The central province of Quang Nam is becoming a tourist attraction and a magnet for industrial and urban infrastructure development thanks to its geographical advantages and improved business and investment climate. Ngoc Tan reports.
| The automobile industry is one of the main selling points for Quang Nam’s future prospects |
Mecca for tourism and urban infrastructure
Quang Nam is a strategic destination on “The Road of Heritage Sites” in Central Vietnam, with two sites - the My Son relic site and the ancient town of Hoi An - recognised by UNESCO.
These advantages have helped Quang Nam to attract copious amounts of tourists, with 4.4 million arrivals last year alone, of which 2.3 million were foreign arrivals.
This has also turned the province into a “golden land” for tourism development, especially for coastal resorts, with many large-scale projects such as Palm Garden, The Nam Hai, Victoria Hoi An Beach Resort & Spa, Boutique Hoi An Resort, Golden Sands Resort and Spa Hoi An, Sunrise Premium Resort Hoi An, and Hoiana Resort.
According to the Quang Nam Department of Tourism, the province’s coastal areas of Dien Ban, Hoi An, and Tam Ky-Nui Thanh are zoned for high-end resort development.
In the province’s list for prioritised projects for investment attraction in the 2015-2020 period, 12 out of 45 investment projects are tourism related, including key projects such as the 2,000 hectare South Hoi An ecological sea tourism area, with total expected investment capital of $2 billion; 100ha eco-resort project in the west of the Ba Na area, with total expected investment capital of $50 million; 33ha eco-urban area by the Co Co River in Dien Ban town, with total expected investment capital of $1.5 million; and 20ha Tam Thanh sea tourism area in Tam Ky town, with total expected capital of $20-25 million.
In addition to tourism development, Quang Nam’s urban infrastructure development is also attracting investors. The province has provided investors with many incentives. One region in the province with a focus on urban infrastructure development is the new urban area of Dien Nam-Dien Ngoc in Chu Lai Open Economic Zone.
 | Covering 2,700ha, Dien Nam-Dien Ngoc has various key zones with differing functions, such as administration and culture; education and training; industry; commerce, services, and finance; residential; and coastal tourism. Companies such as Dat Quang Group, Bach Dat, and Dat Xanh Mien Trung have invested in Dien Nam-Dien Ngoc’s infrastructure facilities. At present, there are 58 projects registered at VND2.2 trillion ($100 million), covering almost 1,100ha. Tam Ky city and Chu Lai Open Economic Zone are also magnets for urban infrastructure investors, with plans to build commercial and service centres, hospitals, and markets. Local authorities are calling upon investors to develop many key projects, such as $50 million Central International Hospital; 1,000ha, $500 million free trade area in combination with Chu Lai international tourism port; 20ha, $40 million Chu Lai vocational and technical college; and $10 million commercial centre and supermarket area in Nui Thanh district. Dreamland for industrial development Currently, Quang Nam has zoned several areas for developing industries such as machinery, electronic spare parts, telecommunications, automobile manufacturing, construction materials, glass, furniture, and garments. The zoned areas include the Dien Nam-Dien Ngoc area; North Chu Lai area and Chu Lai Open Economic Zone; Tam Thang area in Tam Ky; Dong Que Son area in Que Son district; and Phu Xuan area, spanning the boarder between Tam Ky town and Phu Ninh district. The automobile facility of Truong Hai Auto Corporation (THACO) is the driver of Quang Nam’s automobile industry. At the facility, there are 24 companies and four factories specialising in the manufacture and assembly of automobiles. |
Additionally, there is one South Korean firm producing specialised automobiles, and other eight factories making spare automobile parts.
Vice Chairman of the Quang Nam People’s Committee Le Tri Thanh said that investors coming to Quang Nam will all enjoy the incentives stipulated by the government and Chu Lai Open Economic Zone.
They will also receive additional incentives if they invest in one of the 15 - out of Quang Nam’s 18 - districts listed as areas with special investment incentives.
The incentives pertain to construction sites, corporate income tax, and import taxes. Local authorities will also support investors in terms of labour training, housing construction for workers, trade, and product promotion. Depending on the sector, investors may also be exempt from the land rental for 11-15 years or even for the lifespan of their projects.
| Quang Nam infrastructure boosts regional investment In order to boost investment attraction as well as socio-economic development, the central province of Quang Nam is gradually developing its infrastructure facilities. A connected infrastructure network After 20 years of re-establishment, a great number of traffic, power, irrigation, culture, healthcare, and education projects have been built in Quang Nam, contributing to the provincial socio-economic development. Roads in the province have been upgraded or newly built, connecting national highways to provincial ones and central roads to rural ones. Early in the re-establishment period, concrete roads in the province accounted for only 32 per cent of the total length; however, that number is now nearly 100 per cent. 73 kilometres of the system of provincial highways have been upgraded and 157km of road surfaces have been repaired, ensuring convenient transportation. Along with Tam Hiep Port, Ky Ha Port has been dredged to provide 20,000 deadweight tonnage (DWT) ships access. Tam Ky Railway Station has also been upgraded. Transportation networks connecting Quang Nam to other localities in the central region, provinces in the Central Highlands, and Laos have been upgraded, supporting the co-operation between Quang Nam and these localities. Along with investment promotion, Quang Nam has also paid attention to infrastructure development, forming urban areas of Tam Ky, Hoi An, and Dien Ban. Coastal Route 129 and Cua Dai Bridge were built and put into operation last year, positively affecting the development of nearly 10,000 hectares in the east of Quang Nam. This area, according to Do Xuan Dien, director of the Chu Lai Open Economic Zone Management Authority, has become an investment magnet. Successful development of the provincial infrastructure network, according to the Quang Nam Department of Transportation, is thanks to the province’s diversified mobilisation of the state budget, government bonds, national target programmes, and financial support from international and local organisations. Constant investment promotion The Quang Nam Department of Planning and Investment believes the provincial infrastructure has not yet met development demands. Meanwhile, the traffic network to connect the east and west regions of the province, urban and rural utilities, the dredging of Ky Ha Port, and the expansion of Chu Lai International Airport are all top priorities. These projects are essential to create a firm foundation for long-term economic growth and social welfare improvement. To confront this issue, Dinh Van Thu, Chairman of the Quang Nam People’s Committee, said that according to the provincial master plan in the 2016-2020 period, the province will perform well with public investments, boosting infrastructure development with a focus on the road network. Particularly, Quang Nam will promote investment and develop projects, including East Truong Son Highway, the expansion of Chu Lai International Airport, upgrading the railway system, developing transportation infrastructure connecting local areas (coastal routes connecting national highways), developing coastal routes, and dredging Ky Ha Port to provide 30,000DWT ships access. Additionally, urban and tourism infrastructure will be invested in as well. The provincial master plan aims to develop eastern and western areas of Quang Nam. In the east, many projects have been completed or are underway such as Number One Beverage Factory, the Hoiana project, the textile and garment complex in Tam Thang Industrial Zone, gas and power plants in Tam Quang, and the automobile industry and supporting industries. Quang Nam will increase co-operation with the neighbouring city of Danang and the neighbouring province of Quang Ngai by connecting those with the tourism hotspot of Hoi An – Dien Nam – Dien Ngoc in the north and Chu Lai Open Economic Zone and Tam Ky in the south. |
By Phuong Ha / VIR
About Viet Nam
Region
ECONOMIC SECTORS
INVESTMENT
PROPERTY
TOURISM