Cau Treo International Border Gate Economic Zone (Cau Treo EZ) has a total natural area of over 56,500 ha and the population of over 21,000 people. Cau Treo EZ, located in Huong Son District, Ha Tinh Province, Vietnam, contiguous to Bolykhamxay Province, Laos, is the geographic boundary region specified the national territory and sovereignty between the Socialist Republic of Vietnam and Lao People's Democratic Republic. Cau Treo EZ is on Highway 8A stretching to Cau Treo International Border Gate sharing with Laos, about 45 km far from National Road 1A (Hong Linh Town), 8 km from Ho Chi Minh Highway, 35 km from Lac Xao Town (Laos). This is an international trading gateway, also an important traffic hub nationally as well as internationally along the East-West Economic Corridor.
Cau Treo International Border Gate Economic Zone has a natural forest ecosystem accounting for nearly 80% of the total area, including the 20,000 ha primary forest, Son Kim tin mine with 70,000 ton reserves, Son Kim hot mineral water ore in the planned area of Nuoc Sot ECO – Tourism Area. Therefore, the large-sized forest, the natural ecosystem preserved with strongly natural and primitive sense, and fresh air are all the favorable conditions to invest in constructing ecological and convalescence tourism, adventure tourism, recreation area.
To develop Cau Treo International Border Gate Economic Zone into a powerful economic zone on the West of Ha Tinh Province that partly enhances the firm economic - social cooperation and security - defense cooperation, and tightens the special friendship between Vietnam and Laos, the Prime Minister issued the Decision No. 162/2007/QD-TTg of Oct 19th, 2007 on Promulgating the Regulation of Cau Treo EZ to make use of its potentials and advantages. Accordingly, the investment projects in the EZ will receive a great number of maximum preferential mechanisms, policies which are applied to the particularly difficult socio-economic area under the provisions of the Laws on: Investment, Value Added Tax, Excise Tax, Corporate Income Tax and other incentives in accordance with the international treaties to which Vietnam is a party. These projects are entitled to preferential tariff, credit, lands, houses, vehicles, etc. The entire economic zone is defined as a non-tariff zone. Such preferential mechanisms and policies aim to develop production and different services; speed up exporting and expand the market; create jobs, promote education and improve the human resource quality; build a mountainous urban area to create a driving economic zone contributing to strongly impulse Ha Tinh Province’s economic restructure process, and ensure the border’s security and defense. The Prime Minister also issued the Decision No. 1693/QD-TTg of Dec 18th, 2007 on the Establishment of the Management Board of Cau Treo International Border Gate Economic Zone.
The Decision No. 961/QD-TTg dated Jun 25th, 2010 of the Prime Minister approving the general planning on constructing Cau Treo International Border Gate Economic Zone. Until 2025, it is affirmed that Cau Treo EZ will include all 04 administrative communes and towns of Kim Son 1, Son Kim 2, and Son Tay and Tay Son Town , Huong Son District, Ha Tinh province in a total 56,685 ha land area with the estimated population in 2025 up to 50,000 people. It is the EZ with multi-industrial sectors: industry, commerce, services, tourism, agriculture, forestry and urban; is also one of the economic hub; the culture, service and tourism centers of Ha Tinh Province and the North Central region; is a international trading gateway and a key traffic hub nationally as well as internationally in the East-West Economic Corridor; the EZ is additionally constructed with synchronous and modern technical and social infrastructures.
The spatial development of Cau Treo EZ will be oriented to expand the functional complex designed with spatial structure suitable for natural condition and terrain of the northern Highway 8A. The constructions are arranged along the mountainsides, hillsides and ended at squares and open space along the bank of river. The planned space for the EZ covering the total 12,500 ha area is constructed to be functional areas flexibly connected with according to each stage of development, including urban and rural areas, industrial area, farms, eco-tourist area, urban parks, public squares, and sports and fitness centers, etc. In particular, the total urban area is about 465 hectares which includes border area (12.5 ha) Tay Son town currently extending to the South of Ngan Pho River (225 ha), port B area (144.5 ha), and Dai Kim area (83 ha). The first phase to 2015 is planned build major functional areas on around 1,219 ha.
Besides, the detailed planned designs of the functional areas which have been approved by the provincial People's Committee is currently under construction, including the planning of Port B area (13 ha), Dai Kim Industrial Zone (26 ha), Cau Treo international border (size 25.4 ha) (adjusted) and the industrial zone, services and trading centers, and Da Mong ecology urban area (490 ha).
From the foundation (1998) to the end of 2011, the Management Board of Cau Treo International Border Gate Economic Zone has been implementing the construction of 96 infrastructure projects in the economic zone with the total investment of VND 1,739 billion. This investment has turned the economic region with infrastructures facing to the transport difficulties, lack of essential facilities, such as schools, hospitals, clinics, etc. into a spacious urban with the transportation system directly connecting to communes, villages and quarters throughout the area that contributes to develop economy and society, alleviate poverty, and ensure national defense and security of the border, etc. At present, there are 80 companies on operation, 15 projects given investment certificates with the total of over VND 2,600 billion of which 6 projects have been fully operational. In the first 05 months of 2013, the EZ's Management Board has issued 239 business licenses that brought the number of home based businesses on over the area up to nearly 1,300 ones.
In recent years, the government has invested in upgrading Highway 8A, constructing Ho Chi Minh Road, Highway 1A and the North South railway so as to create a transportation system, that is a condition to take full advantages of the Vung Ang Economic Zone, Ha Tinh Urban Area, Thach Khe iron mine and other economic zones in Ha Tinh Province; is one of the biggest vantages to promote East-West Economic Corridor and the North-East of Thailand. Thanks to connecting to Cau Treo international border gate, Vung Ang port in Ha Tinh province is the shortest gateway to Laos as well as to other countries in the Greater Mekong sub-region, it expands towards the South China Sea and boosts to develop relations with other ASEAN countries and China. Cau Treo EZ is located in the heart of different potential east-west transcontinental and transoceanic transport links which plays a very crucial role in collaboration among the Greater Mekong Sub-region. This is the transit economic zone for 8 provinces and 3 countries commonly using Highway 8A across Huong Son District, Duc Tho District, Hong Linh Commune, Nghi Xuan- Ha Tinh Communes, and adjacent to Vinh City (Nghe An).
Owing to the current advantages and preferential policies of the government, the determination of Ha Tinh Province in general and the management board of Cau Treo International Border Gate Economic Zone, the District Committee, the authorities and people in Huong Son District in particular, Cau Treo International Border Gate Economic Zone promises to open a very bright and attractive environment for domestic and international investors.
by NCV