Binh An Textile and Garment Industrial Park

I. Overview of Binh An Textile and Garment Industrial Park – Ho Chi Minh City

Information about the Industrial Park:

The decision to establish Binh An Textile and Garment Industrial Park – Ho Chi Minh City was made by the Prime Minister under the number 1722/CP-CN on December 17, 2003, allowing the formation of the Binh An Garment Industrial Park based on the garment industrial cluster of Binh An. Investment certificate: number 1502/QD-UB dated March 4, 2004, issued by Binh Duong Provincial People’s Committee, approving the establishment of Binh An Garment Industrial Park and the investment project for infrastructure construction of Binh An Garment Industrial Park, Ho Chi Minh City. Decision approving the detailed planning of the industrial park: number 963/QD-BXD on June 21, 2004, by the Ministry of Construction, approving the detailed planning of Binh An Garment Industrial Park, Ho Chi Minh City; number 2010/QD-UBND on July 13, 2010, by Ho Chi Minh City People’s Committee, approving the adjustment of the detailed planning of Binh An Garment Industrial Park, Ho Chi Minh City, Vietnam Binh An Garment Industrial Park is designed and built to meet high standards, supporting garment and textile manufacturing activities with efficiency and modernity. The internal and connected transportation system with main national roads ensures convenient and fast goods transportation. With its strategic location and favorable business environment, Binh An Garment Industrial Park is becoming an ideal destination for investors in the garment and textile industry, contributing to the economic development, job creation, and improvement of the local community’s livelihood. The investor of Binh An Garment Industrial Park is Binh Thang Investment and Development Joint Stock Company.

Industrial park scale:

• Total area of the industrial park: 25,9 hectares
• Land for industrial factory construction: 17,90 hectares
• Land for operational and service facilities: 0,9 hectares
• Land for technical infrastructure construction: 0,30 hectares
• Greenery and park land: 2,70 hectares
• Transportation land: 4,10 hectares

Investment capital situation in the Industrial Park:

• Total investment capital: VND 98,777 billion
• Total implemented investment capital: VND 95,352 billion
• Occupancy rate: 100%
• Year of operation: 2004.

II. Geographical location of Binh An Textile and Garment Industrial Park – Ho Chi Minh City

Binh An Garment Industrial Park is located in Binh Thang commune, Ho Chi Minh City, Vietnam. It is situated in the key economic region in the South of Vietnam. With its large area and modern infrastructure, this industrial park is attracting the attention of many domestic and foreign businesses seeking investment and development opportunities. Binh An Garment Industrial Park enjoys a convenient geographical location, situated along the route of goods circulation in the key economic region in the South, near railway stations, ports, and 25 km to the East of Ho Chi Minh City center.

• 22,6  km from Ho Chi Minh City
• 25 km from Thu Dau Mot City
• 21,7 km from Tan Son Nhat International Airport
• 10,9 km from Song Than Station
• 21,8 km from Tan Cang – Cat Lai Teminal
• 65,2 km from Tan Cang – Cai Mep Teminal

III. Infrastructure of Binh An Textile and Garment Industrial Park – Ho Chi Minh City

Transportation system:

• Main road system: 22-25m wide, with 04 lanes;
• Internal transportation system: According to the industrial park standards.

Electricity system:

• The industrial park’s electricity is supplied from the national grid system.
• It has a centralized transformer station with a capacity of 16 MVA, and a transformer substation of 110/22kV.
• This ensures the supply of electricity to each plot of land and meets 100% of the electricity demand for businesses within the area.

Water supply system:

• The industrial park ensures a capacity of 1000m3/day, providing water to every plot of land throughout the entire area.
• Notably, the water is treated according to WHO standards to ensure hygiene and safety for all domestic and production activities.

Wastewater treatment system:

• The wastewater treatment plant has a capacity of 4000 m3/day, ensuring compliance with the regulations of the Ministry of Natural Resources and Environment.

Firefighting system:

• The firefighting system is fully invested, with water columns placed along the branch roads and main roads.
• The experienced firefighting team is available 24/7 to respond promptly to emergency situations.

Telecommunication system:

• The industrial park guarantees ADSL Fireber & Telephone line telecommunication system.

IV. Key Industries in Binh An Textile and Garment Industrial Park – Ho Chi Minh City

The main industries attracting investment in the industrial park are:

• Garment and textile manufacturing;
• Garment industry accessories;
• Paper packaging.

V. Investment Costs in Binh An Textile and Garment Industrial Park – Ho Chi Minh City

Rental price with infrastructure: 200 USD/m2/50 years (minimum land lease area of 1 ha, 50-year lease term) Factory rental price: 3 USD/m2 per month. Clean water price: According to the regulations of Ho Chi Minh Provincial People’s Committee. Reference price: 0,49 USD/m3. Electricity price: According to the regulations of Ho Chi Minh Provincial People’s Committee. Reference price: 0,05 USD/kWh. Fee for wastewater and solid waste treatment: In accordance with the guidelines set by the Ho Chi Minh Provincial People’s Committee. Reference price: 0,35 USD/m3. Management fee: 0,4 USD/m2/month.

VI. Investment Incentive Policies in Binh An Textile and Garment Industrial Park – Ho Chi Minh City

At Binh An Textile Industrial Park – Ho Chi Minh City, investment incentive policies have been established to support and encourage businesses in the textile industry to invest and operate here. Specifically, the investment incentive policies include: Corporate income tax:

• First year: exempt from tax
• Second to fifth year: 50% tax reduction
• From the sixth year onwards: apply regular corporate income tax rates in the area.

Land tax:

• First year: exempt from land tax
• Second to fifth year: 50% land tax reduction
• From the sixth year onwards: apply regular land tax rates in the area.

Import tax:

• First year: exempt from import tax on raw materials, production equipment, and related goods for textile manufacturing.
• From the second year onwards: apply regular import tax rates as per legal regulations.

These incentive policies will help businesses in Binh An Textile Industrial Park save on investment and production costs, enhance competitiveness, attract investment capital, and actively contribute to the economic and industrial development of Ho Chi Minh City.