HANOI, April 11 (Xinhua) -- Vietnam should consider removing bottlenecks in transport infrastructure as part of the efforts to develop the logistics sector and facilitate foreign trade in the southern key economic region, according to local experts.
The country should also develop inland waterway ports and foster regional connectivity in this region which consists of Ho Chi Minh City and Dong Nai, Binh Duong, Binh Phuoc, Ba Ria - Vung Tau, Tay Ninh, Long An, and Tien Giang provinces, local newspaper Vietnam News reported on Tuesday.
The region, which accounts for 35 percent of Vietnam's GDP and more than 40 percent of revenues and foreign trade, is in danger of stagnation due to bottlenecks in infrastructure, the newspaper said.
According to Do Xuan Minh, director of a local logistics services center, the compounded annual growth rate of Vietnam's logistics sector is expected to be 5.5 percent in the 2022-2027 period.
But logistics development in the country, especially its southern region, is facing difficulties in terms of infrastructure at ports and roads connecting warehouses, he said.
The lack of mechanisms to create effective intra-regional linkages between localities in the region have affected logistics development and made it difficult to reduce trade costs and time, said Dang Vu Thanh, vice president of the Vietnam Logistics Business Association.
More and more logistics firms have invested in infrastructure, modern warehouses, and technology to help customers optimize time and costs, the newspaper reported, citing the association.
They want the government to make policies and take specific actions to create better infrastructure connectivity with seaports and airports, especially between industrial parks and raw material areas, to facilitate trade and reduce costs, it said. ■
