Automobile brick production line of Thach Ban Ltd Co. in Nham Son – Yen Lu industrial cluster, Yen Dung district. (Photo: Hai Minh).

Attracting major projects

In 2016, the Hanoi-based Thach Ban Company invested more than 900 billion VND (39.6 million USD) in building a granite tiles factory on 19 hectares in the Nham Son – Yen Lu Industrial Cluster in Yen Dung district. With advanced technology and production line, it produces 750,000 square metres of granite tiles a month, creating jobs for hundreds of labourers with stable income.

Pham Duc Phu, Deputy General Director of the company, said, “Investing in Bac Giang province, we can see that local authorities at provincial and district levels have provided us with active assistance in completing the project documents. Site clearance is normally the most challenging phase, however, local authorities at all levels have made every effort to convince residents to hand over land to ensure the project is on schedule.”

Similarly, early this year, the provincial People’s Committee approved the An Khanh Thermoelectricity JSC’s investment plan to build the 650MW-An Khanh Thermal Factory, worth more than 22 trillion VND (one billion USD) on nearly 90 hectares in Vu Xa Industrial Cluster in Luc Nam district. This is the biggest project in the province, with site clearance underway. It is expected to generate electricity in 2022, and contribute one trillion VND (44 million USD) per year to the local budget.

Local industrial zones have also drawn numerous foreign projects from the Republic of Korea, the US, and Japan.

According to the provincial Department of Planning and Investment, the province has lured more than 220 investment projects since 2016. In 2016 alone, the province received 172 projects, of which 128 were foreign invested, with total registered capital of nearly 12 trillion VND (545.45 million USD), triple that of 2015 and a record figure so far.

The projects include the construction of a four trillion VND (181.8 million USD) logistics centre in Bac Giang city, worth over 4 trillion VND the New Wing earphones factory with total investment of 100 million USD, and the Vina cell Technology Factory worth 80 million USD.

Fine Land Appare Ltd company wholly owned by the Republic of Korea, runs stably in Dinh Tram industrial park, Viet Yen district. (Photo: Viet Hung)

Attention paid to administrative reform

Bui Thi Thu Thuy, Deputy Director of the provincial Department of Planning and Investment, said the above results are achieved thanks to the provincial Party Committee and People’s Committee’s determination to make breakthrough in administrative reform and creating an open business environment.

Accordingly, in 2016, the provincial Party Committee issued Resolution No.73 NQ/TU on improving business and investment climate during the 2016-2020 period, under which, administrative reform and saving businesses’ time and costs are identified as key tasks and measures. Every procedure is processed on a software system at the provincial public administration centre. Thereby, the provincial leaders could know which units delay cases so that the process could be sped up.

In order to save investors’ time, the province established a Steering Committee on facilitating investment and business development which runs two advisory groups assisting enterprises in legal procedures and land access. 

Additionally, the province also issued regulations on step-by-step process of carrying out projects outside industrial parks in line with the Investment Law, thus halving time compared to the past. Planning and investment portfolio are also made public via the mass media, making it easier for investors to access.

As site clearance is the hardest step, the province directed localities and authorities to raise public awareness of the effort and create “clean” land to transfer to firms while holding regular dialogues to acquire public feedback and seek business support solutions. The province pledged to upgrade transport, electricity and water supply infrastructure, housing for workers, and welfare works around industrial zones so that investors and workers could feel secure about their work here.

This year, the province plans to attract 1,000 businesses with a total capital of 2.5 billion USD. To that end, during a working session on investment and business development last April, Chairman of the provincial People’s Committee Nguyen Van Linh stressed that a new point this year is giving priority to large-scale projects using small land and generating jobs to local workers such as hi-tech, tourism, services and recreation to minimise wastewater, garbage and prevent adverse impact on the environment.

Accordingly, the departments, agencies and People’s Committees of districts continue accelerating administrative reform, improving personnel capacity, and offering timely support to firms along the road, contributing to creating a pro-business environment to attract businesses.  

The provincial Department of Planning and Investment will actively work with concerned agencies to improve the province’s competitiveness rating. The provincial departments of Construction, and Natural Resources and Environment, with the function of construction licensing, are required to instruct businesses how to speed up site clearance and make reports on environment impact assessment, thus ensuring their projects meet schedule.

Hai Minh