A bright spot in attracting investment.
(Baonghean)To leverage local strengths, unleash resources, and steer the economic structure in the right direction, in recent years, Do Luong district has focused on attracting investment to develop industry and small-scale handicrafts.
The sewing workshop of Prex Vinh Garment Company in Lac Son industrial cluster is bustling with production on the sewing lines. Truong Thi Thu Thanh, from Hamlet 5, Dong Son, Do Luong, shared: “My income is now stable at over 3.5 million VND per month. Working in a factory near home, away from the rain and wind, makes me feel secure in working here long-term. Many of my friends from the South also come here to work.” Like Thanh, many children of rural laborers have found opportunities to work and earn a living through their own labor at Prex Vinh Garment Company.
Workers at Prex Vinh Garment Company.
According to Mr. Kim Chul Hee, General Director of Prex Vinh Garment Company, when investing in Do Luong, businesses receive attention regarding labor attraction, industrial park infrastructure construction, land leveling, electricity lines, water supply and drainage systems, and smooth land handover. It is expected that after completion, we will create jobs for 4,000 workers and export 1.5 million products with a value of 10 million USD.
Visiting the small industrial park - Block 4, Do Luong Town, one is greeted by a bustling and diverse scene with numerous businesses in the construction materials, fine art wood, gold, silver, precious stones, furniture, welding, and more. Truong An Co., Ltd. specializes in the production and trading of construction materials, iron, steel, and corrugated iron, acting as a first-level distributor for Hoang Mai cement and Thai Nguyen iron and steel. The company currently employs over 100 local workers with an income of 2.5-3.5 million VND per person per month. Mr. Tran Duc Danh, the company's director, happily stated: "Thanks to the district's support in providing long-term land leases and favorable bank loans for production and business, after 7 years of operation, the company has invested over 2 billion VND in equipment and over 30 billion VND in basic construction. The company's market has expanded throughout the western provinces of Nghe An, even reaching Xieng Khouang in Laos."
Currently, the Tru Son, Trang Son areas and the communes along the Lam River in Do Luong district are rich in resources of sand, gravel, limestone, and clay. The Dao, Lam, and Khuon rivers run through the area, providing 28km of waterways. Notably, Do Luong is situated at the intersection of National Highways 46, 15A, and 7, connecting to the Ho Chi Minh Highway, making it very convenient for trade and economic development. The district has an abundant, agile, and receptive workforce that readily adopts scientific and technological applications in production. For centuries, Do Luong farmers have been skilled in and prosperous through traditional crafts such as silk weaving, basket weaving, rice paper making, and carpentry. Furthermore, the district has seven commercial banks, providing access to loan capital for businesses.
Mr. Vo Van Ngoc, Vice Chairman of the People's Committee of Do Luong District, said: With the attention of the District Party Committee Standing Committee, the District People's Committee has issued the "Project for the Development of Industry and Handicrafts, and the Construction of Craft Villages in the period 2011-2015"; providing 50% compensation for land clearance costs (for enterprises under the attraction program). Every year, the district proactively engages in dialogue to resolve difficulties for investors. For enterprises with high revenue, the district assigns the Tax Department to create conditions to ensure that enterprises nurture revenue sources, invest in development, and encourage foreign investment. Regarding handicraft industries, the district directs relevant departments and sectors to coordinate with the provincial cooperative alliance to build and maintain 3-5 craft villages such as export-oriented rattan and bamboo weaving (Trung Son), Da Lam rattan weaving (Da Son), mulberry cultivation and silkworm farming (Dang Son, Luu Son), and carpentry (Thai Son).
Thanks to its effective investment attraction efforts, the Prex Vinh Garment Company of the Korean Kiô Group, located in the Lac Son industrial cluster, has been established with 100% Korean investment capital. Spanning a total area of 17,000 square meters, it has contributed to creating jobs for nearly 2,500 rural workers from the districts of Anh Son, Nam Dan, Thanh Chuong, and Tan Ky. Over 90% of workers in industrial production facilities in the area are covered by insurance. Annually, the company exports over 200,000 garments and high-quality woolen products to other countries, valued at over 1 million USD.
In addition, the industrial cluster in Block 4, town, with a total area of 7.7 hectares, has 13 businesses investing in it. Six businesses in the first phase (with a 40-year land lease) officially started production and business operations in 2009. These include Nguyen Nghia Co., Ltd., Truong An Co., Ltd., Toan My Furniture Joint Stock Company, Ngoc Bao Co., Ltd., and An Thanh Dat Co., Ltd. These companies provide stable employment for nearly 500 local workers with incomes ranging from 2.5 to 4.5 million VND per person per month. The district is currently accelerating the land procedures for the remaining seven businesses in the second phase to expand their operations into sectors such as automobile and motorcycle repair, timber processing, and the production of industrial and civil wood products.
Thanks to leveraging its strengths in attracting investment for industrial and handicraft development, Do Luong has now shifted its industrial and labor structure in the right direction, gradually reducing the proportion of agricultural labor and increasing the proportion of non-agricultural sectors. Compared to 2005, the proportion of the industrial and handicraft sector increased from 19.42% to 22.57%, the proportion of the service sector increased from 36.7% to 44.6%, and the proportion of the agriculture and forestry sector decreased from 43.8% to 32.7%.
In the coming period, the district will continue to promote investment in infrastructure for small industrial zones and clusters serving the planning in Giang Son Tay, My Son, and traditional craft villages. In addition to the province's preferential policies, the district will support 40% of the cost of constructing technical infrastructure in craft villages and provide up to 50 million VND in support for product branding in these villages. Annually, 2-3% of local budget revenue will be allocated to support investment in production development and provide financial support for projects…
Mai Son
