Delta provinces push 17% growth rate

The provinces’ target is to achieve an average annual growth rate of 17.4 per cent, according to the report, released at a conference held in Tien Giang Province in 24 Oct.

"The country’s integration into the World Trade Organisation (WTO) creates many opportunities for the region to develop, and its needs a breakthrough to make use of that," said Le Thanh Liem, host of the provinces’ 12th annual industrial and trade conference.

The provincial departments of industry and trade said the Government should give more priority to ODA projects in the area, particularly at a time when the Delta’s geographical location is considered a hindrance to investment. Provincial officials asked for quick disbursement of approved infrastructure projects, including the HCM City-Trung Luong-Can Tho expressway, Can Tho-An Giang expressway, the upgrading of National Highway No 1A, and the HCM City-Trung Luong-Can Tho-Ca Mau railway system.

Key works for the region include the upgrading of Can Tho Airport for international use, the building of Can Tho and Soai Rap seaports, and the dredging of Kenh Chanh Bo estuary in Hau Giang Province for port development.

"As a producer of many agro-products, the region needs a modern processing industry and a well-managed distribution system to ensure quality and profits for farmers," the report said.

Human resources are a crucial factor to the region’s development, and authorities need more support from the Government, especially to upgrade the Can Tho University into a national university.

Growth target

The report targets an industrial revenue for the region at VND144 trillion (US$8 billion) by 2015, and an average growth rate of 17.4 per cent a year from 2010 to 2015.

The expected growth rate of Long An and Vinh Long provinces is 12.4-19.1 per cent a year, but Ca Mau and Bac Lieu would gain only 5-8 per cent a year.

The region will aim to obtain an increase of 13.9 per cent in export turnover, to $13 billion in 2015, with an average increase of 20 per cent a year from Hau Giang, Long An and Tra Vinh provinces.

The authorities will also develop trade infrastructure in rural areas by setting up modern stores like supermarkets, department stores and smart stores where trade can be conducted between wholesalers and farmers.

Supermarkets and smart stores, which will use digital devices, should be available in at least half of all communes in the region and half of agro-product transactions should be done through contracts, the report said. However, the report said to reach these targets the region needed more attention from the Ministry of Industry and Trade.

Authorities suggested that the ministry offer them more funds for industrial promotion and commercial retail development, and promote faster expansion of the power grid to households and industrial zones.

Guidelines

Speaking at the meeting, Bui Xuan Khu, deputy minister of industry and trade, said local authorities should spend time studying the effectiveness of setting up department stores in rural areas in the region before seeking capital.

"Many markets have been built well but many people refuse to do business there, and no one comes to sell or buy," he said, adding that temporary markets, including those on the pavement, had better business. Modern department stores should cater to the local residents’needs and contain recreational activities, he said.

Authorities should also carry out trade promotions by making use of the national programme for trade promotion and the ministry programme for branch promotion.

He said the trade promotion meeting to be held in Soc Trang later this year would be an example for other provinces to follow.

Khu told the departments of industry and trade to seek funds from provincial budgets for promotions because the ministry had to concentrate on training staff.

Le Thanh Liem, director of Tien Giang’s industry and trade department, said the suggestions would be seriously considered and told Viet Nam News that he would urge other provincial departments to work together to enhance industry and trade and avoid competition between provinces.