High expectations for seaport development in Mekong Delta

By Thien Ky, Minh Hue
Sat, December 23, 2023 | 9:44 am GMT+7

The Mekong Delta boasts huge potential to develop logistics services thanks to strong economic development in recent years, with large volumes of seafood, rice, fruits, textiles and garments shipped to regions across the country and foreign markets.

However, despite a long coastline as well as two main branches of the Mekong River - the Tien and the Hau - flowing through, the region still does not have a large port to serve domestic and international trade, said Tran Thanh Hai, deputy head of the Ministry of Industry and Trade's (MoIT) import-export department.

Hai pointed out that although it is a hub of agricultural and aquatic products, especially shrimp, fish, rice, and fruits, regional goods must transit at ports in Ho Chi Minh City and Ba Ria-Vung Tau province, increasing time and costs as well as putting pressure on the road network.

Each year the Mekong Delta handles about 20 million tons of goods, with 70% being transported by road to HCMC and southeastern provinces for export at very high costs, he added.

Boats dock at Tran De port, Soc Trang province, southern Vietnam. Photo courtesy of Soc Trang newspaper.

Boats dock at Tran De port, Soc Trang province, southern Vietnam. Photo courtesy of Soc Trang newspaper.

Bottlenecks in logistics development

According to the MoIT official, the Mekong Delta boasts many rivers and canals, making it convenient for waterways but hindering road and rail transport.

"On roads, many large bridges have been built such as My Thuan, Can Tho, Rach Mieu, Vam Cong, Ham Luong and Co Chien, contributing to shortening the distances between localities in the region, but railways are still not available in the region," Hai noted.

Notably, waterways have many advantages. The Hau River is deep enough to accommodate large ships, but estuaries such as Dinh An in Tra Vinh province and Tran De in Soc Trang province have become sandbanks due to alluvial deposits. Therefore, ships cannot pass through the river mouth and upstream.

High hopes for large-scale seaports

Recently, many researches have been made on seaport development in the Mekong Delta. They have proposed building a floating port outside the Dinh An estuary in Tra Vinh province, a port off the coast of Dai Ngai, Soc Trang province, and Hon Khoai port in Ca Mau province, Nam Du port in Kien Giang province, and a coal transshipment port in Tra Vinh province.

However, according to Hai, they have not selected suitable locations or proposed solutions to meet the region's long-term development requirements.

Taking into account the criteria of transportation distance, site clearance, transportation costs, maintenance and transportation connections, Tran De of Soc Trang province is the most advantageous location, with the highest score of 62 points in terms of comparative advantages, he said.

Tran De holds the most favorable conditions as it boasts inland waterway and road connections to Can Tho city, the heart of the region, as well as to other provinces in the region to serve container ships of up to 100,000 tons and bulk carriers of up to 160,000 tons, he explained.

"If the Prime Minister agrees to add Tran De port to the national seaport development plan in the 2021-2030 period with a vision to 2050, and the province successfully calls for investment, Tran De port will accommodate large ships of over 100,000 tons to form long-distance shipping routes, serving the Mekong Delta region’s import and export of goods," Hai said.

In addition, Hon Khoai port in Ca Mau province could become the focus of logistics development in the region. With an area of 460 hectares, 15km from the mainland to the southern coast, and a water depth of 16-20 meters, Hon Khoai has favorable conditions to become an international transshipment port and a goods gathering point for not only the Mekong Delta but also neighboring countries for shipping to other parts of the world. Especially, if Thailand's Kra canal project is implemented, Hon Khoai will have more advantages for development.

Currently, Cho Gao canal in Tien Giang province is also an important waterway for transporting goods from the Mekong Delta to HCMC, according to Hai.

On the other hand, the Mekong Delta shares a border with Cambodia, so waterway transportation via the Tien and Hau rivers to the northern and northeastern provinces of Cambodia will be closer and cheaper than shipping from Sihanoukville port, he added.

Hai noted that when Cai Cui port in Can Tho is put into operation, it can connect directly with Singapore ports and Port Klang of Malaysia to become a goods transshipment and distribution point for maritime routes in the Indochinese region.

Located near the sea gate, Long An port will be capable of receiving large ships bringing goods in and out of the Mekong Delta and the south of Can Tho city, Hai added.

Comments (0)
  • Read More
Vietnam needs large, specialized logistics centers to compete better: official

Vietnam needs large, specialized logistics centers to compete better: official

Vietnam needs large-scale, specialized logistics centers that will enable greater competitiveness of local economies and enterprises, says Tran Thanh Hai, deputy head of the Ministry of Industry and Trade's agency of foreign trade.

Economy - Sun, November 3, 2024 | 11:00 am GMT+7

Vietnam manufacturing sector sees 35% increase in Q3 job orders: Adecco

Vietnam manufacturing sector sees 35% increase in Q3 job orders: Adecco

Vietnam’s manufacturing and sourcing sectors saw a substantial 35% year-on-year increase and a 52% quarter-on-quarter increase in Q3/2024 job orders, global workforce solutions provider Adecco said in a reseach report released Thursday.

Economy - Sun, November 3, 2024 | 9:00 am GMT+7

Construction majors to continue capitalizing on public investment projects

Construction majors to continue capitalizing on public investment projects

Vietnamese construction giants are expected to continue capitalizing on public investment projects for the remainder of this year after delivering strong performances in the third quarter, analysts say.

Companies - Sun, November 3, 2024 | 8:00 am GMT+7

Former Government Office chairman receives $7,900 bribe from property project

Former Government Office chairman receives $7,900 bribe from property project

Mai Tien Dung, former Minister-Government Office Chairman, received a bribe worth VND200 million ($7,900) from Nguyen Cao Tri, owner of the Dai Ninh eco-resort and urban area project in Lam Dong province.

Society - Sat, November 2, 2024 | 9:13 pm GMT+7

Thai food giant CP enters public-private partnership to promote food system transformation

Thai food giant CP enters public-private partnership to promote food system transformation

Thai-invested C.P. Vietnam Livestock JSC and the Partnership for Sustainable Agriculture Vietnam (PSAV) signed a memorandum of understanding Friday on working together to advance sustainable agriculture in the country.

Companies - Sat, November 2, 2024 | 7:16 pm GMT+7

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Vietnam’s central province of Quang Ngai will work with the investor to have construction of VSIP II Quang Ngai, a facility based on the Vietnam-Singapore Industrial Park (VSIP) model, begin in August 2025.

Industrial real estate - Sat, November 2, 2024 | 3:47 pm GMT+7

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

VinaCapital, among the biggest foreign-run asset managers in Vietnam, has forecast the country’s economy to achieve 6.5% growth in both 2024 and 2025, with the composition of the expansion to change to more domestically driven factors next year.

Economy - Sat, November 2, 2024 | 2:00 pm GMT+7

Major Vietnamese developer Novaland appoints new CEO

Major Vietnamese developer Novaland appoints new CEO

Duong Van Bac, who joined Novaland as chief financial officer in August 2023, has been appointed general director, starting Friday.

Companies - Sat, November 2, 2024 | 10:24 am GMT+7

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Ho Chi Minh City-based Bamboo Capital Group recorded an after-tax profit of VND331.2 billion ($13.1 million) in the third quarter of 2024, an astounding 36-fold expansion year-on-year.

Southeast Asia - Sat, November 2, 2024 | 9:41 am GMT+7

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

Vietnam Beverage, wholly owned by Thai Beverage (ThaiBev) will rake in VND1,374 billion ($54.26 million) worth of dividend from Ho Chi Minh City-based top brewer Sabeco.

Companies - Sat, November 2, 2024 | 9:13 am GMT+7

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Leading Vietnamese steelmaker Hoa Phat had invested more than VND52.5 trillion ($2.08 billion) in its Dung Quat Iron and Steel Integrated Complex (Dung Quat 2) in the central province of Quang Ngai as of Q3/2024.

Industries - Sat, November 2, 2024 | 8:00 am GMT+7

Vietnam becomes Australia’s fastest-growing inbound market

Vietnam becomes Australia’s fastest-growing inbound market

The number of Vietnamese tourists to Australia has grown significantly after the Covid-19 pandemic, with nearly 178,000 reported in the 12 months to August 2024, according to a Friday press release by the Australian Minister for Trade and Tourism’s Office.

Southeast Asia - Fri, November 1, 2024 | 10:02 pm GMT+7

Study finds shift in Thai consumers’ spending patterns

Study finds shift in Thai consumers’ spending patterns

Consumers in Thailand are shifting their spending focus to experiences and investments, according to the latest ASEAN Consumer Sentiment Study (ACSS) by United Overseas Bank (UOB).

Southeast Asia - Fri, November 1, 2024 | 10:00 pm GMT+7

Energy security, digitalization key to Indonesia's economic growth

Energy security, digitalization key to Indonesia's economic growth

The Indonesian government is prioritizing long-term economic growth through energy security, digitalization, and natural resource industrialization, according to Deputy Minister of Finance Thomas Djiwandono.

Southeast Asia - Fri, November 1, 2024 | 9:58 pm GMT+7

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Prime Minister Pham Minh Chinh’s freshly ended six-day trip to the UAE, Saudi Arabia and Qatar has produced important outcomes, demonstrating the growing relations between Vietnam and the three Middle-East countries, Deputy Prime Minister and Foreign Minister Bui Thanh Son told the Vietnam News Agency.

Politics - Fri, November 1, 2024 | 9:25 pm GMT+7

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam and Qatar have recognized the significant potential for further collaboration in multiple sectors such as energy, oil and gas, especially LNG, agriculture, Halal industry, and banking.

Politics - Fri, November 1, 2024 | 9:02 pm GMT+7