Tuesday, May 15, 2007

Central Vietnam EZ lure investors with top incentives

New investors in central Chu Lai Open Economic Zone (EZ) will be given preferential treatment as an incentive to invest there, the Quang Nam province government announced Wednesday.

Following a newly established policy to woo investment sources, the Chu Lai EZ said it would give the highest incentives to investors as well as to apply liberal management policies that follow international rules.

Site clearance would be completely taken care of by the zone, and wast water treatment would be subsidized in an effort to facilitate startups.

For projects which employ over 1,000 laborers in select sectors, Chu Lai Open EZ’s management authority will allocate areas where the infrastructure has already been developed.

Investors are to be exempt from land-use fees during their lease period.

The local government will assist 50 percent of training cost for investors whose projects require training.

Additionally, special preferential policies on tax, finance and banking services are also on offer for projects in the zone.

Chu Lai Open EZ established in 2002 - the nation’s first such zone, has seen good response to its calls for domestic and foreign investment over the past few years of operation, according to the zone’s management board.

It has just licensed three local tourism projects worth over $100 million in zone, all of which got off the ground this year.

The first five-star resort is to be developed by Cadasa Research and Application Information and Technology Joint Venture Co, worth some $37 million.

In the second project, Mai Doan Joint Venture Company will spend $50 million to develop 50ha in the zone into a high-end resort of 220 rooms, a golf course, and a marine recreation area.

The third resort of $15 million is invested by Quoc Viet Software Joint Venture Company.

The zone is home to a total 58 projects with a total registered capital of $531 million, of them 21 projects are operational, and 21 others are under construction.

Covering 18,000ha-site, Chu Lai EZ is designed to create an open investment and business environment compatible with international practices, said provincial authorities.

In its first stage, the zone includes Ky Ha Port, Chu Lai Airport, and the Tam Hiep and North Chu Lai industrial zones and urban areas.

To attract more investment into the zone, the province has poured VND500 billion (US$31 million) into upgrading infrastructure and creating favorable conditions for investors to receive investment licenses promptly.

In addition, the province has stepped up investment promotion and marketing for the zone.

Reported by Ho Trong – Compiled by Dong Ha