City's EPZ and IZ management board sets target for 2015 with focus on textile industry.
The Management Board of of Ho Chi Minh City’s Export Processing Zones and Industrial Zones (Hepza), has announced an investment target of $700 million this year, up from the 2014 target of $500 million.
The main focus will be investments in the textile industry, given forecasts of 3.5 per cent growth in the global textile market and the TPP also boosting investment.
Hepza will also promote investment and development plans for piloting multi-storey factories in the 2015-2020 period at four industrial zones (IZs): Dong Nam, Hiep Phuoc, Linh Trung, and Tan Thuan. Target investors are small and medium-sized enterprises with modern equipment and technology.
To achieve the target Hepza is completing a proposal to form supporting industrial parks at Hiep Phuoc IZ and Le Minh Xuan 3 IZ to attract foreign investment. Hepza also made a proposal to build supporting IPs for the automobile sector.
In 2014, total investment capital, both new and added, in export processing zones (EPZs) and IZs in Ho Chi Minh City was $752.39 million, 36 per cent higher than the annual plan and a 23.52 per cent increase against 2013. Total foreign investment stood at $347.5 million and domestic investment $404.89 million. According to a Hepza report, last year it issued construction licenses for 45 new projects, 65 expanded projects, and two adjusted projects.
Hepza now has 523 foreign-invested projects operating in EPZs and IZs in Ho Chi Minh City, with total investment of $5 billion.