Bac Ninh Province has called for the acceleration of land clearance for Nam Son – Hap Linh Industrial Park and Dai Dong – Hoan Son Industrial Park (Phase II).

The Bac Ninh People’s Committee recently issued a statement summarizing the conclusions of Vice Chairman Le Xuan Loi during a meeting on the progress of land clearance for the following projects: Nam Son – Hap Linh Industrial Park, Dai Dong – Hoan Son Industrial Park (Phase II), and the Tri Phuong II Pump Station irrigation channel.

Inside an industrial park in Bac Ninh Province. Photo: Van Truong

The statement highlighted that Vice Chairman Le Xuan Loi chaired the meeting, which included representatives from provincial departments, agencies, local authorities, and organizations such as the Provincial Military Command, the Office of the Provincial People’s Committee, the Department of Natural Resources and Environment, the Department of Agriculture and Rural Development, the Bac Ninh Industrial Park Management Board, the People’s Committee of Tien Du District, the Bac Ninh Land Development Center, and relevant project management boards and investors, including Kinh Bac Urban Development Corporation and SaigonTel.

After listening to reports, suggestions, and feedback from the departments and stakeholders, Vice Chairman Le Xuan Loi concluded:

It is essential to accelerate land clearance for the above-mentioned industrial park infrastructure projects to prepare sites for upcoming projects in the industrial parks.

Key tasks assigned include:

• For the 25.17-hectare land clearance at Nam Son – Hap Linh Industrial Park, the Tien Du District People’s Committee must focus on determining land prices, assessing and approving compensation plans, and conducting outreach to residents. The goal is to complete the approval and compensation process before January 22, 2025.
• For the remaining area of Dai Dong – Hoan Son Industrial Park (Phase II) in Vinh Phu Hamlet, Phat Tich Commune, the Tien Du District People’s Committee will coordinate with relevant units and SaigonTel to encourage residents to relocate remaining graves, provide resettlement support, and finalize compensation and land recovery procedures to enable the investor to complete the park’s infrastructure.

Bac Ninh currently has 14 industrial parks and 26 industrial clusters in operation, employing nearly 450,000 workers.

In 2024, Bac Ninh’s foreign direct investment (FDI) inflows are estimated at $4.8 billion, the highest in the country.

Identifying industrial development as one of the key drivers of local socio-economic growth, Tan Yen District has leveraged its advantages and focused resources on fostering the industrial sector. However, the number of enterprises (EEs) registering investments in the area remains limited. The district is implementing various measures to attract both domestic and foreign investments and increase occupancy rates in industrial zones (IZs) and industrial clusters (ICs).

Low Occupancy Rates

In recent years, Tan Yen District has taken significant steps to promote industrial development, such as land clearance, upgrading transportation systems, and improving infrastructure in IZs, ICs, and urban areas. Despite these efforts, the number of enterprises investing in the area remains low, leaving many plots in the IZs and ICs underutilized.

The district’s master plan includes five industrial zones—Phuc Son, Thuong Lan – Ngoc Thien, Ngoc Ly, Que Nham, and Ngoc Thien—and eight industrial clusters, covering over 1,100 hectares. As of now, the district has established one industrial zone and four industrial clusters. Between 2021 and 2024, the district attracted ten industrial projects with a total registered capital of over VND 2 trillion, bringing the number of active enterprises to nearly 600 and providing regular employment for over 12,000 workers with monthly wages starting at over VND 6 million per person.

However, investment attraction in the district’s ICs has not matched their potential, resulting in low occupancy rates. For instance:

• Lang Cao IC (48 hectares, covering Cao Xa and Ngoc Ly communes) has completed most of its infrastructure but has only attracted eight projects, with an occupancy rate of around 20%.
• Kim Trang IC (Viet Lap commune) has had only one foreign direct investment (FDI) project occupying 4 hectares since 2021, equivalent to about 4% of the total area.
• Ngoc Chau IC (75 hectares) has two domestic enterprises renting 2.8 hectares (5% occupancy).
• Dong Dieu IC (Nha Nam town and Tan Trung commune) spans 40 hectares but has just one project utilizing 0.7 hectares.

According to Nguyen Thi Lan Huong, Head of the District’s Economic and Infrastructure Division, the primary reasons for these challenges include economic fluctuations, pandemics, and natural disasters, which have impacted investment activities domestically and globally. Additionally, the lack of synchronized infrastructure, limited availability of cleared land, and insufficient auxiliary services, such as restaurants, hotels, and commercial facilities, reduce the district’s competitiveness compared to neighboring areas. Most enterprises investing in the district are small or micro-sized, with limited financial, management, and technological capabilities, resulting in minimal added value.

Comprehensive Solutions for Clean Industrial Development

Under Bac Giang Province’s 2021–2030 master plan with a vision to 2050, Tan Yen District is slated for development under an urban-industrial model. By 2025, the district aims to complete phase one of land clearance for Phuc Son IZ and the infrastructure for Dong Dinh and Lang Cao ICs. The goal is to achieve an 80% occupancy rate at Dong Dinh and Lang Cao ICs and 20% at other ICs. The district aims for industrial output to contribute approximately 50% of total production value by 2025.

Nguyen Van Thuong, a representative of Tan Yen Industrial Investment and Service JSC, which manages Lang Cao IC, noted that the company has worked closely with local authorities to accelerate construction. The “build-as-you-go” approach has ensured the completion of essential infrastructure such as roads, electricity, and water, attracting several enterprises. To achieve full occupancy by 2025, the management board is actively promoting central and provincial investment incentives while working with the district authorities to create cluster-specific policies, expected to be finalized by Q1 2025.

In tandem with guiding industrial zone and cluster management boards to enhance competitiveness and attract enterprises, the district has directed functional departments and local authorities to review and adjust sectoral and regional plans. Key focus areas include:

• Expanding and upgrading transportation networks to eliminate bottlenecks, such as completing improvements to Provincial Road 398B (connecting to Bac Giang City) and Hoang Quoc Viet Road (from Cao Thuong Town to Hop Duc commune).
• Strengthening connections between industrial zones, urban areas, and economic centers within the province.

Accelerating Infrastructure and Policy Implementation

Tan Yen District is expediting the establishment and infrastructure development of industrial zones and clusters, linking industrial growth with urban, service, transportation, energy, and telecommunications infrastructure to provide optimal support for business operations. Priority is given to attracting investors with strong financial capacity, foreign investment projects, environmentally friendly operations, and the ability to generate local employment. Additionally, the district is improving the investment environment by offering tax incentives, streamlining administrative procedures, and reducing input costs to appeal to domestic and foreign investors.

Nguyen Quoc Hung, Chairman of the Tan Yen People’s Committee, emphasized the importance of direct dialogues between local authorities and investors to promptly address difficulties and support businesses. The district is also promoting its investment incentives and enhancing cooperation with enterprises and vocational training institutions to develop a high-quality workforce that meets market demands. These efforts aim to maximize the district’s potential and leverage regional connectivity effectively.

By 2025, Tan Yen District aspires to:

• Complete phase one of land clearance for Phuc Son IZ.
• Finish infrastructure development for Dong Dinh and Lang Cao ICs.
• Achieve 80% occupancy at Dong Dinh and Lang Cao ICs and 20% at other ICs.
• Have industrial output account for 50% of the district’s total production value.

The Government has approved the investment policy for the construction and operation of the Hoa Ninh Industrial Park in Da Nang.

According to the decision signed by Deputy Prime Minister Tran Hong Ha, the Hoa Ninh Industrial Park project covers 400 hectares in Hoa Ninh Commune, Hoa Vang District, Da Nang City. The project must be completed within 42 months from the date the land is handed over by the State. Investment incentives, support, and conditions will comply with current legal regulations.

The Government has assigned the People’s Committee of Da Nang City to instruct the Management Board of the Hi-Tech Park and industrial zones to coordinate with relevant agencies in determining the project’s total investment, ensuring it aligns with the allocated land area.

Currently, Da Nang has six industrial parks, including Da Nang Industrial Park, Hoa Khanh, Hoa Khanh Expansion, Lien Chieu, Hoa Cam, and the Da Nang Fisheries Service Industrial Park. Additionally, the city hosts a hi-tech park spanning over 1,120 hectares.

On the same day, the Deputy Prime Minister also approved three other industrial park projects in Hai Phong, Can Tho, and Dak Lak.

In Hai Phong, Hai Phong International Industrial Park Joint Stock Company was approved as the investor for the Nomura Industrial Park (Phase 2). The project covers over 197 hectares with a total investment of approximately VND 2,780 billion, including VND 425 billion contributed by the investor.

The project will be located in An Hung, An Hong, and Dai Ban Communes, An Duong District. The implementation timeline is not to exceed 24 months from the date the land is handed over.

In Can Tho, the Vinh Thanh Industrial Park (Phase 2) project, covering over 540 hectares with a total investment of VND 7,850 billion, was awarded to Thanh Binh Phu My Joint Stock Company. The project will be located in Vinh Trinh and Vinh Binh Communes, Vinh Thanh District, Can Tho City.

In Dak Lak, the Government approved the Phu Xuan Industrial Park project. This 313-hectare project will be carried out by DPV Dak Lak Joint Stock Company within a maximum of 36 months. It will be located in Ea Drong Commune, Cu M’gar District.