At the signing ceremony (Photo: VNA) HCM City (VNA) – The Sai Gon Hi-tech Park and industrial parks andeconomic zones in the southern provinces of Long An, Binh Duong, Dong Nai andBa Ria-Vung Tau will work together to develop supporting industries under anagreement clinched on October 28.
This is part of the programme to develop supporting industries in Ho Chi MinhCity during 2019-2025 under the municipal People’s Committee’s DecisionNo.2869/QD-UBND dated July 5, 2019.
The programme aims at shaping a network of small and medium-sized enterprisesin supporting industries through enhancing connection between the Sai GonHi-tech Parks and supporting companies in neighbouring provinces.
Besides, the programme helps local supporting firms expand market as well asjoin global supply chain.
According to deputy head of the Sai Gon Hi-tech Park’s management board Le BichLoan, the management boards of the processing zones, industrial parks andeconomic zones committed to sharing basic data to outline cooperationprogrammes, helping supporting firms participate in production chains of globalcorporations.
Vietnam will have 2,000 enterprises capable of directly supplying parts formultinational corporations in ten years.
Prime Minister NguyenXuan Phuc signed a resolution to promote the development of support industries.
The resolutionsets out the target that Vietnamese enterprises will be able to produce highlycompetitive supporting industrial products, meeting 45 percent of the essentialneeds for domestic production and consumption, accounting for about 11 percentof industrial production value by 2025.
About 1,000enterprises are expected to be capable of supplying directly to assemblyenterprises and multinational corporations, of which domestic enterprisesaccount for about 30 percent by 2025.
By 2030,supporting industrial products will meet 70 percent of the demand; accountingfor about 14 percent of industrial production value.
About 2,000enterprises will be capable of supplying directly to assemblers andmultinational corporations in the territory of the country by 2030.
To accomplishthe above objectives, the resolution offers groups of incentives includingdeveloping, improving and implementing effectively and synchronously specificmechanisms and policies to develop supporting industries and create favourableconditions.
The resolutionalso noted the implementation of preferential interest rate policies forsupporting industry enterprises and processing and manufacturing industries.
Another solutionis attracting investment effectively and promoting business links betweenVietnamese and multinational enterprises, as well as domestic and foreignproduction and assembly companies; building concentrated supporting industrialparks; and developing material industries to increase autonomy in rawmaterials.
Resolution115/NQ-CP also emphasised promoting the development of domestic and foreignmarkets.
It will alsoimprove scientific and technological capacities to develop and create abreakthrough in technology infrastructure, technology transfer, and enhancecapacity to absorb technology.
In addition, theresolution also emphasised developing human resources through nationalprogrammes and plans on skills improvements and links between traininginstitutions and enterprises.
Finally,building and perfecting the statistical system to promote the connectionbetween Vietnamese suppliers and multinational corporations; enhancing theeffectiveness and efficiency of state management and policies on supportingindustries; and improving the quality of statistics to ensure timely, completeand accurate information.
Many Vietnamese companies now confidently introduce their productsto foreign firms, and not just simple products like screws, moulds and plasticpackaging, but also high value-added products such as motor cores, electronicchips and circuit boards.
To promote the development of supporting industries, the Department of Industryand Trade is drafting an investment stimulus programme for 2021 – 25 forsupporting industry enterprises to improve production technologies andequipment and make more products meeting global corporations’ requirements andentrench themselves in global supply chains.
Supporting industries are key to raising the value of the industrialproduction, and promoting them is vital to attracting more giant foreigninvestors to the city./.
VNA
