Thursday, 11/09/2008 18:15

Mekong River Delta and disillusioned IZs

More than 150 industrial zones (IZs) have arisen covering an area of 20,000 ha, mostly agricultural land, in the last few years in the Mekong River Delta. However, the IZs have been left idle with few investors having set up workshops there.

For the cause of preserving wild flora

Tran Quoc Toan IZ in ward 11 in Cao Lanh city in Dong Thap province was established in 2002, covering an area of 140 ha. To date, 40% of the area has perfect infrastructure items, but only one factory has been built. The vast IZ has been deserted since it was established.

Le Van Nam, who lives near Tran Quoc Toan IZ, said that he laments the waste of the hundreds of hectares which have been left unused for the last six years.

Tran Quoc Toan IZ proves to be not the only idle IZ in the Mekong River Delta.

In An Giang province, Binh Long IZ in Chau Phu district, and Binh Hoa IZ in Chau Thanh district also have been left idle with only a few operational factories. Meanwhile, local authorities are presently building the Tinh Bien IZ, apparently, to also… be left idle.

A lot of IZs have also been set up in Soc Trang, Bac Lieu, Ca Mau and Hau Giang provinces as preserves for wild grasses.

The movement of building IZs kicked off after the Communist Party Politburo released the resolution on the socio-economic development of Mekong River Delta by 2010 in 2003, and a plan to develop IZs in the area was approved by the National Assembly in 2004.

On August 21, 2006, the Prime Minister signed Decision No 1107, which said that by 2010, the Mekong River Delta would have 31,500 ha for IZ development, and by 2020, the area would be 500,000 ha.

Statistics show that as of the end of 2007, the area had 20 IZs with the total area of 3,645 ha (180 ha for each IZ). However, only 810 ha had been leased, resulting in the low occupancy rate of 33.51%.

Billions VND buried under IZs

According to IZ management boards, it requires no less than VND4bil to get one hectare of clean land. As such, with 10,000 ha of IZ land left idle in the last time, the Mekong River Delta has wasted tens of thousands of billion VND.

Local authorities in the Mekong River Delta have held a lot of conferences, calling for investment in IZs. However, what they have received from businesses is just... promises.

According to Dr Vo Hung Dung, an economist, the biggest thing keeping investors away is poor infrastructure (roads, ports). The most important routes like Highways 91, 80, 54, 57 and 60 are all damaged. Meanwhile, ships with the tonnage of over 5,000 tonnes cannot go on the Tien and Hau rivers.

There is a strange thing that while investments in IZ have been very low, local authorities all the time complain that there is a lack of clean land for IZs.

VNN

Other News

>   Cushman & Wakefield forecasts sharp fall in office rent (11/09/2008)

>   Domestically-made cosmetics selling better thanks to inflation (11/09/2008)

>   Viet Nam telecoms growing at rapid pace (11/09/2008)

>   Second Buon Ma Thuot coffee festival to open (11/09/2008)

>   Thermo-power plants planned for islands (11/09/2008)

>   Mekong airport well under way (11/09/2008)

>   Gov’t stresses environment issues in oil sector planning (11/09/2008)

>   Central economic zone booming (11/09/2008)

>   Electricity industry expected to generate 18,000 MW in 2009 (11/09/2008)

>   Entrepreneurs to join Vietnam Week in Japan (11/09/2008)

Online Services
iDragon
Place Order

Là giải pháp giao dịch chứng khoán với nhiều tính năng ưu việt và tinh xảo trên nền công nghệ kỹ thuật cao; giao diện thân thiện, dễ sử dụng trên các thiết bị có kết nối Internet...
User manual
Updated version