Big guys rush to build seaports
Big guys rush to build seaports
Investing in seaports and hydropower plants is believed to be the business fields which can bring superprofit to huge investors. However, the projects are really the huge “money hungry machines.”
Dong Tam, Hoang Anh Gia Lai, Hoa Sen and Tan Hiep Phat all have listed themselves among the seaport investors. When deciding to invest in the port projects, they targeted two goals – satisfying their demand for carrying goods and expecting the superprofit from the infrastructure development sector.
In 2006, Vinh Tuong Company in the Hiep Phuoc Industrial Zone, close to the Xoai Rap River, decided to build a harbor to facilitate its goods transportation.
According to Nguyen Thi Ngoc Loan, gypsum products are heavy and cumbersome. Therefore, once the harbor is built, the company would be able to save the transportation costs, thus enabling to making higher profits.
In 2008, Hoa Sen Group, which then thought of a solution to reduce the transportation costs and kicked off the plan to become a multi-field business group, decided to join forces with Gemadept, a shipping firm, to build the Hoa Sen – Gemadept international port in the Cai Mep – Thi Vai port area.
In a plan to expand its business scale, the Cam Nguyen Steel Company also decided to build a harbor to save the transport cost. In 2009, the company received the license for the 5,000 ton Cam Nguyen Port in Long An province.
President of Cam Nguyen Company Huynh Cam then affirmed that the port project is a supporting work, a big step for Cam Nguyen to increase its business efficiency.
In the context of the economic recession, Dong Tam Group surprised the public when announcing the investment in the $1 billion Long An Port project, 1,935 hectares, together with VinaCapital.
President of Dong Tam Group Vo Quoc Thang said the Long An Port would help reduce a considerable number of vehicles to HCM City, allowing export goods to go directly to the big markets such as the US or Europe, thus helping reduce the transport cost.
However, Thang said this is the goal for 2020-2030. In the immediate time, the investors would focus on the 20,000-30,000 ton vessels and some small ships. Together with the port, the project would be a component of a complex of storehouse, industrial zone and urban area.
According to Duc, the projects would develop together with the industrial zone, bonded warehouse and port service projects Dong Tam has invested in Tan Tap, Can Giuoc and Can Duoc of Long An province.
The projects in Long An would not be able to develop without port and waterways transport development. And vice versa, Dong Tam would not be able to recover the investment capital if it only builds ports.
With the same long term vision, Tan Hiep Phat has also injected money in the Dr Thanh Industrial Zone and port project which covers an area of 718 hectares in the Chu Lai Open Economic Zone in the central province of Quang Nam.
With the large land fund, Novaland investor is considering implementing the port project in Thu Thua district in Long An province.
In mid-July 2013, Japanese Maguchi stated it was considering the possibility of developing a port in Binh Dinh province.
Hiroyuki Kawata from Maguchi Group said Japanese investors have been heading for Vietnam, which would lead to the increase in the demand for carrying goods. Therefore, the port development project is worth of considering.
vietnamnet
