Can Tho IZs charm Japanese groups
|The inauguration ceremony of the Vietnam-Japan Friendship Industrial Park took place last November Photo: Huu Phuc|
At the Japan-Mekong Business Forum 2019, slated to be held in the Mekong Delta city of Can Tho on November 30, leaders of Can Tho Export Processing and Industrial Zones Management Authority (CEPIZA) will grant an investment certificate to Japan’s Takesho Food & Ingredients Inc., to implement its project on building a processing plant at Tra Noc 2 Industrial Zone (IZ) in the city’s O Mon district.
The plant will engage in producing and processing species and associated materials; wholesaling food, machinery, equipment, and components; and carrying out relevant research and development activities.
The plant, covering nearly 21,000 square metres, will have a designed capacity of about 600,000 tonnes per year and total investment value of nearly VND185 billion ($8 million). It is expected to kick off construction in the first quarter of 2020 and begin commercial operations from the first quarter of the following year.
This August, a joint venture between Marine Food Corporation from Japan and local partner Nam Hai Food Export Ltd., began construction of a seafood processing plant with total investment value of $14 million. The project, scheduled to commence operations from next May, aims to process seafood items for export to Japan. It received its investment certificate in March within the framework of the province’s investment promotion trip to Japan.
The two projects have received active support from Can Tho city leaders and CEPIZA from inception, helping the investors quickly bring these projects towards fruition.
According to Toshinao Tanaka, CEO of Takesho Food & Ingredients, during the legal setup stage the company received proactive support from local authorised agencies, particularly CEPIZA, to complete necessary procedures, such as those on business registration or acquiring work permits for foreign employees.
While the investment scale of each project remains modest, they bear the hallmarks of enhanced investment promotion activities of Can Tho city in the Japanese market. In recent years, Can Tho has ramped up exchanges and investment promotion co-operation with diverse Japanese localities and organisations, taking Japan as one of its key business partners.
City leaders have led many business trips for promotion of investment and trade co-operation in Japan, while in the meantime receiving diverse Japanese delegations to the city in search of co-operation opportunities.
|Can Tho IZs Marine Food Corporation and Nam Hai Food Export began the building of a seafood processing plant in Augustcharm Japanese groups|
Last November, within the framework of the fourth Vietnam-Japan cultural and trade exchange programme and 45th anniversary of establishment of Vietnam-Japan diplomatic relations in the city, Can Tho People’s Committee inaugurated the Vietnam-Japan Friendship Industrial Park in Cai Rang district’s Tan Phu ward.
The park, developed by Can Tho Investment Development Fund, specifically caters to Japanese businesses. Featuring a seamless technical and social infrastructure system on par with green standards, it is ready to meet abundant investor demands for factory space.
The park enjoys numerous advantages as it is only 5km from the city centre, 8km from Can Tho International Airport, and is contiguous to a system of international seaports along the Hau River with the capacity to receive ships with up to 20,000 deadweight tonnage.
Furthermore, to increase comfort for Japanese specialists and entrepreneurs working in the city, Can Tho Investment Development Fund built Cadif Building in Cai Rang district’s Hung Phu ward, consisting of a wide range of apartments. The building is located next to schools, a trade centre, a food court, and entertainment sites such as an 18-hole golf course now under construction at Au Islet.
As an economic, sci-tech, education, and training centre in the delta region, Can Tho possesses plentiful potential for investment co-operation with Japanese investors across the board, such as in high-tech agriculture; agro-seafood processing; tourism and accommodation; the supporting industries; IT; urban infrastructure, transport infrastructure and logistics; finance and banking, and much more.
|Priority infrastructure industrial zone development
Name: Thot Not Industrial Zone phase II infrastructure
Location: Thoi Thuan ward, Thot Not district, Can Tho city; 50km from the city centre and 40km from Can Tho International Airport
Size: 400 hectares
Total capital: VND5.89 trillion ($256 million)
Incentives: Investors are entitled to land rental exemption during construction, for no more than three years after receiving a land lease decision
City-based IZs in a suitable location and with quality infrastructure consistently serve as investment hotbeds, helping to spur local socio-economic development.
Can Tho is currently home to six operating IZs attracting a total of 246 investment projects. The schemes have leased 486 hectares of land for industrial development and report $1.75 billion in total investment value. Disbursed capital reached $1.05 billion, equal to 60.3 per cent.
Can Tho IZs are strategically located as they offer favourable conditions for all means of transport by road, air, and waterway.
Simultaneously, Can Tho welcomes investors from all countries to engage in infrastructure investment and trading for Thot Not IZ’s second phase. The project has secured infrastructure conditions, including sufficient power supply from the national power grid and O Mon thermal power plant; sufficient water supply to feed its needs; a developing IT and communications network for international connections; and transport infrastructure directly linking to National Highway 91.
The nearby Vam Cong Bridge links Can Tho to Dong Thap province and other localities in the Mekong Delta region, from there pushing up trade exchanges in the region.