VietNamNet Bridge - Can Tho City, the heart of Mekong Delta, has been chosen by the government as the site to build Mekong Delta’s logistics center with total area of 242 hectares in the Cai Cui Port area. 

Can Tho City, the heart of Mekong Delta

Realizing the great potential of Can Tho and Mekong River Delta, foreign investors from India, Thailand and Singapore and domestic investors have been seeking opportunities to develop logistics projects there.

Most recently, Thai Thoresen Group expressed its willingness to buy at least a 65 percent stake in Can Tho Port from Vinalines. If the deal is made, Thoresen will commit to invest $10 million to develop the storage facilities and equipment.

Can Tho City, the heart of Mekong Delta, has been chosen by the government as the site to build Mekong Delta’s logistics center with total area of 242 hectares in the Cai Cui Port area.

However, most of the investors have returned empty-hand.

There are two operating ports in Cai Cui area which are just 200 meters from each other. They are developed by two large enterprises in the logistics sector – Vinalines and SNP.

In order to set up a large port to meet the development needs of a logistics center of the region, Can Tho has been assigned by the Government to set up a joint venture to develop the Cai Cui port complex for logistics activities.

According to Vo Thanh Thong, Can Tho’s Mayor, two options have been suggested, either setting up a joint venture between SNP and Vinaline, in which one party would hold a 51 percent stake, or setting up a joint venture of three parties – SNP, Vinalines (each of which holds 49 percent of stake), and Can Tho City authorities, which would hold a 2 percent stake.

Deputy Prime Minister Vuong Dinh Hue, at his two latest working sessions in Can Tho on the development of the central port in Mekong Delta, said a joint venture should be set up soon to develop logistics activities in Can Tho and Mekong Delta.

“The harbors of the two enterprises (Cai Cui Port managed by Vinalines and Tan Cang Cai Cui by SNP) are just 200 meters from each other. Why don’t the two enterprises cooperate with each other to form up a larger port?” Hue said.

However, the two businesses have shown no interest in the plans. 

According to Tran Huu Hiep from the Southwest Steering Committee, the Mekong Delta has a long coastline of 740 kilometers, but the infrastructure and logistics services in the region remain underdeveloped. 

Under the plan on developing a logistics center system throughout the country by 2020, there will be two second-class logistics centers in Mekong Delta. 

Each of the centers must have a minimum area of 30 hectares by 2020 and 70 hectares by 2030.