Long-term strategy

  • Industry development plan of southern key economic area to 2020

  • Thursday, 5/25/2017

  • AsemconnectVietnam - To promote the leader role of the region for the country, rapidly developing towards gradually shifting into the industries with high technology and engineering, high value; promote the development of other regions...

  • I. Development viewpoints
    1. To promote the leader role of the region for the country, rapidly developing towards gradually shifting into the industries with high technology and engineering, high value; promote the development of other regions.
    2. To promote the advantages of the whole region and each locality, developing industry and actively integrating into the region and the world; participating effectively into the industrial link and manufacturing cooperation among enterprises, among sectors and with multinational corporations in the world. 1.3. Industrial development on the basis of promoting the general resources of every economic sector, in which business sector and foreign investment being considered as development forces. 1.4. Industrial development associated closely with the development of other economic sectors, with environmental protection and security and national defense.
    II. Development goals
    1. The average growth rate of industrial production value in the period 2006 - 2015 about 15%, of which the period 2006-2010 reached 15-16%, the period from 2016 to 2020 reached approximately 13-14%. 2.2. The average growth rate of export turnover of industrial products in the period 2006-2015 reached 15-16% and the period 2016-2020 was 14-15%. Export turnover of industrial products making up 80-85% of the total value of export turnover of the region.
    2. In the period 2006-2010, industrial sector attracts about 800-810 thousand of workers. By 2020, the industrial sector will have approximately 5.5 to 6 million workers, accounting for 37-38% of the total number of employees in the area. Gradually improve the lives, incomes and working conditions for workers. 2.4. Industrial labor productivity (in GDP) in 2010 reaching more 1.46 times than that of 2005, and more 3.5 to 4 times in 2020 than that of 2005.
    III. Development orientation
    1. To focus on developing industries with potential in resources (mining and processing oil and gas, power generation, processing agro-forestry and fishery products); industries with comparative advantages in high quality human resources (mechanical manufacturing, electronics engineering, electronics, chemicals), industries serving exports (textiles, footwear, agro-forestry and fisheries processing), metallurgy industry and supportive industry.
    2. To focus on developing the high technology industries, with high intellectual content in Ho Chi Minh City, Dong Nai, Binh Duong and gradually shifting the industries which are using more labor, land, and large transportation needs from the downtown central to neighboring areas.
    IV. Plan of industrial sectors
    1. Mining industry
    1.1. Development viewpoints
    - Developing mining industry and ensuring the reasonable & economical exploitation and use of natural resources in the region; also gradually make investment to exploit mineral resources overseas. - Promote the activities of searching, exploration of mineral resources in the region, especially oil and gas under Government’s instructions, limestone for cement production and other mineral resources in order to increase mineral reserves being evaluated meeting exploitation standard to ensure sustainable development.
     - Combining effectively between the exploitation and the processing of oil and gas. b) Development Goal - To strive for the average growth rate of the whole area average (including oil and gas exploitation) in the period 2006-2010 reaching 3.46%, in the period 2011-2015 reaching 3.23% and in the period 2016-2020 reaching 3.15%. If excluding the oil and gas, above growth rate respectively in each period is 15.65%, 13.51% and 11.69%.
    1.2. Development plan
    - Promote the exploitation of crude oil and natural gas on the basis of exploring additional resources (mainly in Ba Ria Vung Tau); strive for exploitation productivity in the Region in 2006-2010 accounting for 90-95% output of all sectors, accounting for 80-90% in the period 2011-2015 and 85-90% in the period 2016-2020.
     - Exploitation of limestone for cement in Tay Ninh and Binh Phuoc, stone, sand and gravel for construction sector in Dong Nai, Binh Duong, Tay Ninh, Ba Ria Vung Tau and Binh Phuoc; ensure to meet the needs of the region and part of the South-west Region.
     - Exploiting kaolin and clay for bricks and tiles in Binh Duong, Dong Nai; meeting the demands for brick and and ceramic tile production in the region. - Exploitation of mineral water in Long An and Ba Ria Vung Tau - Bauxite ore in Binh Phuoc being taken consideration for exploitation after 2020.
    2. Industry of processing agricultural, forestry, fishery products
    2.1. Development view
    - To focus on developing products with competitive advantages, with abundant raw materials, and large consumption market domestically and for export.
    - To prioritize investment into advanced equipments and technology to improve the processing content and added value of products, manufacturing high quality products, new products, reduce non-processing products
    - To develop processing industries associated with the development of raw material areas, having the close cooperation between localities in the region, preventing the spread of investment, the fighting for sell & purchase.
    - To diversify the scale and type of processing; focusing on the development of small & medium-size production units in the raw material areas to take the preliminary processing tasks, providing for processing plants; encourage the development of small-scale industry and handicrafts, traditional villages.
    2.2. Development goals
    - To strive for the average production growth in the whole sector in the period 2006-2010 reaching 16.05%, in the period 2011-2015 reaching 14.89% and in the period 2016-2020 reaching 12.52%. c) Development plan
    - To gradually shift some processing sectors from the center of big cities to the neighboring provinces such as Long An, Tien Giang, Binh Phuoc, Tay Ninh. - rice Milling: being developed  in Long An, Tien Giang and the Cuu Long River Delta provinces; not building more rice milling facilities in Ho Chi Minh city. - Processing feed: in the Period 2006 – 2010, complete the construction of the plant processing feed for fishery in Tien Giang. Calling investment into the construction of new factories in Long An and Ba Ria - Vung Tau. In the Period 2011 – 2015, Calling investment into the construction of four processing factories in Binh Phuoc, Tay Ninh, Tien Giang with a total capacity from 300-350 thousand tons per year.
     - Industry of processing cassava flour: Invest to perfect present production lines to improve the quality of flour and to treat environmental pollution. Calling for the construction of the plant manufacturing moisture preservative substance from cassava starch with capacity of 1,000 tons per year in Tay Ninh.
    - Industry of processing cereals and nutrition flour: In the period 2006 – 2015, calling investment into plants of processing nutrition  flour in the provinces of Dong Nai, Binh Duong, Long An, Vung Tau, Ho Chi Minh city;  processing corn starch in Dong Nai; plants of milling rice flour, corn, beans ... in Tien Giang; milling wheat in Ba Ria - Vung Tau.
     - Sugar processing industry: Period 2006 - 2010: make Investment to diversify products of sugar factories such as processing alcohol from sugar molasses, producing confectionary, plywood from bagasse to increase production efficiency. In the period 2011 – 2015, When the planting of sugar cane has stabilized, the increase in sugar cane productivity will help to expand the existing sugar mills and building a new sugar mills in Binh Phuoc.
     - Fruit and vegetable processing industry: In the period 2006 – 2015, Developing plants of processing canned fruit and vegetable, fruit juice, frying and drying fruit, vegetable and preliminary processing fresh vegetable and fruit for export in the raw material areas in Dong Nai, Tay Ninh, Binh Phuoc, Long An, Tien Giang, Ba Ria - Vung Tau. Research and call for investment into the processing soft drinks and wine from cashew juice in Binh Phuoc.
    - Industry of processing coffee: in the period 2006 – 2015, calling for the construction of high quality coffee processing plant, coffee roasting plants, instant coffee processing plants in Binh Duong, Dong Nai and Binh Phuoc.
    - Cashew processing industry: From now to 2015, do not construct more cashew processing factories, just concentrating on making investment to improve the quality of cashew core, improve pressing line for getting oil from cashew shell, processing soft drink, wine from cashew juice, making high quality confectionery mixing cashew core ... to increase profits for cashew processing industry.
     - Industry of processing vegetable oils: in the Period 2006 - 2015: complete the oil refining factory in Binh Duong; moving Tuong An oil plant to Ba Ria - Vung Tau combining with the construction of new plant extracting soybean oil with a capacity of 300 thousand tons / year, calling for investment into the oil extracting factories in Long An, Tien Giang, oil pressing plant in Tay Ninh; improve and increase the capacity of oil pressing plants in Dong Nai.
      - Dairy processing industry: From now to 2015 not only expanding the production of existing factories but also building some more factories in Tay Ninh, Long An, Tien Giang ... to meet domestic demand and for export, maintaining leading position nationwide. - Meat processing industry: To upgrade and expand the existing processing plants and calling investment into modern processing plants for export, ensuring the requirements of veterinary inspection, sanitation and food safety.
     - Industry of processing aquatic products: being developed in Ba Ria - Vung Tau; upgrading existing plants combining with calling investment into a number of high-tech factories with deep processing and diversified products for export. Moving some processing facilities from Ho Chi Minh City to Long An and Tien Giang, combining with capacity increase and technological innovation.
     - Beverage Industry: up to 2015, finishing Cu Chi Brewery with a capacity of 200 million liters per year; upgrade and expand the breweries in Dong Nai, Ba Ria -- Vung Tau, promoting full capacity of Foster brewery in Tien Giang. Calling for investment into fruit juice plants with a capacity of 20 million liters per year; into yeast production plants with a capacity of 120,000 metric tons / year, mineral water production plant with a capacity of 30 million liters per year. - Tobacco processing industry: in next period of time, do not build any more factories producing cigarettes. Concentrate on making investment to innovate the processing technology to reduce hazardous components, reduce environmental pollution, increasing levels of tobacco products to reduce cigarettes smuggling. Promote investment in production of raw and auxiliary materials in the country.
    - Wood Processing Industry: From now to 2015, develop processing industry with calling investment into new plants with a capacity of 600-700 thousand m3/year  in Binh Duong, Dong Nai, into MDF wood fiber plant with a total capacity of 130-150 thousand m3/year in Tay Ninh, Dong Nai and Binh Phuoc;  making use of local materials.
     - Paper processing industry: In this stage, plan to develop paper powder from wood and short-term industrial plants with a scale of about 200 thousand tons per year in Long An and Binh Phuoc; research to build paper mills which use waste paper material with a large scale in Binh Duong; For small factories which polluting the environment, if having no solutions to protect environment, its production should be suspended or they should be relocated to suitable positions. Increase investment into the paper material areas in the Region.
    3. Engineering Industry
    3.1. Development viewpoints
     - To develop this sector on basis of promoting all domestic resources with external resources. Enhance the ability of specialization and cooperation, increase the capacity of the sector and create the basis to develop other industries.
     - To focus on developing a number of specialized sectors and key mechanical products that have potentials and comparative advantages in the region. - Strengthen the capacity of self-study, design, manufacture, and to promote the application of scientific and technological advances to reach the average level of advanced technology in Asia, manufacturing more products with high competitiveness. b) Development Objective
    - Construction engineering industry which is able to meet the demand for products of other industries, serving the socio-economic development in the region and serving the industrialization and modernization of the country.
     - To improve labor efficiency, striving to increase the domestic origin content of mechanical products with export potential reached 35-40% in 2015.
     3.2. Development plan
    + Binh Duong province: Focus on developing large engineering industries (middle-class industrial machine, construction machine, spare parts and components of  and automobile and motorcycles);
     + Ba Ria-Vung Tau province:  concentrate on developing engineering industry serving industry of oil and gas, steel, shipbuilding;
     + Ho Chi Minh city: Focus on developing precision engineering products which requires the use of advanced technology, able to meet the complex requirements of the manufacturing and delivery; products with high value.
    + Dong Nai: Focus on developing the small & medium-size mechanical manufacturing industry: agricultural machines, small dynamics machine, the domestic spare parts of cars, motorbikes ...
    + Tien Giang: Develop shipbuilding industry, machine equipments for agriculture and fisheries;
    + Long An Province: Join to produce spare parts of automobiles, motorcycles, farming machine; precision engineering components and medical equipments; shipbuilding ...
    + Tay Ninh: supportive mechanical industry for automobiles and motorcycles, farming machine and agricultural product processing machine; solar power equipments ...
    + Binh Phuoc: Mechanical industry for agricultural processing;
    4. Electronic industry
    4.1. Development viewpoints
    - To develop electronic industry on the basis of mobilizing all the resources of economic sectors, especially foreign investment resources.
     - To develop electronic industry with strategy of approaching and accessing directly to modern technology, looking export orientation as the main force to become a link in the chain of production in the region and worldwide.
    4.2. Development goals
    - Develop electronic, informatics industry to become the key industrial sector in the region. To strive for average production growth in the whole planning period reached  24% per year, of which in the period 2006-2010 reached 28.11%, the period from 2011 to 2015 reached 23.99% and the period from 2016 to 2020 reached 19.33%. Striving to increase gradually the value added rate of products from 50-10% at present to 15-20% in 2010 and over 20% after 2010; Export turnover reached 2-3 billion USD in 2010. Up to 2015,  export turnover reach 4-5 billion USD and 8-9 billion USD by 2020. c) Development plan In the period 2006-2010, focus on developing electronics industry in Ho Chi Minh City, and provinces of Dong Nai, Binh Duong. Ho Chi Minh city will play the leading role in attracting investment capital to develop this sector (from research, design, manufacturing and production), especially investment into high-tech areas. After 2010, expand electronics sector to other provinces in the region, Ho Chi Minh City will become a center for electronic and semi- conductor design, manufacturing complex and high-technology products such as robots, automatic machines, concentrate on training specialists on designing, researching and developing products; other localities depending on their capacity & potentials to undertake one or more stages of processing and assembling electronics and semi-conductor products. Focus on developing supportive industrial sector and manufacturing spare parts for electronics sector.
    5. Metallurgy industry
    5.1. Development viewpoints
    - Develop metallurgy industry on the basis of applying advanced technology and equipment to improve productivity, quality, and to minimize impacts to environment, tend to produce high quality products, and types of processing steel...; making economical and efficient use of domestic mineral resources with imported raw materials.
     - Attract other economic sectors, especially foreign investment, and construction of large-scale projects and production of new products (flat steel) to meet the needs of construction industries, machinery manufacturing, chemicals, automobiles, electrical- electronics equipments, shipbuilding, transportation, railways, new industries ...
    5.2. Development goals
    - To strive for the average production growth in the planning stage reached 15.8% per year, of which the period 2006-2010 reached 20.99%, the period from 2011 to 2015 period reached 11.63% and 2016-2020 to reach 6.37%. - Up to 2020, Strive for production skill reached advanced level in ASEAN region, having competitiveness capable on quality and price in the global competitive environment. c) Development plan - Expand product structure from mainly manufacturing long steel products (Steel, steel bar) at present to manufacturing steel rolls, coils, cold rolled and hot rolled (including stainless steel) in 2010; after year 2010/2015 manufacturing steel sheet and aluminum. - Promote the relocation of manufacturing facilities which pollute and have a risk of polluting environment from densely populated urban areas to planned industrial clusters in the area.
    - Development orientation to be concentrated in three provinces of Ba Ria - Vung Tau, Dong Nai and Binh Duong.
    + Ba Ria - Vung Tau, in the period 2006 -2010 building factories of hot rolled, cold rolled, galvanized, rolling stainless steel; rolling bar aluminum for export; rolling steel in electric oven applied Consteel advanced technology. In the period 2011-2015, Implement the second phase of two factories (POSCO-Korea and Phu My). In the period 2016-2020, expect to invest into the production facility of minimill steel materials (DR-EAF) and electrolytic aluminum plant.
    + Binh Duong: in the period 2006-2010, Complete the construction and put into production of cold rolled steel coil factory of Hoa Sen Aluminum Company. Building a cold rolled steel coils factory of Sun Steel Company. After 2010, mainly receiving the production shifting from Ho Chi Minh to Binh Duong.
     + Dong Nai province: in period 2006-2010, Complete the expand of steel bar and steel wire factories of Sun Steel Company. after 2010 mainly to receive the shifting production from Ho Chi Minh City to Dong Nai.
     - Ho Chi Minh City: in the period 2010 - 2015, focus on investing into technology & equipment renovation for waste treatment, reducing environmental pollution in production facilities which are not subject to be moved and implementing the  relocation or conversion of production facilities that cause pollution as planned.
    6. Chemical Industry
    6.1. Development viewpoints
    - To develop chemical industry to supply a number of essential products which have advantages in the region for domestic market and for export such as fertilizer, automobile-motorcycle tires, bicycle tires ... . - Set up and develop petrochemical industry, pharmaceutical chemical industry with modern technology, creating competitive products, contributing to reduce import turnover and converting sector structure. - In the city, only develop projects of producing chemicals applied high technology without or less causing environmental pollution
    6.2. Development goals
    - The average growth rate of output value of chemical industry in the period 2006-2010 reached 18-19%, the period 2011-2015 reached 16.5 to 17.5% and the period 2016-2020 reached13-14%. Up to 2010, Proportion of production value of the chemical industry accounting for about 76-77% of the whole country, and in 2015 accounting for approximately 87-88%. Chemicals Industry making up about 14-15% of the regional industrial structure in 2010 and 16-17% in 2020
    6.3. Development plan
    - To change the structure of products, concentrate on key products such as petrochemical products, high quality plastic products, detergents and high-quality personal care products; tires of automobiles, motorcycles, fertilizer; ethanol alcohol, batteries, high quality battery, painting the concentrated chemical industrial parks; thoroughly implement the relocation of production facilities which causing environmental pollution into industrial zones, combining with the renovation, upgrading and innovation equipments and technology.
    - Large-scale projects of producing key products, applying advanced technology, clean technology will be realized mainly in Ho Chi Minh City, Dong Nai, Binh Duong and Ba Ria - Vung Tau. Other small & medium- scale projects will be done in other provinces of the region. In Ho Chi Minh City, all projects mainly being arranged in the specialized industrial zones such as ethanol alcohol and detergents projects arranged in Nha Be district; plastic products and rubber project in Binh Chanh, Hoc Mon; project of producing drugs and cosmetics in Cu Chi. In Tay Ninh, rubber projects being arranged in Trang Bang Industrial zone; projects of plastic products being arranged in Ben Cui industrial cluster. In Binh Phuoc, rubber projects arranged in Dong Phu, Binh Long. in Dong Nai, projects applying clean technology being arranged in Nhon Trach, An Phuoc, Go Dau, Tam Phuoc Industrial Zones. In Ba Ria - Vung Tau, factories producing petrochemical products being located in the complex area together with oil refinery factory. In Long An, develop the production of NPK fertilizer, and plastic products.
    7. Development plan of textile, leather and footwear
    7.1. Development viewpoints
     - To develop this sector towards applying advanced technology, producing high quality and fashionable products with high value; Shifting the use of many workers from central areas to other provinces, other regions.
     - To encourage all economic sectors to make investment into this sector, especially to attract foreign investment capital into textile sector and complete processing fabrics, leather and footwear; - Priority to be given to the development of fashion area, manufacturing and supply main materials for the textile-garment and footwear industry in the region and nationwide;
     - Building strong trademarks, decreasing the proportion of outsourcing for foreign countries.
    7.2. Development goals
     - To strive for the average production growth rate in the planning stage reached 11%, of which the period 2006-2010 reached 10.87%, the period from 2011 to 2015 reached 11.08% and the period 2016-2020 reached 11.01%, meeting 60% needs of raw materials nationwide.
    - Strive to export turnover in 2010 reached 6 to 6.5 billion USD, accounting for 50% of export value of textile – garment, footwear industry nationwide; reached 9 -10 billion USD in 2015, accounting for about 45% of the country and reached 12-13 billion USD in 2020, accounting for about 40% of the country. c) Development plan
    - Ho Chi Minh City is the center of trading, researching, designing fashion models for textile-garment and footwear industry in the region and nationwide.
    - Development planning of product groups classified in territory as follows: + fiber spinning and production: those plants must be located near ports to facilitate the transporting of raw materials and products, they should be located in Ba Ria - Vung Tau, Dong Nai, Binh Duong, Long An, and Ho Chi Minh city.
    + Textile: factories should be near the consumer market and the supplier area of raw materials, making use of the places near the plant of fabric treatment; they should be located in Dong Nai, Ba Ria - Vung Tau, Binh Duong, Long An, Ho Chi Minh city.
    + Leather dying & tanning: The factories must be located in concentrated industrial zones, capable of solving the problem of waste water treatment, meeting environmental requirements; they should be located in Binh Duong, Dong Nai, Long An.
    + Garment and footwear: Using more labors and mainly female workers; thus the factories should be located in Binh Phuoc, Tien Giang, Tay Ninh, Ba Ria - Vung Tau. + Centers for trading & production of raw materials for garment  and footwear industry: should be arranged in Ho Chi Minh City, Long An, Dong Nai, Binh Duong.
    8. Industry of building materials production
    8.1. Development viewpoints
     - To make investment in technology and techniques to produce some categories of new & high-quality building materials in some localities with their advantages in resources, meeting domestic consumption needs and export; meeting the needs of common construction materials on the basis of local raw materials.
     - To develop production scale and distribution must be appropriate to natural resources, consumer market, and traffic conditions; combine production units with facilities supplying materials.
    - Do not encourage the investment into the production expansion of those goods which their supply has exceeded demand; encourage investment to improve the competitiveness of products and for export.
    8.2. Development goals:
    - To strive to achieve an average growth rate of production value reached 13-14% in 2006-2010, the period from 2011 to 2015 reached 8.5 to 9.5% and the period 2016-2020 reached 9-10 %. - Focus on developing high quality products, export products; meeting the needs of ordinary products which are appropriate to local raw materials.
    8.3. Development plan
    - To make Investment into cement production in Tay Ninh and Binh Phuoc; building cement  grinding stations serving local demand in Ba Ria-Vung Tau
    - To speed up the relocation of production facilities of traditional baked brick and tile from urban areas, making investment in Tuy-nen brick kilns and non- baked bricks kilns.
    - Production of sanitary ceramic: Binh Duong, Dong Nai.
    - Production of ceramic tiles of all kinds: Binh Duong, Dong Nai, Long An, Tay Ninh. - Production of construction glass, glass: Ba Ria-Vung Tau, Binh Duong, Ho Chi Minh city
    9. Industry of electricity production and distribution
    9.1. Development viewpoints
    - Development of local power must be consistent with development of National Power Planning, taking consideration about specific regional conditions, ensuring power supply in security and stability.
     - To mobilize and effectively use all domestic and foreign capital sourcesl; diversify forms of investment to develop power industry. Priority should be given to the development of new and renewable energy for remote areas and islands.
    - To prioritize the construction of multi-purpose hydro power plants in the province serving flood control, water supply, and power generation for the region and supply sources for the system. - Develop and improve electricity network in the region to enhance the stability and reliability; power supply by N-1 criteria, reducing electricity loss.
    - Grid map must be flexible; power supply in security and stability, ensuring power quality (voltage and frequency) for economic- social development in the local, especially for center areas such as Ho Chi Minh city and the export -processing zones, industrial zones.
    9.2. Development goals
    - To make sure to provide enough electricity demand for production and consumption in the area, improving power supply reliability and quality of voltage, paying attention to regional centers, industrial parks, and export - processing zones.
    - During the period 2006 - 2010 growth rate of power consumption about 18.21% per year; capacity growth reached about 16.98% per year; in the period from 2011 to 2015 respectively 12.47% per years and 12.11% per year; period 2016 -2020 respectively 11.2% and 10.8% per year.
    9.3. Development plan
    - As following Vietnam power development plan to 2025 and the provincial power development planning to 2015. Urgently study the location for further development of thermal power plants with big capacity, make sure to meet the needs of the region in case growth rate is higher than expected. To 2015, striving for further develop 11-13 power plants with a total capacity of about 3700-5000 MW. After 2015, further building 2-3 thermal power plants using coal, with a capacity of 1200-1800MW, and develop hydro power plant; Developing uniformly grid voltages in order to meet the demand for electricity for the Region.
    10. Development planning of industrial parks, export - processing zones
    10.1. Development viewpoints
    - To focus on attracting investment to fill the area of existing industrial parks, export processing zones. The investment expansion or new investment just be realized when the filling rate of those industrial parks meeting over 75%. Uniformly develop industrial zones with efficient social infrastructure and taking care of working conditions, living and housing conditions for workers. - Need to set up some specialized industrial zones such as metallurgy, electronics and information technology, chemicals, shipbuilding, some high-tech zones.
    - To make use of all investment capital sources for all industrial zones, export processing zones, especially capital from the business and they should be equipped with best infrastructure to attract investors. b) Development Goals In the period 2015 – 2020, expect to expand and further develop about 35 thousand hectares of industrial parks and export processing zones.
    10.2. Development plan
    - By 2015, the total area of industrial parks established by the Government of the Region will reach over 30,662 hectares, accounting for 52.1% of the whole country. Industrial zones established by the localities to 2020 reached about 23,482 hectares, increasing the industrial park areas of the region to 54,144 ha in 2020. 
    11. Investment capital demand
    - The demand for investment capital in the period 2006 - 2015 reached about 806,171 billion VND, of which investment capital for industrial sectors reached about 762,546 billion; for infrastructure of industrial zones reached around 43,625 billion.
     - Ability of mobilizing expected capital:
    + About 65% of domestic capital, including the national budget 14-15%, 29 -30% loans, 21-22% capital from enterprises.
    + About 35% of foreign capital, including direct investment 32-33%.
    V. Solutions and policies
    1. Main solutions
    1.1. Solutions on the organization
    - Strengthening the cooperation between provinces in the region and the region with other economic regions nationwide; Gradually forming businesses association clusters including manufacturing enterprises, industrial service facilities, training institutions, research and development institutions, raw material supply units, warehouse. - ing some high-tech parks in Dong Nai, Binh Duong and Ho Chi Minh city.
    - Shifting factories polluting the environment, the industries using many workers, using various raw materials with big quantity from the city centers, focusing on the industrial zones & clusters, the urban neighboring areas near places supplying raw materials - speeding up administrative reform, to reduce the inconvenience and costs for businesses; make contribution to improve the competitiveness for industrial sectors.
    1.2. Capital solutions
    - Capital from State Budget:  focus on building infrastructure to complete major projects in 2010; ensure the implementation of the strategic objectives of social- economic development of all localities in the region; spend a part of national budget for researching and innovating science and technology and training to develop human resources.
    - To give priority to the economic sectors, businesses borrowing capital to invest into production and business sectors that are recommended by the State
    - To mobilize and effectively use all sources of capital for development investment, especially capital from enterprises, from the stock market, from the equitization of enterprises, FDI, loans ... combine all capital sources to promote its efficiency.
     - To encourage the establishment of new enterprises, encouraging private companies make investment into production by simplifying the establishment procedures, facilitating them to access to land, capital sources and information
    1.3. Solutions on land
     - To make logical and effective distribution of land using plan, especially land for industrial parks. - Find out positive policy and solutions to ground clearance, immigration and resettlement so that all project being ensured about construction progress.
    1.4. Solution on technology
    - To encourage enterprises to make investment to innovative technology and equipments, applying scientific- technological advances into production in principle of technological innovation in each part, each process to the whole renovation.
    - To develop information systems on science and technology serving the research activities of enterprises in the region. Combine research activities of research institutions with enterprises.
    1.5. Human resources solution
    - To focus on training sufficient human resources for the key sectors such as engineering, electronics, information technology, producing new materials ... for industrial parks, for the key industrial projects, for the new sectors, paying attention to vocational training to create a staff of technical workers, skilled professional labors who have ability of acquiring and using technical facilities and modern technology; Organize re-training technical and management staff, improve the training quality to keep pace with other countries in the region and worldwide
    - To implement vocational training socialization. Strengthening and developing technical schools, vocational schools in the localities
    - To have policies of encouraging businesses and localities to organize human resource training by training in place, organizing vocational training for rural residents.
    1.6. Solution on environmental protection
    - To seriously implement  the provisions of the State Law on environmental impact assessment of projects and strategic environmental assessment of planning.
    - To spend all resources for investment projects of environmental protection, waste treatment from factories to industrial parks. Encourage all enterprises to increase accumulation, forming capital source to support environmental protection activities.
     - To implement fully the tasks of tracking, monitoring, measuring and managing the environmental indicators; inspecting and checking the implementation of environmental protection regulations in the businesses.
     2. Key policies
     2.1 Market policy
    - To develop uniformly the policy of stimulating demand, expanding consumer market of industrial products in rural areas.
    - To expand and improve the effectiveness of trade promotion activities, market information, to help businesses expanding consumer markets, improving  production and trade efficiency
    - To strengthen the legal framework relating to trade to restrict the fraudulent trading (counterfeit goods, counterfeit goods, smuggling ...), violate principles and international rules of trade such as subsidies, dumping; act of unequal competitiveness; raise awareness of consumers and enhance the role of the consumers protecting association
    - To enhance the role of industrial associations in the tasks of trade promotion, market development and support the enterprises in the region.
    - To continue to promote administrative reform, to reduce the inconvenience and costs for businesses, contribute to improving the competitiveness for industrial sectors.
    2.2. Investment promotion policy
    - To announce the list of industrial projects calling for investment in each period for investors to the appropriate investment projects.
    - To implement the policies of developing priority industrial sectors, and key industries in the region.
    - To encourage domestic and foreign large corporations to make investment with various forms into high-tech industrial sectors, large-scale projects with advanced technology.
    2.3. Capital mobilization policy
    - To apply policy of creating investment capital by the form of financial leasing, especially the financial leasing from foreign organizations.
    - To apply policy of mobilizing advance capital to invest into infrastructure, firstly make investment into electricity, water and transportation.
    - The localities should have plan to gain from 0.5 to 1% annual budget revenues from local budget to supplement the costs of industrial encouragement.
    2.4. Financial and tax policy.
     - To create favorable conditions for enterprises to access to all financial resources quickly; having positively supportive mechanisms for science and technology activities, new business formation, accessing markets of small and medium enterprises ...
    - The enterprises applying high technology will be access to preferential policies on taxation and land using defined in Article 3, Article 4, Decision No. 53/2004/QD-TTg dated April 5, 2004 by Prime Minister on a number of policies to encourage investment in hi-tech park.
    - Each locality must publicize the framework of land rent for each area to create conditions for investors make a choice; disseminate tariff under WTO commitments for the enterprises to apply the implementation solutions.
    - Use flexible tax, charge which is consistent with international commitments to promote fair competition, and reasonably protect several industrial products.
    2.5. Science and technology policy
    - To have policy to support funding for innovation, technology transfer or design purchasing, personnel training .....
    - To establish and develop a number of research centers which are able to provide information and to consult advanced technology transfer for businesses in the region.
    - To have financial policy to create and develop the technology market, manufacturing high technology products, test products from the first study results.
    - Provinces in the region are planning to spend a part of annual local budget to support activities of science and technology, researching and applying new technologies, programs, scientific research projects, applying helpful solutions ...
    - It needs to have policies of attracting talented managers, leading experts in science and technology, skilled workers such as policy of preferential housing, means of transport, working facilities, allowance. .. f) Policy of developing material areas.
    - To encourage to form the links between the producers with the suppliers of raw materials in various forms in the basis of harmonizing interests of both sides to develop the material areas and stabilize the raw materials supply.
    - All localities and businesses should have plan of supporting people who planting materials about material variety, applying techniques advances tob intensive farming, crop caring, animal husbandry, harvesting and primary processing, storage and transportation to improve the quality of raw materials and production efficiency.
    2.6. Policy of training & using labors
     - To have policies to attract the intellectuals, professionals, skilled workers to work in the local areas. The talented young staff should be trained in developed countries.
     - To implement policies of staff recruitment through competitive examination, arrange right people with right jobs; gradually shifting the form of director appointment into the form of signing contracts.

    Long Giang
    Source: www.mpi.gov.vn


     

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