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Development of industrial zone in Dong Nai: with and for Country

Dong Nai is a province which has successfully built many industrial zones (IZs). Up to now, over 1.950 ha in 16 industrial zones has been rented, made up of 58% of total area of leased land, attracting 661 projects of investors from 26 countries and territory with total registered capital of 6,798 million US$. Now, there are 451 projects come in to run with investment capital of 5,423 million US$. On the 10th anniversary of foundation of Dong Nai Industrial Zone Administration – DIZA (6/4/1995 – 6/4/2005), Mr. Vo Thanh Lap, Depute permanent head of DIZA, talks with Dong Nai Press about achievements and challenges in building industrial zones in Dong Nai.

* In the initial stage, there are achievements but adversities still exist

* Reporter: Dong Nai is a province which has the high-speed development of IZ and attracts many foreign investments. When does DIZA feel exhausted?

 - Mr.Vo Thanh Lap: a distinct feature of works in DIZA is that the more IZ develops and attracts investments, the more jobs DIZA has and the more pressures it suffers. New

Comrade Vo Thanh Lap 

Mr Vo Thanh Lap is the the permanent deputy department manager of DIZA in Dong Nai.

 difficulties keep on appearing. We have to work under high pressure and place great concentration on solving them in a creative way. Over 10 years, in spite of some achievements we still have some mistakes and unfulfilled duties which need to be solved basically as to stably develop industrial zones. I want you to know that industrial zones in Dong Nai are appraised to develop promptly both in quantity, area and the number of investments in comparison with entire country. Every year, there are 80-90 new projects in industrial zones in Dong Nai, excluding mobilizing capital projects. It’s inevitable that a lot of problems on administrative procedure, accommodation for labour, recruitment…will arise. There are many significant adversities related to the development of IZ. Life of over 200.000 workers in industrial zones is not stable. There are shortage of skilled and unskilled workers and managers. Infrastructure inside and outside industrial zone does not settle the need. There are no investment promotion policies. A lot things need to be done. Solving these problems mean that we reach the aim of developing stably all industrial zones.

* What have DIZA done as to build and upgrade its fame in eyes of investors?

- We always use our slogan “Accompanying with Enterprise” to fulfill out duties. Implementing that slogan is to build our own fame. This contributes to send the message of Dong Nai to investors in a practical way. With administrative reforms, I believe that all state agencies in Dong Nai have been “accompanying with enterprises” for 50 years of each projects and does not want to stop whenever an investment license is approved. We have applied ISO 9001 – 2000 in our management as to service enterprises better. This is an initial step aimed at getting good managements with the same standard as that of developing countries and improving our management mechanism in industrial zones.

* Some small problems will become great hurdles if they are not positively solved.

* Reporter: As I know, IDZA does not stop at 16 industrial zones and is planning over 30 industrial zones. This means that more pressure is placing on IDZA. What do you think about this?

- Mr. Vo Thanh Lap: there are 16 industrial zones of 32 planning industrial zones is established. Attracting investment into 16 current industrial zones takes priority over the rest. To attract investment effectively, all IZ-infrastructure trading Companies should try their best to build infrastructure and invest more on enterprise services; being aggressive to get information; expanding the relationship with potential investors; especially they have to take good care of old investors who will popularize Dong Nai’s fame.

This year, there is an investment promotion program in Korea, USA ... and potential countries. The investment promotion officers will contact with big group as to enhance investment attractions and quality of each project.

* According to you, what are challenges of attracting investments into current industrial zones?
- In general speaking, we have done well in developing infrastructure of industrial zones and attracting investments. But there still exists difficulties needed to be solved radically. If not, they will be hurdles in attracting investments. These obstacles are below:

*  Construction of service facilities outside industrial zones does not meet ends and does not keep pace with the development of industrial zones. Transportation systems become a big problem needed to be solved. Some streets such as streets lead to Song May IZ, Ho Nai Street and 15th National Road are overloaded and 319B Street is getting worse and worse. Traffic accidents and jams frequently occur, especially in rush hours. Power and water supply in industrial zones are pressing matters. Some infrastructure companies do not properly invest on the quality of infrastructure of industrial zone. This diminishes the competitive capacity and fame of industrial zones in Dong Nai province.

*  The high influx of workers into Dong Nai is also a pressure to DIZA. Social security, shortage of accommodation, public services such as education, heal care, entertainment are imperative problems needed to be promptly solved. Training manpower and supplying skilled workers for enterprises does not settle ends.  This is a great disadvantage to attract high-tech enterprises and to enhance the quality of labour. Now, there is huge shortage of unskilled workers.

*  About the orientation of attracting investment into Dong Nai’s IZs. There are no sectorial plans (usually multi-sector in IZs). Development models are in low level. There are no clear strategies and aims as to improve IZs. Now, development of IZs is in stage of studying its impacts on Society. And there are no research on bearing of environment and ability to supply infrastructure and services to enterprises and workers

*  Besides, attracting investment is assigned to infrastructure trading companies. Therefore, they pay much attention to area of land as to fill empty places in IZs and do not concentrate on the sector, quality of each project. I think that Government should have policy on selecting investment projects as to enhance quality of IZs and restrict bad impacts on society.

 Thank you very much !

According to Dong Nai Newspaper

Author: admin

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