The forum "Da Nang Free Trade Zone - New driving force for the development of logistics industry in Da Nang" took place in the central coastal city on Thursday morning.

Vice Chairman of the Da Nang People's Committee Tran Chi Cuong delivered his opening speech at the forum. Photo: MAI QUE - QUOC CUONG

The event was jointly organised by the municipal Department of Industry and Trade, and the Viet Nam Logistics Business Association (VLA).

In his opening speech at the forum, municipal People's Committee Vice Chairman Tran Chi Cuong said that logistics was one of the important service sectors in the overall structure of the national economy. It played a crucial role in supporting, connecting and promoting the socio-economic development of the country as well as each locality, contributing to improving the competitiveness of the economy, he added.

The Government has always paid attention to developing logistics services into a service industry that brings high added value; linking logistics services with the development of goods production, import and export and domestic trade, and transport infrastructure and information technology; and developing a healthy logistics services market; thereby creating equal opportunities for enterprises of all economic sectors, and encouraging the attraction of domestic and foreign investment capital in accordance with Vietnamese law and international treaties.

In addition to a favourable geopolitical and economic position, Da Nang boasted great advantages in terms of high-quality human resources, synchronously developed infrastructure, and inter-regional and regional transportation systems. The city is one of the few localities to have both international seaports and airports, and is located on the country's main roads. All help the city to be more favorable in economic, investment, trade, services and tourism development, the city leader noted.

According to the Politburo’s Resolution No. 43-NQ/TW dated January 24, 2019 on the construction and development of Da Nang by 2030, with a vision to 2045, the central coastal city sets a goal of turning itself into one of the major socio-economic centres of the country and Southeast Asia, and a centre of marine economy, as well as forming a logistics service supply chain in central Viet Nam.

Recently, Resolution No. 136/2024/QH15 dated June 26, 2024 on the organisation of urban government and piloting a number of specific mechanisms and policies for the development of Da Nang. Accordingly, the Da Nang Free Trade Zone will be established according to the integrated urban business model which includes many functional areas (production areas, logistics centres, trade - service areas and other types of functional areas according to the provisions of law) so as to maximise the development advantages of the city.

In particular, this specific policy is also associated with the future development roadmap of Lien Chieu seaport and Da Nang international airport. This creates a favourable condition for Da Nang to become a regional and international freight transit centre, contributing to strongly attracting domestic and foreign investment capital flows into the city and the Central Key Economic Zone.

In the coming period, Da Nang will continue identifying logistics services as an important industry, having a great impact on its socio-economic growth. The city is determined to accelerate the investment process of key projects such as Lien Chieu Port, a logistics centre at Da Nang International Airport, and dry ports.

The city is also making efforts to research, develop and effectively apply policies and regulations on logistics service development, as well as review and eliminate unnecessary administrative procedures to create the best conditions for logistics service development.

Deputy Minister of Industry and Trade Truong Thanh Hoai spoke at the forum. Photo: MAI QUE - QUOC CUONG

Speaking at the event, Deputy Minister of Industry and Trade Truong Thanh Hoai remarked, thanks to the strong development of import-export and e-commerce activities, Viet Nam is considered a market with great potential for developing logistics services. This is an important service industry that contributes to promoting the socio-economic development of the whole country and each locality as well, and enhancing the competitiveness of the economy.

Viet Nam's Logistics Performance Index (LPI) reached 3.3 points in 2023, up from 3.27 points in 2018, ranking the country 43 out of the 154 countries worldwide and fifth among ASEAN countries. The average annual growth rate of revenue is 14-16%/year, making an important contribution to promoting the growth of Viet Nam's import-export turnover.

Recognising the importance of the logistics industry, in recent tyears, the Party and the State have issued many mechanisms, policies and directed the effective implementation of solutions to remove difficulties, reduce costs, improve competitiveness, and create a favourable environment for the development of the logistics service industry.

Moreover, logistics service providers are also making efforts to transform their operating methods, increase investment in equipment, train and develop human resources, and boost digital transformation in a bid to adapt to new development conditions, and satisfy the increasing demands and standards of customers.

Despite remarkable results, the logistics industry still showed limitations such as the development not commensurate with its potential, high costs, limited competitiveness, lack of linkages with export industries, and a shortage of high-quality human resources.

Da Nang leaders attended the event. Photo: MAI QUE-QUOC CUONG

On the other hand, Viet Nam is currently actively researching free trade zone models in the world. Da Nang, one of the dynamic and modern cities in Viet Nam, has become an attractive destination for investors and businesses at both home and abroad.

Recently, the National Assembly issued Resolution No. 136/2024/QH15, in which the establishment of Da Nang Free Trade Zone is the basis for piloting new policies, and a premise to legalise regulations on free trade zones for the whole country.

The development of the free trade zone model will be a good opportunity for the logistics service industry of Viet Nam in general and Da Nang in particular to develop and participate more deeply in the global logistics supply chain.

The forum provided a good chance for Da Nang to receive sharing and suggestions from ministries and branches; and welcome domestic and foreign experts, investors, and leading enterprises in the logistics sector.

The forum also created opportunities for exchange, connection and cooperation between enterprises, investors, organisations and State management agencies. During the event, participants discussed new trends and important challenges that enterprises will face in the coming time.

The Ministry of Industry and Trade highly appreciated and acknowledged the response and active participation of agencies, units and businesses, contributing to the success of this forum.

The Ministry of Industry and Trade will always support and accompany Da Nang and the municipal Department of Industry and Trade in implementing the project to establish the Da Nang Free Trade Zone, as well as in fulfilling the logistics development tasks.

With the participation of over 350 delegates, the forum is the first of its kind in the city on free trade zones and logistics industry.

It is one of the activities to concretise the implementation of Resolution No. 136 and the Project on Logistics Services Development in Da Nang and effectively connecting with the Central Key Economic Zone, and the East-West Economic Corridor, during the 2021-2030 period, with a vision to 2050.

Through this forum, ministries, sectors, localities, organisations, associations, experts, investors, and businesses exchanged and contributed ideas to promote the development of the logistics industry in Da Nang in particular, and the Central Key Economic Zone and the whole country in general.

Reporting by M.QUE, Q.CUONG - Translating by M.DUNG