Hoa Phat Industrial Zones - Attractive Destinations to Investors

Hoa Phat Urban Development and Construction Joint Stock Company, the fifth member of Hoa Phat Group, was established on September 28, 2001 to invest and build infrastructure zone infrastructure for sublease, invest and trade real estate, and build civil and industrial works. Industrial parks where Hoa Phat is an infrastructure investor lure investors for many distinctive advantages as prime locations, complete infrastructure, professional operation, perfect services and facilities for investors. Vietnam Business Forum Magazine has an interview with Mr Tran Kien Cuong, Deputy Director of Hoa Phat Urban Development and Construction Joint Stock Company, on this issue. Nguyen Bach reports.

 
In Hung Yen province, Hoa Phat marked its investment presence with two industrial parks, Pho Noi A and Yen My 2. After more than 10 years of operation to date, what are the economic and social benefits and investment attraction results that these two industrial parks have brought to Hung Yen province?

Hoa Phat is a longstanding investor in Hung Yen province. The development of Hoa Phat industrial parks has propped up the development of local industrial zones and their appeal to investment projects has illustrated the economic development of Hung Yen province. As the investor and operator of two industrial parks, Pho Noi A and Yen My 2, Hoa Phat has left prominent marks on real estate and industrial park infrastructure.
 
Pho Noi A Industrial Park was set up in 2003 and housed the first investors in 2005. With a prime location, situated by the side of National Highway 5A, the movement from the industrial park to seaports, airports, Hanoi and satellite cities is very convenient. It has a total area of 596.44 ha, including 391.6 ha in the first phase, of which nearly 90 per cent has been leased. The next phase added 204.84 ha and entered into operation in 2014. By early July 2016, the industrial park housed 156 projects, of which 45 per cent was foreign-led projects from Japan, South Korea, the United States, the Netherlands and Switzerland. The occupancy rate reached 90 per cent of total rental area.
 
Verging on the National Road 39, Yen My Industrial Park 2 in Yen My district, Hung Yen province is 30 km east off Hanoi and is close to Ha Noi - Hai Phong Expressway. The 200-ha industrial park, designed for various industries, is also easily accessible to major traffic routes, seaways and airways for companies to invest in production. Hoa Phat is carrying out site clearance and synchronous infrastructure investment, and it hopes to welcome investors from 2017.
 
Tenants are operating effectively and employing some 25,000 workers.

 
Hoa Phat’s central goal is developing inclusive, modern and sustainable industrial zones. How will Hoa Phat promote investment and build synchronous infrastructure in the coming time?

Hoa Phat has good relations with investment and trade promotion centres and offices like the Korea Trade - Investment Promotion Agency (KOTRA) and the Japan External Trade Organisation (JETRO), and investment consultants to attract investment capital. When investors come to Vietnam and explore opportunities in Hung Yen province, most of them will take Pho Noi A into consideration. Hoa Phat advocates investment projects using modern environment-friendly technologies and tapping local resources, especially those engaged in electronics, mechanical manufacturing, and construction material production.
 
In attracting investment capital, Hoa Phat has also sped up thhe completion of synchronous and modern technical infrastructure, ranging from internal traffic, power supply, water supply, drainage, wastewater treatment and communications systems to social infrastructure. Particularly, in Pho Noi A Industrial Park, the internal traffic system has roads with a bread of 31 - 47.25 metres and roadways of 11.25 - 15 metres capable of serving 40-feet container trucks and other transport means. Power supply is assured of continuity and stability, powered by two 110/22KV transformers with a capacity of 6x63 MVA and 22 kV medium-voltage power network. The water plant with a daily capacity of 12,000 cubic metres ensures enough supply for tenants. Currently, the industrial park has a wastewater treatment plant with daily capacity of 6,000 cubic metres, powered by bioremediation technologies. After being pre-treated by tenants, wastewater is collected into the central treatment plant. Notably, Pho Noi A Industrial Park spends about 15 per cent of its area for green and water space. In addition, trees are planted along roads and in production facilities to create fresh air and environment in the industrial park.
 
Together with investment, management and operation of industrial zone infrastructure, Hoa Phat has focused on developing urban infrastructure projects in Hung Yen province, including Pho Noi Urban Area. Would you be kind enough to brief us on the scale and the objective of this project?

Situated in the heart of Pho Noi - the economic, industrial and service centre of Hung Yen province along the National Road 5 and just 25 km from the downtown of Hanoi, the 300-ha Pho Noi Urban Area, invested by Hoa Phat, comprises of subdivision houses, villas and condominiums plus synchronous social infrastructure like hospitals, schools, banks, bus stops, supermarkets, amusement parks and sports parks.
 
Pho Noi Urban Area, featured the ecological design, will meet housing demands for local people, workers and professionals in local industrial parks and surrounding localities. It will help shape the development of Pho Noi Town in the future. In the first phase, Hoa Phat will concentrate on building social housing for industrial park workers.
 
Do you have any sharing and recommendations for better local investment and business environment?

Hoa Phat plans to deploy one or two more industrial parks in the next five years and Hung Yen province will be the first location to be considered because it is the place where Hoa Phat built its first steel, furniture and refrigeration factories.
 
In general, provincial leaders and departments have actively and promptly and supported enterprises to deal with their difficulties in the course of doing business.
 
To attract more investors into Hung Yen province in the coming time, in addition to ongoing effective development strategies, I think that the province should work harder to create an attractive investment and business climate. Firstly, it needs to have long-term plans for training human resources at various levels like at university and college to meet employment demands by tenants in industrial parks. Secondly, it must have support policies for industrial zone infrastructure developers to build accommodation facilities for workers.