Industrial parks need facilities thrive, says expert

Industrial parks require social infrastructure like housing, schools, and medical facilities to attract investors, an industry insider told in a preparatory meeting for an exhibition to be held in HCM City next May.

Vo Son Dien, advisory and marketing director of southern Binh Duong Province-based IP developer Becamex IDC Corp, told in the meeting held on Wednesday to prepare for the Viet Nam Industrial Parks – Investment World 2010 exhibition that this would help attract and retain human resources.

“The facilities will ensure employees have stable lives,” Dien added.

He cited the example of Binh Duong, which has 28 industrial parks that have been attracting human resources from elsewhere.

But he admitted that many IPs in Viet Nam are developed by private or joint stock companies who usually do not have the financial capacity or are under pressure from shareholders to achieve quick profits and do not plan for such infrastructure.

IPs that provide decent land lots to resettle people and provide job training would have access to quality human resources, he pointed out.

Lee Chang Keun, honorary chairman of the Korean Chamber of Commerce and Industry in HCM City, said besides land costs and incentives, manpower availability is also an important factor that investors consider while leasing land in an IP.

Though many Korean investors see potential in Viet Nam, they lack information about its IPs, he said to emphasise the important of marketing them.

Participants at the discussion agreed that a stable political environment, improved investment climate, and high GDP growth rate are among the country’s attraction

Viet Nam has 228 IPs covering more than 58,000ha, with 145 already in operation with an average occupancy rate of 64 per cent.

The Viet Nam-Singapore IP in Binh Duong and Amata IP in Dong Nai Province are considered the most successful

The Viet Nam Real Estate Association and Sao Khue Communications JSC will organise the two-day Viet Nam Industrial Parks – Investment World 2010 on May 7-8 at the HCM City International Exhibition and Convention Center in Tan Binh District

So far 39 stalls have been taken up by IPs from several provinces including Binh Duong, Dong Nai, Ca Mau, and Binh Thuan.

More than 1,000 investors have agreed to visit the exhibition, according to the organisers.

Tags: Vietnam Infrastructure, Vietnam Industrial Parks