Manufacturing and processing driving Thai Nguyen

Industrial production makes significant contributions to spurring provincial economic development

The manufacturing and processing sector continues to drive local industrial development. Thai Nguyen’s index of industrial production (IIP) expanded 8.4 per cent in October compared to September, and up 7.6 per cent on-year. That of the manufacturing and processing industry grew 8.4 per cent over the previous month and up 7.76 per cent on-year. Generally, the province’s IIP rose 7.41 per cent in the first 10 months of 2021 compared to the same period in 2020.

According to Thai Nguyen Department of Industry and Trade, in October many of its key industrial products reported on-year growth, such as steel and iron products reaching 132,200 tonnes, up 2.6 per cent; television cameras amounted 6.5 million items, up 11.4 per cent; motorised vehicles’ accessories reached 5.8 million items, up by the same amount; and commercial power output came to 490 million kWh, equal to a 16.5 per cent jump on-year.

To lay a firm foundation for socioeconomic development, Thai Nguyen has set industry as the spearhead. In light of this, the resolution of Thai Nguyen’s latest Party Congress has envisaged turning the province into one of the more modernity-oriented economic and industrial centres in the northern region by 2030.

The province has set forth the target of reaching 9 per cent growth in annual local gross industrial production, equal to $3.13 billion a year, with an ever-increasing proportion of the industry-construction sector striving to reach 61 per cent of the local economic structure by 2025.

Towards this goal, Thai Nguyen People’s Committee has crafted and enacted an action programme to realise the resolution and approved the province’s industry and handicraft development programme for 2021-2025, as well as devised growth scenarios focusing on the tasks to push up industrial production.

Simultaneously, the province has presented a raft of measures laying the bedrock to boost industrial development, such as presenting specific mechanisms and policies for investment attraction, with priority given to attracting investment into local industrial zones (IZs) and clusters as well as prioritising the sectors and products with high tech application and creating high added value, aside with export production.

Thai Nguyen is now home to seven IZs and 35 clusters bringing together potential sectors for development including electrical and electronics, mechanical manufacturing, mineral processing, and agro-forestry attached to environmental protection, among others.

Trinh Viet Hung, Chairman of Thai Nguyen People’s Committee, said that as the pandemic has left adverse impacts on business performance, the government has presented many policies and mechanisms to support people and businesses.

The province has made efforts for effective implementation of set resolutions and decisions in order best support firms, such as taking the initiative to get a grip of the impediments facing firms to be able to present timely remedies, or giving priority to human resource training based on firms’ demands, particularly big foreign investors based in IZs to ensure efficient use of labour, Hung explained.

According to Nguyen Ba Chinh, director of Thai Nguyen Department of Industry and Trade, the department along with other sectors and counterparts have made efforts towards administrative procedure simplification. The top target is that all administrative procedures at the department will reach level 4 in the near future to best serve individuals and businesses.