The attraction of Binh Dinh

Anticipating the new development trend, many domestic and foreign enterprises have flocked to Binh Dinh, investing in a series of large-scale projects.

Tỉnh Bình Định tổ chức đoàn xúc tiến đầu tư tại Hàn Quốc năm 2023.

Binh Dinh province organizes investment promotion delegation in Korea in 2023. (Source: VNA)

Binh Dinh is a coastal province in the South Central region, located in the key economic region of the Central region. The province's territory stretches 110 km in the North - South direction. The province has an important economic position, located at the midpoint of the North - South railway and road traffic axis.

As the closest and most convenient gateway to the sea of the Central Highlands, Southern Laos, Northeastern Cambodia and Thailand via National Highway 19 and Quy Nhon seaport, Binh Dinh has many opportunities for international trade and integration.

Binh Dinh has been and is a destination chosen by investors. Firstly, Binh Dinh has a particularly important geo-economic position in regional and international exchanges, located at the midpoint of the North-South railway and road traffic axis.

As the nearest and most convenient gateway to the sea of the Central Highlands, Southern Laos, Northeastern Cambodia and Thailand via National Highway 19 and Quy Nhon international seaport, Binh Dinh is very close to the Central Highlands provinces, 300km from Bo Y international border gate - Kon Tum province (via Laos), 280km from Le Thanh border gate - Gia Lai province (via Cambodia), stretching along 134km of coastline.

In addition to this advantage, Binh Dinh also has abundant natural resources, human resources and abundant human resources. In the Master Plan for Socio-Economic Development of Binh Dinh Province to 2020 approved by the Prime Minister (Decision No. 54/2009/QD-TTg dated April 14, 2009), Binh Dinh is determined to become a province with a modern industrial base and one of the centers of socio-economic development, actively contributing to the development of the Central Key Economic Zone and the whole country.

Second, Binh Dinh has a convenient transportation infrastructure. In particular, National Highway 1A, the North-South Expressway passing through Binh Dinh province and the expressway connecting Binh Dinh province with the Central Highlands provinces, the trans-Vietnam railway; The airport near the city and industrial parks, is being upgraded to an international airport. The seaport located in the city, is being upgraded and expanded to accommodate large ships with a tonnage of over 70,000 DTW.

In particular, Binh Dinh has Quy Nhon seaport - one of the 10 largest seaports in the country with a sheltered anchorage area, a wharf and facilities to safely receive ships with a capacity of 30,000 tons. With such a transportation system, Binh Dinh is connected and easily traded with the provinces of the Central Highlands, Northeastern Cambodia, Southern Laos and Thailand.

With a long and beautiful coastline, and a well-invested transport infrastructure that connects to the sea, Binh Dinh has created a strong attraction for large investors, especially real estate and resort tourism businesses.

Third, the open and transparent policies of the local government are one of the important factors in attracting investment. The government is actively attracting foreign investors, so it will provide the best support in administrative procedures. Investing in the province, investors are entitled to the highest investment incentives of the Vietnamese Government (corporate income tax rates, corporate income tax exemptions and reductions, import taxes on assets, land rent exemptions and reductions).

In addition, there are also some additional incentives from the province. Specifically, support for labor training, trade promotion, support for electricity and water supply, investment procedures... When choosing a location in an industrial park or industrial cluster, it takes no more than 1 week to get an investment license, and no more than 120 days to start construction.

In addition, creating an open and quality investment environment is still one of the important solutions that Binh Dinh focuses on in the coming year. Coming to Binh Dinh, businesses and investors will be given every advantage to successfully implement projects and develop sustainably.

Fourth, economic zones, industrial parks, and industrial clusters have full infrastructure to meet the investment needs of businesses and low infrastructure rental prices. The infrastructure rental price in economic zones, industrial parks, and industrial clusters is about 25 USD - 60 USD/m2/50 years, cheaper than some other industrial zones in the country. There are many industrial parks and industrial clusters in all parts of the province for businesses to easily choose from.

Binh Dinh has taken full advantage of and promoted the province's potential in many aspects such as infrastructure, policies, natural resources, and human resources to attract and support investors.

Panoramic view of Quy Nhon city. (Source: VNA)

Fifth, Binh Dinh is an economically developing province, attracting skilled labor from large cities and industrial zones. The province has 3 universities, many colleges and vocational schools; it can provide 10,000 local workers every year; there is a trend of transferring local labor who are working far away back to the province. Currently, Binh Dinh's biggest advantage is its young, abundant and stable labor force. Labor productivity has improved significantly in recent times, increasing steadily over the years and it is the province with the highest labor productivity growth rate among the Northern and Central Coast provinces.

Furthermore, Binh Dinh is developing strongly, the investment environment is highly competitive. At the same time, the local government always “rolls out the red carpet”, regularly organizes promotion activities, attracts domestic and foreign investment, contributing to maintaining high economic growth. It can be said that Binh Dinh is an open province to businesses in all fields.

Sixth, there are still few FDI enterprises, so competition for labor is low. The local labor force is large. Labor recruitment is not too difficult and labor is stable, workers do not change jobs between factories, minimizing training costs. Binh Dinh's population is 1.6 million people, of which more than 60% are of working age. The labor force is relatively abundant with a young population, labor productivity tends to improve over the years.

Seventh, labor costs are low compared to many other localities. Minimum wage is from 135 USD-152 USD/person/month; lower than Da Nang, Hanoi, Ho Chi Minh City, Binh Duong, Dong Nai: 173 USD-195 USD/person/month.

Eighth, there is a huge potential labor force in the locality. In particular, a large number of workers graduate every year from high schools, colleges and universities in Binh Dinh with good English skills and the ability to learn and absorb advanced, modern technology much faster than some other countries (assessed by foreign investors).

In addition, green transformation and digital transformation create strong changes in economic restructuring and improve the investment and business environment, enhancing local competitiveness. Training and improving the quality of human resources according to the development orientation of the province, especially human resources in information technology, engineering technology, tourism, high-tech industry, and high-tech agriculture.

Ninth, the living environment is clean and secure, and the politics are stable. As a province stretching along the coast, the living environment is very clean and less polluted. The stable social order and security situation will create peace of mind for investors when investing in Binh Dinh. Medical services, education, entertainment, shopping, and banking are of international standards. In addition, Binh Dinh has now become a safe and friendly tourist destination, attracting the attention of many domestic and international tourists.

Tenth, Binh Dinh is the center of raw material areas. The province is adjacent to Quang Ngai, Phu Yen provinces and the vast Central Highlands, so most raw material areas are within close proximity if a factory is located here.

The unity of policies, synchronous solutions, and consensus and determination of the whole province open up expectations that in the coming years, Binh Dinh's investment promotion and attraction activities will continue to achieve important results, taking on the role of one of the breakthroughs to create momentum for socio-economic development.

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