Scene at the workshop (Photo: VNA) Hanoi (VNA) – The Foreign Investment Agency (FIA) under theMinistry of Planning and Investment held a workshop in Hanoi on December 15 to strengthenlinks between domestic and foreign direct investment (FDI) enterprises todevelop the supporting industry in Vietnam.
The number of domestic businesses joiningsupply chains for FDI firms remains limited, especially in the key fields ofautomobile manufacturing and assembling, electronics and industrial machinery, saidNguyen Manh Linh, deputy director of the centre for developing supportingindustry enterprises under the Institute for Strategic and Policy Studies ofthe Ministry of Industry and Trade.
He noted that only a few of domesticenterprises are capable of meeting the quality requirements of FDI companiesdue to restrictions in production technologies, management system andundiversified products.
Additionally, there are not many assistanceprogrammes from the Government and relevant agencies to increase informationexchanges between Vietnamese supporting enterprises and FDI firms, Linh said.
The official suggested local businessesproactively connect with FDI firms and invest in new technologies and humanresources while joining supply chains suitable with their development level.
He called on FDI businesses tooutline strategies to connect and cooperate with Vietnamese partners andsupport them to increase corporate governance capacity, technological application,and human resource quality.
The Government should devisepreferential policies to promote links between domestic and FDI firms andencourage the expansion of effective models adopted by FDI businesses, Linhsaid.
He also mentioned measures to improvethe investment environment and encourage all economic sectors to invest in thesupporting industry.
Meanwhile, FIA Director Do Nhat Hoang underlined the increasing contributions byFDI enterprises to Vietnam’s gross domestic product (GDP), noting that politicalstability and reform are attractive factors to foreign investors.
Vietnam will focus on drawingselective projects applying high technologies while strictly prohibiting those causingenvironmental pollution, he said.
Chairman of the Vietnam Association of Foreign-Invested Enterprises Nguyen Maisaid that FDI businesses are making up 70 percent of the country’s total exportturnover and contributing 18 percent to the State budget collection and 20percent of the GDP.
They also generated jobs for 3.7 million direct workers and adopted newbusiness production and distribution methods, he added.-VNA
VNA
