Long An Industry with a Rapid Development

Long An ranks third out of 13 Mekong delta, fifth out of eight provinces and cities in the key southern economic region and 17^th in Vietnam in terms of industrial production value.

 

Over the past few years, with suitable policies and mechanisms, such as a policy on filling the Plain of Reeds, a ‘one price’ policy and mechanisms on economic restructuring and key economic zone planning, Long An province has created the most favourable condition for industrial production development. The province’s industrial production growth rate was put at 17.64 per annum, on average, in the 2001-2005 period. Its contribution to the province’s GDP in 2005 reached 25.45 per cent, just doubling the figure of 1995. Production value increased 21.43 per cent per year averagely. Its export turnover saw an average rise of 19.75 per cent, mainly driven by textiles and garments, farm-produce, processed seafood and rice.

 

Among industries, cashew nut processing is Long An’s advantage. With a high growth rate of 32.5 per cent, the industry helps consume on-the-spot materials and materials from other localities in the region. The province’s existing plants are capable of processing around 100,000 tonnes per annum. Animal feed production is a young industry, which appeared in Long An in 2001, but has a production capacity of 200,000 tonnes per annum. Construction material production with ceramic tiles as main products has witnessed a strong development. In particular, the Dong Tam Company with high quality and strong trademarks has accounted for a large market share in Vietnam and foreign countries. The province is capable of producing six million square metres of ceramic tiles per year. In 2005 alone, the province put into operation a 10 million tunnel brick per year plant, which is expected to reach a capacity of 40 million bricks in 2006.

 

Textile and garment account for a high proportion in the province’s industrial production, having attracted 25,000 workers. The local authorities have agreed with the Ministry of Industry to develop a textile and garment complex according to the ministry’s plan, which had been approved by the Government, on an area of 200 hectares. The expansion of the Long An Paper Joint stock Company with a capacity of 9,000 tonnes per year has brought the province’s total production capacity to 25,000 tonnes per year. Mechanics has found a foothold in the local market with products for farm-produce processing and other economic sectors. The industry’s products have been exported to Cambodia, Indonesia and Thailand. Furthermore, there are two potential industries, including pharmachemical, and electric and electronic industries, which witnessed their production value increased from 0.23 per cent in 1996 to 7.14 per cent in 2005.

 

Throughout 2010, Long An province will continue to create more favourable conditions for the local industrial sector. Accordingly, the local industry will integrate into the key southern economic region, thus helping increase the province’s per capita income to the same levle with the whole country’s average figure of US$900 in the 2006-2010 period and gain VND 19,200 billion in industrial production value in 2010. To that end, the province will have to combine its industrial development with infrastructure development. Accordingly, the province will use between 4,000 and 5,000 of 15.500 hectares for building industrial parks and complexes, mainly in Ben Luc, Duc Hoa, Can Duoc and Can Giuoc. The province will also accelerate the development of areas near Ho Chi Minh City, building industrial parks for farm-produce and seafood processing, construction material production and mechanics. Long An province, with proper approaches and policies, hopes to become an industrial province in 2015.