Supporting industries play a critical role in attracting and absorbing capital and high technology, promoting economic growth. However, in Khanh Hoa Province, supporting industries have been still undeveloped...
Supporting industries play a critical role in attracting and absorbing capital and high technology, promoting economic growth. However, in Khanh Hoa Province, supporting industries have been still undeveloped.
In Vietnam, the development of supporting industries is oriented towards three fields, including accessories, textile garment – shoe leather and high technologies. The field of accessories is expected to be able to supply for mechanics, automobile industry and agricultural machinery till 2020, and assist supporting industry enterprises to join the regional and international production networks. The field of textile garment – leather aims to take the initiative in domestic production and raise competition in export. To the field of high technologies, priority is given to producing materials of steel, plastic, composite and electronics, etc.
According to Nguyen Sanh Duong, Chief of Industrial Management Bureau in the provincial Department of Industry and Trade, Khanh Hoa Province saw the appearance of supporting industries over 10 years ago but their speed has been very slow and their ratio has made up very small in the province’s industry. The whole province now has 6 enterprises in supporting industries. Most of them major in packaging, textile garment, garment assessories. Some of them are Nha Trang Garment Assessories Joint Stock Company and 3-2 Packaging Joint Stock Company.
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From many years ago, Khanh Hoa Provincial People’s Committee has an orientation to develop supporting industries for ship building factories, especially Hyundai VinaShin Ship Building Factory. However, up to now, the orientation hasn’t come true. Hyundai VinaShin is still importing a lot of accessories for their ship building. If there have been satellite factories, Hyundai VinaShin could raise their ship building capacity and save cost, beside reduce excess of imports over exports.
In Van Phong Economic Zone, some companies have registered to invest in supporting industries, for example Korea-based Miboo Technology Co., Ltd. and Norway-based Karmsund Maritime Offshore Production.
With the foreign investments in supporting industries in Van Phong Economic Zone, ship building, in specific, and heavy industries, in general, are expected to develop more. The province is calling for such investment in supporting industries.
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