Ninh Binh works to attract strategic investors into IZs

Investment attraction has yielded great results

After ten years of operating in the province, Thanh Cong Hyundai Automobile Factory has helped attracting a series of projects in the automobile supporting industry.

Currently, there are 26 projects in the field of automobile supporting industry in local IZs, and industrial clusters. Of which, IZs have attracted 12 projects with total investment capital of 13.7 trillion VND. These projects have hired a total land area of 127.5 hectares, earned 26.72 trillion VND in revenues in 2020,  contributed 11.6 trillion VND to the state budget and created jobs for 3,774 labourers with an average monthly income of 6 million VND per person.

Notably, the Thanh Cong Group has been the province's biggest contributor to the state budget for many years. In 2020, despite great impacts from the COVID-19 pandemic, the company still earned 25.3 trillion VND, accounting for an approximately of 40 percent of the total revenues of all in the IZs. It contributed 10.35 trillion VND to the state budget. It is seen as the most effective project in the local IZs.

According to the provincial management board of IZs, the IZs are now home to 119 valid investment projects. Car assembling and manufacturing and automobile supporting industry have 13 projects with total investment capital of 13.7 trillion VND; electronic industry has four projects with total investment capital of 3.5 trillion VND; garment-textile and footwear has 18 projects with total investment capital of 4.2 trillion VND; fertilizer industry has four projects with investment capital of 11.68 trillion VND; construction material production has 11 projects with total investment capital of 13.75 trillion VND; other fields attract 69 projects worth 17.3 trillion VND.

The leased land area reached 672.2 out of total 695 hectares, accounting for 96.6 percent. The total registered capital amounted to 64.13 trillion VND, of which 51 trillion VND has been disbursed, or 80 percent of the sum.

The IZs with high occupancy rates include Khanh Phu, Gian Khau, Tam Diep I, Khanh Cu (100 percent) and Phuc Son (86 percent).

In 2020 the total revenues of firms in the province's IZs reached 66.4 trillion VND. They earned an export turnover of more than 1.47 billion  USD, contributed 12.58 trillion VND to the state budget and provided jobs for 40.000 labourers.

By the end of 2020, each project in the IZs had earned an average revenue of 558 billion VND, raked in 12.37 million USD from exports,  contributed 105.7 billion VND to the state budget and created jobs for 338 workers.

Focusing on attracting strategic investors

During the current period, Ninh Binh province has focused on developing IZs to take advantages of available infrastructure, especially the North-South expressway and East-West road.

At the same time, it is investing in technical infrastructure in the IZs in a bid to create cleared land lots for strategic investors, especially for those applying modern technology, hi-technology, environmentally-friendly technology with cooperation in technology transfer and joining global value chains.

Basing on these orientations, Ninh Binh expects that by 2025, enterprises in the IZs and industrial clusters will contribute up to 85 percent of its GRDP of the industrial sector.

In the period of 2025-2030, five other new IZs will be established to raise the attractiveness and competitiveness in attracting investment into Ninh Binh and its IZs in particular.

The province will also innovate, boost investment promotions and accelerate administrative reforms.

It will map out orientations for investment attraction; review non-state budget projects; and revoke land of sluggish projects with low effectiveness to create land lots for other investors.

Accordingly, Ninh Binh will attract only hi-tech, clean and environmentally-friendly projects, with high added values and making great contributions to the state budget.

It will give priority to projects in the fields of automobile assembling, manufacturing and supporting industry; logistics; electronics; mechanical engineering; and processing industry for agricultural production. 

Besides, Ninh Binh is making  efforts to improve its investment climate; promptly remove difficulties and hindrances for investors; increase the provincial competitiveness index (PCI), take the initiative in finalising and implementing the province's mechanisms and policies in a bid to attract more strategic investors in the local IZs in the coming time.

Translated by Nguyen Thuy