Proposal to Establish an Logistics Center, Inland Port in Hai Duong

According to the proposal by the Vietnam Maritime Corporation, the project for the Logistics Center, Inland Port in Ninh Giang, located in Hong Phuc commune, Hai Duong, is expected to have an annual cargo capacity of 3 million tons.

The Vietnam Maritime Corporation (VIMC) has recently proposed an investment in the construction of an inland port logistics center in Ninh Giang, Hong Phuc commune, Hai Duong province, covering an area of nearly 27 hectares.

According to the proposal by VIMC, the inland port logistics center in Ninh Giang is expected to have a cargo capacity of 3 million tons per year. The total investment for the project is approximately 1,400 billion VND, with a planned operational period of 50 years from the approval of the investment plan.

If approved, the project is set to complete land clearance in the third quarter of 2024 and commence construction in the fourth quarter of 2024.

The purpose of the Ninh Giang inland port logistics center is to meet the transportation, cargo handling, storage, and distribution needs in the region. It will also establish a multi-modal transportation hub, facilitating an attractive environment for investors.

In a related development concerning VIMC’s business operations, the corporation has decided to divest its stake in Hai Au Shipping Company (Sesco, SSG). VIMC plans to offer more than 1.32 million SSG shares, equivalent to 26.46% of the capital, with an initial price of 22,300 VND per share. The auction is expected to take place in the fourth quarter of 2023, with an anticipated revenue of around 30 billion VND if successful.

In 2022, SSG recorded total revenue of nearly 101 billion VND and a post-tax profit of over 58 billion VND, marking a significant increase compared to the previous year. This increase was mainly attributed to the favorable leasing rates for ships.

Thanks to its improved business performance, on May 10th, SSG distributed 18.5 billion VND as dividends for 2022, with a 37% payout ratio to shareholders. For 2023, SSG aims to achieve total revenue exceeding 49 billion VND and post-tax profit of over 15.6 billion VND, representing a 49% and 73% reduction compared to 2022 figures, respectively.

The Vietnam Maritime Corporation (VIMC) was established on April 29, 1995, with the goal of becoming the leading integrated maritime logistics group in Vietnam. By 2025, VIMC anticipates consolidated revenue of 13,081 billion VND and pre-tax profit of 2,083 billion VND.

In its revenue structure, port operation revenue is the primary income source, accounting for 65% of total revenue, with an average growth rate of around 6.6% per year. Maritime transport operation revenue contributes 27% of total revenue, while maritime services revenue makes up 12% of total revenue.

By 2030, VIMC aims to maintain its position as the number one maritime company in Vietnam, with a strong brand and high competitiveness in the Asian region and global operations.

Regarding maritime transport, by 2025, VIMC’s fleet is expected to reach a cargo capacity of around 1.5 million DWT, representing approximately 20% of the total cargo capacity of Vietnam’s maritime fleet. Specifically, the development of the container fleet is targeted to reach a capacity of about 200,000 DWT (16,000-20,000 TEUs), equivalent to 30% of the container fleet capacity in Vietnam. Inland container transportation is expected to capture a 25% market share, securing the top position in the domestic container transport sector.

On average during the period of 2021-2025, VIMC’s maritime transport volume is projected to reach about 17.7 million tons per year, generating approximately 4,543 billion VND in annual revenue, with an average decrease of around 10% per year due to VIMC’s strategy of selling and retiring vessels. The profit from maritime transport is expected to reach about 770 billion VND per year.


Source: Quang Toan (TTXVN/Vietnam+)