The Conference of “Investment promotion”: Premise of investment attraction policy reform

To attract investment, besides incentive measures, creating the secure feelings for investors is required. That is the major viewpoint in the Conference of “Investment promotion” within the scope of the first Viet Nam Rice Festival in Hau Giang. The discussion on this matter has been done by Mr. Nguyen Thanh Nhon, Director of Investment – Planning Service and us.

* Dear Sir, how has the Conference of “Investment promotion” been prepared?

This work has been prepared more than 70%. Specifically, the first step was that co-ordinating with Party Committee in Enterprise Bloc, Ha Noi City People’s Committee, Ho Chi Minh City People’s Committee, Financial Investment Newspaper, Sai Gon Giai Phong Newspaper in organizing the 2 symposia of investment promotion in Ha Noi and Ho Chi Minh city with the attendance of more than 180 corporations and enterprises. Right after that, many corporations and enterprises visited Hau Giang to understand deeply this field: e.g. Viet Nam Steel Corporation, South Viet Nam Food Corporation, International Advance Joint Stock Company, Bank for Investment and Development, Viet Nam Oiland Gas Group (PVN), Foodineo Import-Export and Investment Joint Stock Corporation, Industrial Design and Consultancy Joint Stock Company - IDCO, ALphanam Limited Company – State Management of Tender, ... Many corporations and enterprises have made investment procedures. The second step was that more than 200 delegates have been lodged with the letters of invitation. In which there are 150 enterprises and corporations in the whole country; 20 organizations of press and station; 14 international banking organizations and Consulates of countries; 16 provincial enterprises, and 15 home banks. In the third step, the contents and co-reports in the conference have been perfected and the logistic conditions have currently been prepared throughly either.

* What is the goal of the conference, dear Dir ?

The plan, the program and the contents in the conference all aimed at: popularizing the image of Hau Giang to home and abroad friends, especially introducing Hau Giang, an active and potential province with developing capacity and investment attraction policies, to the enterprises. Hau Giang is always willing with the preferred investment policies for various fields; for creating the relationship between Hau Giang and the provinces and the enterprises. The Conference of “Investment promotion” will be the new premise in investment fields, especially infrastructure investment, and create good conditions for developing economy as well as increasing the inhabitants’ income.

* As known, there are more than 20 investment projects on the occasion of the Festival. Please tell me which projects will be invested in agriculture and with farmers?

All the projects aimed at the farmers’ advance and development – holding more than 80% provincial population, e.g. the projects of Thermal Power Centre, Five Stars Hotel, Petromekong Petroleum Pool, Trade Centre of Nga Bay Township, Bank for Investment and Development, Ward 05 Residential Area, Tay Do Ecological Rest Joint Stock Company. Specially, there are specific projects for producing and processing agricultural products with the great scope: e.g. South Viet Nam Food Corporation with the project of Rice Market in Chau Thanh A district, the area of 14 hectares, the investment capital of 300 billion VND; Foodco Corporation with the project of Export Rice Processing Factory in Nhon Nghia A Industrial Cluster, the investment capital of near 100 billion VND; Minh Phu Fishery Processing Limited Company; Ca Mau Import-Export Fishery Processing Joint Stock Company ... All aimed at developing thoroughly rural economy and infrastructure, and eliminating hunger and reducing poverty ...

* Dear Sir, how are the preferred policies for investors when they invest in Hau Giang?

Besides the great potentiality, the preferred policies are the strength given by Hau Giang for attracting investors, especially investors in agricultural and rural fields. Among 7 provincial administration units, Vi Thanh township is entitled to enjoy the investment preference, and the 6 districts and townships are entitled to enjoy the special one. When investing in Hau Giang, the investors will be free or reduced the rental of land or water plane or the land use money from 3 to 15 years. The rate of business income tax is 15-20% applied in the period of 10-12 years. The enterprises will be also free import and export taxes with preferred policies on credit capital.

* In common consideration, the investment attraction in the Mekong Delta isn’t still high (only holding 6% the total investment nationwide) due to the following causes: there aren’t specific plans and process paths yet; approaching and setting up the programs of projects aren’t obvious; there aren’t convincing measures to make the investors see the efficiency concerned after investing. In Hau Giang, how do you consider about this matter as well as recoverable and restrictive solutions?

The defects of attracting investment resources in Hau Giang can be similar to the other provinces’ in the Mekong Delta. Besides, there are also the existence of other restrictive aspects in Hau Giang, e.g. Hau Giang hasn’t been well-known by the investors yet because the affairs of popularizing and introducing the potentiality of the lands are still limited. The next weakness is that the projects of investment call aren’t really attractive and without developing completely the available strength, and some uncomfortable points are still existing in investment procedures though the reforming affairs concerned carried out. The Conference of “Investment promotion” will provide initially solutions against the said disadvantages. Popularizing the potentiality on Hau Giang land and people will be sped up. Going on discussing, adjusting the mechanism and the policies properly; it is required for finding the efficient checking methods for the projects which have been invested in order to support the investors in solving the difficulties. Also, supervising and speeding up the investors for carrying out quickly the licenced projects. In further time, Investment – Planning Service will act as an advisor for building the projects with more detailed investment call models, and more specific process paths associated with the potentiality of Hau Giang practically so that the investors can see the efficiency concerned after investing.

* Thank you very much!

Currently, Hau Giang province is calling for investment in such fields as: Agriculture, fishery, industry – home industry, services, Commerce, tourism, construction of economic-social infrastructure, urban development, garment…there are two concentrated industrial zones in the province ( Tan Phu Thanh industrial zone and Hau river industrial zone) and 5 industrial complexes locating along Hau river and the national high way of the south of Hau river towards Soc Trang, Bac Lieu, Ca Mau, contiguous to Cai Cui port complex (Can Tho), 5km from Can Tho bridge, 15km from Can Tho airport to the Southeast. The local authority tries its best to make the administrative reformation for easy and prompt procedures of issuing investment certificates, business certificates. The issuance of permits to the foreign direct investment projects is decided by the Provincial People’s Committee within 5-7 working days the maximum (as from receipt of legal document). The process of issuing business certificates, change of business lines, establishment of branches, change of representative office…takes 3 working days maximum.

by Tuyet Loan.