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Da Nang City (photo: Ho Giap)

Da Nang People’s Committee has sent a statement to the Ministry of Planning and Investment for appraisal before being submitted to the PM for approval of the establishment of an FTZ in Da Nang.

The FTZ is expected to include approximately 300 hectares of reclaimed sea. The city has not announced the specific location of the reclamation but said it is conducting research and comprehensive appraisal to determine investment orientation and timeline.

Many questions about the development of an FTZ based on reclaimed sea were raised at the fourth quarter press conference held on December 20. Da Nang authorities plan to implement the project on a trial basis for five years, and it is unclear if the encroachment on sea work can be completed for the FTZ development. And what will happen with marine space for people?

In reply, Tran Chi Cuong, Vice Mayor of Da Nang, said the city is piloting the project on an FTZ development under the spirit of the National Assembly’s Resolution 136.

Da Nang is the first locality in the country to develop an FTZ with an expected trial duration of five years. The trial period will provide information to perfect the legal framework, so as to develop more FTZs in other cities and provinces, such as Ba Ria – Vung Tau, Hai Phong and HCM City. 

MPI is consulting with with other relevant ministries and branches on a plan on FTZ development.

Regarding the proposal on sea encroachment, Cuong confirmed that while considering other places for FTZ, the local authorities are considering encroaching on the sea to have more space.

“The proposal on sea encroachment was included in the plan after discussing with many experts,” he said.

“If the proposal gets the nod from the central level and gets approval from the Prime Minister, Da Nang will conduct further research, consult with experts and organize seminars and carry out other necessary activities to develop the project,” Cuong said, stressing that developing an FTZ on reclaimed sea needs thorough consideration.

Cuong said that the trial duration is five years, but this doesn’t mean that FTZ development will stop after the trial period. Resolution 136 clearly stipulates that after the trial period, if project items remain unfinished, they will continue to be implemented.

“The principle is forming, sustaining, developing, and effectively exploiting an FTZ. Da Nang will pursue the development plan with strong determination. We won’t deploy the plan for just five years and abandon the project if the plan cannot be completed and turn the land into a deserted area,” he said.

Ho Giap