Talk about logistics development in Viet Nam
(Huynh Phuoc Nghia, Deputy Director of the Institute for Creativity Institute for Renewal and Innovation)
Huynh Phuoc Nghia, Deputy Director of the Institute for Creativity Institute for Renewal and Innovation, talks to the Sài gòn Giải phóng (Liberated Saigon) on the need for closer regional co-operation in logistics development.
Do you have any suggestions that would help the logistics sector in Ho Chi Minh City develop?
The first thing we need to do is define Ho Chi Minh City’s geological location in the Southeast Region and the key economic region in the country’s southern region. Ho Chi Minh City will then become a leader in the three perspectives: the region’s financial centre and services, particularly services in the field of industry and logistics. Ho Chi Minh City will then be a driving force in the perspectives of finance and services and a training centre for human resources and innovation.
In the near future, Ho Chi Minh City will become a gateway for the South Eastern region where up to 50 per cent of the national economy comes from there.
However, to develop Ho Chi Minh City, there are quite a lot of things that need to be done right now. The city needs to be connected with other southern regions and quickly develop plans to develop its infrastructure to connect with other provinces and its logistics.
To the east, Ho Chi Minh City has already expanded its development, particularly Dong Nai Province, which is close to the Cat Lai sea port.
To the west, all the 13 provinces don’t have any plan to open new roads or logistics storage. Dong Nai provincial authorities, until now, have not developed any plans to connect with Ho Chi Minh City.
Ho Chi Minh authorities have not yet made any forecast on its role in the logistics development for the whole Southeast region. For the concept of logistics, Vietnam only thinks about goods while e-commerce or digital economy has developed rapidly. Vietnam should apply advanced technology if it wants to be a part in the international logistic chain. Vietnam must evaluate its role in the regional logistic chains.
Adding to that Vietnam has to analyse different sectors involved in the regional logistic chains, particularly the role of the air service. It is regrettable that Vietnam railway service right now does not operate as it should be and waterway transportation is not much better. It has been operating, but with a very small capacity. Vietnam has to do a lot to raise its logistic service to meet new requirements and be on a par with other regional countries.
Will you talk a little bit about Ho Chi Minh City’s plan to invest more than VND 95,800 billion for logistic development?
Right now we should not talk about the investment money, yet focus on the urgent demand and future development.
When we want to have an overall development of the Southeastern region. The Government has to think immediately how it can have sufficient financial resources to carry out this project. Of course, in this project, Ho Chi Minh City or other provinces cannot have sufficient budget for this.
We all know the speed of urbanisation in Vietnam is very rapid. So we should not let the logistic infrastructure become a barrier to the fast urban development. In the long run, the Mekong Delta region will become a major rice producer for Ho Chi Minh City and for export. And Ho Chi Minh City will become a big hub for services, finance and human resources.
What will Ho Chi Minh have to do to become a driving force in human resources development and innovation?
No other provinces or cities in Vietnam could become a locomotive in human resources development and innovation other than Ho Chi Minh City. Adding to that many universities in Ho Chi Minh City teach logistics in their curriculum.
Frankly speaking, the teaching and learning of logistics in Vietnam, including Ho Chi Minh City right now has not yet been up to the expectation. However, I believe in five years’ time, we will have more people with good knowledge and experience in logistics. Hopefully their knowledge satisfy the country’s demands in the field of logistics
(Viet Nam News)