(VEN) – Not only relying on traditional advantages in terms of agriculture and forestry such as coffee, tea and rubber, the lives of more than five million people in Tay Nguyen (Central Highlands) today are also based on a new, more sustainable foundation, that is industrial production.
The industrial production value of the Central Highlands reached over VND36.32 trillion in 2012
A look at Kon Tum, the poorest locality
The lives of people in the Central Highlands have continuously improved with per-capita income of those in Kon Tum Province growing from US$13.6 million in 2010 to an estimated VND25.7 million this year, according to a report presented by the provincial leadership to Party General Secretary Nguyen Phu Trong at a recent meeting in Hanoi. These results are respectable compared with the VND25 million target set for per-capita incomes of farmers in Hanoi by 2015 (the target was set at a recent meeting which was held to review the implementation of the resolution of the fifth session of the 11th tenure Vietnam Communist Party Central Committee regarding agriculture, farmers and rural development).
As the poorest locality in the Central Highlands, Kon Tum Province currently contributes just more than seven percent to the industrial production value of the entire region while Gia Lai, Dak Lak take the lead with over 31 percent. Lam Dong and Dak Nong also own more industrial facilities than Kon Tum. Therefore, the 13.47 percent annual gross domestic product (GDP) growth achieved by Kon Tum over the last three years and the per-capita income of local people can be said to be the lowest indexes in the region.
Industry and trade development
Statistics show that last year the industrial production value of the Central Highlands reached over VND36.32 trillion (calculated based on current prices), a rise of 26 percent compared with 2011. 2012 was the third consecutive year to see increases in the industrial production value of the region, averaging 26.6 percent per annum, while this index nationally declined and was much lower. Compared with seven years ago, in 2005, the industrial production value of the region increased five-fold.
Total retail sales of goods and revenue from consumer services in the region grew from nearly VND17.4 trillion in 2005 to more than VND95.6 trillion in 2012. This means total consumer spending of 2012 was 5.5 times higher than that of 2005 (compared with 2011, the index increased 25.3 percent while the average growth of the index nationwide was 11.3 percent). Specifically, total consumer spending in Kon Tum grew 28 percent, Dak Lak 35 percent, and Lam Dong 25.3 percent.
Thanks to these results, Kon Tum Province has reduced the poverty rate from 33.36 percent in 2010 to 18.27 percent this year. Clearly, hunger eradication and poverty alleviation efforts have been intensified throughout the Central Highlands.
Three keys
Along with utilizing their comparative advantages in terms of tourism, Central Highlands’ provinces have boosted investment in processing agricultural and forest products, focusing on making export products from local materials such as coffee, grapes, rubber, wood and artichoke. In recent years these localities have promoted investment in extracting and processing bauxite ores – this is a major national project handled by the industry and trade sector. The bauxite mining and processing industry has awakened the potential of Central Highlands’ localities, helping them improve the face of urban and rural areas and become more attractive to foreign investors.
So far, according to the Ministry of Planning and Investment, 141 foreign direct investment (FDI) projects are ongoing in the Central Highlands with total registered capital of over US$829 million. Lam Dong Province takes the lead with 115 projects and registered capital totaling US$500 million.
Central Highlands’ localities must facilitate these FDI projects to attract more foreign investment. They must stimulate the private sector’s investment in industrial, trade, tourism, agricultural and forestry development. The state must increase public investment in infrastructure development, especially in upgrading lifelines to ‘shorten the distance’ between the East Sea and the Central Highlands. These are considered as three keys which would help Central Highlands’ localities achieve their hunger eradication and poverty alleviation goals earlier than other mountainous parts of the country./.
By Luu Tien Hai
Đăng ký: VietNam News