Ha Noi eyes cutting logistics costs


A corner of Ha Noi Port - The capital city has raised a plan to cut logistics costs. 


HA NOI — Ha Noi has devised a plan to cut logistics costs and improve transport connectivity in the capital city to support investors and businesses.

Under the plan, the capital city aims to integrate logistics services into development strategies of industries.

Logistics centres would be developed along belt roads together with infrastructure systems to ensure connectivity to agricultural and industrial production areas, with warehouse development also key.

The city also hopes to promote co-operation between logistics companies and firms using logistics services.

Supervision will also be enhanced to develop a healthy logistics services market to enhance the competitiveness of firms as well as promote production and business.

The capital city will also build human resources for logistics industry.

Logistics costs in Việt Nam are high, undermining firms’ competitiveness. World Bank statistics showed that logistics costs in Việt Nam account for about a fifth of GDP, compared to 10-14 per cent in developed economies.

According to the municipal Department of Industry and Trade, Ha Noi has significant potential to become a logistics hub, thanks to its huge market and large number of firms.

Statistics of the Viet Nam Logistics Association show that there were about 4,000 domestic logistics firms in Viet Nam, with 1,000 of them operating in Ha Noi.

The capital city in February 2018 approved a project to develop the logistics industry, which set the target that logistics would contribute 9-11 per cent to the Ha Noi’s gross regional domestic product by 2025. — VNS

(Source: vietnamnews.vn)


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