Economic development - Du lịch TP Vinh Nghệ An Thiết kế website TP Vinh Thành phố Vinh Nghệ An
Economic development

I. Industry and Construction

Developing with an average growth rate of 19.5% in the period 2001-2010 (14.75% in the old plan).

  • 22% in the period 2001-2005
  • 17% in the period 2006-2010

The Industry in the period 2001-2010 will obtain an average growth rate of 21-22% (16.3% in the old plan).

  • 23-24% in the period 2001-2005
  • 19-20% in the period 2006-2010

The proportion of Industry and Construction in the economic structure will rise from 34.9% in 2000 to 40.8% in 2005 and account for 44.7% in 2010 (44-45% in the old plan).

Gradually setting up a centralized industrial zone of 100-200 hectare in the city and a number of small centralized industrial zones in the districts of Dong Vinh, Hung Loc, Nghi Phu...

I.1 State-run and Province-managed industry

I.1.1 Food and Drink processing industry

Stabilizing the production line of the cooking oil factory with the output capacity of 10,000 tons per year; carrying out researches and creating favourable conditions to double the capacity after 2005; boosting step by step the volume of plants’ oil for exportation.

Ensuring the capacity of Vinh Beer Company with the output ranging from 15 to 20 million litres and investing in depth to enhance the quality of fresh and bottled beer to meet the demand of the local market. Seeking for the cooperation with other partners to produce fruit juice and aerated beverage on large scale, with high quality to satisfy the demand of the province to replace external products.

Promoting the investment to renew the technology and equipment of the fodder processing company with a view to improve the products’ quality for exportation. Striving to increase the processing capacity to 5,000-10,000 tons per year.

Installing confectionery production chain of high quality, which can produce 5,000-10,000 tons per year to meet the demand of the local market and exportation.

Looking for the cooperation with partners to build a company producing baby foods from local materials with the annual capacity of 3,000-5,000 tons to satisfy the needs of the whole region to replace baby foods sponsored by PAM.

Moving the Instant Noodle Company to Bac Vinh industrial zone, simultaneously making researches to raise the quality of and to diversify instant foods such as noodle, rice vermicelli, lunch boxes... to meet the needs of workers in the industrial zones as well as the whole region.

Modernizing Vinh Tea processing Factory, increasing its output to 2,000 tons per year and exporting 70-80% its products.

I.1.2 Mechanical and Electronic Industry

Mechanical and electronic industry of the city accounts for just a small proportion in the industrial structure. Its technologies are outdated and its production is unstable. In the industrialization and modernization, these sectors should be given development priorities to renovate its technology to serve other socio-economic sectors.

The development orientation is to reinforce the mechanical production, to raise its capacity of manufacturing and repairing, to participate in the production specialization of the national mechanical sector, to produce spare parts and devices for the construction, for food processing industry and for transportation...

Investing in manufacturing small and portable machines for agriculture and forestry with the beginning capacity of 300 machines and 1,000 machines after 2000.

Installing a steel zinc-plated pipe producing chain at the capacity of 9,000 tons, and double its capacity in the years following 2005 to serve water supply for the whole region.

Enhancing the capacity of automobile maintenance and overhaul, establishing a centre of automobile maintenance for the North Central.

Regarding electronics, encourage enterprises to process and assemble for well-known domestic and foreign companies, giving incentives to foreign direct investment to produce, assemble electric and electronic products in the industrial zones.

I.1.3 Textiles, Garment and Leather

These are the sectors that the city has advantages of equipment, labours, and domestic market. These advantages should be given with full attention for further development.

Gradually investing in depth, enhancing the quality and output of textile products to export, making every effort to effectively exploit the capacity of 750 tons of products in variety.

Renovating yarn production technologies and equipment of the companies in Vinh, improving the quality of yarn, maintaining the capacity of 3,000 tons per year to supply yarn products for enterprises in the province and other regions.

Installing a modern sewing line for the Garment Company in Bac Vinh industrial zone to produce clothes for direct exportation or to process garment products for foreign companies, companies in Ho Chi Minh City and domestic consumption.

I.1.4 Building materials

Fully exploiting the capacity of 72,000 tons of Cau Duoc cement factory, investing in dust-filtering equipment to reduce the pollution in the city. After 2005, the city will stop producing cement, turn to other construction materials and pre-cast concrete. Carrying out researches to set up a pressure-proof brick company (producing bricks without using baking oven that can reinforce a high pressure) with its output of 20-30 million pieces a year.

Seeking for market and establishing joint ventures to produce marbles, decorative stones, striving to reach the capacity of 80,000 M2 by 2005 and higher capacity by 2010.

Preparing to set up pre-cast concrete companies, pre-structure steel companies to satisfy the needs of tall buildings and modernised urbanized areas in after 2005.

I.1.5 Forestry product and paper processing industry

Reorganizing the production of forestry product processing companies in the city, changing direction to invest in a production line of hardboards, pressed wooden plank, wooden fibres, Formica covered planks... at the capacity of 5,000-10,000 Cbms. At the same time, installing a line to produce high quality furniture for offices and households to replace importing products.

Looking for market and promote the production of handicrafts and fine arts from forest materials such as cane, bamboo... increase the output of Vinh forestry product processing company, simultaneously organizing vocational training courses and extending product processing for exportation to every household.

Encouraging the production of packaging from waste papers to meet the local demand.

I.1.6 Chemical, rubber and pharmaceutical industry

The local market of chemical and pharmaceutical products, articles made of plastic, rubber is taken over by outsiders. Such a large market should be given priority to replace importing products.

Investing in depth to renovate the production technology of tires used for bikes, motorcycles, spare parts made of natural rubber in Vinh Rubber Company. Investing in depth and raising the output of the pharmaceutical factory to 500 million tablets per year. Enhancing the quality and output of pharmaceutical products to meet 30-40% of the local needs. Establishing joint ventures producing plastic goods at the capacity of 5,000-10,000 tons per year, attracting investments in producing chemical substances, cosmetics...

I.1.7 Other areas of the Industry

Raising the capacity of the two printing companies to 3 billions pages per year. Modernizing the industry of printing of books, newspaper and other kinds of publications to meet the increasingly higher demand of the people.

Building a packaging factory with the capacity of 20 million of packages per year for supplying to local cement factories and meeting with local needs. Establishing a fodder factory with the capacity of 10,000 tons per year in the industrial zone.

I.1.8 Electricity and water supply

Enhancing the capacity of Vinh water plant to 60,000 cubic meters a day to meet the demand for clean water for production and daily life.

I.1.9 Construction Industry

Investing in depth in modernising construction technology of the construction companies in the city to satisfy the demand for the construction of grand, required high-technique buildings in the industrial zones, new urbanized areas and other public works. The housing Construction and Development Company makes every effort to build tenements and run well its real-estate business. Minimising step-by-step housing construction without permission that prevails at the moment. Develop private groups, civil construction Ltd. Companies.

I.2 Non state-owned industry

Innovating the relations between the industry and the crafts. Strongly encouraging non-state owned sectors to develop the crafts. Reorganising and renovating the activities of the collectives and private enterprises. Giving incentive to develop traditional crafts that the city has advantage, such as wood processing, garment, embroidering, carpet weaving, products made of bamboo and cane, small machines and reparation, shoes, candy and other foods... Establishing craft streets and quarters of producing and selling a unique product. Building up the relationships between state-owned and non-state owned sectors, the industry and crafts. Collectives and private enterprises serve as satellites of state-owned enterprises. Meanwhile, big commercial state-owned and non state-owned companies in export and import field have to extend its market and to offer orders for goods from collectives. Only by that way, market is expanded, thus giving an impulse to the development of the craft production.

The orientation for the development of non-state owned enterprises:

I.2.1 Farm product, food, and beverage processing industry

Encouraging the production of aerated beverages: fresh beer, fresh water, Soya milk, fruit juice, and pure water. Enhancing the capacity and improve the quality of existing factories. Building up processing and bottling factories in the service of big companies like Coke, Pepsi... Producing rice vermicelli, soft noodles, cakes, Soya curd to meet the local demand. Developing specialities, especially to improve the diversity of package to compete in domestic market and to export to other countries.

I.2.2 Textiles garment and leather

Regarding textile, garment and leather, the city has competitive advantage in market and labours. The city should promulgate special policies to further develop for satisfying the need of the city and of the province to process exporting goods. Setting forth preferential treatments to the development of companies, private enterprises, collectives, families and groups with a view to encourage garment processing, fashion, embroidery, mat weaving to meet the demand of the province.

I.2.3 The mechanics and wood processing

The mechanics and wood processing - an advantage of the city - need to be reorganized in the direction of forming groups, collective, limited companies, private enterprises, and households. Concentrating on the production of essential tools and iron for construction, mechanical process and maintenance, furniture production for the market of the province and the whole country.

I.2.4 Building materials

Giving favourable conditions to the existing enterprises to develop, to improve the quality and to diversify products. Carrying out researches to produce pressure-proof bricks for local construction.

I.2.5 Exported fine arts

This is a traditional handicraft. The handicraft cannot develop due to the lack of market. The province should extend market by commercial export and import companies. These companies look for external market and then, they offer orders and subsidies to domestic producers.

I.2.6 Paper, packaging, and other products

Developing the production of carton packages and installs a production line of tissues and toilet papers to meet the local needs.

I.3 Development orientation of the industrial zones

Nghe An has built Bac Vinh industrial zone of 143 hectares (Phase 1: 60 hectares). In phase 1, 30 hectare of infrastructure will be completed. A number of factories in Vinh City have been moved to the industrial zone, e.g. Garment Company, fodder processing Factory, Vinh Vifon instant noodle Company. Policies, preferential treatments have been worked out to attract national and foreign enterprises to invest in the industrial zone. In 2005, Bac Vinh industrial zone aims to attract 15-20 enterprises, including high-tech, mechanical, electronic and information industries...

I.4 Development of the small industrial zones of the City

The city has been planning the small industrial zones at Dong Vinh, Hung Loc, Nghi Phu Districts... At present, Dong Vinh small industrial zone is carrying out technical infrastructure construction within its fence, and is prepared to welcome enterprises. The city is running against the time to fulfil the planning of the small industrial zones in Nghi Phu and Hung Loc districts to receive enterprises in the early of 2003. Along with plans and infrastructure construction in the small industrial zones, the city authority waste no time to submit the leaders of the province to adopt favourable policies and mechanism to encourage investments.

II. Services

Developing servicing system, striving to achieve the average growth rate of 15% in the period 2001-2010 (12.5% in the old plan):

  • 16.5% in the period 2001-2005
  • 13.5% in the period 2006-2010

The proportion of the service in the economic structure will reduce from 61.7% in 2000 to 57.2% in 2005 and 54% in 2010 (52-53% according to the old plan)

The value of the service in 2010 will reach VND 4,463,580 millions (at the fixed price of 1994), increase 2 times in comparison with that of 2005 and 4.3 times in comparison with that of 2000.

II.1 Commerce

Reorganising commercial activities in the city to meet the demands for goods of the society and at the time directing consumption and subsidising production. Increase the volume of wholesale in the province’s market and the regional market. Step by step modernising commercial activities in line with economic growth and the standard of living of people.

Developing and consolidating state-owned commercial companies, ensuring their key roles in the market, particularly in the import and export market. Taking the lead in seeking for and extending market in the province as well as in the region by suitable subsidy measures, facilitating the circulation of local goods, attaching production to market and enhancing competitiveness. Extending market and increasing the volume of exporting goods, including agricultural, forestry and aquatic products, garments and regional countries and East European countries with a view to further boost local production. Actively providing assistance for agricultural and industrial production to guarantee the production stability of key exporting products. Limiting the importation of consumer goods, increasing the importation of equipment, machines, materials that cannot be produced by national companies.

Encouraging the development of non-state owned commercial sector. On the other hand, state management should be reinforced and business direction should be formed to avoid unfair competition.

II.2 Planning commercial network

Wholesale and export-import system: state-owned and non-state owned large-scale companies those specialise in certain of items, group of items with large number. These companies actively look for market and supply assistance to the provincial production. Thus, these companies should be soon established.

Retail system: enterprises of all sectors that form retail net in the city.

II.2.1 State-owned commercial network

Controlling and managing commercial activities serving provincial socio-economic tasks, concentrating on the trade of essential goods such as petroleum, electricity, coal, cement, fertiliser, foods; special goods for mountainous areas.

State-owned enterprises should be turned into powerful enterprises to govern the market of essential goods, controlling import and export activities, supplying the wholesale of essential goods and participating in the retail competition, attaching market to production.

II.2.2 Developing the system of market and commercial streets

Developing markets near residential areas, principal intersections. Rebuilding Vinh market, exploiting effectively Ga Vinh market and turning it into a big market. Investing in markets such as Ben Thuy, Quan Banh, Hung Loc...

Establishing commercial centres near streets and some commercial streets such as Quang Trung, Le Loi, Tran Phu, Phan Dinh Phung... and Quan Banh, Ben Thuy, Cua Nam, Hung Loc market.

Developing mini supermarket in the centre and near intersections.

II.2.3 Planning commercial infrastructure

Public stock system and stocks for rent.

Vinh station, Ben Thuy port’s stocks.

Stocks of Bac Vinh industrial zone.

Hung Dong stock.

Petroleum stock of Hung Hoa, Cua Lo.

Fully exploiting these stocks to serve as transits of regional and international goods.

II.3 Tourism

Developing and upgrading tourist infrastructure: developing standard hotel system along with Cua Lo hotel system to meet the need of relax, entertainment and meeting. Encouraging the development of private hotels.

Developing and building attractive entertainment centres on a large scale complying with the environmental protection: Central Park, Nui Quyet Garden, Ho Cua Nam entertainment Centre, Hung Hoa birds’ Garden. Upgrading Nguyen Tat Thanh Park and other traditional and newly styled entertainment centres.

Organising tours: combining provincial tour with national and international tours. Organising city tours: Nui Quyet Garden, Hung Hoa birds’ Garden, cultural and historical relics and other tourist sites like Cua Lo, Den Cuong, Cua Hien, Kim Lien-Nam Dan, Nguyen Du ruins, Cui temple...

Developing handicrafts and fine art production serving tourism industry. Hosting national and international meetings, conferences, seminars, festivals, and sport events to attract tourists.

III. Agriculture - Forestry - Fishing

Changing agricultural structure in the direction of goods production and services to meet the demand of the city and achieving high economic efficiency. Developing handicrafts and rural services, creating jobs, gradually reducing agricultural labour rate, and increasing non-agricultural labour rate and services, stabilising peasants’ life.

Developing technology of planting of clean vegetable and fruit. Exploiting ponds and lakes to enhance aquaculture, developing fowl and cattle raising to meet the demand for foods of the city.

Reducing paddy fields of low productivity and increasing the surface of vegetable, cash crop and bonsai. Turning miscellaneous gardens into fruit and bonsai gardens. Establishing flower and vegetable planting village to boost economic efficiency and to protect environment.

Making efforts to reach the average growth rate of 6% in the period 2001-2010 (7% in the old plan)

III.1 Agriculture

III.1.1 Planting

Vegetable: 400-600 hectares reserved for planting vegetable including 120 hectares of clean vegetable in Vinh Tan, Hung Dong, district and Dong Vinh precinct. Planting suitable vegetables in the consideration of soil, climate and season such as mustard greens, spinach, salad greens...

Fruit-trees: Turning miscellaneous gardens into fruit gardens. The main areas of fruit-trees are suburbs and a number of districts like Hung Dung, Ben Thuy, Trung Do, Dong Vinh, Ha Huy Tap.

Agricultural production: Reducing the paddy field of low productivity to produce special rice of high quality and other plants.

Flower and bonsai: developing the planting of flowers and bonsai to meet the demand of the city all the four seasons. Planning flower area at Doi Cung, Cua Nam, Ha Huy Tap, Hung Dung districts and in the suburbs, particularly establishing flower village to beautify the city landscape and for tourism.

Cash crop:

The rush: growing 150 hectare of rush in Hung Hoa, ensuring raw materials for making mats, carpets with the production of 1,000 tons by 2010.

The peanuts: 500-600 hectare of peanut in Hung Dung, Nghi Phu, Hung Loc. Increasing the production to more than 2,000 tons by 2010.

III.1.2 Breeding and raising

Developing the breeding and raising of fowls and cattle in the suburbs and in some districts. Exploiting water surface in Hung Hoa, Vinh Tan to raise ducks. Growing new breeds of high quality such as super-meat pigs, Beijing ducks. Paying attention to raise goose, wild goose. Increasing the breed of industrial chicken in households. The total number of buffalo and ox will reach 6,000 by 2010, 40,000 pigs, 100,000 fowls. Developing milky cow to meet the demand of the city.

III.2 Forestry

Protecting Hung Hoa protective forest (68 hectares), Nui Quyet Garden (50 hectares) and trees in the parks and the streets of the city.

Increasing the tree surface in the streets and parks to ensure 10M2 of verdure per person.

Continuing to plant Hung Hoa mangrove forest to guarantee the surface of over 100 hectares mangrove forest with a view to prevent floods and to create environment for birds.

Continuing to plant preventive forest in deserted flat areas in Hung Loc, Dong Vinh, Hung Dong, Cua Nam, Vinh Tan, Trung Do...

III.3 Aquaculture

Exploiting water surface to develop aquaculture. Increasing the surface reserved for aquaculture to 200-300 hectares.

Shrimps and crabs: 54 hectare for crabs in Hung Hoa.

Fish living in fresh water: planning to raise fish in sunken Hung Hoa (100 hectares), Vinh Tan (48 hectares), Cua Nam (14 hectares), Ben Thuy (28 hectares), Hung Loc (30 hectares), Hung Dong (14 hectares). Transforming the deserted land in Hung Loc into a place for raising fish and the surface soil layer is used to make bricks.

Carrying out fish raising in cages in Lam and Vinh rivers.

IV. Foreign economic activities

Expanding international economic relations. Effectively exploiting foreign assistance from FDI, ODA, and NGO projects. Giving priority to high feasible projects to maximizing the efficiency of projects concerning human resources, infrastructure construction, job creating, poverty reduction and hunger elimination.

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