In February 2024, the Provincial People’s Committee issued a decision on the construction planning subdivision of a new industrial park with a ratio of 1/2000. The park is expected to attract 25,000 workers. The factory and enterprise zone has a total area of 316.1 hectares, accounting for 68% of the total area planned for the industrial park.

The project’s investment capital was approved by the Prime Minister in April 2022, totaling over VND 5,198 billion, including nearly VND 780 billion in investor capital and the remainder in mobilized capital. According to the feasibility report, the total investment is nearly VND 6,232 billion, of which the investor contributes nearly VND 935 billion.

As per the Prime Minister’s decision, the project is scheduled to be implemented from the second quarter of 2023 to the second quarter of 2025.

Perspective of Loc Giang Industrial Park. Source: EIA Report

To make way for the project, 147 households had to relocate to the 9.5-hectare Resettlement Area, which is adjacent to the industrial park. The Provincial People’s Committee approved the task of detailed construction planning for the Resettlement Area with a ratio of 1/500 in August this year. The EIA Report, released in November, revealed that compensation for land acquisition has been completed for an area of over 410 hectares, and compensation for the remaining area is ongoing.

Perspective of the office building in the industrial park

Sai Gon Tay Bac Urban Development Joint Stock Company (SCD), established in 2003 and headquartered in Cu Chi District, Ho Chi Minh City, is chaired by Mr. Dang Thanh Tam, who also acts as its legal representative. As of the end of 2023, SCD’s total assets reached VND 3,143 billion, and its charter capital was VND 750 billion. It is a subsidiary of Kinh Bac City Development Holding Corporation (KBC) with a ownership of 74.3%. On October 10, SCD significantly increased its capital to VND 1,181 billion to meet the required contribution for the Loc Giang Industrial Park investment.

In addition to the Loc Giang Industrial Park, SCD is also the investor in the Tan Phu Trung Industrial Park in Ho Chi Minh City, spanning 542 hectares; the Tan Phu Trung Residential Area with a scale of 47.3 hectares; and the Long An Resettlement Area. SCD has a subsidiary, Tan Phu Trung Long An Industrial Park One-Member Limited Liability Company, which is the investor in the Phuoc Vinh Dong 4 – Long An Industrial Cluster and Resettlement Area.

 

Source: Author’s compilation. Unit: Billion VND

Thu Minh

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