Faith leading to efficiency
In 2014, Binh Duong’s FDI attraction continued reaping a bumper crop with US$1.65bln. The province has so far absorbed 2,375 FDI projects from 39 countries and territories in the world with total investment capital of nearly US$20.4bln, helping it be among the country’s five localities with FDI attraction surpassing US$20bln.
According to provincial People’s Committee, most FDI projects in the province have flowed into industrial parks with main fields of auxiliary industry, food processing, consumer goods manufacture…that are being called for investment by the province.
In the current difficult situation, Binh Duong’s effective FDI attraction showed that the locality has still been the top destination for foreign investors. Pittas Konstantinos, Director of Medochemie Pharmaceutical Co.Ltd. said that he felt very satisfactory about Binh Duong’s investment climate that has well-built infrastructure, administrative procedures quickly processed plus the local administration’s high esteem, facilitating investors’ evolution.
Nam Phuong Textile Joint Venture Co.Ltd., a joint venture between Hongkong’s Haputex Development Co.Ltd. and Viet Huong Investment & Development Joint Stock Co. last year built a fabric factory capitalized at US$120mln in Binh Duong. Marcus IP, Director of Esquel Garment Manufacturing Vietnam Co.Ltd. said: “The company decided to sort out Binh Duong for investment as the province has a fast growing speed with modern and perfect industrial infrastructure; and borders HCM city, creating advantages for the company’s business”.
Many FDI enterprises in the province also decided to raise their capital investment for production expansion. To The Thian San, General Director of Esquel Garment Manufacturing Vietnam Co.Ltd. in Vietnam-Singapore I Industrial Park, along with well-built infrastructure, provincial leaders have always created favorable conditions for enterprises to effectively work.
Also according to him, investment climate in Vietnam in general and in Binh Duong in particular is very stable and effective. That’s reason why his company decided to pour additional US$35mln into production.
KyungBang Vietnam Co.Ltd. under Rok’s KyungBang Group also poured additional US$54.2mln for production expansion only after one-year operation, bringing its total investment capital so far to US$94.2mln.
The signing ceremony of cooperation agreement on urban and industrial development between Binh Duong and Holland’s Eindhoven
New opportunities in new year
Most FDI projects in the province focus on industrial production, so their investment capital have been quickly implemented by investors. In 2014, investment capital disbursement of province-based new FDI projects and old ones amounted to more than US$1.2bln.
According to provincial Department of Planning and Investment, quick disbursement of investment capital has helped more projects go on stream, contributing to increasing the local industrial production value. Especially, this is of great significance for big groups’ projects in the field of urban, service-trade infrastructure development like Aeon, Tokyu…, making the local economic picture get more lively and be in line with the orientation of gradually increasing the proportion of trade-service in the local economic structure.
Along with preferential policies, the province has actively zoned areas specialized in manufacturing production materials to better serve investors when Vietnam joins the Trans-Pacific Strategic Economic Partnership Agreement (TPP). The province has also boosted friendly cooperation relations with Japan’s Yamaguchi province, South Korea’s Daejeon city, France’s Rhones-Alpes region, Holland’s Eindhoven city…, creating advantages for FDI enterprises as well as absorbing more FDI projects.
To Tran Van Nam, Chairman of provincial People’s Committee, most investment projects in the province focus on manufacturing products with high technology, high added value and big competitiveness that is very suitable to the local policy calling for investment towards sustainable industrial development. He also emphasized that FDI enterprises’ investment has actively contributed to the local socio-economic development. And the province will further create more favorable conditions for all enterprises to work effectively…
Reported by Trinh Binh-Translated by K.T