Km-21 Khoksa-ard industrial zone to complete this year

The infrastructure development of the Km-21 Khoksa-ard industrial zone project is expected to be completed in the next two months.

Mr. Noukone Chanthasack who is in charge of infrastructure development of the Km-21 Khoksa-ard industrial zone project, said that the project has been invested 10.5 billion kip by foreign and domestic investors. Presently, the infrastructure development has basically been completed, including electricity installation and road construction. The survey for the laying out of the water supply system is underway, which is expected to be completed this year, said Mr. Noukone.

He has explained that the Khoksa-ard industrial zone will cover 2,000 hectares in 13 villages of two districts of Saythany and Saysettha, Vientiane Capital.

Twenty companies have already operated their manufacturing in the Khoksa-ard industrial zone, of which five are iron-melting factories and 16 processing factories, by domestic investors. Mr. Noukone continued that the operation of our industrial zone was based on the investment promotion policy, a law on foreign and domestic investment. However this law has not attracted overseas entrepreneurs. So the executive board of Khoksa-ard industrial zone is conducting a feasibility study on a special policy so as to make it an attractive special economic zone to overseas investors. Local people who are directly affected by the development of the Khoksa-ard industrial zone, are not satisfied with the compensations proposed by the government. So the compensation has been suspended.

After the completion of the survey in 2009, undertaken by the Japan International Cooperation Agency, the outcome of the survey has been reported to the government, which encompassed border demarcation of the Khoksa-ard industrial zone, socio-economic development, people's lands and land compensation for the affected people.

The land survey has been allocated for three groups of car production, Taiwanese investment for goods manufacturing for export on 110 ha, and Japanese investment for goods manufacturing for export on 140 ha.

Now a Chinese businessman has shown interest in investment on 1,000 ha in the industrial zone.

Kpl lao news agency

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