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Da Nang eyes to turn itself into logistics centre of central key economic zone

By DA NANG Today / DA NANG Today
September 03, 2022, 10:53 [GMT+7]

Resolution No. 43-NQ/TW dated January 24, 2019 approved by the Politburo on Da Nang’s major developments till 2030, with a vision towards 2045, identifies seaports and airports associated with logistics services as one of the 5 key sectors. The city, therefore, must prioritise as many resources as possible to strongly speed up the development of this sector.

Da Nang’s logistics service needs more development strides. Here is a scene of loading and unloading at the city-based Tien Sa Port. Photo: GIA MINH
Da Nang’s logistics service needs more development strides. Here is a scene of loading and unloading at the city-based Tien Sa Port. Photo: GIA MINH

Mr. Vo Van Toan, Director of the Construction Technical Consulting Investment JSC, said that, showing off a strategic geographical location, Da Nang, along with the central key economic zone at large, owns many deep-water seaports, airports, roads and railways throughout which the city easily connects with the East-West Economic Corridor (EWEC) and the Greater Mekong sub-region. Given these advantages, the zone boasts great potential to become a national, regional and international logistics centre.

However, besides the advantages, the regional logistics industry still faces some challenges. There are only a few operating logistics centres such as the 1.62ha Transimex centre in the Hoa Cam Industrial Park (IP), the 2.5ha Yusen Logistics Da Nang centre in the expanded Hoa Khanh IP.

According to Deputy Director in charge of the Da Nang Department of Transport Bui Hong Trung, in order to develop Da Nang into a logistics centre of the central key economic zone, in which the soon-to-be-developed Lien Chieu mega-port is used as the gateway to enter a the logistics services supply chain linking with ASEAN and Asia-Pacific countries, it is necessary to take advantage of local advantages to develop a synchronous, interconnected logistics infrastructure system that is capable of meeting the needs of transporting and handling arising goods flow of the city and its neighbouring provinces and especially those circulating on the current EWEC as well as future EWEC No.2.

With this goal, it is expected that, by 2025, logistics centers in Da Nang will be able to handle about 30% of the total volume of goods through seaports, 55% by 2050; for 15% by 2025 and 40% by 2050 for those handled through airports; 20% by 2030 and 40% by 2050 for rail freights. 

The adjusted General Planning Project approved by the Prime Minister in Decision No. 359/QD-TTg dated March 15, 2021, orienting to build Da Nang into a key logistics service centre of the central key economic zone, an important traffic hub of Viet Nam, the main gate to the East Sea for countries along the existing EWEC.

In the coming time, Da Nang is expected to see 5 main logistics centre located at traffic hubs, IPs and industrial clusters (ICs) with a total area of 229ha take their shapes, namely one for the Lien Chieu Port with scale of 30ha by 2030 and 69ha by 2045; one for the Da Nang Railway Station with a scale of 5ha by 2030 and10ha by 2045; one for the Da Nang International Airport with a scale of 4ha by 2030 and 8ha by 2045, one for the Da Nang Hi-Tech Park with scale of 3ha by 2030 and 20ha by 2045 and the remaining one in Hoa Nhon Commune covering an area of 27ha by 2030 and then 54ha by 2045. 

Retail logistics centres and other warehouses also play a role in supporting the above-mentioned centralised logistics centres, and at the same time collecting and distributing goods to serve the city and its neighbours with a total scale of 26ha by 2030 and 68ha by 2045, and all of them will be arranged according to the actual needs and conditions of the city's land fund at locations convenient for traffic   movements and near the hubs of production and consumption of goods.

“The planning of the logistics centre system must reasonably combine the planning for development of trade, industry and traffic via roadways waterways, railways, airways, land use planning and development plans in a great attempt to develop other socio-economic infrastructure systems of Da Nang and the inter-regional key economic zone of Central Viet Nam. Also, long-term capability must be taken into account, ensuring enough factors to encourage the development of logistics services, increasing competitiveness and professionalism”, said Mr. Trung.

However, to fulfil these aforementioned tasks, it is high time for Da Nang to continue to reform administrative procedures, improve competitiveness indicators, social labour productivity and competitiveness of enterprises, reduce maritime fees and charges to attract even more ships of large tonnage to the Da Nang Port.

Besides, the city needs to partner with relevant national agencies to build relationships link, regulate the flow of goods between seaports in the central region, overcome the situation of fragmented investment and unfair competition.

In particular, it is also necessary to soon invest in the development of the Lien Chieu Port, the Da Nang International Airport’s expansions, the Kim Lien cargo station and road traffic network connecting with national highways, upgrade  national highway 14D as well as develop routes linking with southern Laos and northeastern Thailand, Myanmar as well as soon form EWEC No. 2, contributing to increase the source of goods handle through the Da Nang Port, creating the driving force for socio-economic development for the zone.

Reporting by GIA MINH – Translating by A.THU

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