Industrial Parks in Binh Phuoc are becoming potential destinations for investors, especially foreign investors. In the context of industrial land rent in large industrial capitals such as Binh Duong, Ho Chi Minh City. Ho Chi Minh City, Dong Nai, Ba Ria – Vung Tau tend to reach higher peaks and the occupancy rate is quite high at 88% in HCMC. Ho Chi Minh City, 99% in Binh Duong, 94% in Dong Nai and 74% in Ba Ria – Vung Tau (according to JLL’s 2021 Q4 market research report). Investors tend to look for neighboring lands with more competitive rental rates, such as the Industrial Park market in Binh Phuoc.
Binh Phuoc emerges as a potential destination for domestic and foreign investors especially in Industrial field. At the moments, there are currently about 14 Industrial Parks (IPs) in Binh Phuoc with a total area of more than 5,000 hectares. In which, there are industrial parks with occupancy rate over 90% such as Chon Thanh II Industrial Park, Korean Minh Hung Industrial Park, Dong Xoai I Industrial Park, Minh Hung III Industrial Park. Moreover, despite the complicated situation of the Covid-19 pandemic in 2021, attracting foreign investment (FDI) in Binh Phuoc still reached USD 691 million, an increase of 8.1 times over the same period in 2020, of which the focusing on the fields of agricultural production, processing and construction, Countries with large investment capital such as the Netherlands – Vietnam joint venture (US$250 million), China (more than US$114 million), the US (US$60 million), Thailand ($31.5 million) (According to the newspaper Youth). The reasons for Industrial development in particular and FDI attraction in general at Binh Phuoc province come from factors such as prime location, reasonable infrastructure rental costs, abundant human resources, and synchronously developed utility infrastructure and also a rich source of agricultural products suck as wood, rubber, coffee beans, chestnut, cashew,…
INVESTMENT ADVANTAGES OF OF THE INDUSTRIAL PARKS IN BINH PHUOC
1. Prime location, easy connection between Industrial Parks and The key traffic hubs for the Industrial Park in Binh Phuoc
In terms of geographical position, Binh Phuoc is adjacent to Binh Duong, Dong Nai where is currently the cradle of industrial development in the South, so Binh Phuoc inherits the advantages of the transportation, supply, logistics network and supporting services for Industrial Production in Binh Phuoc are said to be more available than ever. Moreover, the traffic infrastructure has been focused on investment, the connection between Binh Phuoc and existing traffic routes such as National Highway 13, My Phuoc Tan Van Street, … makes the transportation path become more and more convenient and better than ever. In terms of travel time, it takes about 2 hours and 30 minutes (90km) for goods and products to be transported to Ho Chi Minh City or Cat Lat port (primary port in Southern of Vietnam). In the future, Travel time will be shortened after Ho Chi Minh City – Chon Thanh Expressway has been put into use, currently, agencies and departments are speeding up the progress of implementing this project. In addition, Binh Phuoc also has Hoa Lu gateway connecting with Cambodia, creating favorable conditions for the development of inter-regional trade.
SOUTHERN KEY ECONOMIC AREA
2. Binh Phuoc industrial parks with an competitive costs
In addition to the advantages of geographical location, the currently very favorable industrial land rental price is also another factor that brings competition to industrial parks in Binh Phuoc. If investors want to reduce costs and optimize profits, investing in Binh Phuoc is a right choice, because the rental price of industrial land in Binh Phuoc is quite low compared to the industrial capital provinces in the South (about $55 – $75/m2) and together with the hard natural ground (no need to reinforce the factory foundation), it will help save about 30% of construction cost.
3. Abundant labor resources ready to meet the needs for industrial park development in Binh Phuoc
In terms of labor resources, Binh Phuoc province has a workforce of more than 600,000 people. With more than 13 vocational training centers, the province ensures to train and supply more than 5,000 new skilled workers annually to the labor market. This is also a very important factor creating the sustainable development of industrial production in Binh Phuoc. In addition, being adjacent to Binh Duong and Dong Nai also plays a very important role in mobilizing human resources for existing companies who are willing to expand to the Industrial Park in Binh Phuoc.
4. Fully developed utility and supporting infrastructure for the Industrial Park in Binh Phuoc
Along with the above three factors, Binh Phuoc province has also invested heavily for the accompanying utility network including schools, hospitals, markets, residential areas and other supporting services such as banks, restaurants, hotel… Ready to meeting the living standard for professionals and unskilled workers in the Binh Phuoc region.
Thanks to the above advantages, after many years of construction and development, Binh Phuoc is gradually becoming familiar with projects attracting foreign investment as well as industrial production projects. Existing industrial parks in Binh Phuoc include Viet Kieu Industrial Park, Minh Hung Sikico Industrial Park, Becamex Binh Phuoc Industrial Park, Tan Khai I and II Industrial Park, Minh Hung III Industrial Park, Minh Hung Korea Industrial Park, Bac Dong Phu Industrial Park, Dong Industrial Park. Mango I and II, Chon Thanh Industrial Park I and II, Nam Dong Phu Industrial Park. Information about products and services offered by Viet Kieu Industrial Park can be found here.