Mekong Delta localities strive to attract more investment

Friday, 04 December 2015

Localities in the Cuu Long (Mekong) Delta region were calling for foreign and domestic investors to make investment into 74 projects in the time ahead.


These projects specialized in wide range of industries including hi-tech agriculture, processing industry, urban development, industrial park infrastructure, manufacturing, and construction material production, in addition to tourism and trade, and services.

Vo Thanh Thong, chairman of Can Tho People's Committee said that regional localities committed themselves to create the most favorable conditions for investors by developing infrastructure, reducing administrative procedures and improving personnel resources.

According to the Viet Nam Chamber of Commerce and Industry's branch in Can Tho (VCCI Can Tho), the Mekong Delta was a dynamic economic region with great advantages in natural resources and a geographical position.

The region supplied more than 90% of the nation's rice production, 50% of national seafood output and many other agro-forestry-fishery products for export every year.

 


The third annual Mekong Delta Investment forum 2015​ (Photo: VCCI)
 

The business environment in the region's localities had also improved since 2009, Vo Hung Dung, director of VCCI Can Tho said.

Dung predicted that the region's economy would continue to achieve a high growth rate in the next 10 years, thanks to its rapid improvement of transport, electronics, low labor costs and abundant food sources.

The director also outlined food, agriculture, textile and garment, IT, and hotel and tourism, as well as logistics as the other promising sectors in the region that could attract foreign investment in the future.

 

In the past 10 months of 2015, the region's nine provinces and cities, had lured US$2.8 billion in new foreign direct investment (FDI), according to the Ministry of Planning and Investment's Foreign Investment Agency (FIA)'s report.

Of them, Tra Vinh Province ranked first with US$2.4 billion investments. Long An Province came next with US$156 million, followed by Tien Giang Province with US$43 million, An Giang Province with US$35 million, Can Tho City with US$16 million, in addition to Vinh Long City with US$12.8 million.

During the reviewed period, these nine localities also allowed 57 existing projects to raise their capitals by US$256 million.

FIA noted that the latest additional had brought total of FDI in the regional 10 localities to US$14 billion to date.

 

According to the agency, the influx of foreign investment into the region was yet to match its potentials while inadequate transport infrastructure and lack of skilled labors remained the biggest challenges for the region in attracting foreign investment.

 

In order to lure more FDI, the agency suggested that in the long-term, the region should pump sufficient investments into transport infrastructure development in order reduce logistics fees.

The region also needed to renew its investment promotion with a focus on specific industries and countries, FIA said.

The Mekong Delta would have two second-class logistics centers by 2030, spanning a total area of 100ha to serve regional localities like Can Tho, Hau Giang, Kien Giang and Soc Trang, vietnamplus.vn reported.

 

Nguyen Quang Phong, Deputy Head of the Steering Committee for the Southwestern Region, called for supports from the Government, ministries and relevant agencies in constructing these logistics centers in the region.

Incentives to domestic and foreign investors in the centers would be also included, he said.

Can Tho had been selected for the construction of the centers. Other satellite logistics centers would be built in other localities to form a full logistics system that meets regional requirements, the online newspaper said./.
 

Van Hai (Source: vietrade.gov.vn)

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