Transimex-Saigon allowed to invest $14 million in SHTP logistics service project

Transimex-Saigon allowed to invest $14 million in SHTP logistics service project

Transimex-Saigon Corporation on October 17 received the investment cerfiticate to start construction of its VND300 billion ($14 million) bonded warehouse and logistics service project in Saigon Hi-tech Park (SHTP).

The project includes a bonded warehouse, CFS storage, cold storage, conventional storage and containers dump. It is expected to ease the import and export activities of firms in SHTP, which include major names such as Intel and Samsung.

Construction is slated to start by the end of 2014 and finish by the end of 2015.

This is SHTP’s second logistics project after the $7 million bonded warehouse built by Japan’s Ryobi Holdings Corporation.

“Transimex hopes to become a national leader in logistics services,” said Le Duy Hiep, general director of Transimex-Saigon.

According to the World Bank, logistics operations in Vietnam are costly, compared to other countries in the region such as China, Malaysia and Thailand. It is estimated that Vietnamese shippers spend approximately $100 million per year on extra inventory carrying costs due to import-export clearance delays, an amount that is project to reach $180 million by 2020.

vir