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industrial zones

/ Southeast

General information

- Geographic location: The Southeast is situated in the Northeast of the South, bounded by Cambodia to the Northwest, by South China sea to the south, by Cambodia and Mekong delta to the west and Southwest, by Central Highlands and South Central Coast to the east and Southeast.

- Area: 235,000 km2 (7.2% national area).

- Topographic features: The Southeast has flat topographic feature.

- Administrative units: Include Hồ Chí Minh city and provinces of: Tây Ninh, Bình Phước, Bình Dương, Đồng Nai, Bà Rịa – Vũng Tàu .

- Population: 11,050,000 (13.9% of the national population).

Regional advantages

- Location advantages: The region is linked with Cambodia, Thailand, Malaysia in the West (Western gate) by Tran Asia highway; with other countries in the East (Eastern gate) by seaports in Sài Gòn, Bà Rịa – Vũng Tàu, Thị Vải. The eastern and western gates are connected to form an east – west economic corridor with intensive economic activities and attract national and international investment.

-Transportation advantages: There are important national and international systems of roadway, railway, seaway and airway. They are Tân Sơn Nhất international airport (and Long Thành, Đồng Nai international airport in future), Sài Gòn port, Vũng Tàu – Thị Vải port, trans Asia roadway to Cambodia, North–South railway, national roadway No.1A,51,13,14 to Central Highland. The advantaged geographic location makes it convenient for the area to develop economic cooperation with provinces in Central Highlands and South Central Coast.

- Mineral resources: The region has important national natural resources of offshore oil and gases in Bà Rịa - Vũng Tàu; The region’s oil reserves accounted for 93.3% of the national ones; the gases accounted for 16.2% of the national ones. Oil and gas are important goods for export and also play a crucial part in the country’s development of oil refinery and energy industry in the future. Therefore, more investment will be mobilized in making full use of these strategic resources of the region.

- Human resource advantages: The region has a abundant labour force with high level of literacy and experience can quickly apply new technology in production. The labour force is highly selected with skilled labourers in locality and from surrounding areas. The human resource advantage is one of the reasons to attract national and international investors to the region. The industry development is at a quite high level of specialization.

Current economic situation

- Economic growth rate: Southeast area lead the nation in economic development with growth rate 1,5-2,5 times higher than that of the nation. In period 1996-2002, the growth rate was 11.6%, equivalent to 1.66 times of the nation. In general, the region accounted for one third of the national GDP; one third of national capital investment; two third of national export revenue. In 2002, the region contributed 34.5% GDP in general, 49.5% industry GDP, 31.5% service GDP, 49% national budget revenue and 60% national export revenue. In 2003, social investment in the region was 70,000 billion VND; export value was 13 billion USD; contributed 90,000 billion VND to national budget, attracted over 2 billion USD of foreign direct investment (FDI) and created more than 390,000 new jobs (in compared to the total national ones: 217.000 billion VND social investment, 20 billion USD export, 138,000 billion VND in budget, 3 billion USD of FDI and 1.52 million new jobs)

- Economic structure has been changed in a positive way with increase in industrialization and export: in compared to 1995, the industry - construction increased from 46.2% to 55%; agriculture reduced from 11.3% to 7%.

Development plan up to the year 2010 (*)

- Several objectives to the year 2010:

It is planned to maintain high and sustainable economic growth rate. GDP per capital in 2010 will be 3,030-3,720 USD. The sector contributions to GDP in 2010 are planned that agriculture-forestry-fishery will account for 3.6-3.7%; industry–construction account for 60.9-61%; and services account for 35.2-35.6%. Annual export revenue growth rate will be 18%. 450,000 – 500,000 new jobs will be created annually.

- Sectors’ development plans:

- Agriculture - forestry - fishery: Promote commodity production of agriculture with high productivity, high quality to ensure sufficient supply to urban areas & for processing and export; Speed up projects of coastal protection forests, reserve the mangrove forest of Cần Giờ (Hồ Chí Minh city) and coastal forest in Bà Rịa - Vũng Tàu; Develop intensive aquaculture of shrimp, fresh water fish in irrigation facilities; Set up breed service centers for aquaculture, trading centers, seafood processing facilities with high technology.

- Industry: Continue development of key industries such as Oil & gases, electronics, software development, engineering, energy, fertilizer, building material production and labour intensive industries in developing provinces such as agriculture product processing (cashew nut, rice, seafood, commodity good, garment, shoes and leather, plastic; Focus on development of clean and high technology industries such as electronic and informatics industries in Hồ Chí Minh city; Continue survey and explore new oil wells; Develop energy projects; Encourage investment on high technology industrial and processing zones in Hồ Chí Minh city.

- Trading-Tourism: Set up system of trading-tourist centers with regional and international standards. Make Hồ Chí Minh city become a big tourism and service center; Focus on development of service sector in Vũng Tàu, Biên Hòa, Côn Đảo, Cát Tiên; Promote cross border and border gate economic development; Promote development of sea transportation, telecommunication, finance and banking, insurance, services for oil & gases industry; Pay attention to upgrade tourism facilities, system of hotels with international standard, system of entertainment facilities, upgrade the historical and cultural monuments, promote traditional festivals for tourism; Improve tourist services in Vũng Tàu, Côn Đảo, Bình Châu, Bà Đen, Đ military station, Sóc Bom Bo, ecology tourism in Cát Tiên (Đồng Nai) besides the tourist-service center in Hồ Chí Minh city.
(Source: Socio- Economic Development Plan in the period 2006 – 2010 concretizing Resolutions adopted by the 10th Party Congress)

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