Material supply largely secured for key projects

After multiple directives from the Prime Minister and Deputy Prime Ministers, Dong Nai province has proactively implemented measures to regulate and allocate mineral resources for the construction of key projects.

Mineral processing at the Thien Tan quarry cluster in Tan Trieu commune. Photo: Hoang Loc.

So far, most projects across the province have been assured of an adequate supply of materials, making an important contribution to keeping investment progress on schedule.

Proactive regulation to stabilize supply

To meet the urgent need for construction materials, since February 2025, Dong Nai has established two inter-agency task forces led by Member of the Provincial Party Committee and Vice Chairwoman of the Provincial People’s Committee Nguyen Thi Hoang. These include the team that monitors and regulates the progress of material supply, and the team that supports legal procedures for enterprises engaged in mineral extraction. In addition, a rapid response group has been set up to promptly address obstacles arising during implementation.

Based on registered demand from project management boards and investors, the Provincial People’s Committee has allocated construction stone and leveling materials by quarry and by project package. As a result, key projects have gradually stabilized their supply sources, ensuring construction materials and minimizing delays or disruptions.

Several major projects have received allocations in line with demand. Notably, Long Thanh International Airport has been supplied with more than 4.9 million cubic meters of construction stone; the Bien Hoa – Vung Tau Expressway, around 1.5 million cubic meters; and Ho Chi Minh City’s Ring Road 3 section passing through Dong Nai, about 0.6 million cubic meters. In addition, approximately 1 million cubic meters have been allocated to public investment projects in the province, and about 1.7 million cubic meters to key projects in the Southern region.

Since 2024, the Provincial People’s Committee has approved special mechanisms for 10 stone quarries, while granting licenses for leveling materials at two sites and additional permits for seven locations exploiting Group IV minerals to serve key projects.

To further increase supply, the province has allowed 10 quarries to raise their extraction capacity under special mechanisms, thereby accelerating project progress, including the target of basically completing Phase 1 of Long Thanh International Airport by the end of 2025.

Regarding fill soil, by March 2026, Dong Nai had licensed nine sites under special mechanisms, totaling about 4.7 million cubic meters for key transport projects. Meanwhile, through adjustments to quarry licenses, nearly 9.2 million cubic meters of leveling soil have been recovered from overburden removal, adding to the overall supply.

According to Nguyen Ngoc An, Director of An Phat Cooperative, which invests in Tan Cang 7 and Tan Cang 9 quarries, the easing of legal procedures, along with permission to increase capacity and recover soil, has enabled enterprises to organize production proactively. The cooperative has prioritized signing contracts and supplying materials for key projects as regulated by the province, while maintaining stable prices throughout 2025.

Thanks to proactive governance and cooperation from enterprises, mineral supplies for national key projects have been largely secured, helping sustain the pace of public investment.

Gradual reduction of direct market intervention

Despite positive results, the regulation of mineral supply has revealed several bottlenecks. In particular, some investors and contractors have shown a degree of complacency. Although sufficient volumes have been allocated, delays in contract signing, material receipt, and transportation have left mining enterprises struggling to plan production, often requiring additional storage space within already limited quarry areas.

At Long Thanh International Airport, although more than 4.9 million cubic meters of stone have been allocated, only about 85% has been contracted. One reason is that certain locally available stone types do not meet the technical requirements, forcing contractors to seek additional sources from other provinces.

Localized shortages have also affected some projects. Pham Duy Nho, Head of Compensation and Site Clearance at Power Project Management Board 3, said the Tri An Hydropower Plant expansion project has encountered difficulties finding stone sources that meet quality standards. The quarries recommended to the project did not meet technical standards, while those with suitable quality were prioritizing supply for other projects and had no surplus remaining.

Nguyen Van Dung, Director of Binh Thanh Production, Trade and Service Cooperative, which operates Thien Tan 3 quarry, noted that prioritizing total output for key projects under the allocation mechanism has prevented suppliers from serving traditional customers, disrupting existing supply chains. This challenge, in turn, has led to shortages for civil works and local socio-economic development projects.

Price disparities have also added pressure. Construction stone prices in Dong Nai are lower than in neighboring localities by 20,000–60,000 VND per ton, depending on type, attracting contractors from other provinces and placing additional strain on supply, thereby affecting allocations for key projects.

In response, the Provincial People’s Committee has proposed that the Prime Minister and relevant ministries allow Dong Nai to discontinue direct allocation of construction stone to individual contractors and project packages in 2026. Instead, intervention would be applied only when national key projects face shortages.

Under the new approach, the province will publicly announce eligible quarries so that investors can proactively negotiate on material types, volumes, and supply schedules. This endeavor is expected to enhance flexibility, reduce administrative pressure, and allow market mechanisms to play a greater role.

Meanwhile, cases involving special extraction mechanisms will continue to be handled in accordance with regulations. Mining enterprises are required to actively respond to demand and coordinate supply within their licensed capacity, while authorities will strengthen inspection and supervision to ensure transparency and compliance.

The shift from direct allocation to supervision and support is considered an appropriate adjustment, helping secure materials for key projects while maintaining market stability in the period ahead.

By H.Loc – Translated by M.Nguyet, Minho