On August 22, 2023, Deputy Prime Minister Tran Hong Ha signed Decision No. 979/QD-TTg approving the shallow-water port system development plan for 2021 - 2030, with a vision towards 2050 ("Decision 979"). Shallow-water ports are a part of the transportation infrastructure, serving as key hubs in the transportation network, closely linked to the operations of seaports, airports, inland water ports, railway stations, and land border crossings. Alongside the development plans for the seaport system (Decision 1579/QD-TTg), railway network (Decision 1769/QD-TTg), and road network (Decision 1454/QD-TTg) for the period 2021-2030, with a vision towards 2050, the shallow-water port system development plan aims to optimize the import and export of goods for each region and economic corridor. Below are some notable points from Decision 979:
1. Specific objectives for the development of the shallow-water port system for the period 2021-2030, with a vision towards 2050
The specific objective by 2030 is to develop a shallow-water port system capable of handling approximately 25% to 35% of the containerized cargo transport needs along transportation corridors. This involves establishing shallow-water ports and port clusters with a total capacity ranging from 11.9 million TEU (Twenty-foot Equivalent Units) per year to 17.1 million TEU per year.
Specifically, in the northern region, there will be shallow-water ports and port clusters with a capacity of approximately 4.29 million TEU per year to 6.2 million TEU per year. In the central and Central Highlands regions, there will be shallow-water ports and port clusters with a capacity of around 0.9 million TEU per year to 1.4 million TEU per year. In the southern region, there will be shallow-water ports and port clusters with a capacity of roughly 6.8 million TEU per year to 9.5 million TEU per year.
The long-term vision by 2050 is to develop the shallow-water port system into transportation hubs, transshipment centers, and distribution points for goods, integrated with the provision of logistics services. This system should be capable of handling about 30% to 35% of the containerized cargo transport needs along transportation corridors, while also meeting the demand for logistics services in various localities.
2. The priority planning of the shallow-water port system focuses on investing in specific ports along transportation corridors connected to major seaports
The development of shallow-water ports is concentrated in economic regions and economic corridors, with a priority on planning locations that have favorable connections through inland water transport, river-sea transport, highways, and railways to important seaports within seaport groups[1]. Therefore, the development of the shallow-water port system, combined with seaport infrastructure, road networks, and railway connections, will create a highly efficient, synchronized logistics and transportation system. The planning of the shallow-water port system is divided into three regions: the Northern Region, the Central and Central Highlands Region, and the Southern Region. Among these, priority is given to investing in specific shallow-water ports along transportation corridors that connect to major seaports in the Northern Region (Hai Phong seaport) and the Southern Region (Ho Chi Minh City seaport, Ba Ria - Vung Tau seaport).
3. Some mechanisms and policies to achieve the objective of shallow-water port system development
One of the notable aspects of Decision 979 is formulating several solutions and policies aimed at attracting non-budgetary sources of funding, enhancing international cooperation for the development of the shallow-water port system, and implementing the shallow-water port system plan. Here are some specific mechanisms and policies to achieve the objective of developing the shallow-water port system:
a. Enhance mechanisms and policies related to shallow-water ports to encourage and create favorable conditions for economic entities to invest in the construction and management of shallow-water ports through various legal forms, as stipulated by the law.
b. Improve relevant legal regulations to facilitate multimodal cargo transportation to and from shallow-water ports.
c. Implement support and incentive policies related to credit, taxes, prices, fees, technology transfer, and concession of port operation rights.
d. Expand and diversify investment forms, with a focus on promoting socialization, encourage and provide favorable conditions for economic entities of all types to invest in the construction and operation of shallow-water ports through forms as prescribed by the law.
e. Strengthen investment promotion domestically and internationally through incentive policies that facilitate investment and business activities.
f. Implement digital platforms, connect, and share data within the network connecting relevant parties in the supply chain, including shippers, logistics companies, domestic transportation providers, ports, shipping companies, and customs authorities.
g. Implement land policies to support the construction of shallow-water ports; integrate planning for logistics centers, shallow-water ports, and external warehouses into a unified and comprehensive framework.
h. Enhance the connection of the shallow-water port system with the railway and inland waterway transportation network by integrating cargo terminals, ports, and inland water terminals that are suitable for shallow-water ports. Create favorable conditions for connecting railways from shallow-water ports to the national railway network as specified. Remove static obstacles such as river-crossing bottlenecks for inland waterway container transportation.
Decision 979 is effective from August 22, 2023.
[1] As regulated in Decision 1579/QD-TTg by the Prime Minister approving the overall plan for the development of Vietnam's seaport system for the period 2021-2030, with a vision towards 2050.
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