Nghe An: Total investment capital mobilization in the first 6 months of the year increased by 14% over the same period

(Baonghean) - In the first 5 months of the year (up to May 31, 2016), Nghe An has newly granted Investment Registration Certificates to 34 projects/18,845.47 billion VND, adjusted 4 projects with total investment capital increased by 474.11 billion VND. Many projects have been and are in operation.

Construction of VSIP Urban Industrial Park and Service Infrastructure. Photo:Chau Lan

VSIP Nghe An Industrial and Urban Area Project is a key project of Nghe An, which started in 2015. This is the 7th project of VSIP after projects in Binh Duong, Bac Ninh, Hai Phong, Quang Ngai and Hai Duong. The total land area of ​​VSIP under planning and development is 6,153 hectares (including VSIP Nghe An phase 1).

At the current construction site, units are constructing massively at high speed with many contractors aiming to invest in infrastructure as quickly as possible. Trucks and dump trucks are lining up to dump soil, while units constructing ditches and roads are also working. Infrastructure including leveling, wastewater systems, water supply, and projects in industrial parks are being accelerated.

Representative of VSIP Nghe An Company Limited, Mr. EdwinChee - Deputy General Director of the Company said: "The faster the investment, the less waste. Along with the procedures for mines and land leveling being removed, we are focusing on investment to attract projects. Currently, there are 2 investors registered to invest in the industrial park."

Recently, Hoa Sen Group inaugurated its second factory in Dong Hoi Industrial Park - Nghe An. Hoa Sen Nghe An Factory in Dong Hoi Industrial Park started construction on June 19, 2015 on a 45-hectare land area, with a total estimated investment of 7,000 billion VND. The factory produces products including: galvanized steel of all kinds, cold-rolled steel and steel pipes with a total capacity of 1,200,000 tons/year.

After only 1 year of efforts to speed up the construction progress, NOF line No. 1 has been put into operation as planned. Thus, Hoa Sen Group now has 2 large factories in Nghe An, creating jobs for hundreds of workers. In Do Luong, The Vissai's Song Lam Cement Factory is also rushing to completion.

According to the report of Nghe An Provincial People's Committee, in the first 6 months of the year, investment outside the economic zone and industrial zones was newly granted for 21 projects/16,710.21 billion VND; 4 projects were adjusted with a total investment capital increase of 474.11 billion VND. Investment in the economic zone and industrial zones had 13 projects/2,135.26 billion VND.

By investment form: In the first 6 months of the year, domestic investment has newly granted 30 projects/18,371.69 billion VND; adjusted for 4 projects with total investment capital increased by 474.11 billion VND. FDI investment: Newly granted for 4 projects/23.69 million USD (equivalent to 473.78 billion VND); no adjusted projects.

Some major investment projects were newly licensed in the first 6 months of the year such as: Song Lam Cement Factory Phase 2 (9,949 billion VND), beef and breeding cattle farming in Nghe An province (3,021 billion VND), Nghe An General Hospital Phase 2 (1,300 billion VND), pig farm project in Quy Hop district of Masan Group (1,000 billion VND), Vinpearl Cua Hoi Hotel, Entertainment Complex and Resort Villa project of Vingroup Group (900 billion VND), Lam Thanh An Lac Vien Ecological Cemetery Park project (400 billion VND)...

Many projects are progressing rapidly, such as Song Lam Cement Factory, which has handed over the entire site and is undergoing rapid construction, with an estimated volume of 90% of phase 1. The investor is actively implementing phase 2 of the project. Phase 1 is expected to be completed and put into production in October 2016; Phase 2 is expected to be completed in May 2018.

VSIP Nghe An Industrial, Urban and Service Park: Cleared and handed over the project's phase 1A site of about 190ha; completed the detailed planning of the quarry area for project leveling (93.2ha), approved by the Provincial People's Committee. The investor has leveled the site of about 40ha, attracted 2 projects to lease land (projects in the field of construction materials and sanitary equipment production) and is promoting a number of other projects.

Tan Thang Cement Factory: The entire factory site has been handed over, the land lease contract has been signed and the land use right certificate has been issued (phase 1) since July 11, 2013. The site has been leveled, test piles are being drilled and mass pile foundations are being constructed.

Nghe An Wood Processing Factory Phase 1 has been basically completed. The 12,000m3/year wood bar production line has been operating stably, with an export market. The MDF wood production line is being tested and is expected to be officially operational in June 2016. Quynh Lap 1 Thermal Power Plant: TKV Group held a groundbreaking ceremony in October 2015. Construction is expected to officially start in early 2017, and is coordinating to implement site clearance and resettlement. And most recently, the project of the Hotel, Entertainment and Resort Villa Complex in Cua Lo town (Vingroup) has been started, with a total investment of 900 billion VND, expected to be operational in the third quarter of 2017.

Song Lam Cement Factory is nearing completion. Photo:Chau Lan

In addition to projects using public investment capital, currently, with the system of newly issued legal documents on investment under public-private partnership, the province is focusing on promoting investment and implementing projects under this form. In the first 6 months of 2016, investment preparation and implementation preparation for 3 projects including: Construction of Hung Phuc Primary School in Hung Phuc Ward, Vinh City, implemented under the form of a build-transfer contract; Approval of the proposal for the construction of Nghia Dan District Water Plant, implemented under the form of a build-operate-transfer (BOT) contract; construction project of Ly Thuong Kiet Street, section through Hung Binh Ward, Vinh City, implemented under the form of a build-transfer (BT) contract.

With the efforts of the whole province in mobilizing maximum capital sources for development investment, the total mobilized social investment capital in the first 6 months of the year is estimated at 22,535,719 million VND, equal to 44.74% of the plan, up 14.64% over the same period. In particular, some sources increased quite well such as ODA capital (up 37.18%), investment capital through ministries and central branches (up 21.15%), capital from residents (up 17.52%)...

Nghe An is an attractive destination for investors, including large domestic investors. The Provincial Party Committee, Provincial People's Committee, sectors and levels are directing the work of attracting investment, clearing land, removing difficulties for projects, allocating investment resources to key projects and considering investment attraction as the key to building Nghe An into a rich and powerful province.

Pearl – Ngoc Sau