So far, high-tech industries have recorded the lowest localisation
rates, accounting for only 15-20 percent of product prices. Therefore,
more policies are needed to encourage investment and development in this
segment, the Vietnam Economic News reported.
According to head
of the Saigon Hi-Tech Park (SHTP) management board Le Hoai Quoc, the
localisation rates in new industrial products account for only 20
percent and the remainder depends on imported materials. Take the
electricity – electronics sector which is growing strongly in Ho Chi
Minh City for example, although the localisation rates increase but
account for only 20-30 percent, which remains too low compared with
requirements. Operating electronic enterprises in Vietnam mainly deal
with assembling and integrating accessories and parts to make products
based on imported basic electronic parts like circuit boards and
transistor components.
General Director of Intel Products Vietnam
Sherry Boger said Intel has become one of the investors that have the
biggest export revenue in the SHTP. However, until 2013, the
localisation rate of this group only reached 10 percent, equal to about
11 million USD. Even though the group wants to increase this rate but
the capabilities of Vietnamese enterprises to meet Intel’s requirements
remain quite modest.
Like Intel Group, Director of the Japan
External Trade Organization (JETRO) in Ho Chi Minh City Kazuhiko Osato
said in 2013 Japan undertook over 500 projects in Vietnam with total
capital of nearly 6 billion USD but unfortunately, the Vietnam’s
localisation rate for Japanese enterprises have not reached 32 percent
yet, equal to half of the rates of China and Thailand.
Deputy
head of SHTP management board Le Bich Loan said the high-tech
enterprises in SHTP have been aware of the importance of localisation
and given more priorities to seeking domestic partners.
However,
material sources for localisation are mainly to make simple products
like packaging and plastic trays. Vietnamese enterprises have not been
capable to produce high tech demanding electronic spare parts like
transistor components or electronic mechanical parts.
Vietnamese
enterprises are just at the stage of doing research or piloting
production on small scales like wafer FRED of the SHTP’s RD Centre
or pressure sensors jointly produced by SHTP and Vietnam National
University Integrated Circuit Design Research and Education Centre
(ICDREC).
According to Director of the Ho Chi Minh City
Investment and Trade Promotion Centre (ITPC) Pho Nam Phuong, apart from
current preferential treatments for enterprises working in the support
industry, the city has asked relevant departments and sectors, including
the SHTP management board to study and offer better preferential
packages regarding tax, infrastructure and training workforce to
encourage domestic enterprises join the support industry.
In
terms of infrastructure, preferential policies on land lease need to be
adopted. In pieces of land where no infrastructure has been built, the
land lease rentals should be calculated like those levels in the
High-tech Park in District 9: from 12,300-18,500 VND/sq.m a year. As for
pieces of land with infrastructure: from 17,200-26,000 VND/sq.m a year
and workshop rentals from 4-5 USD/sq.m a year depending on different
locations.-VNA