A strategic move, it needs to be done immediately.

Strategic move

At the Vietnam Logistics Forum 2024 held in Ba Ria - Vung Tau province (December 2nd), Minister of Industry and Trade Nguyen Hong Dien assessed that free trade zones are one of the important competitive advantages and an effective tool for countries to maximize the benefits of integration.

In fact, over the years, the Free Trade Zone model has been successfully implemented by many countries (such as Singapore, China, South Korea, UAE, etc.), helping to reduce costs, increase product competitiveness, optimize the flow of goods, improve logistics capacity, and attract foreign investment.

“With its strategic geographical location and potential strengths in developing deep-sea port infrastructure, international airports, and road and rail transport hubs connecting with countries in the region and the world, Vietnam has all the favorable conditions to build and develop large-scale and modern free trade zones. The Ministry of Industry and Trade, as the state management agency for logistics services, is submitting to the Prime Minister a draft Strategy for the Development of Vietnam's Logistics Services for the period 2025-2035, with a vision to 2050. Accordingly, the draft Strategy proposes many synchronized and decisive solutions (including solutions on building free trade zones) to realize the goal of making Vietnam a strong logistics nation, contributing positively to the industrialization and modernization of the country. These are very important contents, relevant and practical not only for the development of Vietnam's logistics service industry, but also for the development of the national economy .” "The country is progressing in the new era – the era of national resurgence," Minister Nguyen Hong Dien affirmed.

Minister of Industry and Trade Nguyen Hong Dien. Photo: Nguyen Ngoc

According to Pham Viet Thanh, Secretary of the Ba Ria - Vung Tau Provincial Party Committee, the province has a strategic location, serving as a gateway to the East Sea for the Southeast region and the entire country. In recent years, thanks to the central government's investment, the transportation network in the Southeast region and inter-regions is being improved. This, along with the development of Long Thanh International Airport and the modernization of Cai Mep - Thi Vai seaport into a regional and world-class international transshipment port, is linked to the development of a national and international logistics center following the "green port, green logistics" model, meeting the requirements of international integration and sustainable development.

The Secretary of the Ba Ria - Vung Tau Provincial Party Committee stated that the provincial planning for the period 2021-2030, with a vision to 2050, approved by the Prime Minister, has opened up new opportunities and prospects for developing Ba Ria - Vung Tau province into a national maritime economic center, a national and Southeast Asian maritime service center, a high-quality international-class tourism center, and one of the major industrial centers of the Southeast region.

The province is gradually developing four new industries: petrochemicals, wind power equipment manufacturing, liquefied petroleum gas (LPG) center, and biotechnology; continuing to maximize the spirit of "self-reliance, self-confidence, self-sufficiency, and self-strength" to focus on promoting Ba Ria - Vung Tau to become a renewable energy center and a global offshore wind power supply chain center.

In addition, the Secretary of the Ba Ria - Vung Tau Provincial Party Committee emphasized the importance of developing a free trade zone combined with a seaport in the Cai Mep Ha area of ​​the province.

“This is a crucial strategic step to improve the logistics infrastructure for the Southeast region. Accordingly, the early establishment of a Free Trade Zone connected to the Cai Mep Ha seaport will be seamlessly linked with Long Thanh International Airport and the Cai Mep – Thi Vai deep-water seaport, creating an extremely strong competitive advantage for the region and the country, revitalizing existing momentum. At the same time, it will create new impetus in attracting next-generation investment in the service-industry-urban space along the East-West economic corridor from Moc Bai to Cai Mep – Thi Vai,” Mr. Pham Viet Thanh affirmed.

It needs to be implemented soon.

Speaking with a reporter from the Industry and Trade Newspaper, Mr. Tran Chi Dung – General Secretary of the Vietnam Logistics Services Business Association – said that the establishment of a free trade zone will create very important impetus for the locality, the region, and the whole country.

According to Mr. Dung, there will be three major boosts. Firstly, attracting foreign investment, both direct and indirect. Secondly, technology transfer will help Vietnamese workers learn new technologies, and businesses in surrounding areas will also benefit by providing products and services and collaborating in business partnerships. Thirdly, it is possible to develop a creative economy because, in reality, it will not only develop traditional logistics but also the latest logistics services, creating a logistics network that forms a spiral for development.

Perspective view of Cai Mep Ha Logistics Center. Photo: Portcoast

The General Secretary of the Vietnam Logistics Services Business Association believes that while we are facing legal challenges, we can gradually open up the system. Mr. Dung also emphasized that we should prioritize what the law permits, and address any shortcomings later. "Only by taking action can we clearly see where the problems lie. If we just sit and observe, listen to what others say, we won't get anything done. Therefore, we need to implement it soon," Mr. Dung suggested.

Mr. Nguyen Thanh Binh – General Director of Gemadept Group – assessed that Ba Ria – Vung Tau province has many outstanding competitive advantages for developing a free trade zone. Once the Cai Mep gateway port cluster is established and developed in a modern and synchronized manner, it will be able to accommodate the world's largest mother ships.

To avoid missing out on investment opportunities in free trade zones, Mr. Binh suggested that a suitable model should be selected based on research and learning from standard models in the region and around the world.

According to Mr. Binh, Ba Ria - Vung Tau province needs to be determined in proposing to the central government to allow the implementation of a free trade zone with timely and synchronized policies. Without waiting for Da Nang to complete its pilot program, Ba Ria - Vung Tau province could request to implement a free trade zone simultaneously with Da Nang.

“The free trade zone in Ba Ria – Vung Tau needs to be implemented with all the functions of a true FTZ right from the start. This is in line with the government's motto and what General Secretary To Lam stated: 'run while queuing,' otherwise we won't make it in time,” Mr. Binh proposed.

Source: https://congthuong.vn/khu-thuong-mai-tu-do-cai-mep-ha-buoc-di-chien-luoc-can-lam-ngay-362502.html