VSIP Quang Ngai makes great strides during five years of development

17:09 | 03/07/2019
VSIP Quang Ngai has made a breakthrough in FDI attraction in 2018 as it accounts for 93 per cent of the total FDI pouring into the southern province of Quang Ngai. After five years of operation, VSIP has made great strides in development, contributing to local socio-economic development and creating livelihoods for the locals. VSIP Quang Ngai has also completed its urban system with synchronised infrastructure, turning itself into a potential hub for domestic and foreign investors.
vsip quang ngai makes great strides during five years of development
VSIP Quang Ngai is designed with lush greenery landscape to create ideal living and working environment for investors

The mark of lush greenery

VSIP Quang Ngai is well-connected to National Highway 1, with its logo built at the most visible position. Only five kilometres away, a green, virbrant township has been erected in the heart of Quang Ngai city.

VSIP Quang Ngai is the fifth project in a series of nine projects adopted by VSIP on a national scale, including VSIP in Binh Duong, Bac Ninh, Haiphong, Hai Duong, and Nghe An, with a total land area of 7,400 hectares. Breaking ground in 2013, VSIP Quang Ngai has so far completed the first phase of its 360ha development with complete infrastructure including internal road system, wastewater treatment plant, street lighting, and fire station.

With its efforts to protect the environment, VSIP Quang Ngai was granted the environmental award by the Quang Ngai People’s Committee in 2016 and the Vietnam environmental award in May 10, 2017 by the Ministry of Natural Resources and Environment.

According to Anthony Tan, VSIP Quang Ngai’s general director, the industrial park would like to be a responsible partner to the local authorities and citizens, contributing to the socio-economic development of the province in the long term. VSIP Quang Ngai has made great efforts and is strongly determined to achieve these goals in the following years.

Impressive investment figures

In the beginning of 2019, VSIP Quang Ngai attracted $321 million in FDI capital from four foreign companies. Belgium’s Bekaert was granted an investment license to develop a $125 million steel wire and steel cord manufacturing plant to serve its customers worldwide. Japan’s Hoya Lens was green-lighted to build a $138 million eyeglasses lens manufacturing facility.

Gesin Vietnam from Korea also got the nod to develop a $10 million mattress manufacturing and processing plant while Happy Furniture from Singapore will invest $48 million in their interior manufacturing facility. Most recently, Singapore’s New Mahang has committed to pouring $26 million into a fabric production project.

The new projects has brought total investment capital in VSIP Quang Ngai to $777 million. The park is now home to 25 local and foreign investors after five years of development. Once put into operation, these projects are expected to create 35,000 jobs for the locals. One of the most notable projects is the steel wire and steel cord manufacturing plant by Bekaert Vietnam Co., Ltd. The project is located in Son Tinh district of Quang Ngai province.

Lieven Larmuseau, vice president of Bekeart, said that for the first phase, the factory’s capacity would be up to 75,000 metric tonnes of braided steel fibres in 2020. He noted that Quang Ngai boasts prime location and abundant young workforce, which plays a key role in developing the company’s client base regionally and globally.

Gil Farias, general director of Hoya Lens Vietnam lauded the advantages of investment in Quang Ngai including the local leaders’ support for investors. Land price and wages in VSIP Quang Ngai are reasonable for businesses, he added. On top of that, Hoya Lens Vietnam can make the most of these advantages to produce more competitive products in the global market.

The local leaders also replicated the success of VSIP Binh Duong to facilitate investors to inject more capital into VSIP Quang Ngai. The province has developed the one-stop administrative office for investors in VSIP Quang Ngai. It eases the pressure for investors as administrative issues are addressed by the same agency including investment procedures, business registration, immigration, labour, planning, construction, as well as site clearance. It helps minimize inspection, saves travel time, and cuts unofficial costs for investors.

vsip quang ngai makes great strides during five years of development
Investors granted investment license to develop projects at VSIP Quang Ngai

A green city of vitality

In addition to being a 100ha industrial zone, VSIP Quang Ngai has also completed residential units with on-site amenities for experts and workers at VSIP as well as locals.

VSIP leaders lauded the support of local leaders. Both VSIP and its tenants highly appreciate the attention and support from the provincial People's Committee, Dung Quat Economic Zone Management Board, and local authorities and expressed hope to continue to receive support from the authorities at all levels, providing a sound and efficient investment environment for all investors.

In the next stage, VSIP Quang Ngai will focus on completing infrastructure as well as prepare land funds for future investors. The park will continue to improve the living environment with an emphasis on greenery and convenience for both residents and local citizens.

Vietnam has pushed forward administrative reforms, including procedures and policies to solicit investment. Taking advantage of this reform, Quang Ngai has made strong commitments to investors like paying more attention and providing assistance in a timely manner. VSIP Quang Ngai highly appreciates the support of local authorities for projects and investors in the park.

According to Tran Ngoc Cang, chairman of the provincial People’s Committee, VSIP Quang Ngai is an ideal investment destination as it provides plenty of favourable incentives for investors. In addition, the province has achieved great results in socio-economic development thanks to the contribution of local and foreign investors, including those at VSIP Quang Ngai.

Hundreds of foreign investors have come to Quang Ngai explore investment opportunities in the locality and many of them selected VSIP Quang Ngai for their long-term investment. VSIP, in collaboration with the Quang Ngai People’s Committee and trade associations, has organised several investment promotion seminars and exhibitions in many countries to welcome these flows.

Indeed, VSIP Quang Ngai has become a landmark project in the locality, connecting Dung Quat Economic Zone with Quang Ngai City. The project has been invested with complete infrastructure to facilitate local and foreign investors to jumpstart businesses in Quang Ngai.

By Thanh Van

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