Connecting logistics development in Dong Nai

Dong Nai is widely regarded as a locality with the conditions needed to rigorously develop its logistics services sector. However, in recent years, the development of logistics services has not kept pace with socio-economic growth or business needs.

Experts believe that comprehensive planning, stronger regional linkages, closer cooperation among enterprises, and high-quality workforce development are essential to transforming logistics into a key economic sector of Dong Nai City.

Comprehensive planning for logistics development

Dong Nai is home to dozens of large-scale industrial parks and possesses significant transportation advantages. The city is developing into a major logistics gateway with: the future Long Thanh International Airport, serving as a global aviation hub; the deep-water Phuoc An Port, directly connected to the Cai Mep–Thi Vai port system; an expanding network of interregional expressways; major railway stations along the North–South railway corridor; and the Hoa Lu International Border Gate and multiple border crossings connecting Vietnam and Cambodia. These assets create favorable conditions for establishing cross-border trade corridors and integrated logistics networks.

Loading and unloading activities at Tan Cang - Nhon Trach.

Despite significant investments in transportation and trade infrastructure, logistics services still face several challenges. Connectivity among transportation modes remains incomplete, while logistics and export-import costs remain relatively high, creating difficulties for both service providers and manufacturers.

With the emergence of strategic infrastructure projects such as Long Thanh Airport, seaports, expressways, and industrial parks, logistics development must be organized around production zones, industrial clusters, and economic centers. Areas with strong industrial activity should develop logistics services tailored to manufacturing needs, while locations with ample land and strong connectivity can evolve into major distribution and transshipment hubs.

Accordingly, in the new phase, Dong Nai's logistics development cannot stop at building more warehouses and wharves, or at connecting transportation routes. More importantly, a logistics system capable of effectively serving the entire supply chain must be formed. Tran Thanh Hai, Deputy Director General of the Agency of Foreign Trade under the Ministry of Industry and Trade, commented that Dong Nai plays an important role in Vietnam's logistics map. The Strategy for the Development of Vietnam’s Logistics Services for the 2025–2035 period, with a vision to 2050, has been promulgated. Dong Nai needs to plan logistics development in a synchronous, aligned manner with Vietnam's general orientation.

According to Vu Ngoc Long, Member of the Dong Nai City Party Committee and Director of the Dong Nai City Department of Industry and Trade, the key issue in logistics planning is to foster connectivity rather than develop facilities separately. A logistics center is effective only when it is part of a network for the transportation, production, and consumption of goods. Dong Nai is carrying out its planning tasks, including those for the logistics sector. The industry and trade sector and relevant city agencies are seeking input from experts, industry organizations, and service businesses to help Dong Nai gain a comprehensive perspective and identify sound solutions for planning and development.

Building a complete logistics ecosystem

Nguyen Thanh Han, Chairman of the Dak Lak provincial Logistics Association, shared that the northern region of Dong Nai is connected to and has spillover effects on the western region of Lam Dong and Dak Lak. This area should be designated as a logistics hub for Lam Dong and Dak Lak for the processing, storage, and preservation of agricultural products. It is a geographically advantageous area for attracting agricultural product processing enterprises to invest and develop logistics services. With appropriate mechanisms and policies to attract investment, enterprises investing in the area will create momentum for economic development across the entire adjacent region mentioned above.

According to experts, to promote effective regional linkages, Dong Nai and neighboring localities need to focus on building close cooperation mechanisms, upgrading and developing transport infrastructure, strengthening connectivity, and expanding logistics services. They also need to upgrade and develop systems to support vessel entry into ports, cargo handling systems, transit cargo service systems, warehousing systems, and domestic transport linkage systems, among others.

For businesses operating and providing logistics services, connecting with one another and leveraging each other's strengths are crucial to improving business efficiency. For example, Saigon Newport Corporation and Phuoc An Port have recently strengthened their connections and cooperation, contributing to the formation of a cohesive seaport and logistics ecosystem, enhancing supply chain connectivity and creating new development momentum for Dong Nai. Pham Thi My Le, Deputy Marketing Director of Saigon Newport Corporation, said this is not only operational cooperation but also a linkage within an integrated logistics ecosystem. The combination of Saigon Newport's capabilities and network with Phuoc An Port's potential and strategic location will deliver significant value to customers, shipping lines, and import-export businesses, while optimizing logistics costs and leveraging the advantages of regional linkages.

According to Nguyen Duy Hung, Standing Vice Chairman of the Dong Nai Logistics Association, most logistics service providers remain small-scale and lack large entities. During their initial investment, businesses have not paid sufficient attention to linkages and cooperation to jointly tap cargo sources. To develop a logistics ecosystem for the locality, it is essential to highlight connectivity and collaboration among logistics service providers to optimize costs and cargo sources. This is not only about connections between large entities such as Saigon Newport Corporation and Phuoc An Port. Small and medium-sized enterprises in the area also need to connect to collaborate and move forward together in the long term.

By Vuong The – Translated by Mai Nga, Minho