HANOI - SENIOR Minister Goh Chok Tong says the third Vietnam-Singapore Industrial Park (VSIP) in Bac Ninh province will differ substantively from the two earlier ones which are in the southern industrial province of Binh Duong, near Ho Chi Minh City.
Speaking at the park's ground-breaking ceremony, Mr Goh said: 'It is not only a Singapore-style industrial park, but also a township that caters to Vietnam's growing needs for affordable quality housing and improved urban infrastructure.'
Mr Goh said he is confident that VSIP-Bac Ninh will make a significant contribution to Vietnam's urbanisation and growth.
The new 700ha park, a joint venture between Sembcorp Parks Holdings and Vietnam's Becamex Corporation, is strategically sited near the capital and its airport, and also linked by highway to the deep sea port of Haiphong and the Chinese border.
Ms Low Sin Leng, executive chairman of Sembcorp, said the speedy approval of the park project reflected strong backing by the Vietnamese authorities and also indicated Singapore's confidence in Vietnam's robust economy.
Singapore is now Vietnam's fourth largest trading partner, while Vietnam is Singapore's 19th top trading partner. Total trade between the two nations exceeded US$11 billion (S$15.9 billion) last year.
Indeed, this third industrial park, and a fourth which will be launched near Haiphong next year, will help maintain the current momentum of Singapore's strong economic ties with Vietnam.
Already, said Ms Low, the two southern industrial parks have attracted a total investment of US$2 billion and created around 75,000 jobs.
And since Mr Goh helped foster their successful creation when he was prime minister, Ms Low said his presence at the launch of the new park was 'our good luck charm'.
At the ground-breaking event, Vietnam's Deputy Prime Minister Hoang Trung Hai also praised Singapore as one of his nation's leading trade partners and investors.
Said Mr Hai: 'Currently, there are more than 500 Singapore-invested projects in Vietnam worth US$9.7 billion.'
Such is the mood of bilateral optimism that 15 companies have already made commitments worth US$300 million to invest in the new park.
Mr Goh said he was struck by the rapid changes that have occurred since he last visited Vietnam four years ago.
'I could feel the vibrancy of the city and the optimism of the people,' he said, adding that Vietnam might enjoy double-digit growth for several years given its fast growing economy.
However, as he did on Monday during his talks with Prime Minister Nguyen Tan Dung, Mr Goh stressed that Vietnam must be ready to face new challenges caused by globalisation and growing urban drift.
He stressed that Hanoi must keep a watchful eye on inflation and balance the needs of rural and city folks.
Soaring inflation in Vietnam, expected to hit double figures this year, has caused public discontent.
Said Mr Goh: 'These are daunting tasks which Vietnam has to tackle.'
And in tackling them, Mr Goh said: 'Where Vietnam finds our development experience useful, we are happy to share them so that Vietnam does not have to reinvent the wheel.'
Later in the day, Mr Goh met Mr Nong Duc Manh, General Secretary of the ruling Communist Party, and in the evening, he again met Prime Minister Nguyen Tan Dung over dinner.
Today Mr Goh will travel to Vietnam's historic city of Hue in the central region.
