Workers make garment products for export in Nha Be Garment and Textile SJC in the southern Hau Giang Province. — VNA/VNS Photo Duy Khuong

The seven projects include a pineapple-juice processing factory, a high-quality farm market, agricultural product preservation factory, fruit-processing factory, a hi-tech agricultural zone in Hau Giang, the Ngoc Hoang Ecological Tourism area, and a seafood cultivation project.

Twelve years after being officially separated from Can Tho City, the province has seen strong economic growth. As of June this year, it had attracted 500 local and foreign investment projects with total registered capital of VND120 trillion ($5.4 billion), a 7.4-fold increase compared to 2004.

Since that time, 3,710 companies with total registered capital of VND43 trillion ($1.9 billion) have invested in the province, according to figures released by local authorities at a conference on investment potential and development held on Monday in Hau Giang.

Each year, the province registers an average of 310 new enterprises, mostly in trade, services and construction. However, investment still remains below potential, with only 27 foreign direct investment projects with total registered capital of $800 million.

Only 15 of the projects are fully foreign invested, with total of $650 million. There are 12 joint-ventures with $165 million registered capital.

At the conference, with 300 provincial government leaders and members of the business community, investment certificates were awarded to four projects with total registered capital of VND4 trillion ($182 million).

The province also awarded merit certificates to 10 enterprises that have made significant contributions to the province's development.

The province plans to give priority to advanced technology in agriculture, food processing, trade and tourism.

Lu Van Hung, chairman of the province's People's Committee, asked local authorities to work with enterprises and create the most favourable conditions for business.

"Whenever enterprises face difficulty, the administration is available to help," Hung said.

Despite facing poor socio-economic conditions, the province is offering enterprises a tax exemption for four years and then a 50 per cent tax reduction for nine years. There will also be tax exemptions and reduced taxes for land use and imports.

Like other provinces in the Mekong Delta, Hau Giang has abundant raw material resources for agriculture and aquaculture, and has a strong labour force.

More than 70 per cent of the province's population is of working age, Hung said.

Located adjacent to Can Tho, the centre of Mekong Delta, Hau Giang can be conveniently accessed, with the Can Tho International Airport, Cai Cui International Airport and major highways.

The province began investing in industrial parks when it was officially established.

It has two industrial parks: Song Hau with 83 per cent occupancy and Tan Phu Thanh with 70 per cent occupancy.

The conference was organised as part of the ongoing Mekong Delta Economic Cooperation Forum.— VNS