Vietnam - Industrial parks not necessarily good for economy

At a recent economic conference, many experts questioned the wisdom of building so many industrial parks.

The trend of building these large facilities nationwide, they said, has caused waste of both capital and land.

Dr. Tran Dinh Thien, Deputy of the Vietnamese Institute of Economics, made this opinion clear at the conference, which was held on September 23.

According to Thien, Vietnam's total economic output estimated at around USD100 billion, and should be increased.

Meanwhile, Japan's total economic output is up to USD4.5 trillion.

Dr. Tran Du Lich, member of the National Advisory Council for Financial and Monetary Policies, said, “I have travelled across many cities and provinces. I see industrial parks being built in many all over. Many of them would like to to build airports as well. But they fail to take into account whether this type of development is realistic for their economic situation."

Vo Dai Luoc, Former Director of the Institute of World Economics and Politics suggested putting a moratorium on the construction of industrial parks, noting that, especially along the border with Cambodia, there are already too many.

"These industrial parks take up land that was once used for farming. Many of them also use old technology, leading to environmental problems," Luoc said.

According to Sai Gon Giai Phong Newspaper, the Mekong Delta region has 111 industrial parks and complexes, many of them discharging untreated waste water.

Long An Province has 30 industrial parks, and only two have waste treatment facilities

The construction of Cai Con Industrial Complex in Cai Con Commune, in Soc Trang Province is a good example. Construction there has been at a standstill for five years, disappointing locals who expected that it would create jobs. Many residents gave up land for the facility's construction.

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