Industries

BINH THUAN’S INDUSTRIAES RISE TO A NEW HEIGHT

“What I think about the most is how to increase quality, efficiency and competitiveness of industrial products in the time ahead”

Mr Dinh Huy Hiep, director of Binh Thuan  industries Department disclosed.

After 10 years of renovation, Binh Thuan's economy has made new breakthroughs.

Changing from a centralized and subsidized economy into an open market mechanism economy with and socialist orientation, the State has promulgated new and proper policies to better accommodate the realities. Therefore, economic sectors have been encouraged to invest and produce. The close attention and direction of the provincial Party Committee and the provincial People’s Committee have had positive impacts on the development of industries, small industries and handicraft in the countryside. ln addition, with other natural conditions favorable for the production of several competitive products and pan of the population experienced and qualified in main industries and traditional trades, have also contributed to the new advances of Binh Thuan's industries. At the end of2002, the province's total production and construction were 644.613 billion dongs, accounting for 24.23% of the total production values and increasing 3.73 2 times compared to 1992. Change in economic structure were clearer. In 1992 there were only 40 private industrial enterprises with a total capital of 1 0 billion dongs. Today there are 99 private industrial enterprise and their total capital are at 104 billion dongs increased 9.4 times. Several median businesses came into existence, such as the Vinh Hao mineral water, the Binh Thuan sugar factory and the Hai Nam aquatic products processing company. Aquatic, agricultural and mineral potentials have been exploit- ed in greater quantities and with more efficiency. For examples, mineral water production increased 49.3% a year, quarry production increased 50.7% a year and aquatic processed products increased 28.4% a year.

In the past years, industrial, small industrial and handicraft production has helped to change the structure of the local economy in the direction of industrialization and modernization. In this 21^st century, the provincial industries small industries and handicraft will take in new technological achievements in order to attract investment from different economic sectors and shape several.

First of all, industries, small industries and handicraft must grow quickly and make big changes to contribute to the restructuring of the provincial economy labor and investment. At the same time, reorganization of state enterprises and better promotion of foreign investment in industrial zones and in industrial - small industrial - handicraft concentrations should be made. Processing industries have infused new blood into Binh Thuan's aquatic production, helped to change the structure of aquatic economy in the direction of industrialization and modernization. Therefore, in the time ahead Binh Thuan will concentrate on development of processing industries, specially processing industry for advantageous and competitive products, processing industry in service of agriculture and fishing, processing industry to make the most of local material resources and processing industry for export. Small industries and handicraft should be developed in rural areas, particularly in the mountainous, island and ethnic regions. Special attention should be paid to production of artifacts and souvenir for export and tourism. Conditions should be created for the development of trades - specialized villages and industrial - small industrial - handicraft concentration. From there, more jobs will be created and agricultural worker will move to small industries and handicraft, thus contributing to rural industrialization and modernization. With the strong and availability of information in advances of science and technology, proper conditions should be created for industrial small industrial and handicraft facilities to apply technological progress and renovate processing technologies in order to increase productivity, quality of products and competitiveness in domestic and foreign markets.

With the direction to integrate and grow, the role of Binh Thuan's industries becomes more and more important to the local socio -economic development. Jointly accelerating the process of industrialization and modernization of Binh Thuan, the industries Department has made a plan for the provincial development of industries, small industries and handicraft up to 2010. This is a basis to define development priorities and policies of the province in the time ahead. Plan for development of the provincial electrical network up to 2010 and vision for its development up to 2020 have been made. Also in existence are the plans, for mineral exploitation development up to 2010. For river - bed sand and pebble, gravel exploitation and usage, for ilmenite - zircon. Proper exploitation and processing usage the potential minerals of the La Nga river valley. Currently, the Binh Thuan Industries Department is making development plans for the provincial industries - small industries - handicraft concentrations and trades - specialized villages, for the Bac Binh district electrical network and for the Vinh Hao mineral water production. The developing program in extracting Vinh Hao mineral water is urgently being implemented. There is a high concentration of carbonated in Vinh Hao mineral water which is being highly used to treating many diseases. Besides, the industries Department has submitted to the Provincial People's Committee proposed mechanism and policies on the administration of industrial, small industrial and handicraft production, mineral resources and electricity in the province; such as policy of encouragement to investment in industrial, small industrial and handicraft production; policy of decentralization of administration on mineral exploitation and processing; establishment of a managing board for the agricultural promotion program and regulations for the organization and administration of the provincial agricultural promotion activities. The districts of Tuy Phong, Ham Thuan Bac, Tanh Linh, Duc Linh and Bac Binh have been assisted by the Industries Department to make their own development plans for industries, small industries and handicraft.

With so much work, the provincial industries branch must exerts all its strength to accomplish the plans. Moreover, Mr. Dinh Huy Hiep told us that the Industries Department will continue supporting projects to develop trades - specialized villages, such as the brick and tile making villages of Gia An and Vu Hoa; the industrial, small - industrial and handicraft concentration of Me Pu. Proper incentive conditions will be created for coal production to provide fuel for brick and tile making facilities in the province. Through agricultural promotion programs, technologies transfers will be made to produce rice papers for exports handicraft products made from coconut skulls, embroidered pictures, ethnic traditional fabrics and Cham ceramics will be made into decorative forms use for export.

A showroom will be built in cooperation with the Binh Thuan Trade - Tourism Department and the Phan Thiet city People's Committee, to exhibit industrial, small industrial and handicraft products in the high traffice areas of tourists and to provide a meeting place for producers and traders.

As already said, Binh Thuan industries have infused new blood into the aquatic industry in the direction of industrialization and modernization. Therefore, together with the Aquatic industry Department, the industries Department will work out material buying policy and program for aquatic processing development in order to make aquatic processing industry a main industry of the Binh Thuan province.

Beside the efforts of the industries branch, the supports from the provincial and central governments are also factors to accomplish those tasks. In order to liberate productive power and mobilize to the maximum resources for the development of industries, small industries and handicraft. Binh Thuan should concentrate products processing industry. At the same time, it should give more incentives to businesses to build factories in the materials supplying areas and invest a small processing facilities to make the most of existing potentials. This will help to redistribute the rural labor force, reduce the pressure of migration to the cities. More foreign investment promotion should be done and investment favored policies should be implemented to modernize existing processing facilities.

Industrial promotion is necessary to mobilize and attract investment from different economic sectors for the development of industrial, small - industrial and handicraft production. ln the inter- views, Mr. Dinh Huy Hiep expressed Binh Thuan's desire and request that the Government promulgate an ordinance on industrial promotion as a basis for industrial promotion activities in the whole country. The government should make regulations for coordination of competent ministries and branches in supporting the development of small industries and handicraft in rural areas. Particularly the financial institutions should provide easier access to credit sources and loans. At present, Binh Thuan is forming up several industry - small industry - handicraft concentrations in rural areas, with size of 10 to 12 ha and the character of a small industrial zone. The Government is requested to make regulations on the administration of and allow industries - small industries - handicraft concentrations to enjoy the same treatment accorded to industrial zones in the Government's Ordinance No 36/CP. In addition, Binh Thuan appeals to the Government permit a reduction of 30% in the normal interest rate for investors who are operating their business in the third region (the mountainous, island and ethnic areas) when they borrow capital fund from banks for business.

At present, the provinces in the Southeast economic zone have made detailed plans for industrial, small industrial and handicraft development up to 20 10. In order to exploit particular advantages of each region and to avoid duplication among the provinces, the industries Ministry should complete industrial development for the Southeast region. This plan will be a basis for the provinces to direct their development in such way that makes the most of their competitive products and potentials. The provinces of Binh Thuan, Binh Phuoc, Lam Dong and Tay Ninh have advantages in material supply However, there is currently a competition between producers for materials. Therefore, joint regulation of industries Departments and business Association is needed so that producers can have easy access to materials.

Its own efforts, supports from provincial and Central Governments and inter - provincial cooperation are factors that help Binh Thuan industries branch to achieve its objective in the time ahead. lt is to obtain an annual industrial production growth rate of 17.8%.  The percentage of industries and construction in the provincial gross production in 2005 will be 26.17% and industries alone account for 16.88%. Also in 2005 the production of frozen aquatic products will be 10,000 tons, an increase of 44.5% compared with 2002; dry aquatic products: 4,500 tons, an increase of 18.42%; cashew nuts: 5,000 tons, an increase of 25%; mineral water 35 million liters, an increase of 67% and salt: 85,000 tons, an increase of 10% compares to the year of2002.

Binh Thuận’s industries is still facing many difficulties, such as small scale production, backward equipment and technologies. Little scientific and technologies application in processing industry and technological renovation is only concentrated in a small number of enterprises who could afford, infrastructure still weak, difficult marketing and unstable material market still exists. But it is possible to say that with the present growing direction and the contributions made to socio - economic development of the region, the provincial industries will continue making firm steps forwards and serve incessantly the local industrialization and modernization.

Lot of difficulties and challenges still ahead. But above all, the future is filled with hope./.

VIET PHUONG