Thai Ha Industrial Park - Ninh Binh

I. OVERVIEW

On November 15, 2019, the Prime Minister approved the investment proposal for Thai Ha Industrial Park Phase 1 (Decision 1643/QD-TTg). This decision covered the construction and operation of infrastructure across 100 hectares, with future expansion plans to 385 hectares as part of the overall development of the Thai Ha urban area by 2025. Thai Ha Industrial Park, led by Thai Ha Industrial Park and Urban Development Joint Stock Company, became the first industrial park in Ly Nhan District, Ninh Binh Province. Land clearance work is mostly finished.

Currently, numerous domestic and foreign enterprises within and outside the province express interest in investing in the industrial park. They research potential investment projects. The availability of clean land and well-developed infrastructure plays a crucial role in attracting investments to benefit Ninh Binh Province and enhance the prospects of Thai Ha Industrial Park.

Functioning factories within the industrial park will stimulate socio-economic growth in Ly Nhan District and other districts. Residents in the Bac Ly, Chan Ly, and Tran Hung Dao areas will especially benefit. This development generates additional revenue for the local budget and transforms agricultural land into industrial production areas. Consequently, surplus labor is attracted, leading to a shift in the labor structure towards industrialization and modernization.

II. GEOGRAPHIC LOCATION

Thai Ha Industrial Park is strategically located on the arterial Belt Road 5, providing easy access to Hai Phong Port. Moreover, it is near the Ninh Binh-Hanoi and Hanoi-Hai Phong-Quang Ninh highways.

Thai Ha Industrial Park is conveniently located approximately 28 kilometers away from National Highway 1A and the North-South railway. It is also near the Hanoi-Ninh Binh highway. Moreover, it is adjacent to Thai Ha Bridge and Hung Ha Bridge, providing convenient access to Hung Yen, Hai Duong, Thai Binh, and Hai Phong.

The unique geographical position of Thai Ha Industrial Park at the intersection of Ninh Binh, Thai Binh, and Hung Yen provinces facilitates the efficient transportation and circulation of goods by both road and waterways, with convenient access to seaports. This advantageous location positions Thai Ha Industrial Park as a key driver for economic development in the “three-point stance” area. With the completion of its technical infrastructure, the industrial park is expected to attract both domestic and foreign investors.

III. Infrastructure of Thai Ha Industrial Park

The Ly Nhan 110kV/22kV transformer substation supplies power to Thai Ha Industrial Park, with a capacity of 80 MVA. Phase 1 of the park has a power supply capacity of 22 MVA, and 22kV power lines connect each land plot.

Currently, clean water is sourced from the Chan Ly plant, but plans aim to obtain it from the Dao Ly plant, starting with a capacity of 4,000 m3/day and night.

Wastewater management relies on a centralized treatment system with a Phase 1 capacity of 2,050 m3/day and night. It meets Vietnam’s environmental standards for treating wastewater from column B to column A before discharge.

Thai Ha Industrial Park boasts a closed and spacious internal road network. The main axis is 36 meters wide (road width: 22.5 meters), while branch roads range from 18.25 meters to 21.25 meters wide (road surface width: 11.25 meters).

The park provides a communication system that enables connectivity according to investors’ needs through culverts and technical cable pipes.

The park utilizes a firefighting water supply system for fire protection. The system consists of D110 mm water pipes along the roads, with firefighting hydrants positioned at intervals of 120 to 150 meters/truss.

To prevent local flooding, the park’s minimum elevation is +3.0 meters. Additionally, a T4 drainage system, 17 meters wide, ensures efficient stormwater drainage.

IV. Land Rental Costs and Investment Incentives

The infrastructure usage fee for Thai Ha Industrial Park is $75/m2 until 2069, which may vary based on location and plot size.

The management and maintenance fee for infrastructure is 11,600 VND/m2/year ($0.5/m2/year).

Currently, land rental fees are exempt for projects operating in the industrial park, ranging from 3 to 15 years depending on the investment sector. Afterward, the rental fee will be determined by Ninh Binh Province.

Clean water supply is priced at 11,500 VND/m3, subject to the decision of Ninh Binh Provincial People’s Committee.

Electricity supply prices follow EVN’s tariff, ranging from 1,555 VND to 2,871 VND/KWh.

The wastewater treatment fee is 11,000 VND/m3 ($0.478/m3), calculated based on 80% of the volume of clean water used.

Please note that the above prices do not include VAT and are subject to change without prior notice.

V. Investment Incentives in Thai Ha Industrial Park

Corporate income tax incentives are provided by Thai Ha Industrial Park, with a 100% exemption for the first 2 years and a 50% tax reduction for the following 4 years.

Additionally, businesses importing goods to establish fixed assets in the park benefit from import tax exemptions.

To facilitate labor recruitment, projects operating within Thai Ha Industrial Park receive support in job postings and labor introduction from Ninh Binh Province.