impact of COVID-19, and economic and political fluctuations in the world. What advice does the Board have on solutions and support policies for businesses and employers?
The Board has actively propagated and disseminated supporting documents and policies for businesses and employees such as Resolution 105/NQ-CP dated September 9, 2021 and Resolution 11/NQ- CP dated January 30, 2022 of the Government, Program 1987/CTr-UBND dated March 15, 2022 of the Provincial People's Committee on the program of socio-economic recovery and development in 2022 - 2023 in the province on supporting businesses in the context of the COVID-19 epidemic; policy on accommodation rental support for employees according to the Prime Minister's Decision 08/2022/QD-TTg dated March 28, 2022. Along with that are the preferential loan programs for priority subjects as stipulated in the Government's Resolution 11/NQ-CP dated January 30, 2022; spreading information on financial support for small and medium enterprises of the Small and Medium Enterprises Development Fund under the Ministry of Planning and Investment.
In addition, the Board also focuses on reforming administrative procedures (100% of administrative procedures under its jurisdiction are resolved ahead of time and on time), strengthening information technology application, and improving public administration services to reduce time and costs for businesses. The Board also implements enterprise management software for information exchange and reporting according to regulations on electronic systems to reduce the time for information and reporting between the Board and enterprises.
Thank you very much!
By Quoc Hung, Vietnam Business Forum