In the past few years, Dong Nai province’s industrial promotion center has devoted resources to facilitate enterprises and production facilities to expand their manufacturing and business activities.
By the end of 2018, there were 9,738 rural industrial establishments in the province, increasing both quality and quantity compared to 2017. However, most establishments are individual business households, with small and super small scale and low capital used for production and business activities. Data from Dong Nai Department of Industry and Trade also showed that, from 2016 to 2017, the investment capital of the rural industry sector only reached an average of VND 717 million/establishment.
Looking at the weaknesses of households, in recent years, through the industrial promotion capital, Dong Nai Department of Industry and Trade has implemented many programs to support rural industrial establishments in the province to improve their production capacity. In 2018, Dong Nai industrial promotion area was allocated 4.2 billion VND to support 16 rural industry facilities to invest and apply advanced and modern machines into production. These 16 projects have helped to increase revenue and profit of establishments.
Typically, the Dong Nai Industrial Development Consultancy and Promotion Centre has supported Truong Phat lotus seed processing facility (at Vinh Tuy hamlet, Long Tan commune, Nhon Trach district) to invest in a system of fresh lotus seed peelers and agricultural dryers with wind reversing feature. With a clean, fast peeling feature, new equipment has helped the facility reduce labor costs by up to 50%, increase productivity and reduce material loss.
In addition, the center also supports Pho Hoang facility (at Gia Tan commune, Thong Nhat district) to apply advanced machines and equipment in the production of dry noodles. The equipment is a drying system using automatic mesh conveyor and diesel combustion chamber to indirectly heat the dryer according to the principle of wind heat. According to the representative of the beneficiary unit, the quality of products after investing in the dryer system has exceeded expectations when having high stability, reducing the cost by 40%, the productivity increased by 1.5 times. More importantly, the establishment can take the initiative in delivery time.
The active support of the industrial promotion program has helped rural industry establishments in the area to change their appearance significantly. The rural industry has also obtained positive results. In 2018, the provincial industrial production value increased by 5.8% over the same period, reaching VND 59,898 billion.
In order to achieve the goal that by 2020, Dong Nai will have more 250 rural industry enterprises, the value of rural industrial production will increase and reach 70,400 billion dong, Dong Nai Department of Industry and Trade has been implementing many solutions. In particular, in order to overcome the weaknesses in internal resources of rural industrial establishments and the shortage of manpower due to labor restructuring, the Department of Industry and Trade has proposed the provincial People’s Committee to arrange annual budget to meet demand for industrial promotion activities; encourage individuals and units to participate in the implementation of industrial promotion programs with their own capital.
Review and advise the Provincial People’s Committee to issue new legal documents, supplement and amend legal documents, mechanisms and policies on industrial promotion. Building a database of rural industry facilities from which to manage more closely. Implementing the project with a large scale, prioritizing implementation in the fields, industries and trades which are strong points of the province.
From 2016-2018, Dong Nai industrial promotion area is allocated VND 14 billion for the implementation of industrial promotion programs and projects, thereby providing significant support for rural industry establishments to improve production capacity and product quality.