Widescale renovations needed for FIEs to thrive in Dong Nai

April 13, 2023 | 11:02
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Unfinished roads for industrial parks, dust pollution from airport construction, and lack of housing for on-site workers are just some of the difficulties facing foreign-invested enterprises in southern province of Dong Nai.

At a recent meeting with more than 200 foreign-invested enterprises (FIEs) held in the province, representatives of various industrial parks (IPs) said that current complexes in Dong Nai had been developed with a strong inner infrastructure system, but links to outside areas were poor, congested, and unsafe for workers.

Widescale renovations needed for FIEs to thrive in Dong Nai
Widescale renovations needed for FIEs to thrive in Dong Nai - Illustrative image (Photo: VNA)

Businesses complained that the transportation of goods in and out of the IPs, especially at peak hours, was inconvenient due to heavy traffic, along with narrow and degraded roads. The dust situation at the under-construction Long Thanh airport is also strongly affecting production activities and the workers’ health.

Doan Huong Giang, a representative of Elite Long Thanh Co., Ltd., said that dust had affected the company’s products and staff. “We hope provincial leaders and departments have a solution to make the environment fresher to protect people’s health,” Giang said.

Nguyen Thi Ngoc Mai, a representative from Longwell Co., Ltd, in Dau Giay IP, said that currently, the company’s employees had difficulty with accommodation and other services such as kindergartens, clinics, and leisure. “We suggest Dong Nai pay attention to investing in social housing and building cultural institutions for workers,” Mai said.

In addition, many FIEs in the province are facing difficulties when applying for fire prevention permits for their factories.

A representative of Samtec Vietnam Trading Company in Long Thanh IP reflected that the company is reviewing the fire protection design due to the need to renovate the warehouse. The company has been working with the local fire protection agency since October, but has not yet received a licence because the application standards remain unclear.

A representative of Hyosung Vietnam Co., Ltd. in Nhon Trach V park also reported difficulties getting a fire safety permit.

“Previously, the appraisal and approval of fire prevention and fighting permits was carried out by Dong Nai People’s Committee, but since the end of 2022, it has been transferred to the Hanoi Fire Fighting and Prevention Police Department for review and approval. We really do not know when our submitted can be approved and this is difficult for us to implement the next procedures for Hyosung’s production expansion,” he said.

After hearing feedback from the FIEs, Chairman of Dong Nai People’s Committee Cao Tien Dung acknowledged that there were problems that the local authorities had not been proactive with. In particular, infrastructure construction is the responsibility of the state, but the process has been poor. “After this dialogue, the director of the Department of Planning and Investment must immediately review and report back to provincial leaders for appropriate handling,” Dung said.

Foreign investment in Dong Nai surpassed $500 million in Q1 this year, tripling that in the same period last year. Of that, there were 11 new projects with the total registered investment capital of nearly $50 million and 22 others with additional capital of more than $451 million, mostly those from Japan, South Korea, and Taiwan.

According to the plan for 2030, Dong Nai will have 40 IPs with an area of about 19,000ha. Of those, 32 are already in operation, with an occupancy rate of over 85 per cent.

Many large-scale infrastructure projects are being implemented in Dong Nai, including Long Thanh International Airport, Phan Thiet-Dau Giay and Dau Giay-Lien Khuong highways.

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Dong Nai People’s Province granted five foreign-invested enterprises (FIEs) licences to increase their investment capital by a total of more than $370 million on March 31.

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By Bich Ngoc

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