Introduction:
On January 1, 1997, Hung Yen was officially re-established after 28 years of merger with Hai Duong province. At the time of reestablishment, Hung Yen had 6 administrative units at district and town level (Hung Yen town and districts of My Van, Chau Giang, An Thi, Kim Dong, Phu Tien) with 160 communes, wards and towns. The area of the province is 923.45 km2; the population is 1,051,420 people. From 1997 up to now, the Government has issued decrees to make changes on some administrative units at district and town level (separating Chau Giang district and My Van district to re-establish 5 districts: Văn Giang, Khoái Châu, Yên Mỹ, Mỹ Hào, Văn Lâm); transfer some units at commune level to ward and town level and establish Hung Yen city on the basis of the total area and population of Hung Yen town and some communes of neighboring districts (Kim Dong, Tien Lu). Up to now, Hung Yen has 1 city, 9 districts with 161 communes, wards and towns in which there are 7 wards, 9 towns and 145 communes with total area of 930.22 km; the average population in 2015 is 1,164,368 people and the population density is 1,252 people per km2.
The economy of the province at the first period of re-establishment has encountered many difficulties and challenges such as inadequate infrastructure which was degraded due to lack of investment for years, undeveloped and scattered economic units, inadequate and incompetent human resource and low living standard. However, together the active support and effective assistance of Central bodies, the Party committee and residents continue to carry out the renovation initiated by the Party and the State and province building through the implementation of the socio-economic development objectives of the Resolution of the 14th time (1997-2000), the 15th time (2001-2005), the 16th time (2006-2010), the 17th time (2011-2015) and the 18th time (2016-2020) of the Provincial Party Congress (2016-2020).
I. PRODUCTION OF AGRICULTURE, FORESTRY AND AQUACULTURE
1. Achievements
In recent years, agriculture and rural areas have been playing a very important role in the socio-economic development of the province. According to statistics in 2015, the province has 61,019 ha of agricultural land, accounting for 65.60% of the structure, including 5,081 ha of water surface for aquaculture, accounting for 5.46% of the general structure. The rural population accounted for over 86.95% of the province's population, decreasing by 5.6% since 1997, yet the above rate remains high compared with the national average (in 2015, the rural population nationwide accounts for 65.54% of the whole country’s population). Thus, Hung Yen's agriculture and rural areas play important roles in the socio-economic development of the province. Over the past years, agro-forestry and fishery production have ensured food security, supply of raw materials and abundant labor for production and business activities in the province. Although the area of arable land is decreasing year by year due to industrialization, urbanization and natural disasters, agricultural production and rural economy in Hung Yen have constantly developed based on exploitation and promotion of agro-ecology advantages as Hung Yen is located in the center of the Red River delta and the northern key economic region. These achievements are specified in following contents:
1.1. The agricultural, forestry and fishery production has been stable and the internal structure has shifted positively towards commodity production, increase of animal husbandry and aquaculture proportion and contributend positively to the overall economic growth of the province.
The province's agricultural, forestry and fishery production has been steadily growing, providing a wide range of high quality products and meeting the domestic demands, production and export. Depending on each stage, there are advantages and disadvantages. However, agricultural production always achieves good results. The outcome of the following period is higher than the previous period.
However, the pace of increase has been slowing down in recent years. Output value of agriculture, forestry and fishery at the comparative price in 2010 reached VND11,041 billion in 2015; the average increase between 2011 and 2015 was 1.89% per year. Compared with previous periods, this stage has the lowest growth rate. This is mainly due to small-scale, scattered and spontaneous agricultural production. Diseases in plants and animals are complicated. In addition, climate change is increasingly unpredictable, causing great damages to agricultural production and people's life.
VALUE OF AGRICULTURAL PRODUCTION BASED ON COMPARATIVE PRICE IN 2010
PERIOD 2010-2015
Year
|
Total
|
|
Category
|
|
Agriculture
|
Forestry
|
Aquaculture
|
|
|
Million VND
|
2010
|
10.056.249
|
9.320.743
|
13.614
|
721.892
|
2011
|
10.667.652
|
9.859.660
|
11.064
|
796.928
|
2012
|
10.884.763
|
9.975.977
|
10.624
|
898.162
|
2013
|
10.569.495
|
9.624.415
|
10.110
|
934.970
|
2014
|
10.761 486
|
9.774.173
|
9.879
|
977.434
|
2015
|
11.040.809
|
9.984.671
|
9.037
|
1.047.101
|
Average annual growth rate (%):
Apart from objective factors, there are subjective factors such as instructions of the implementation of the planning, mechanisms and policies which have been promulgated and ineffective expansion of production models with high economic efficiency. Some policies have not been synchronized, inadequate, and not receptive to adjustments in order to meet the requirements of agricultural production. Land policy is not intensive, which causes difficulties in accumulation and concentration of land and affects the development of agricultural production in large scale; Mechanisms and policies to encourage the development of production linkages between enterprises and farmers in the value chain have not really been paid attention to, which is not attractive enough for enterprises to invest in agriculture. The investment capital for development and infrastructure are not synchronous to ensure the concentrated production of goods. Traffic systems, irrigation, electricity and waste treatment systems in rice production areas, animal husbandry and aquaculture have not met the demands of modern-oriented intensive production. Research and technology transfer is still weak, not creating a breakthrough in improving productivity, quality and added value for a product. Encourage agriculture and application of technical advances which are synchronous to changes in the structure of plants and animals, have been paid attention, though, they are not effective as required. High quality human resources and trained labor force are still inadequate. The rate of rural residents who have been trained are low; vocational training programs are not close to the actual demands, and farmers have not made use of their training.
Cultivation activities: The average crop value in the period of 1997-2015 was 2.31% per year and tend to decrease considerably, of which the lowest value was of 2011-2015 when the value of crops increased only 0.34% per year on average. The causes have been analyzed as above. The structure of crops has shifted towards commodity production, from low-yielding crops to high-yielding crops. In particular, the area of cereals has been continuously reduced; in 1997 the area of cereal crops was 100,022 ha, reduced to 86,017 ha in 2015 (down 14,005 ha); Meanwhile, the number of fruit trees increased from 8,218 hectares in 1997 to 14,840 hectares in 2015. The area of banana trees has been expanded in recent years, which was 1,295 hectares and 1,834 ha in 2010 and 2015 respectively; the hectares of longan trees also increased from 1,502 ha in 2000 to 3,226 ha in 2015. The structure of seedlings is arranged properly in each region in order to increase output, quality and limit pests and diseases.
The corporation models in production and consumption of goods are suitable with conditions of each region, such as Thai Binh Seed Corporation, Nhat Tan cooperative of Tien Lu district and Hung Dao Cooperative work together in rice production. Other effective links are between Dai Thanh JSC. and Thuan Hung Cooperative in Khoai Chau district; Tuong Lan Company and farmers in Kim Dong district; Hai Phong Hi-Tech Joint Stock Company and Lien Phuong Cooperative in Hung Yen city. Ngoc Ha Co., Ltd, Thanh Yen Co. Ltd, Hau Ha company and farmers in Tien Lu district corporate in growing, consumption and export of cucumber. The link models show initial achievements and benefits and generate income for farmers.
Animal husbandry: Over the past 20 years, animal husbandry activity in the province has grown steadily. The number of livestock has constantly increased. The production structure has changed, from small to medium-scale production to centralized production and farm raising. The production value of animal husbandry at the average comparative price in 1997 increased by 6.80% per year since 1997. The leanization rate is 80%, sind crossbred cattle rate reached 100%. The reason is breeding structure changing rapidly and positively in the direction of higher output, quality and efficiency. The model of animal husbandry in the concentrated medium-scale and large-scale farms become popular. Up to now, the province has 866 farms operating with biosecurity, contributing to the development of goods-oriented high quality and efficiency.
Up to now, Hung Yen has basically formed some concentrated goods-oriented production areas. The number of agro-products is increasing in quantity, quality and value, meeting the demands of consumption and export. Local farmers not only convert low-income farming areas into other models for higher economic efficiency, but they also have actively transformed their crop varieties in order to increase output, product values and average income per unit of land such as: the longan areas in Khoai Chau, Tien Lu, and Hung Yen city, flowers and bonsai in Van Giang and Khoai Chau, safe vegetable areas in Yen My, Van Lam.
- Stable food production and food security is assured as the area of agricultural land gradually reduced
Food production has always been identified as a key task in agricultural production of the province. Although the production area has been shrunken, thanks to application of advanced science and technology and effective prevention of pests, food production is stabilized in the past few years. Food security has been firmly ensured amid the agricultural land fund is gradually reduced.
Rice is the staple crop of the province. In 1997, the whole province had 100.02 thousand hectares of grain crops, in which the area of rice is 89.36 thousand ha, accounting for 89.34%. By 2015, the area of food crops has been 86.02 thousand hectares, in which rice accounts for 77.48 thousand hectare, equivalent to 90.07%. Average annual decrease is 0.93%, of which 2.09% per year in the period 1997-2000, 1.57% per year in the period 2001-2005, 0.15% per year in the period 2006-2010; and 1.11% between 2011 and 2015.
.
THE AREA OF GRAINS DURING THE PERIOD 1997-2015
Unit: ha
Year
|
Total
|
Trong đó
|
|
Category
|
|
Rice
|
Winter-spring crops
|
Winter rice
|
Corn
|
1997
|
100.022
|
89.360
|
42.480
|
46.880
|
10.662
|
2001
|
93.792
|
89.295
|
43.285
|
46.010
|
4.497
|
2006
|
88.823
|
81.477
|
40.054
|
41.423
|
7.346
|
2011
|
90.620
|
81.951
|
40.621
|
41.330
|
8.669
|
2012
|
89.602
|
81.782
|
40.668
|
41.114
|
7.820
|
2013
|
89.140
|
80.761
|
40.416
|
40.345
|
8.379
|
2014
|
87.328
|
78.962
|
39.533
|
39.429
|
8.365
|
2015
|
86.017
|
77.477
|
38.723
|
38.754
|
8.540
|
|
|
|
|
|
|
|
The area is decreasing but the yield of food crops is stable and higher over the years. In particular, the productivity of rice reached 50.75 quintals, 62.02 quintals per hectare in 1997 and 2015 respectively. Average annual increase of 0.60 quintals per hectare. Corn yield also increases significantly, namely 24.93 quintals per ha in 1997 and 57.48 quintals per ha in 2015 (doubled the yield in 1997). Due to the increase in rice and corn productivity, food production has remained relatively stable, but guaranteed food security. Grain output reached 480.03 in 1997, thousand tons and 529.60 thousand tons in 2015, of which rice output was 453.46 tons and 480.51 thousand tons respectively.
1.3. Fruit tree sector grow fast with high economic efficiency and contribute positively to changes in the structure of crops. Many famous brand names of Hung Yen agriculture products has been developed.
Fruit tree sector constantly grows in terms of area and types of products. The productivity and output increase, especially citrus and banana which have become renowned in many localities. Longan and lychee continue to be favored. By 2015, the area of fruit trees has been about 8,717 ha, up 2,012 ha compared to 1997. The average annual increase is 1.47% (equivalent to 168 hectares).
FRUIT TREE AREA IN THE PERIOD 1997 - 2015
Unit: Ha
Year
|
Total
|
In which
|
Citrus
|
Banana
|
Longan, lychee
|
Apple
|
1997
|
6.705
|
620
|
3.590
|
1.367
|
750
|
2001
|
6.553
|
620
|
2.935
|
1.615
|
645
|
2006
|
8.005
|
1.941
|
940
|
3.280
|
660
|
2010
|
8.329
|
2.063
|
1.295
|
3.108
|
426
|
2011
|
8.327
|
1.949
|
1.407
|
3.133
|
423
|
2012
|
8.328
|
1.960
|
1.430
|
3.135
|
415
|
2013
|
8.357
|
1.961
|
1.454
|
3.242
|
412
|
2014
|
8.510
|
1.810
|
1.622
|
3.615
|
210
|
2015
|
8.717
|
1.596
|
1.834
|
3.675
|
206
|
Fruit trees area (orange, mandarin, pomelo) is expanded over the years, from only 620 ha in 1997 to 2,063 ha in 2010 which increased more than 3 times. However, the area of oranges, tangerines and pomelo tend to shrink in recent years. In 2015, the area of orange, tangerine, pomelo is reduced to 1,596 hectares. The main reasons are inappropriate land areas and price pressure as other localities in the region are also developing these fruit trees with lower production costs.
Also, the output of orange, tangerine and pomelo is also higher which was 2,415 tons in 1997 and 28,459 tons in 2015; up 13.86% annually. Orange, tangerine and pomelo are grown mainly in the northern districts such as Van Giang district with 417 ha, Khoai Chau district with 364 ha, Yen My district with 237 ha. Some famous fruit breeds are Vinh orange, Duong Canh orange, Dien pomelo which are also served as bonsai on Lunar Tet holiday.
Longan has long been known as a famous product of Hung Yen province. Also, it has become a unique "brand", featuring the identity of the land and Hung Yen people. Longan not only helps people eliminate hunger and reduce poverty, but also affirms its name in the list of famous specialties of Vietnam. At present, many localities in the province have been changing the structure of crops as the substitute of rice and preparing land to plant longan garden which yield high output. As a result, the area of longan and lychee have been expanded rapidly, especially in the period of 2001-2005, due to the application of encouraging policies in crop structure alteration. The area of longan and lychee was 1,367 ha in 1997 and 3,675 ha in 2015; up 5.65%; annually. The period of 2001 and 2015 saw the highest growth rate of 16.74% per year. The expansion of longan land area has slowed down in recent years. Longan and lychee are mostly planted in Hung Yen city with an area of 811 ha, in Khoai Chau district with 856 ha; Tien Le district with 351 ha and An Thi district with 367 ha. The yield of longan and lychee reached 13,985 tons in 1997 and 38,468 tons in 2015, up 5.78% annually.
The output has increased in proportion with the expansion in the area. The average growth rate of the period 2001-2005 was 16.15% per year. However, the yield of longan and lychee is not even through the years due to seasonal effects and weather factors.
1.4. Livestock breeding, poultry and aquaculture development is stable; disease is under control; many concentrated models of breeding show economic efficiency.
Along with a strong shift of cultivation, breeding sector of the province has developed remarkably in terms of quality, quantity, scale and form of breeding. The most noticeable programs are "leanization" program, "sind crossbred cattle" program, lean poultry raising, specialties. Also, the annual rate of disease prevention vaccination is 80% which is among the provinces with highest injection rate. The disease prevention and inspection are paid special attention and well performed.
NUMBER OF ANIMALS AND POULTRY ON THE PERIOD 1997 – 2015
Year
|
Buffalo
|
Cow
|
Pig
|
Poultry (in thousands)
|
1997
|
8.929
|
37.087
|
335.116
|
5.280
|
2001
|
5.513
|
29.781
|
432.860
|
5.790
|
2006
|
2.310
|
51.333
|
594.977
|
5.155
|
2010
|
2.377
|
43.776
|
630.125
|
7.647
|
2011
|
2.324
|
43.405
|
644.584
|
8.001
|
2012
|
2.394
|
44.056
|
660.285
|
8.359
|
2013
|
2.730
|
37.930
|
619.271
|
8.442
|
2014
|
2.781
|
37.956
|
589.191
|
8.559
|
2015
|
2.733
|
37.967
|
594.426
|
8.714
|
In the socio-economic development strategy of the province, pig raising was identified as the keysector. The proportion of pig products is over 79% of the total volume of the industry. In recent years, people's life has been constantly improved; the demand of pork has increased in both quantity and quality; food hygiene and safety is focused. The pig industry is entering a new phase. The quality of pig leanization and hygiene and food safety are guaranteed. Traditional pig raising methods in household farms, namely making use of by-products in cultivation and living and taking advantage of idle labors in the family, are gradually reduced. Instead, the economic model of pig farms, concentrated breeding, industrial-oriented production are developed. Thus, the economic efficiency, specialization and commodity-oriented production and competitiveness are improved.
Given that there are difficulties caused by the epidemic, pig production has developed strongly in the past years in the direction of commodity production, farm raising in large numbers, and pig leanization. The number of pigs are 335,116 in 1997 and 594,426 pigs in 2015. The average annual increase is 3.24%. The total output of pork has increased from 25,848 tones in 1997 to 104,783 tones in 2015; the average annual increase is 8.09%. In the period of 2001-2005, the highest increase was 14.78% per annum.
In addition, poultry breeding also plays an important role in the the sector. Every year, it produces a large output of meat and eggs to the market. In recent years, large-scale rasing has been concentrated in the semi-industrial form and industrial breeding has been gradually replacing the traditional small-scale method in households. Particularly, from December 2003 to now, the outbreak of influenza has caused great losses on the poultry industry, leaving severe consequences economically and socially. However, thanks to the direction and timely solution of the province, and efforts of localities and farmers, the sector is still well developed. The total number of poultry in the province has still maintained the increase rate per year. There were 5,280 thousand poultry in 1997, and 8,714 thousand in 2015 with an average annual increase of 2.82%. The output of poultry is 8,450 tons in 1997 and 24,301 tons in 2015 with the average annual increase of 6.04% per year.
As for aquaculture, this is not the major sector of the province, but in recent years localities has paid much attention in the development of aquaculture. Water surface of ponds, lakes and lagoons are exploited for aquaculture. New fish species are put into production. As of 2003, the policy of regrouping of lands and combining fish ponds with cultivation and breeding has led to the improvement in aquaculture. Advanced extensive farming, semi-intensive farming and intensive farming have been conducted by many farmers. They also make use of surface water layers to select fish species and arrange appropriate breeding time to minimize disease outbreaks. Therefore, many kinds of aqua products which generate high yield with high quality and high economic value have been introduced into aquaculture such as: major cap, tilapia, trionychid turtle, pampus argenteus and carp. The breeding skill is improved; the percentage of intensive farming area increases sharply.
AREA AND OUTPUT OF AQUA PRODUCTS IN THE PERIOD 1997-2015
Year
|
Area (Ha)
|
Output (Tấn)
|
Sector
|
Exploit (Ton)
|
Breeding (Ton)
|
1997
|
1.974
|
5.746
|
2.643
|
3.103
|
2001
|
3.577
|
7.784
|
1.501
|
6.283
|
2006
|
4.352
|
14.905
|
1.151
|
13.754
|
2010
|
4.421
|
24.371
|
885
|
23.486
|
2011
|
4.384
|
26.164
|
804
|
25.360
|
2012
|
4.392
|
29.072
|
774
|
28.298
|
2013
|
4.385
|
30.417
|
764
|
29.653
|
2014
|
4.352
|
31.704
|
776
|
30.928
|
2015
|
5.537
|
34.523
|
737
|
33.786
|
By 2015, the area of aquaculture has been 5.537 ha which was 1974 ha in 1997. The average annual increase is 5.90%, equivalent to an increase of 197ha each year. However, the output of aqua products has increased over the years, mainly due to intensive farming which contributed to the increase of aquaculture production per year, 3,103 tons in 2017, 33,786 tons in 2015. The average annual increase is 14.18%, equivalent to 1,600 tons per year.
1.5. Winter crop cultivation has been maintained in the direction of commodity production and has become the main crop of the year which increases the income and living standards
In the early years of re-establishment, although the production of winter crops in the province was paid attention, it was mostly spontaneous and not the main crop of the year. Thus, the planted area is large but the output of winter crops is not high, which are mainly vegetables to meet the self-sufficiency.
In recent years, thanks to the investment of the province, the irrigation system for agricultural production has been improved. Farmers are assisted with new technology, intensive farming, and new varieties with high yield and high quality; thus, the output of winter crops has increased sharply. Regarding the winter crop, there are specialized areas for cultivation of vegetables, such as corn cultivation area in Van Nhue, Ha Le, Hong Van (An Thi), the sweet corn production in Yen Phu Commune (Yen My), soybean areas in Thanh Long (Yen My), Minh Phuong commune (Tien Lu), Tam Da, Nguyen Hoa (Phu Cu); the winter melon area in Ho Tung Mau commune (An Thi), Minh Tan commune, Phan Sao Nam commune (Phu Cu), cucumber area in Phu Thinh, Toan Thang and Vu Xa commune (Kim Dong). These are localities where vegetables are grown in concentrated large areas with well-consumed products. These areas also supply materials for processing and export industries.
In the specializing areas, farmers are very attached to the fields due to favorable production, effective irrigation system, good supply of materials, seeds, and fertilizer. Vegetables are grown in the concentrated areas, so they are less pestilent and damaged by mice. Pest control is also more focused. Green vegetables grown in concentrated areas generate higher yield and are easily consumed.
It can be said that farmers in the specialized areas access to the mode of agricultural commodity production, technical advances and machinery in order to increase the productivity, economic efficiency. Winter crop has become the main crop of the year.
The area of winter crops in 2011 was 14,534 hectares, up 7.39% compared to 1997, accounting for 19% of total production value of cultivation and 4.6 times higher than that of 1997. In recent years, the winter-spring crop area tends to decrease and often cannot reach the target. In 2015, the winter-spring crop area is 12,828 ha, up 5.2% compared to 1997. The main reason for the decrease in winter crop area is low yield compared to other agriculture and forestry. The price of inputs such as seeds, fertilizers, pesticides is rising, while the selling price of agricultural products is erratic. Lack of human resources for production, especially at the peak time of the crop is another difficulty.
1.6. New Rural Development Program (as of 31/12/2015)
The national target program on building a new countryside is a comprehensive rural development program and a guiding framework for the necessary content to build communes that reach new countryside standards. The program is implemented in the communes of the whole province in order to build a comprehensive rural area with many contents related to economic, cultural, environmental and social sector, as well as political systems and social security in rural areas. The Resolution of the 10th National Party Congress affirmed: "To build a new countryside with social justice, democracy, civilization, fair economic mechanism, appropriate production relations, modern socio-economic infrastructure".
The movement of building a new countryside has reached the consensus among people in the province. The program has mobilized a huge contribution from residents in building rural infrastructure in recent years. from the people in the construction of rural infrastructure in the past year. People not only contribute labor force and money but also 590,000 m2 of residential land, nearly 200 hectares of agricultural land to build welfare facilities. By December 31, 2015, 100% of the communes have made and got approval of the new countryside construction planning scheme.
Over the past five years, the province has invested over VND 700 billion in implementing many programs, schemes and projects to support agricultural production. In addition, districts and cities have spent tens of billion VND to implement encouraging agriculture models, new technology transfer, seed, material and fertilizer support in order to earn income and improve the living conditions of rural residents. Vocational training and transfer of science and technology are promoted. The province has trained and transferred technology to over 180,000 people, and over 12 thousand rural people, making great contribution to the change of economic and labor structure. Production models and cooperation production models such as the link of “4 sectors” are developed and played an important role in the success of the transition from agricultural commodity production to specialized production areas and intensive farming. The rice seed production plan has been well organized and provided nearly 70% of high quality varieties for agricultural production, helping local farmers shift to high quality rice with larger areas. The program of economic garden development, lowland field improvement supported by the government of all levels, unions and scientists are helping farmers convert crops into fruit tree areas up to nearly 10,000 hectares. Some significant examples are orange, pomelo, banana areas in Khoai Chau and Van Giang districts, longan areas in Hung Yen City, Tien Lu, Kim Dong. The program of leanization and crossbreeding program for cattle has improved the quality of herds and changed the way of breeding in the direction of medium and large scale advanced farming models. Regrouping of agricultural land and redundant land handling have been carried out in nearly 120 communes in the province.
One of the most prominent achievements in building a new countryside in recent years is rural infrastructure upgrade. Regarding the rural road system, the province has mobilized around VND 1,400 billion from various sources to renovate, upgrade over 863 kms of roads. 100% of district roads were totally concreted. By 2015, there are 93 out of 145 communes reaching the new countryside standards. The irrigation works have been paid more attention to ensure production and people’s standards; over 450 km of canals has been concreted; 77 out of 45 communes have reached basic irrigation standards. The rural electricity system has also been upgraded. The electricity sector has invested about VND 640 billion to build 420 kms of medium voltage lines, 1,228 km of low voltage lines, and replace nearly 130 thousand electricity meters. The province has invested about VND 320 billion to renovate 1,102 kms of low voltage lines and replace 104,069 meters. There are 145 out of 145 communes reaching the electricity standards.
Results of the implementation of the national countryside standards are as following: The province reached 14.7 standards per commune, increasing 8.1 standards per commune compared with 2011.There are 35 communes 19 standards, 29 communes reaching 15 to 18 standards, 78 communes reaching 10 to 14 standards reaching, 03 communes reaching 9 standards and no communes reaching under 9 standards.
The districts reaching high number of standards on average are My Hao with 16.3 standards per commune, Van Giang with 16.0 standards per commune, Van Lam with 15.8 standards per commune. Some districts reaching less number of standards are Phu Cu district reaching 13.5 standards per commune, Kim Dong district reaching 12.7 standards per commune.
Some standards are reached most. 145 out of 145 communes reach the standard no. 01 on planning, 145 out of 145 communes reach the standard no.04 on electricity, 144 out of 145 communes reach the standard no. 08 on post office, 143 out of 145 communes reach the standard no.19 on security. Some standards are reached less. 51 out of 145 communes reach standard no.05 on school, 63 out of 145 communes standard no. 11 on poor households, 144 out of 145 communes, 83/145 communes reach the standards standard no. 15 on health; 86/145 communes reach standard No. 17 on the Environment.
In addition to the achievements, there are some shortcomings in the process of building new rural areas, that need to be overcome in the coming time. Implementation of the program in some places has not paid much attention. The awareness of a number of party members and people is not sufficient. The leadership and direction in some communes are not yet extensive and the investment resources is still limited; Some departments have not actively proposed solutions in order to remove difficulties and speed up the implementation of the program. The coordination among departments and localities is not tight. The integration of programs, projects in the area is limited. The quality of planning and new rural development projects in many communes is low. The results of the implementation of the new countryside are not similar among localities, the standard quality in some localities is not persuasive. The judgment of the situation of a new countryside is not intensive. Also, the handling of lowland in some areas is not effective. Restructuring of land and fields is still slow. Changes in health, culture, education and vocational training in rural areas have not kept up with the socio-economic development and construction of new rural areas. Rural environment is another problem in many localities. Meanwhile, the information and reporting of some agencies and units are incomplete and inaccurate. The quality of reports in some departments is not satisfactory; the data is incomplete or inaccurate; thus, the report synthesis and guidance have encountered many difficulties. The staff working in new countryside construction in many localities have not competent enough.
- The shortcomings
Agricultural production scale is small and scattered with low quality of agricultural products while production efficiency is not high. Regrouping of plants and animal breeds as well as mechanization rate in cultivation, harvesting, processing and preservation is slow. Encouraging agriculture, land accumulation and introduction of science and technical advances as well as new equipment into production is still limited and not up to industrialization and modernization, cooperative models, models of large fields and production link between farmers and enterprises have not been close, especially the link of "4 sectors". The investment in agriculture is limited. The branding and trade promotion of agricultural product consumption market has not been paid enough attention. Consumption is mainly raw and unprocessed products, so the value and competitiveness of agricultural products and commodities are still low. Food safety and hygiene in the process of production has many shortcomings.
Planning and management of new countryside construction is not intensive. The socio-economic infrastructure in rural areas has not been synchronous enough to meet the requirements of sustainable development, especially the concretement of traffic and irrigation systems after land regrouping. Rural environmental pollution is increasingly complex, especially in craft villages and large-scale livestock households in residential areas. Management of land, dykes and irrigation works in many places are not careful, causing encroachment, violation of irrigation works, and misuse of agricultural land.
II. INDUSTRIAL PRODUCTION
1. Achievements
- Industrial production scale has increased sharply, especially in the foreign invested sector
As the country is undergoing renewal process, the province has been re-established after 29 years of integration with Hai Duong province in the stage of slow economy development and small –scale industrial production due to lack of investment. In 1997, there were only 13 state-owned enterprises, 19 handicraft cooperatives, 9 private enterprises, 8 limited companies and 13,706 individual industry establishments. Industries and craft villages are less developed. Industrial consumption and production yields are low and limited, The province has issued a number of mechanisms and policies to encourage investment in industry, and craft villages. This is a very specific and practical assistance for the industries as well as the handicraft sector, creating a new face for Hung Yen countryside in the period of industrialization and modernization.
LABOR AND INDUSTRIAL MANUFACTURERS IN THE PERIOD 1997-2015
|
Total
|
Division
|
|
|
Public sector
|
Private sector
|
Foreign invested sector
|
|
1. Industrial establishments
|
|
|
|
|
1997
|
13.758
|
13
|
13.742
|
3
|
2001
|
15.177
|
15
|
15.159
|
3
|
2006
|
17.830
|
5
|
17.781
|
44
|
2010
|
18.818
|
4
|
18.711
|
103
|
2011
|
18.238
|
4
|
18.102
|
132
|
2012
|
20.073
|
4
|
19.925
|
144
|
2013
|
19.686
|
4
|
19.515
|
167
|
2014
|
19.347
|
4
|
19.171
|
172
|
2015
|
18.550
|
4
|
18.353
|
193
|
2. Labors in industries (people)
|
|
|
|
1997
|
35.157
|
5.533
|
28.927
|
697
|
2001
|
45.678
|
7.370
|
37.042
|
1.266
|
2006
|
101.116
|
1.315
|
83.268
|
16.533
|
2010
|
131.226
|
1.353
|
102.587
|
27.286
|
2011
|
136.973
|
1.448
|
98.566
|
36.959
|
2012
|
142.917
|
1.483
|
98.248
|
43.186
|
2013
|
159.449
|
2.080
|
109.884
|
47.485
|
2014
|
169.795
|
2.361
|
112.206
|
55.228
|
2015
|
174.649
|
2.594
|
112.916
|
59.139
|
|
|
|
|
|
|
|
|
|
Period 1997-2005: Implementing the Resolution of the 14th Provincial Party Congress and the Resolution of the Provincial Party Committee on industrial development until 2000, attached with open mechanisms and policies to attract and encourage investment of domestic and foreign investors with the aim at expanding the investment in depth step by step, While encouraging the development of craft villages and industrial villages, Hung Yen has gradually adapted to the new mechanisms, and continued the stabilization and development. Industry in the area in the period 1997-2000 has high growth rate with an average of 60.35% per year. Meanwhile, public sector has increased 9.40% per year, private sector has increased 23. 89% per year and foreign invested industry has increased 185.78% per year.
INDUSTRIAL PRODUCTION VALUE IN COMPARATIVE BASE PRICE OF 2010, PERIOD 2010-2015
Million VND
|
Total
|
Division
|
|
|
Public sector
|
Private sector
|
Foreign invested sector
|
2010
|
52.455.286
|
3.089.210
|
37.447.626
|
11.918.450
|
2011
|
60.947.616
|
3.301.918
|
41.785.656
|
15.860.042
|
2012
|
67.068.439
|
3.397.348
|
44.621.280
|
19.049.811
|
2013
|
71.999.327
|
3.625.720
|
45.446.687
|
22.926.920
|
2014
|
78.007.949
|
4.005.894
|
49.205.812
|
24.796.243
|
2015
|
84.865.232
|
1.433.654
|
56.257.511
|
27.174.067
|
In order to create favorable conditions for investors, the province has introduced incentive policies and mechanisms, the province has made the planning for three industrial parks namely Nhu Quynh Industrial Park (100 ha), Pho Noi A Industrial Park (222.8 ha), The Pho Noi Textile and Garment Industrial Zone, which are located in some favorable locations on National Highway 5 and National Road 39A in order to attract investment capital from domestic and foreign investors. This is the important factor that make a leap in Hung Yen industry in the period 1997-2000 and towards.
Hung Yen province keeps the results achieved in the 1997-2000 period, and implementing the Resolution of the 15th Provincial Party Congress, Resolution No. 08 of the Hung Yen Party Committee on the development of industry and handicrafts in the 2001 period. In this period, Hung Yen industry continued to achieve encouraging results, the average growth rate of the period 2001-2005 reached 26.72% per year, up 3.27 times compared to 2000. Hung Yen ranked 19th out of 61 provinces in terms of industrial production value.
The proportion of industrial production value has also changed positively along with the rise of non-state industrial sector. In 2000, non-state industry accounted for 22.36%, which increased to 53.59% in 2005. The industry sector of foreign investment is still growing but the proportion has decreased gradually from 70.72% in 2000 to 34.73% in 2005.
In 2000, the whole province had over 14,133 industrial and small-scale production establishments, including 17 state-owned enterprises, 3 foreign-invested enterprises, 03 non-state industrial enterprises, 24 cooperatives and 14,059 individual industrial establishments which create jobs for 41,544 people. The restoration and development of traditional handicraft villages and new craft villages are paid attention. A number of handicraft villages and industries have come back and developed, such as embroidery, silver engraving, fine arts, ceramics, rattan and bamboo weaving. In 2005, there were 16,648 industrial and handicraft clusters in the province, of which 8 were state-owned enterprises, 22 were cooperatives and 196 were non-state enterprises, 33 were foreign-invested enterprises and 16,382 were individual industrial establishments, which attracts 90,672 laborers.
Hung Yen industrial products have affirmed their reputation in the domestic and foreign market. Many enterprises have applied ISO 9000 quality management system to affirm the quality assurance and competitiveness of products. In this period, Hung Yen has five industrial parks with an area of 1,200 hectares, of which two are approved by the Government, and 12 handicraft and craft village clusters are under construction in order to promote the development of traditional crafts and encourage the development of new craft villages. By the end of 2005, the province approved the investment and granted investment certificates to 236 projects (including 36 foreign invested ones) with a total investment capital of more than USD 700 million. There are over 90 projects putting into production, creating regular jobs for over 21,000 employees. These are additional resources which are necessary for Hung Yen’s industry to continue its sustainable development in the coming time.
The period 2006-2010: The rapid development of industrial production facilities has contributed positively to the employment of workers. In 2006, the province had 17,830 industrial production establishments, creating jobs for 101,116 laborers. By 2010, the number of industrial establishments was 18,818, including 4 state-owned enterprises, 15 cooperatives, 496 private enterprises, 18,200 individual establishments and 103 FDI enterprises, creating 131,266 jobs. At this stage, Hung Yen industry develops in width and depth, and maintains the development of industries which have gone into production. Before 2005, Hung Yen industry step by step added new products with high quality, affirmed its reputation in the domestic market and exported to the foreign market some products such as office furniture (tables, chairs, iron cabinets, safes), motorcycles and motorcycle parts, refrigeration products ( air-conditioner, refrigerator), high quality plastic door. Many enterprises have applied ISO 9000 quality management system. Hung Yen industry is more diversified in types, quality and competitiveness. Average industrial production value in the period 2006-2010 increased by 15.83% per year. The fastest growth was recorded in high technology industries such as machinery, electrical and electronic devices, and vehicles. Coming up next are the industries with medium technology content such as metal production, metal by-products, chemicals, rubber, plastics, non-metal products. Low-tech industries such as textiles, leather and footwear, bamboo products, desks, chairs, and recycled furniture are still stable and have a lower growth rate. the above branches. This is a positive trend, consistent with the reality of Hung Yen and the country, which expands high technology industries, creates more quality products to meet consumer demand and export such as cars, motorbikes, electronic goods, luxury consumer goods (televisions, refrigerators, washing machines, air conditioners). At the same time, the province continues maintaining the stability of some low-tech industries, which is labor-intensive and use on-the-spot raw materials such as textiles, footwear, food processing and recycling.
Period 2011-2015: This is the period of accelerating the economic restructuring towards industrialization and modernization with the aim at fostering the industry development in the direction of modernization, adaptating and integrating into the international economy, prioritizing large hi-tech projects with strong competitiveness and environmentally friendly feature and contributing a large amount to the budget. In this period, industrial production in the province was develop in depth, with decreasing number of industrial establishments, mainly from the individual sector. Private and foreign investment continued to grow, but not as much as the previous periods. This is a difficult stage of industrial development. This is due to the recession of the domestic economy and a downturn in the world’s investment. Investment promotion activities, administrative reform, especially administrative procedures related to investment, production and business are considered to create favorable conditions in the investment environment for domestic and foreign investors. In this period, 530 enterprises on average are established per year, with 5,956 registered enterprises, of which 356 are foreign-owned projects with a total capital of over USD 3 billion. In this period, the value of industrial production at the comparative prices in 2010 increased only 10.10% per year. It can be said that this was the period when the industry grew the least since the re-establishment of the province. Some main industrial products have been maintained and increased sharply, such as processing of cattle and poultry feed, clothes; plastic products of all kinds, rolled steel. Some new products are glass disks for computer hard disk; anode material for lithium-ion battery; washing machine; aluminum frame for LCD TV, ...
1.2. Many industrial parks have been built on a centralized scale and play an important role in the socio-economic development of the province
Up to now, there are 13 industrial parks with a total area of 3,535 ha, which have been approved by the Prime Minister in the master plan for the development of industrial zones in the whole country. Of which, there are 10 industrial zones with a total area of 2,381 ha, which have been approved for detailed construction planning. The remaining 3 IPs are under review and proposed to be excluded from the planning because these IPs have not been approved for detailed planning and based on the capacity as well as willingness of investors to suspend implementation.
By the end of December 2015, the total number of investment projects in the IPs was 268 (148 foreign and 120 domestic ones), with a total registered capital of USD 2.381 billion and VND 11,998 billion. Investment projects in IPs have been implemented rapidly. Now 226 projects have been put into operation, accounting for over 84.3% of registered projects invested in the IPs. Total investment capital of operating projects is nearly US $ 2,007 million and over VND 9,598 billion.
Pho Noi A Industrial Park is the biggest multi-branch industrial park established by Decision No. 106/QD-UB dated January 15, 2004 of Hung Yen People's Committee. On May 20, 2009, the Prime Minister issued correspondence no. 759/TTg-KTN approving the extension of Pho Noi A IP with an additional area of 204 hectares. Thus, with the expansion of the area, Pho Noi A Industrial Park is approved to increase its size to 594 hectares. The industrial land area for lease is about 400 hectares. Fields attracting investment projects most are manufacturing and assembling of electricity, electronics, mechanics, cars, motorbikes, steel manufacturing and steel products, agricultural products and food processing. At present, Pho Noi A Industrial Park has received 153 investment projects, including 87 domestic invested projects (total registered capital of 10,083 billion VND) and 66 foreign invested projects ( total registered capital of US $ 758 million. The area of industrial land for lease is 260 ha.
Situation of investment project attraction: Pho Noi A Industrial Park has received more than 110 domestic and foreign projects, with an area of 260 hectares. In particular, there are many projects of investors from Japan, Korea and the US such as Canon, Inax, Hyundai, Cargill. Scope of activities: manufacturing, assembling of electricity, mechanical traffic, processing of agricultural products, foodstuffs, animal feed; steel and steel byproducts, consumer goods.
So far, the investor of the industrial park has completed the construction of the infrastructure. The company has put into operation a clean water supply plant with the capacity of 6000m3 per day and night, the system of roads, surface water and waste water drainage, lighting system, wastewater treatment plant with the capacity of 3000 m3 per day and night. (However, the capacity of the factory is too small to meet the waste water volume of the enterprises in the industrial park).
Situation of implementation of Pho Noi B textile and garment industrial park -: With total planning area of 120.8 ha, of which, phase 1 is 25.17 ha; Phase 2 is 95.63 ha. As of December 2015, Pho Noi Textile and Garment Industrial Park has received 21 investment projects, including 09 domestic invested projects (total registered capital of VND 943 billion) and 12 foreign invested projects (total registered capital of US $ 96.6 million). The area of industrial land for lease is 40 ha. Phase II of Pho Noi B Textile and Garment Industrial Park has an area of 95.63 ha. The investor has completed compensation and ground clearance works and is currently constructing technical infrastructure.
Situation of implementation of Thang Long IT Park. Invested by Thang Long Industrial Park II Corporation. Up to now, Thang Long II Industrial Park has completed the synchronous infrastructure, put into operation the water supply plant of 18,000 m3 per day. The wastewater treatment plant is 15,000 m3 per day. By the end of 2010, there were 14 investment projects with 38 hectares of industrial land for lease, of which five were under operation (all were foreign-invested projects). As of December 2015, Thang Long II Industrial Park has attracted 67 foreign investment projects with total investment capital of USD 1,634 million and land area of 174 hectares.
There are 170 projects which have been put into operation (equivalent to 68% of total investment projects in IPs). The total investment capital of the projects that have been put into operation so far is estimated to reach USD 2,270 million (equivalent to 76% of the total registered capital). Jobs have been created for bout 38,125 laborers with the average income of about VND 7 million per person per month. The turnover in 2015 is about USD 2,161 million
Situation of implementation of Minh Duc Industrial Park: The area is 198 ha, the land area available for lease is about 138 ha, invested by VNT infrastructure development investment joint stock Company. Up to now, 28 projects have been invested in the IPs, of which 23 are domestic ones with registered capital of VND 1,211 billion and five foreign invested projects with registered capital of VND 8.4 million. The total area of industrial land for lease is 40 ha.
In the industrial zones, 170 projects have been put into operation (equivalent to 68% of total investment projects in IPs). The total investment capital of the projects that have been put into operation so far is estimated to reach US $ 2,270 million (equivalent to 76% of the total registered capital). The projects put into production and business have created jobs for about 38,125 laborers with an average income of about VND 7 million per person per month; Turnover in 2015 is about $ 2,161 million.
A number of projects are being implemented in industrial parks in Hung Yen province with large scale, applying advanced technology lines. Products are highly competitive and environmentally friendly such as: document scanners, parts and components; laser printer, laser scanner, production and assembly of camera parts, components, optical components, super small motors of Canon Vietnam Co., Ltd. with total registered capital of USD 129 million;
The project of manufacturing, assembling and processing of computers, internet devices and products, telecommunication, information, spare parts and components of such products as magnetic discs, computer hard disks and glassware. Hoya Glass Disk Vietnam II hard disk drive, with registered capital of USD 200 million, project for producing composite materials for commercial aircraft of Nikkiso Vietnam Inc.
Industrial Parks play an important role in the socio-economic development of the province:
In 2010, the total number of enterprises investing in industrial zones was 75. In the following years, the number of enterprises setting business in industrial parks has continuously increased. The number of enterprises in the industrial parks is 95 enterprises in 2011, 105 enterprises in 2012, 131 enterprises in 2013, 145 enterprises in 2014 and 170 enterprises in 2015. The average annual growth rate was 17.78% in the period of 2010-2015 in which the largest increase was in the FDI sector with an annual growth rate of 24.57%, followed by non-state enterprises with an average growth rate of 10.19%.
In 2013, Thang Long II Industrial Park completed all construction items, attracting many Japanese investments. It is estimated that in 2015, the number of enterprises investing in Thang Long Industrial Zone II will increase because the industrial park has basically completed the investment in infrastructure of the second phase.
The above results show that Hung Yen province is attractive to investors, the number of enterprises investing in the Industrial Park has increased in both number and size over the years. The rapid increase in the number of enterprises is shown in the table below:
NUMBER OF ENTERPRISES OPERATING IN INDUSTRIAL PARKS
(on December 31st every year)
Unit: Enterprise
Year
|
No. of enterprises
|
FDI enterprises
|
Private enterprises
|
2010
|
75
|
35
|
40
|
2011
|
95
|
51
|
44
|
2012
|
105
|
61
|
45
|
2013
|
131
|
78
|
53
|
2014
|
145
|
87
|
58
|
2015
|
170
|
105
|
65
|
Out of total enterprises in industrial parks, it can be seen that the distribution of enterprises in industrial parks is uneven. In 2010, the number of enterprises in Pho Noi A Industrial Park accounted for 73.33%, Minh Duc Industrial Park accounted for 18.67%. In the next few years, the proportion of enterprises in Pho Noi A and Minh Duc Industrial Park will decrease to 51.18% and 11.76% by 2015, respectively. Thang Long Industrial Park II will increase from 2.67% in 2010 to 32.94% in 2015.
The total number of employees in industrial parks in the province was 15,409 in 2010; 27,380 people in 2013; 38,125 people in 2005. For the whole period of 2010-2015, the average number of employees in the industrial park is 19.86%. The above results show that the investment environment of Hung Yen province is attractive to investors, the number of laborers being attracted to the industrial park has increased steadily over the years.
The structure of labor in foreign invested enterprises has increased over the years, accounting for 54.50% of total laborers in the industrial park in 2010, 66.42% in 2013 and 71.12% by 2015. Meanwhile, labors in private enterprises, in 2010 accounted for 45.50% of the total number of employees in the industrial park, then gradually decreases over the years, accounted for 33.58% in 2013 and only 28.88% in 2015
Labors in the foreign-invested sector is increasingly high, the proportion of foreign-invested enterprises in the IPs is increasing, but this proportion is smaller than the proportion of employees, which indicates that FDI enterprises in the industrial park plays an increasingly important role in creating jobs for workers.
STRUCTURE OF ENTERPRISES IN INDUSTRIAL PARKS
(on December 31st every year)
Unit: %
Year
|
Total
|
Pho Noi B textile and garment industrial park
|
Minh Duc industrial park
|
Pho Noi A
Industrial park
|
Thang Long II industrial park
|
2010
|
100,00
|
5,33
|
18,67
|
73,33
|
2,67
|
2011
|
100,00
|
2,11
|
16,84
|
68,42
|
12,63
|
2012
|
100,00
|
2,83
|
13,21
|
66,04
|
17,92
|
2013
|
100,00
|
3,82
|
12,98
|
61,07
|
22,13
|
2014
|
100,00
|
4,14
|
12,41
|
56,55
|
26,90
|
2015
|
100,00
|
4,12
|
11,76
|
51,18
|
32,94
|
In the period of 2010-2015, the number of laborers being attracted to the private sector in the industrial park is 4,543 persons per year. The figure for the period 2010-2013 was 3,990 people, while that of the period 2013-2015 was 5,577 people. Together with the changes in the number of enterprises, the average labor productivity growth rate for the period 2010-2013 and the period 2013-2015 will also increase. This is in proportion with the provincial development orientation, which focuses on the development of enterprises in the industrial park, the focus on attracting enterprises manufacturing the key products with modern technology, and labor-intensive enterprises. Labor fluctuations in various types of enterprises are shown in the following table:
LABOR IN INDUSTRIAL PARKS BY THE ECONOMIC REGION
(on December 31st every year)
Unit: Person
|
Number
|
FDI enterprise labors
|
Private enterprise labors
|
2010
|
15.409
|
8.398
|
7.011
|
2011
|
17.678
|
10.050
|
7.628
|
2012
|
21.393
|
15.778
|
5.615
|
2013
|
27.380
|
18.185
|
9.195
|
2014
|
31.596
|
21.537
|
10.059
|
2015
|
38.125
|
27.116
|
11.009
|
In terms of assets of enterprises, in 2010, the total assets of enterprises in the industrial parks is VND 12,810 billion, VND 39,215 billion in 2013 (3.06 times more than 2010), VND 54,345 billion in 2015 (4.24 times more than 2010), the average growth rate of total assets for the period 2010-2015 is 33. 51%. Meanwhile, foreign-invested enterprises will have total assets of VND3,962 billion by 2010 and VND23,965 billion by 2013 (up 6. 05 times compared with 2010), increasing to VND34,966 billion by 2015 (8.83 times compared with 2010). Also, in 2010, the private sector will have VND 8.848 trillion, and VND15.249 trillion in 2013 (1.72 times more than 2010), and VND 19.378 trillion in 2015 (2.19 times higher than 2010) .
Regarding the structure of assets of enterprises in industrial parks, in 2010, the structure of assets of foreign-invested enterprises only accounted for 30.93%; that of private enterprises 69.07%. By 2014, the structure of assets of foreign invested enterprises in the industrial zone is 64.34%, and the structure of private enterprise assets is only 35.66%. These figures shows that foreign-invested enterprises play an important role in economic development in general and in industrial parks in particular as the contribution in economic value of foreign invested enterprises are growing.
In addition, the application process of the project license in the industrial parks is also more convenient, suitable for foreign enterprises to invest in our province. Up to now, although the number of foreign invested enterprises in the province is relatively high compared to the region, but they have not shown the role of technology support and transfer of the developed country.
The industrial park in the province always play a huge role in economic contribution, the speed of production growth is always high over the years; The overall growth rate of the whole industrial park in the period of 2010-2015 is 24,93%, that of the foreign invested sector is 40,20%, and that of private sector is 18,86%. In the period of 2013-2015, the overall growth rate of the entire industrial zone is 24.19%, that of foreign invested sector is 27.12% and that of private sector is 22.46%.
2. Shortcomings
The production of some industries is more of processing, and not making use of raw material source, components, spare parts as well as consumption market. Therefore, the production value is high with high growth rate, but the added value is very small, for example, steel production, manufacture of metal products; automobiles, motorcycles, and electronic products ... This is one of the risks that can lead to instability in industrial production.
The majority of enterprises is small and medium, the competitiveness is limited, the ability to adapt to the crisis and the adverse changes to production is not high. Key industrial products are not identified and supporting industries have been developed slowly. FDI sector has grown strongly, but the link with domestic enterprises is still limited.
Many production investment projects are still delayed to adjust the target; The rate of investment in industrial parks and industrial clusters is low; Many enterprises also pollute the environment, especially those outside the industrial parks, enterprises in industrial clusters, handicraft and craft villages.
Craft villages in Hung Yen are dealing with the problem of capital and "output" for the product. Lack of capital led to the small and seasonal scale of production, not confirmed reputation and brand. Due to failure in creating brand, the access to large markets and new markets are limited, "output" for the product of the village is narrow.
Investment in infrastructure of industrial zones has not been paid due attention; Projects on housing of workers and works serving laborers in industrial parks and areas where industrial production have yet been invested.
Human resources with management competency or professional qualifications are limited; The quality of vocational training is still limited, laborers are not having professional working style or lack of attachment with enterprises.
III. CONSTRUCTION INVESTMENT
1, Achievements
The development of investment activity is one of the factors promoting economic growth, improving people's living standards and solving many social problems of the locality. Therefore, Hung Yen province is very interested in investing, constructing, repairing and upgrading infrastructure for traffic, irrigation, infrastructure for purposes of health, education, culture, welfares and other social benefits. Also, the province has the active participation in investment and construction from domestic and foreign enterprises, receives capital from residents and other organizations. These funds have created important resources to promote socio-economy of the province. Up to now, the infrastructure of Hung Yen has been improved and caught up with the socio-economic development of the province.
The total investment of the whole society in the past 20 years has continuously increased and maintained at a high level of 20.24% per year on average. Total capital for investment and development in 1997 was VND 918 billion and VND 25,328 billion in 2015, up 27.6 times compared with 1997. In the structure of investment and development capital, non-state capital always accounts for a high proportion, accounting for 44.83% in 1997, 73.55% in 2001, 69.92% in 2006, and 70.29% in 2011. In recent years, this capital tends to decrease with slow growth rate. By 2015, non-state capital will only account for 52.42%. This is mainly due to the general impact of the economic recession leading to a recession in the private investment in recent years. State investment capital also tends to decrease in structure, accounting for 27.93% in 1997, 22.58% in 2001, 14.69% in 2006, 14.87% in 2011, 15.79% in 2015. This is mainly due to the tight expenditure policy, including the policy of public investment restructure of the Government in recent years. Foreign direct investment (FDI) has maintained a strong growth rate in recent years, especially since the country has introduced policies to encourage foreign investment. Up to 2000, there were only four licensed projects in the province, with the registered capital of USD 50.06 million. In 2015, the province attracted 362 projects, with a total registered capital of USD 3,321.65 million. The effective projects as of Dec. 31 2015 are 347 projects with total registered capital of USD 3,310 million. By 2015, the foreign direct investment capital was VND 8,052 billion, accounting for 31.79% of the investment capital structure in the province
DEVELOPMENT CAPITAL IN PROVINCIAL AREAS
PERIOD 1997-2015
Unit: VND million
|
Total
|
Division
|
State capital
|
Non-state capital
|
FDI capital
|
-Period 1997-2000
|
4776.628
|
1.411.129
|
2.601.788
|
763.711
|
- Period 2001 -2005
|
17.126.799
|
2.767.742
|
12.720.789
|
1.638.268
|
- Period 2006 - 2010
|
44.207.268
|
6.705.495
|
31.105.219
|
6.396.554
|
- Period 2011 - 2015
|
100.056.952
|
16.664.597
|
59.169.337
|
24.223.018
|
The proportion of investment capital for industry and construction in 1997 was 48.38%, 49.56% in 2006, 41.81% in 2011 and 40.00% in 2015. Agriculture, forestry and fishery increased in volume but the proportion of investment capital decreased, accounting for 19.66% in 1997, 18.65% in 2001, 6.99% in 2006, 4.60% in 2011 and 4.74% in 2015. The ratio of investment capital to GRDP of the province is quite high compared to the whole country, accounting for 35.56% in 1997, 42.25% in 2001, 62.61% in 2006, 48.62% in 2010, 49.34% in 2011, and 54.47% in 2015.
Due to investment reinforcement, the capacity of some sectors has increased considerably. Industrial parks, industrial clusters and industrial points are built and attract new investment projects. The province also renovates and upgrades inter-provincial, inter-district, commune and rural transport routes, builds roads and bridges. Irrigation system is upgraded, especially the canal solidification. Pumping stations for irrigation and drainage for agricultural production, and infrastructure in districts, cities, urban and rural areas has been renovated. The materials and facilities of education and training, science and technology, health, culture and society, tourism, physical training, sports and other services are strengthened.
2. Shortcomings
The projects and investments in the province are mainly small-scale; competitiveness of enterprises is low and the ability to adapt to the adverse changes for production is not weak. The progress of infrastructure construction in industrial parks, industrial clusters and urban areas is slow and the construction of housing for workers in industrial parks is not focused. Leadership, direction and implementation of projects in agencies, departments and sectors are still prolonged. Many projects are slow and stuck in site clearance. A number of key projects have not reached the schedule, weakening their effectiveness. Traffic infrastructure and public transport services have not kept pace with the development and increase of means of transportation. Trade and service infrastructure is inadequate. Site clearance is still slow.
- TRADE AND TOURISM
1. Achievements
Market situation in Hung Yen province in the past years has been dynamic. Goods are diversified meeting the needs of production and consumption. Some enterprises and businessmen in the province have been able to catch up with the advanced business. Gradually, they have shifted to self-selection, and there appeared some spacious and modern supermarkets, satisfying increasing demand of people.
- Fast-growing commercial and service business network, ensuring quality and meeting the demand for goods and services in the province.
Along with the development of industry and construction, trade and service network have developed strongly in the number of establishments and laborers engaged in trade and service activities. Rapid increase in the number of participants, including enterprises of all economic sectors and a large number of individual business households; The network of markets, sale and service places have developed throughout the province. In particular, in recent years, various types of civilized markets such as trade centers, supermarkets, hotels and restaurants have been formed and developed.
THE NUMBER OF BUSINESSES, MERCHANTS, HOTELS AND RESTAURANTS AND SERVICES IN THE PERIOD 1997-2015
|
Total
|
Category
|
Merchant
|
Hotel, restaurant
|
Service
|
1997
|
6.852
|
4.606
|
1.418
|
828
|
2001
|
15.198
|
12.494
|
1.584
|
1.120
|
2006
|
30.999
|
19.872
|
3.321
|
7.806
|
2010
|
40.816
|
25.203
|
5.953
|
9.660
|
2011
|
41.788
|
26.668
|
4.527
|
10.593
|
2012
|
49.412
|
31.367
|
4.652
|
13.393
|
2013
|
53.595
|
34.417
|
5.019
|
14.159
|
2014
|
54.495
|
34.601
|
5.210
|
14.684
|
2015
|
53.311
|
33.838
|
5.229
|
14.244
|
In 1997, the province had only 6,800 establishments, by 2015 there were 53,311 establishments, increasing by 7.78 times compared to 1997. The average annual increase is 12.07%. Among the commercial and service establishments, those in the private economic sector has increased from 16 in 1997 to 767 in 2015. At the same time, the business and service establishments of the state sector have been gradually decreasing over the years. This is because from 2004 up to now enterprises have been privatized according to the policy of enterprise renewal and rearrangement. The development of trade and services also reflects the business diversification. There are over 4,606 establishments in merchandise sector in 1997, increasing to 33,838 establishments in 2015, up 7.35 times compared with 1997; The number of establishments in the hotel and restaurant sector was 1,418 in 1997 and 5,229 in 2015, up 3.69 times compared with 1997; In the service sector, there were 828 establishments in 1997 and 14,244 establishments in 2015, up 17.20 times compared with 1997.
The rapid development in the number of commercial and service businesses has contributed positively to the circulation of goods and services, actively serving the diverse needs of production and life, maintaining proper supply and meeting the consumption demands of the population. The retail business model in the past years is also diversified. Not only the system of market is also improved but also agents and retailers are expanded in the scale and diversification of commodities. Especially, some supermarkets and commercial centers were established to facilitate consumers in goods selection. Total retail sales of goods and services at the current price are constantly increasing. In 1997, it reached VND 17,706 billion, up 19.39 times compared to 1997, the average increase between 1997 and 2015 is 17,91% per year.
TOTAL RETAIL OF GOODS AND SOCIAL CONSUMER SERVICES
PERIOD 1997-2015
VND million
|
Total
|
|
In which:
|
|
|
Public sector
|
Non-state sector
|
Collective economy
|
Individual household
|
Private economy
|
1997
|
913.021
|
179.405
|
19.812
|
699.723
|
14.081
|
2001
|
1.752.122
|
168.174
|
14.325
|
1.485.481
|
84.142
|
2006
|
3.550.398
|
8.013
|
7.727
|
2.731.856
|
802.803
|
2010
|
8.293.083
|
|
11.404
|
6.114.896
|
2.166.783
|
2011
|
10.691.649
|
|
13.179
|
7.827.148
|
2.851.323
|
2012
|
12.558.435
|
|
13.871
|
9.305.621
|
3.238.944
|
2013
|
14.540.676
|
|
11.467
|
10.932.780
|
3.596.428
|
2014
|
16.072.234
|
|
3.230
|
11.626.126
|
4.442.877
|
2015
|
17.706.506
|
|
2.598
|
12.901.673
|
4.802.235
|
Total retail of goods and services of non-state economic types increased, but there were different changes; individual and private economy is growing in proportion and size of revenue. Meanwhile, proportion of the state-owned economy tends to decrease. In 1997, the state-owned economy yielded VND 179 billion, accounting for 19.65%, the collective economy yielded VND 20 billion, accounting for 2.17%, the individual household yielded VND 700 billion, accounting for 76.64%, the collective economy yielded VND 14 billion, accounting for 1.54%. By 2015, the collective economy generated VND 3 billion, accounting for 0.02% while the individual household reached VND 12,901 billion, accounting for 72.86% and the private sector yielded VND 4,802 billion, accounting for 27.12%.
Due to the equitization process, state-owned enterprises operating in the field of trade and services have been equitized, moving to the private sector.
- Export and import activity and consumption services are developing in the right direction, making positive contribution in the production boost.
In the first years of reestablishment, the number of industrial enterprises in the province is few. Infrastructure and technology is obsolete. Lack of capital, limited human resource are another issues. The beginning production includes clothes processing, which generates less output. In the end of 1997, Hung Yen shoes company was founded; however, the consumption market was not developed and the layoff happened very often. In 2000, there were more industrial product for export enterprises with the export value accounting for only some thousands of USD per year.
In the period of 2001 to 2011, in proportion with the thrive of industrial projects, the exporting enterprises sharply increased; the export products are abundant. Many enterprises and industrial products in the province have affirmed their reputation and competitiveness in the process of integration. Proportion of the export value of industrial enterprises is 90% out of the total export value of the whole province. However, the export value of the domestic enterprises is reducing. The domestic economy sector accounts for 95% and 34,26% of the whole export value structure in 2010 and 2015.
EXPORT AND IMPORT OF THE PRIOD 1997-2015
1000 USD
|
Total transition
|
Division
|
Balance (Export - Import)
|
Export
|
Import
|
1997
|
22.181
|
22.181
|
|
22.181
|
2001
|
136.587
|
47.140
|
89.447
|
-42.307
|
2006
|
626.114
|
258.814
|
367.300
|
-108.486
|
2010
|
1.623.935
|
594.568
|
1.029.367
|
-434.799
|
2011
|
2.265.134
|
813.268
|
1.451.866
|
-638.598
|
2012
|
3.177.016
|
1.218.388
|
1.958.628
|
-740.240
|
2013
|
4.125.881
|
1.706.316
|
2.419.565
|
-713.249
|
2014
|
4.971.755
|
2.151.587
|
2.820.168
|
-668.581
|
2015
|
5.615.394
|
2.518.268
|
3.097.126
|
-578.858
|
In the period 2011-2015, goods export of Hung Yen is increasing in scale and product types. The average growth of this period is about 33% per year. The import value of Hung Yen only reached USD 813 27?? million in 2001, which increased to USD 2.518,27 million in 2015, up threefold compared to 2011. Recently, there are about over 500 enterprises implementing export and import activity in which there are nearly 300 FDI enterprises, accounting for over 60% of the total export value. The domestic enterprises accounts for only 40% of the export value of the province.
The growth rate of export and import of domestic enterprises and FDI enterprises are nearly the same throughout the years. While the export value of FDI sector emerged in the period of 2011 to 2013, that of domestic enterprises sector become dominant in the period of 2013 to 2015. The reasons for the rise of FDI enterprises in the period 2011-2013 is Thang Long II industrial park’s establishment, attracting a huge number of Japanese investment projects. These enterprises have implemented export and import activities with large yield which comes mainly from the processing activity for the parents company in the foreign countries.
The export market for the enterprises are over 100 nations and territories. There are four big markets, namely USA, Japan, Korea and China, reaching over USD 100 million per year. USA accounts for the biggest amount with 28.3%, Japan accounts for 19.6%, Korea accounts for 15% and China accounts for 7%. By continent category, Asia accounts for the largest amount with 55.7%, Americas comes second with 30.5%, followed by Europe comes last with 11.6%. The major export products are textile, accounting for 47% of the total export value of the province. The key target market is USA, EU, Japan and Korea. The quality of textile products is improved. Previously, textile enterprises used to implement processing for foreign partners, but now the ODM rate (self-design and self-manufacturing) has increased considerably, which lifts the additional value of the products. As Vietnam negotiated and successful concluded the Trans-Pacific Economic Partnership (TPP) Agreement, there is a great opportunity to export this commodity. More than 60% of Vietnam's textiles and garments are exported to the US and Japan, of which the average tax for textiles and clothes in the US is over 17%. This agreement will promote textile and garment export into these two markets in the near future. Computers, electronic products and components accounted for about 16% of the province's export value. The annual growth rate of this group in recent years is relatively high, mainly due to FDI enterprises in Thang Long II industrial park starting production with high volume of export products.
The major market for this item is Singapore, Japan and China. In 2015, the export value of computers, electronic products and components is about USD 403.74 million. According to the manufacturers of this item, in the near future export will continue to increase sharply due to the demand of the world’s market. Footwear accounts for about 3.62% of the province's export value. In recent years, the export value of footwear is relatively stable and tends to increase slightly. The export markets of this item are mainly Korea, Germany, USA and Italy. In 2015, the value of footwear export reached $ 91.24 million. There are also other items, namely supermarket bags exported to Japan, Taiwan and Korea, knife, spoon, forks are exported to Germany, England and USA, rice exported to Japan, Taiwan, razors exported to the Middle East market.
Over the past years, the goods import in the province has increased in proportion with the export. In 2001, the import value of the province reached $ 89.45 million. By 2015, it reached $ 3,097.13 million, up 34.6 times. The average increase is 26.11%. Import markets are also expanding. The imported goods are more abundant but mostly materials, fuels and machinery. Trung China is always the leading market in providing goods to importers, accounting for 30% of total import value of the whole province. The major items imported from China are machinery, equipment, tools and spare parts, telephones and components, fabrics, footwear materials, computer and textiles, electronic products and components. Korean market comes second with 19% of the total import value. The main items imported from Korea are computers, electronic products and components, machinery, equipment, tools and accessories, components, plastic products, iron and steel products and textile materials. Coming up next is Japan, Thailand, Taiwan and the US. Also, some items with high import value are iron and steel imported from African countries, animal feed, feed ingredients imported from South America.
- Hung Yen tourism is prospering with positive signals, confirming its role and position in socio-economic development.
With the advantage of many monuments, beautiful landscapes and destinations, the number of domestic and foreign visitors to Hung Yen is increasing. In 2015, the number reached about 400 thousand people of which there are about 10 thousand international visitors. The tourism sector development is still modest, but the tourism industry is making important milestones. According to statistics from the Department of Culture, Sports and Tourism, more than 400 traditional festivals are held every year in rural areas. On the basis of the rich potentials of tourism resources (cultural tourism, historical tourism and traditional festivals), there come attractive tourism products such as Pho Hien tourism zone, Da Hoa - Da Trach relics, Ung temples. Every year, after the Lunar New Year, traditional festivals attract tourists from all areas over the country. In particular, Ung temple festival and Da Hoa - Da Trach festival attracts thousands of domestic and foreign visitors. Pho Hien Cultural Festival, a major festival of the province, is also an attractive destination for those wishing to explore the historical culture of Pho Hien and Hung Yen. Other relics such as Tong Tran - Cuc Hoa temple, Dau An Temple, Nom village also are also renowned attractions.
Implementing the program of tourism development cooperation, bringing customers to Hung Yen, from the beginning of the year, travel agencies have provided tours to Hung Yen city. Travel agencies focus on accommodation upgrade, equipment maintenance and repair to provide the best conditions for tourists. Localities focus on security and environmental sanitation at tourism spots and areas, promote cooperation with provinces and cities in order to efficiently exploit tourist potentials of the province and introduce tours, routes associated with the cultural and historical relics.
The promotion of tourism plays an important role in the development of tourism. In the destinations, visual propaganda is focus such as banners, flags, billboards, posters, promotional images, tour guides in order to promote propaganda to tourists. The Tourism Promotion Information Center promotes information with diversified activities, which includes propaganda and promotion of Hung Yen tourism potentials in relics and attractions.
In addition, tens of thousands of books about Hung Yen tourism have been published such as "Hung Yen Tourism", "A countryside of culture", Hung Yen Tourism Newsletters, brochures about the Hung Yen tourism, which introduces relics to visitors, promoting images of Hung Yen homeland with friendly and hospitable visitors. Promotion programs are conducted such as propaganda on mass media, fairs and exhibitions, encouragement of traditional folk festivals of the province. They are effective forms to get visitors to directly access information about the cultural values and also stimulate the passion of discovery for visitors.
Given that the achievements have not caught up with the potentials, it can be said that the tourism industry has played an important role in the economic restructuring, job creation and improvement of material and spiritual life for people. Hung Yen is becoming a friendly, safe and attractive destination for many travelers.
2. Shortcomings
Although the economy has achieved encouraging results, it still basically includes small business. The purchasing power is low; the quality of goods and services is not high; the types of products have not bee regularly improved to suit consumer tastes. Other shortcoming is lack of products and services; weak competitiveness. Quality of service does not corresponding to the price.
Tax policies, tax administration and market management are still weak and have not been effective in preventing trade fraud, smuggling and counterfeiting. They are negatively affecting the business environment
The number of commercial enterprises is quite large, but most of them are small and medium enterprises. The capital turnover is low, the business efficiency is not high.
of the province is not strongly developed, contributing less to the socio-economic development. Tourism attraction is not promoted.