Geo-political advantages lure investors to Quang Nam
Geo-political advantages lure investors to Quang Nam
With the advantages of infrastructure, geographical location, policies, and long-lasting co-operation with big brand names, the central province of Quang Nam has become promising for domestic and foreign investors.
Great advantages from transport potentials
With a strategic geographical position and a consistent transportation infrastructure including an airport, ship transport, and a network of railroads and roadways, Quang Nam has many advantages for overseas investors.
Quang Nam lies in the south central coast of Vietnam and is bordered to the north by Danang – the commercial, service, and educational centre of Central Vietnam – by Quang Ngai province to the south, and by the country of Laos to the west. The province is also located on the East-West Economic Corridor, which is an easy road for transport to Laos, Cambodia, Thailand, and Myanmar, and for maritime transport to the other members of ASEAN.
Chu Lai International Airport is ensconced near the city of Tam Ky and is one of the biggest airports in the region. The airfield will be upgraded to an international airport with two runways and two terminals for both passengers and cargo, and a maintenance centre. Tam Ky is 70 kilometres away from Danang International Airport, but the distance will be shortened after the completion of Danang- Quang Ngai Expressway.
The province’s Ky Ha Port, a deep water port, is located in Chu Lai Open Economic Zone where ships under 10,000 tonnes have access to land. In the near future, investments will be made to widen the port so that ships of tens of thousands of tonnes are able to dock. From there, commodities can be transported to other countries, making this port ideal for transit to many international sea destinations.
Currently, many national highways across Quang Nam including Ho Chi Minh Highway, Danang-Quang Ngai Expressway, the Danang-Hoi An- Chu Lai coastal route, and roads within the East-West Economic Corridor linking to Vietnamese Central Highlands’ provinces to southern Laos and northeastern Thailand.
According to the Quang Nam People’s Committee, to date, the province has attracted around 115 foreign direct investment (FDI) projects from various international investors from South Korea, Japan, Singapore, the US, China, France, Germany, and Italy, with the total registered capital of approximately $1.7 billion. Moreover, the province has also conducted a great number of co-operation activities with prestigious international organisations for development planning and to boost investment, as well as building a socio-economic infrastructure and providing a culture exchange.
Open and transparent policies
Over the years, the province has been able to attract investments, contributing to the province’s socio-economic growth and increasing job opportunities for locals.
Many international companies have long-standing commitments in Quang Nam which has provided stability for the region. These firms include Truong Hai Auto, Suntory PepsiCo Vietnam Beverage, Vietnam Brewery, INAX, a Japanese ceramic tile and sanitary ware manufacturer, German textile producer Groz-Beckert, and many internationally-renowned resorts and spas.
Remarkably, Sasaki Shoko Vietnam, which specialises in manufacturing chochin cage nets and other types of aquaculture netting, established a factory in Dien Nam-Dien Ngoc Industrial Park in Quang Nam in 2016. In addition, 46 Japanese companies supplying spare parts, production materials, and equipment for Mazda Automobile Group have had a working visit for investment opportunities to Chu Lai Open Economic Zone. In April 2016, VinaCapital and Hong Kong-based Gold Yield Enterprises broke ground on a $4 billion project in southern Hoi An area.
The province continues to create favourable conditions with open and transparent policies for investors to do business in the region. Quang Nam has applied competitive prices and depending on land investment sectors, projects may be exempt from land rent for 11 years, 15 years, or during the duration of the project. Beside general policies and regulations, the Quang Nam People’s Committee, in collaboration with investors, will examine certain policies applied for large-scale projects and submit to the government for approval.
According to Chairman of the Quang Nam People’s Committee Dinh Van Thu, the province will try its utmost to improve its investment climate and create favourable conditions for investors to do business in the province. Accordingly, Quang Nam will pay attention to administrative reform and support businesses in shortening administrative procedures.
