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
S Korea chaebol Lotte eyes hypermarket in northern Vietnam

S Korea chaebol Lotte eyes hypermarket in northern Vietnam

South Korean conglomerate Lotte is eyeing projects in Thai Nguyen province, an industrial hub in northern Vietnam, firstly a hypermarket.

Industries - Thu, March 27, 2025 | 12:15 pm GMT+7

Dubai-based PDSI eyes $2.6 bln investment in tourism-golf course project in central Vietnam

Dubai-based PDSI eyes $2.6 bln investment in tourism-golf course project in central Vietnam

PDSI Group, a Dubai-based real estate and consulting firm, has expressed interest in developing a $2.6 billion commercial, tourism, and golf course complex in Binh Thuan, a south-central coastal province of Vietnam.

Real Estate - Thu, March 27, 2025 | 11:38 am GMT+7

S Korea's SK set to divest from Vietnam's giant Vingroup

S Korea's SK set to divest from Vietnam's giant Vingroup

South Korean chaebol SK Group is set to divest from Vietnamese conglomerate Vingroup, according to the former’s annual report 2024.

Companies - Thu, March 27, 2025 | 11:30 am GMT+7

StanChart adjusts USD/VND exchange rate forecast amid changing economic trends

StanChart adjusts USD/VND exchange rate forecast amid changing economic trends

Standard Chartered Bank has adjusted its USD/VND exchange rate forecast, reflecting shifts in global and regional economic conditions.

Economy - Thu, March 27, 2025 | 9:29 am GMT+7

Fund inflows help stabilize Vietnam's stock market: analyst

Fund inflows help stabilize Vietnam's stock market: analyst

As fund inflows are typically long-term investments, they play a key role in stabilizing Vietnam's stock market and preventing sharp fluctuations, according to Nguyen Duy Anh, Chartered Financial Analyst (CFA) at Vietcombank Fund Management Co., Ltd. (VCBF).

Finance - Thu, March 27, 2025 | 8:30 am GMT+7

VSIP begins work on industrial park project in northern Vietnam province Thai Binh

VSIP begins work on industrial park project in northern Vietnam province Thai Binh

Construction of the Vietnam-Singapore Industrial Park (VSIP) Thai Binh commenced on Wednesday in northern Vietnam, with the witness of Vietnamese Prime Minister Pham Minh Chinh and his Singaporean counterpart Lawrence Wong.

Industrial real estate - Wed, March 26, 2025 | 10:41 pm GMT+7

Vingroup starts building mega urban project in Vietnam's Mekong Delta

Vingroup starts building mega urban project in Vietnam's Mekong Delta

Vietnam’s leading private conglomerate Vingroup on Wednesday embarked on construction of the VND28 trillion ($1.1 billion) Vinhomes Green City, the first mixed-use urban development in its ecosystem in the Mekong Delta province of Long An.

Real Estate - Wed, March 26, 2025 | 10:11 pm GMT+7

Indonesia, China cooperate in digital technology

Indonesia, China cooperate in digital technology

Indonesia and China are expanding cooperation in the field of AI to promote digital transformation, especially in the fields of agriculture and smart cities.

Southeast Asia - Wed, March 26, 2025 | 10:01 pm GMT+7

Indonesia decides to join BRICS New Development Bank

Indonesia decides to join BRICS New Development Bank

Indonesian President Prabowo Subianto has announced the Government's decision to become a member of the New Development Bank (NDB), a multilateral development bank established by the five founding member states of the BRICS group.

Southeast Asia - Wed, March 26, 2025 | 9:57 pm GMT+7

Major Vietnamese broker SHS to double charter capital

Major Vietnamese broker SHS to double charter capital

Saigon-Hanoi Securities Corporation (SHS) plans to issue 894 million shares to increase its charter capital from VND8.13 trillion to VND17.07 trillion ($667.6 million), making it one of the top three securities firms in term of charter capital.

Companies - Wed, March 26, 2025 | 8:30 pm GMT+7

Elon Musk company okayed to pilot Starlink satellite internet service in Vietnam

Elon Musk company okayed to pilot Starlink satellite internet service in Vietnam

Vietnam has allowed the U.S.'s SpaceX to pilot Starlink low-orbit satellite internet service in the country on a pilot basis until January 1, 2031.

Industries - Wed, March 26, 2025 | 5:18 pm GMT+7

Danish toymaker Lego to open $1.3 bln Vietnam plant next month

Danish toymaker Lego to open $1.3 bln Vietnam plant next month

Denmark's Lego will officially open its factory in VSIP III Industrial Park in Vietnam's southern province of Binh Duong on April 9.

Industries - Wed, March 26, 2025 | 4:18 pm GMT+7

Top Singaporean firms earn high incomes in Vietnam

Top Singaporean firms earn high incomes in Vietnam

Singapore is the second-biggest foreign investor in Vietnam, with over $84 billion in registered investment capital as of end-January and many prominent investors raking in high incomes.

Companies - Wed, March 26, 2025 | 3:45 pm GMT+7

Vietnam, Singapore ink significant deals in Hanoi

Vietnam, Singapore ink significant deals in Hanoi

Vietnamese Prime Minister Pham Minh Chinh and his Singaporean counterpart Lawrence Wong on Wednesday witnessed the signing of many cooperation deals between agencies and enterprises of the two countries.

Economy - Wed, March 26, 2025 | 2:51 pm GMT+7

Vietnam's major policies are reshaping economic development

Vietnam's major policies are reshaping economic development

Major policies are reshaping Vietnam's approach to economic development, which focuses on science, technology, and private enterprises, said a leader at the Vietnam Chamber of Commerce and Industry (VCCI).

Economy - Wed, March 26, 2025 | 12:11 pm GMT+7

PM okays over $10 bln urban area project in central Vietnam

PM okays over $10 bln urban area project in central Vietnam

The over VND260.3 trillion ($10.16 billion) Cam Lam New Urban Area project in the south-central province of Khanh Hoa has received in-principle approval from Prime Minister Pham Minh Chinh.

Real Estate - Wed, March 26, 2025 | 8:58 am GMT+7