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Thứ 7, Ngày 17/09/2022, 10:00
Creating a consensus of enterprises in the conversion of functions and relocation to industrial zones and clusters
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17/09/2022

​PORTAL - On the morning of September 16, at the office of Vietnam - Singapore Industrial Park Joint Venture Company Limited (Thuan An City), the Provincial Party Committee, People's Council, People's Committee of Binh Duong province held a meeting between provincial leaders and enterprises affected by the Project on conversion of functions and relocation to industrial zones and clusters in the province.

​Ms. Nguyen Truong Nhat Phuong - Vice Chairman of the Provincial People's Council and Mr. Nguyen Van Danh - Vice Chairman of the Provincial People's Committee (PPC) chaired the meeting.

Attending were representatives of leaders of departments, committees, branches, People's Committees of districts, towns and cities and more than 60 enterprises in Thuan An city affected by the Project.

The province's great policy

On October 31, 2019, the PPC issued Decision No. 3210/QD-UBND approving the Project "Investigating and assessing the current situation of operations and proposing mechanisms and policies to support enterprises located outside industrial zones and clusters in the South to convert their functions and relocate to industrial zones and clusters in the province" (referred to as the Project).

According to the Project, the implementation schedule is in the following localities: Thuan An city from January 2020 to December 2028; Di An City from January 2024 to June 2030; Thu Dau Mot City from January 2024 to June 2030; Tan Uyen Town from January 2024 to December 2029; Ben Cat Town from January 2024 to December 2030. The project identifies 04 criteria to evaluate the level of enterprises, including: Environmental protection; being consistent with the provincial socio-economic development plannings already approved and valid; production lines (basic chemicals; fertilizers, plant protection chemicals; recycling and trading of scraps; waste treatment and recycling; textile dyeing; tanning; steelmaking, metallurgy, plating processing; producing paper, pulp from raw materials and waste paper; wood processing; processing natural rubber latex; raising livestock and poultry on an industrial scale; slaughtering livestock and poultry; paint production; textile; leather shoes; wood processing; ceramic building materials); awareness of compliance with the provisions of the law.

 

Enterprises attend the conference

The project is divided into four implementation phases. Specifically, from January 2022- December 2023: Carrying out the preparation work of the province to implement the Project, organizing enterprise advocacy, and disseminating information about the contents of the Project. From July 2023 – December 2023: Promulgating a preliminary list of objects that have to convert their functions, move into concentrated industrial zones and clusters, and starting implementing the pilot phase in Thuan An city. From January 2024 to December 2024: Continuing to organize enterprise advocacy, disseminate information about the contents of the Project, drawing lessons from the implementation of the Project in Thuan An City to implement the conversion of functions, relocation in other localities. From January 2025 – December 2027: Continuing to organize enterprise advocacy, disseminate information about the contents of the Project, and implement the conversion of functions and relocation in other localities. From January 2028 to December 2030: Continuing to organize the mobilization of enterprises, disseminate information about the contents of the Project, implementing the forced relocation and conversion of functions for enterprises with a slow and protracted attitude.

Enterprises are worried

Talking at the conference, on behalf of enterprises in the Binh Duong Leather and Footwear Association, Ms. Truong Thi Thuy Lien - Vice Chairman of the Association expressed concern, implementing the relocation to a new place with a large number of enterprises that have to relocate will find it difficult to recruit workers because at present, workers have settled in. With the disturbance of production and business locations, potential enterprises will survive and vice versa, some enterprises will face many difficulties. Therefore, enterprises suggest that the province needs to spread out over a long period of time and when the public land fund is stabilized, the relocation will be implemented so that enterprises in the same industry will support each other to form a supply chain in the future.


Ms. Truong Thi Thuy Lien - Vice Chairman of Binh Duong Leather and Footwear Association speaks at the meeting

Sharing the same view with Ms. Lien, a representative of a wood production enterprise in Thuan An city said that the company has been operating for 25 years, ensuring full tax payment, no complaints about affecting people's lives in the production process. The company is very worried, the relocation according to the province's policy may lead to the risk of bankruptcy because the workers have stabilized their accommodation and the learning environment of the workers' children. Therefore, it is suggested that the province share and understand the difficulties of enterprises in order to have regimes and policies to support enterprises in the process of implementing the Project, creating consensus of enterprises in the province.

 

Mr. Vuong Sieu Tin - Vice Chairman of Binh Duong Ceramics Association said that when moving to a new location, it is also difficult for enterprises to recruit workers to stabilize production immediately

Representing enterprises of Binh Duong Ceramics Association, Mr. Vuong Sieu Tin - Vice Chairman of the Association said that, when moving to a new location, it is difficult for businesses to recruit workers to stabilize production immediately. Moreover, companies have invested in production and business for a long time on the current production land. When moving to a new location, the company has to pay land rent. Therefore, the province must have a policy to support land rent for enterprises. Ceramic enterprises in Binh Duong also said that this is a big plan of the province, if implemented ineffectively, it will make enterprises unable to continue production and business activities. Therefore, the Provincial Steering Committee should work with each association to get specific opinions of enterprises and provide detailed information to enterprises about the areas to move to in accordance with the province's policy. Otherwise, enterprises will switch to learn the investment environment of other provinces and cities, then it will be difficult to "retain" enterprises in Binh Duong.

Sharing the same view, some enterprises in the Binh Duong Furniture Association also said that enterprises have invested a lot of costs during the past time, moreover, after the Covid-19 pandemic, enterprises faced many difficulties in finding orders; workers have settled down and bought houses near their current workplace, if the company moves, workers will worry about their children's accommodation and study place. Besides, it is very difficult for banks to disburse loans to enterprises at present. Faced with the above situation, the enterprises suggested that the province need to extend the time for them to prepare all conditions for relocation, and at the same time to support enterprises with environmental investment costs according to the Law on Environment.

Will create all favorable conditions for enterprises to develop sustainably

Talking to enterprises at the meeting, Ms. Nguyen Thanh Ha - Deputy Director of the Department of Industry and Trade said that in the coming time, the Department will review the available industrial zones and clusters, work with the investors of the industrial zones, industrial clusters to arrange suitable land fund for the relocated objects of the Project; advise promulgating criteria for considering enterprises and production facilities to be relocated; criteria for considering enterprises and production facilities that must convert their functions; advise the PPC to issue a decision approving the investor to build the infrastructure of a number of specialized industrial zones and clusters, in which paying special attention to the priority plan to build 01 typical industrial cluster to test and verify the results and efficiency of enterprise relocation, before mass deployment.

Sharing with the difficulties of enterprises, Mr. Pham Trong Nhan - Director of the Department of Planning and Investment said that the provincial planning is integrating with the planning of districts, towns and cities to orient Binh Duong to develop sustainably and harmoniously in the region and the whole country. The province's policy of moving industrial development to the North of the province is also an opportunity for enterprise to develop sustainably in the future. Currently, highways connecting the region are being built by the province, especially Ring Road 3, Ring Road 4, Ho Chi Minh City - Thu Dau Mot - Chon Thanh Expressway; planning to develop industrial zones and clusters in the province by 2030 can meet the land rental needs of enterprises. In order for enterprises to better understand the province's policy, Mr. Nhan suggested, the province should organize many meetings to get opinions of enterprises; widely inform the province's policies for affected enterprises so that enterprises can feel secure. Mr. Nhan also hopes that enterprises will agree with the province's policy because this is also the Government's policy.

  

Mr. Pham Trong Nhan - Director of Department of Planning and Investment speaks at the meeting

Regarding the supply of labor in the coming time, Mr. Pham Van Tuyen - Deputy Director of the Department of Labor, War Invalids and Social Affairs said that the province will actively implement and effectively implement welfare policies to support workers in terms of rent, paying special attention to workers outside the province to create a good mentality and retain workers. In addition, studying and proposing policies to directly support enterprises such as reducing loan interest rates, restructuring loan repayment periods, and reducing fees and charges. Industries will also strengthen vocational training and support workers to access vocational training courses, etc. Mr. Tuyen also suggested enterprises promote the application of modern technology to be less labor intensive. The Department of Labor, War Invalids and Social Affairs will advise the PPC to develop specific policies for workers upon relocation.

​​ 

Ms. Huynh Thi Thanh Phuong - Secretary of Thuan An City Party Committee shares difficulties with affected enterprises

Thuan An city is a locality with many enterprises affected by the Project, sharing with the difficulties of enterprises, Ms. Huynh Thi Thanh Phuong - Secretary of Thuan An City Party Committee said that the locality will try to work with functional branches to contact enterprises to listen to the thoughts and aspirations of enterprises, on that basis to advise, propose the PPC to have appropriate policies for relocation enterprises to both stabilize during the preparation time for relocation and the time to move to a new location. She also asked the PPC to study the time of relocation so that enterprises have time to adapt to the relocation.

  

Vice Chairman of the PPC Nguyen Van Danh concludes the conference

Concluding the meeting, Vice Chairman of the PPC Nguyen Van Danh shared and sympathized with affected enterprises. Vice Chairman of the PPC emphasized that this is a major policy of the province to implement the Provincial Party Committee's program on innovation to attract investment in the 2021-2025 period in the province, so he hoped enterprises will agree. The province will listen to the opinions of enterprises to issue the best support policies for enterprises to relocate to industrial zones and clusters in the province.

​​Reported by Mai Xuan- Translated by Thanh Tam​​

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