French delegation visits Savan Park to explore further investment opportunities

Date: 06, Jun, 2018   Time: 2:45 pm
At Savan Park’s offices.

At Savan Park’s offices.

A visit to the dry port.

A visit to the dry port.

 

 

 

 

 

 

Exchange of gifts with the Governor of Savannakhet province, Mr Santiphab Phomvihane.

Exchange of gifts with the Governor of Savannakhet province,
Mr Santiphab Phomvihane.

 

At Savan Park’s offices, in the presence of the Governor of the SEZ, Mr Thongsay Sayavongkhamdy.

At Savan Park’s offices, in the presence of the Governor of the SEZ, Mr Thongsay Sayavongkhamdy.

 

 

 

 

 

 

 

Visit to Essilor.

Visit to Essilor.

Visit to Celestica.

Visit to Celestica.

 

 

 

 

 

 

 

From May 28 to 30, 2018, a French delegation led by the Ambassador of France to Laos, Mrs Claudine Ledoux,visited Savannakhet province to encourage French investments in the province’s Special Economic Zone.

Mrs Ledoux was accompanied by her economic advisers and several recognised French entrepreneurs in Laos, including the Director of Savan Logistics Co., Ltd., Mr Jean-Pierre Grzelczyk.

In addition, Mr Jean- François Goumy, Director of the Business France office based in Bangkok also made the trip. Business France is responsible for fostering export growth by Frenchbusinesses, facilitating international investment in France. It promotes France’s companies, business image and nationwide attractiveness as an investment location.

 Upon arrival, the French Ambassador met with Lao regional authorities. Savannakhet provincial Governor Mr Santiphab Phomvihane had a qualitative exchange with Mrs Ledoux. The delegation then went to Savan Park, led by the Governor of the SEZ, Mr Thongsay Sayavongkhamdy and the Savan Pacifica Development team, who introduced them to the development of the Special

Economic Zone. The French delegation visits Savan Park to explore further investment opportunities delegation was able to see the strategic importance of the Savan Seno Special Economic Zone.

Savan Park is a 235-hectare industrial hub, part of the Savan Seno Special Economic Zone and operated by a joint venture between the Lao government and a Malaysian company, Savan Pacifica Development Co. Ltd.

Strategically situated along the EWEC (East- West Economic Corridor), it is ideally located along Road No. 9 in Savannakhet province, just 2km from

the Second Friendship Bridge and only 5km from the international airport in Kaysone Phomevihane City.

Tax incentives offered by the Lao government on VAT, profit tax, import tax and personal income tax, and competitive salaries have already attracted 53 companies, and more and more investments should come in the fields of industrial manufacturing and raw materials value added processing, service oriented businesses, duty-free goods, transportation and commercial complexes.

The French delegation learnt about the quality and diversity of the services provided within the zone, such as affordable and abundant electricity and water, including a newly commissioned 115/22kV substation installed by EDL.

Administrative procedures are simplified by the One Stop Service which allows companies to obtain a business licence within five days.

The Dry Port, the Free- Trade Zone Facility and the On-Site Customs House operated by Savan Logistics Co., Ltd., directed by Mr Jean-Pierre Grzelczyk, were identified by the delegation as true assets for companies looking to export products from Laos. The company indeed grew about 25 percent last year and should encounter the same success in 2018.

The Ambassador then visited the Essilor factory, an example of technical expertise and social engagement within the country towards their programme ‘Improving Sights, Improving lives’.
Essilor International S.A. is a French company that produces ophthalmic lenses along with ophthalmic optical equipment. The factory opened in 2014 and now employs 148 workers who were first trained by the company. It produces about 10 million glasses per year and should increase that number in the following years.

This visit, followed by a visit to the Canadian company Celestica, which provides electronics manufacturing services, confirmed the success of the companies operating in Laos and benefiting from the services of Savan Park and Savan Logistics.

France has ambitions to reinforce its presence in Laos and identifies Savan Park as a source of opportunities for its companies to develop their activities in the country. The first non-Asiatic investor in Laos and the seventh worldwide, France has made some quality investments in the past, such as the Nam Theun 2 dam and Banque Franco-Lao Ltd., and is now willing to move forward by encouraging investments in the industrial sector in Laos’ special economic zones.

 

Source: Vientiane Times Issue 129 (06 June 2018) Pg. 9