Thai Nguyen a trustworthy companion for investors

November 22, 2021 | 09:31
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The northern province of Thai Nguyen has succeeded in maintaining growth momentum with a ‘green zone’ status in pandemic containment and upbeat achievements in socioeconomic development.
The $163 million MDF Dongwha Vietnam factory at Song Cong II IZ
The $163 million MDF Dongwha Vietnam factory at Song Cong II IZ

The province’s total retail sales and services revenue reached $1.57 billion in the first 10 months this year, showing 11.8 per cent jump on-year. Of which, $1.24 billion came from retail sales, up 12 per cent, and $139.2 million from travel and food services, up 13.9 per cent on-year, according to Thai Nguyen Statistics Department.

The province’s total export value during the period rose 9.1 per cent on-year to reach $23.74 billion, and import value jumped 15.8 per cent to $14.19 billion. Thai Nguyen’s index of industrial production (IIP) also approximated 107.41 per cent compared to one year ago.

According to Trinh Viet Hung, Chairman of Thai Nguyen People’s Committee, the province has taken initiative in penning out different management scenarios and urged management bodies at all levels and sectors to focus on implementing the targets of pandemic prevention and pushing up socioeconomic development, simultaneously supporting firms to retain production and business.

Besides effective pandemic containment, Thai Nguyen has recently deployed diverse measures to improve the local investment climate to effectively serve businesses, including foreign-invested enterprises.

As for sizable projects in search of investment opportunities in the province, Thai Nguyen tasks relevant departments to render time support and guidance to the investors and make periodical reports to the province’s leadership.

For instance, for capital-intensive projects like the manufacturing project by Sunny Opotech Vietnam Co., Ltd. with an estimated capital value surpassing $260 million, the province has formed a specific task force to support the project’s implementation led by director of Thai Nguyen Industrial Zone Management Authority. Its members are directors of relevant departments and sectors to provide the investor with timely and efficient support.

For projects having set up shop or in the development pipeline in Thai Nguyen, the province’s authorities, through direct and online meetings, have noted and fixed investors’ proposals during the project’s implementation.

After eight months of construction, in September Sunny Opotech Vietnam, part of China’s optical tech group Sunny Group, inaugurated and brought into operation a factory to manufacture and assemble camera module products in Yen Binh Industrial Zone (IZ) with the total investment of $73 million.

Sunny Group envisions injecting $260 million more to build a second factory, also in Thai Nguyen. The company is expected to invest $350 million within three years to become the second-largest investor in this province.

Similarly, South Korea’s top wood materials manufacturer, Dongwha Enterprise, has put into operation its MDF Dongwha Vietnam factory at Song Cong II IZ, valued at $163 million in the total investment value. Each year, the factory produces 370,000 cubic metres of medium-density fiberboard and 3.62 million square metres of laminate floor annually.

The company is now in the legal setup stage to raise its investment value by $336 million more to boost production capacity for its factory at Song Cong II.

According to Nguyen Linh, director of Thai Nguyen Department of Planning and Investment, despite COVID-19 impacts, in 2020 Thai Nguyen lured 20 foreign-invested projects valued at nearly $366 million, nearly equal to the 2019 level.

Thanks to efficient pandemic containment and a constantly improved investment environment, in the year to date the province has granted new and approved capital addition for 24 foreign-invested ventures worth $151 million, bringing the total number in the province to 169, worth $8.7 billion in the total committed capital value.

As of now, Thai Nguyen is home to more than 7,800 businesses, contributing $382.6 million to state coffers annually, and creating jobs for more than 160,000 labourers.

By Dinh Thuy

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