On the afternoon of 24/02/2023, a delegation of CT Strategies Company led by Mr. Andrew Farrelly, Executive Director, took a visit and worked with relevant departments of Hai Phong City.
Overview of the meeting. Photo: Department of Foreign Affairs.
CT Strategies,headquartered in Washington D.C (the USA), is a mediumsized customs and trade consulting Company. CT Strategies Company has a team of experienced professionals across continents, providing technical support and capacity building services in customs modernization, trade facilitation, logistics solutions, port management and non-tariff zone development.
Delegates of CT Strategies Company attended the meeting. Photo: Department of Foreign Affairs.
CT Strategies Company provides strategic consulting services to clients seeking in-depth into consulting services and innovative technology applications for trade facilitation, supply chain security, and port operations. CT Strategies Company has contributed to creating links between people, businesses and government to promote the development of stakeholders. CT Strategies Company’s services are rooted from a deep understanding on international standards, best practices and cultures that enable CT Strategies Company to design sustainable and scalable systems suitable with specific operations of the partners. CT Strategies Company has provided customized services in fields of: risk management techniques and targeting; one-stop mechanism and paperless trade; technological implementation and assessment, information technology, customs and enterprises training; Trade faciliatation agreements (WTO TFA) compliance; border management coordination; free trade zone/non-tariffzone.
According to CT Strategies Company, globally, there are more than 150 countries operating free trade zones with over 4,500 free tradezones and sub-zones, in which Asia accounts for about 450 free tradezones. Sharing experiences gained from success and failure of many free trade zones around the world, CT Strategies Company deeply understand the differences and different needs of local partners in designing, building and development of free trade zones. The success of South Korea, the UK, Costa Rica, Singapore, Indonesia, Malaysia, China, Mexico, etc. in operation and management of free trade zones. Such gained experiences from those countries have shown that promoting foreign investments has been enhance, effective and efficient into those free trade zones. For example, according to IKW’s 2021 report, attraction of foreign investment to South Korea’s free trade zones increased from 1.2 billion USD in 2004 to 13.9 billion USD, 68.6 billion USD, 138.8 billion USD, and 191.9 billion USD in the years of 2008, 2012, 2016 and 2020 respectively. When operating in free trade zones, enterprises enjoy benefits. Indeed, importers will not have to pay taxes immediately, cut shipping fees, reduce financial fees, optimize business capitial flows, and catch up market trends. Meanwhile, export enterprises will be exempt from customs duties, free to use land and factories, easily access raw materials, integrate into oversea markets, and benefit from existing neighboring markets for export production. For businesses operating free trade zone, will benefit from providing services and collecting fees such as customs agency services, transportation, forwarding, logistics, exhibition services, organization of international fairs, vocational and other skills training, land leasing, infrastructure services, wastewater and waste treatment, etc. For localities with free trade zones, there are many benefits such as increasing foreign investment, creating new job opportunities, connecting between local economy and global supply chain, increasing business chances, improving competitiveness of local industry, contributing to economic development, specifilization of local industries and agriculture. At the national level, free trade zones bring benefits such as enhancing national capacity in the region and around the world, implementing international recognized standards, facilitating production of goods and services, export and import of goods, improve the competitiveness of national industries and Vietnam’s brands, create jobs, develop society, thereby promoting sustainable socio-economic development, along with the right direction and right trend of global development.
Delegates took a souvenir photo. Photo: Department of Foreign Affairs
CT Strategies Company is process of preparing to advise projects of free trade zones in localities of Viet Nam such as Da Nang, Khanh Hoa, Ba Ria – Vung Tau, Quang Nam, Can Tho, Lang Son, etc. After listening to presentation of CT Strategies Company, leaders of Hai Phong’s relevant departments who attended the meeting expressed their high appreciation for the research and proposals of CT Strategies Company, at the same time suggested CT Strategies Company to deepen the proposed report, add more data on socio-economic and environmental efficiency achieved from operation, exploration and management of free trade zones. Particularly, to deepen its research on Hai Phong’s own characteristics, port infrastructure system and logistics to propose a suitable model of free trade zone for the city; in which, considering the division of sub-zone enable optimization of advantageous characteristics of location, land scale, logistics, industrial production, and economic development features of the city. Appreciating the useful opinions of relevant departments, CT Strategies Company will conduct a further research and want to cooperate with Hai Phong city in providing advice in design, operation and management of free trade zone as well as calling for capital from reputable finance institutes to implement project in accordance with current laws and regulations./.