New road to push Attapeu, Vietnam trade value growth
New road to push Attapeu, Vietnam trade value growth
Attapeu province is hoping the trade value between the province and Vietnam will be higher than anticipated after a highway construction project was recently completed.
The provincial Industry and Commerce Department reported that the provincial export value plan was set at over 128 billion kip (US$16 million) while the import value was planned to be around 116.8 billion kip (US$14.6 million) this fiscal year.
“We have earned more than 77.11 billion kip (US$9.63 million) in export during the first nine months of the fiscal year, ” department representative Mr Bounhome Phomm asane said on Tuesday.
Work on a highway section linking Landmark 790 to Phou Keua International Border Checkpoint in Attapeu province was completed last month, with the aim of facilitating trade, investment and tourism between Laos and Vietnam.
The construction of the 24m long bridge and 328m long and 9m wide concrete road was funded by the government of Vietnam at a cost of VND50 billion (about 19 billion kip).
The road will play a significant role in economic cooperation between Laos and Vietnam as it links Laos' southern provinces to Vietnam's central highlands region as well as Quy Nhon, Dung Quat and Danang ports.
“The US$9.63 million includes more than 48.08 billion kip (US$6.01 million) of exports to Vietnam and the remaining amount of about 29.03 billion kip (US$3.62 billion) includes exports to China and other neighbouring countries.”
The import value recorded was around 55.61 billion kip (US$6.95 million) in the first nine months of the year.
“All of our provincial imported products are from Vietnam,” Mr Bounhome said
The imported goods from Vietnam mainly consist of construction equipment, steel, cement, electronic equipment, construction vehicles, materials for agricultural purposes and materials for household use. Imports from Vietnam in the 2012-13 fiscal year exceeded 125.98 billion kip (US$15.74 million).
Meanwhile the products sold to Vietnam include maize, residue from pressed sugarcane, rubber, forestry products and wooden products.
The department reported that the total export value was more than 75.46 billion kip (US$9.43 million) in the 2012-13 fiscal year.
The 75.46 billion kip included exports to Vietnam at an amount of over 45.42 billion kip (US$5.67 million) and the remaining figure of approximately 30 billion kip (US$3.75 million) were exports to China and other neighbouring countries.
Mr Bounhome said, “I think this year, the trade value between the province and Vietnam will be larger than the plan because we have seen a rise in trade services after the new road linking Laos and Vietnam was inaugurated earlier this month.”
He said the province also planned to develop duty-free shops and a trade centre at the border. A duty-free shop has already been set up and is currently undergoing a trial run.
Local business operators have also expressed interest in the development of a trade centre at the checkpoint.
However, the project is under study and an agreement has yet to be made with the provincial administration.
The new road is part of the 18B highway linking the southern provinces of Laos to Vietnam, which plays a crucial role in boosting the socio-economic development of the two countries.
It will also play a significant role in boosting economic cooperation between Laos, Vietnam and Cambodia.
It is one of the most important routes on the East-West Corridor, helping to promote cooperation in the development triangle area of Cambodia, Laos and Vietnam.
Attapeu province is an important gateway through Road 18B, linking the southern provinces of Laos to Vietnam, with the hopes of attracting an increasing number of businesspeople and tourists to Laos.
vientiane times
