Vietnam park wooing investors

Vietnam park wooing investors

By SUSAN TAM

HO CHI MINH: Vietnam Singapore Industrial Park (VSIP1) wants more Malaysian companies to set up operations in its expanded industrial area and boost Malaysia's US$83mil capital investment in the area.

VSIP JV Co Ltd executive director and deputy chief executive officer Hunyh Quang Hai said this recent investment figure was derived from the 11 Malaysian companies located in VSIP1.

He said good response from investors to VSIP1 had led to the opening of a second industrial park called VSIP2. The total area of both parks was close to 1,000ha, he added.

“This allows about 500 companies to set up their operations,” he told StarBiz after a briefing for about 50 foreign delegates from the Vietnam Economic Forum on Tuesday.

Hunyh said Malaysian company Alcamax Packaging VN Co Ltd was the first to set up operations in VSIP1 in 1997.

To date, he said, VSIP1 had attracted about 300 projects from 22 countries, with capital investment of over US$1.5bil.

Hunyh added that since VSIP1’s official launch in 1996, it had been attracting various multinational corporations to establish manufacturing bases catering to the local and export markets.

Among Malaysian companies that have set up their base in VSIP1 are Woventex (Vietnam) Co Ltd, Poly Tower (Kinsplastic), Kian Joo Can Vietnam Co Ltd and Perstima (Vietnam) Co Ltd. They cover industries such as packaging, garment and canning.

Earlier at the briefing, Hunyh told delegates that seven Malaysian companies had invested in VSIP2. Both VSIPs are located in the Binh Duong Province, some 30km from the city centre.

The delegates were also taken on a tour of some companies operating in VSIP1. Countries that have invested in VSIP1 include Taiwan, Japan, South Korea, the US and Germany.

The tour was part of the two-day Vietnam: Modernisation and Regional Integration forum organised by The Asia News Network, Vietnam’s Planning and Investment Ministry and Vietnam News.