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Vietnam’s logistics sector attracts more foreign investment inflows

Foreign investors will continue to pour money into Vietnam’s logistics sector to seize post-pandemic development opportunities, Lao Dong newspaper quoted Piyush Rathorenoi, General Director of the Transworld QBV ICD as saying.
Vietnam’s logistics sector attracts more foreign investment inflows ảnh 1Vietnam’s logistics sector attracts more foreign investment inflows (Photo: VNPost)
Hanoi (VNA) - Foreign investors will continue to pourmoney into Vietnam’s logistics sector to seize post-pandemic development opportunities,Lao Dong newspaper quoted Piyush Rathorenoi, General Director of the Transworld QBV ICD as saying.

Piyush said he expects the logistics industry ofVietnam will thrive in the future, turning Vietnam into alogistics centre of the world.

CapitaLand Development (CLD) of CapitaLand Group on February 26 signed a Memorandum ofUnderstanding (MoU) on investment cooperation worth 1 billion USD with thePeople’s Committee of the northern province of Bac Giang to build its first logistics andindustrial urban project in Vietnam.

Vietnam’s logistics sector attracts more foreign investment inflows ảnh 2Illustrative image (Photo:  vietnamnet.vn)

Ronald Tay, General Director of CLD Vietnam said the project will be asynergistic factor in forming a flexible supply chain network for the northern key economic region, which is expected to generatejobs for over 20,000 local labourers.

Delvin Fan, operation director of Best ExpressVietnam recentlyrevealed that his firm has invested 20 million USD in developing commodity sortingcentres in Bac Ninh and Ho Chi Minh City.

This enterprise also plans to spend an additional 3million USD on buffing up its means of transport in 2022, towards increasing its offices to 1,500 acrossVietnam, he added.

Meanwhile, SEA Logistic Partners has kicked off construction of the SLP Park Xuyen A project which aims to supply warehouses inthe Mekong Delta province of Long An. This project is scheduled to be completedin the first quarter of 2023, covering an area of 84,000 sq.m.

Experts said the pouring of capital by foreign investors into Vietnam will help turn Vietnam into a logistics centreof the world.

According to Tran Thanh Hai, deputy head of the Ministry of Industry and Trade(MoIT)’s Export and Import Department, Vietnam has advantages in geo-economicsto promote development of production, export and logistics service because itis located in a dynamic area of the world.

Sharing Hai’s opinion, Supaporn Sukmak, director of the Office of Overseas Trade Promotion of Thailand in HCM City said free trade agreements (FTAs) betweenVietnam and partners have helped the Southeast Asian nation attract moreforeign investors, especially those operating in logistics.

The demand of warehouse for import and export goods in Vietnam is on the rise,she added.

According to a report on logistics market by the MoIT, Vietnam is home to30,000 providers of logistics service, and the warehouse service is one of thekey segments of Vietnamese logistics firms.

Over the last two years, despite the complicated developments of COVID-19,nearly 3 billion USD was poured into Vietnam’s logistics industry, a sign that the country could become a logistics centre in the region and theworld, Supaporn said./.
VNA
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