THE ECONOMIC DEVELOPMENT SERVICES IN MARINE AREAS, ISLAND IN BA RIA VUNG TAU PROVINCE

ACADEMY
VIETNAM SOCIAL SCIENCES
ACADEMY OF SOCIAL SCIENCES

HO VIET CHIEN

THE ECONOMIC DEVELOPMENT SERVICES IN MARINE
AREAS, ISLAND IN BA RIA - VUNG TAU PROVINCE

Specialized : The Political Economy
Code

: 62.31.01.02

SUMMARY OF ECONOMIC DOCTORAL THESIS

HÀ NỘI - 2016


The work was completed in
Academy of Vietnam Social Sciences

Science instructors: 1. A. Prof. Ph.D. Pham Quoc Trung
2. Dr. Nguyen Van Hai

Reviewer 1: ..........................................................
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Reviewer 2: ..........................................................
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Reviewer 3: ..........................................................
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The thesis will be defended before the Council marked
Academy level thesisMeeting at the Academy Vietnam Social Sciences
At......
...... in 2016

Can learn the thesis at: National Library
and the Library of the Academy of Social Sciences Vietnam


INTRODUCTION
1. The importance of topic
In the development of the economy of countries in the world, service
economy play an extremely important role in the national economy, accounting
for around 40-50% of GDP development, 60- 85% of GDP in the developed
countries (85.5% in the US, 83% in the UK, 73% in Singapore). Economy service
is also extremely important for the development of regions, territories, especially
those specific territories such as sea and islands.
Vietnam is a country with a long coastline of 3260 km and the sovereignty
sea measure over 1 million km2 in width which is six times higher than the
average level of the world; located on the international shipping path from the
Pacific to the Indian Ocean; our country has nearly 3,000 islands with a total area
of around 1,700 km2 with natural resources, diverse mineral to develop the
marine industry, especially the service economy such as: maritime transport
service, port service, mining services, marine tourism service, logistics...
contributing to the process of industrialization and modernization as well as the
security and national sovereignty.
As a coastal province, located in the key economic region South-eastern

region, Ba Ria - Vung Tau has many potential and special advantages to develop
the sea service economy in all aspects. With a coastline of about 305 kilometers
and the continental shelf of 1.000km2, located at the international shipping path
and the port system in the South-eastern provinces connected to the South Central
Coast and the Central Highlands; the coast of Ba Ria - Vung Tau has the largest
amount of petroleum in the country associated with the petroleum industry which
creates favorable conditions for the development of petroleum service, port
service, logistics as well as there are about 156 kilometers of gorgeous coastline,
sunny climate all year round, ideal beaches, we can say this is potential and rare
advantages to develop tourist services such as bathing, healing and relaxing.
Ba Ria - Vung Tau has many islands, archipelago such as Con Dao
archipelago with 16 islands with a total area of 76.7 km2. There are historical
monuments at national level, Go Gang Island, Long Island commune (Vung Tau
city) with many cultural and religious relics,... These are unique advantages of
developing service sectors such as marine transport, tourism service combined
with spiritual culture tourism.
With the wide sea and diverse seafood in large quantity, Ba Ria - Vung Tau
can thrive services in processing and exporting seafood which bring high
economic value, create more jobs for residents in the sea and islands.
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Ba Ria - Vung Tau province will become a modern industrialized province
with industrial - service - agriculture economic structure and have the economic
strength of the sea and islands by the end of 2015. From 2010 to 2015 the
economic structure has shifted positively: industry - construction accounting for
55.5%, service accounted for 34.57% and agriculture accounted for 9.33%. Per
capita income increased, if including petroleum in 2013 was $ 13,217.
However, the share of service is about 35% of GDP which is not
commensurate with the potential and advantages of the province, is not consistent

with economic development objectives of Vietnam. Therefore, if the service
economic want to occupy a high share in the structure of the local economy, it
requires proper assessments of the economic situation and service in the island, on
the basis of specific solutions to fulfill the socio-economicobjectives that Ba Ria Vung Tau has figured out. For that reason, the author chose the topic: "Economic
service in the development of the marine area of Ba Ria - Vung Tau province
" to do research project, specializing in Political Economics.
2. Aims and tasks of Paper
2.1. Research’s aims: The thesis will clarify the role of service economy in
the development of seas, islands to economic - society development - local of Ba
Ria - Vung Tau province
2.2. Research’s tasks of the thesis: The thesis research theoretical and
practical basis of some countries in the region and a number of cities having
similar conditions, advantages to clarify the current status of the service economy
in the islands of Ba Ria - Vung Tau province, indicating the cause of the
achievements and constraints; then propose solutions to improve the efficiency of
the service economy in the sea and islands.
3. Subject and the scope of research
3.1. Subjects of the research:
Subjects of the research of the thesis is defined as: the role of service
economy in the development in the marine areaof Ba Ria - Vung Tau province.
Specifically, it is the role of the service activities in the sectors in the island region
such as: the seaport services, logistics, tourism and marine logistics.
3.2. Scope of the research: For a certain time and space, the thesis focuses
on studying three service economys considered important in the development
strategies of the local economy which are: seaports and logistics services; tourism
services and marine logistics and is limited at Ba Ria - Vung Tau province,
South-eastern region.
4. The rationale and methods of Research
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4.1. Rationale: The thesis is based on theoretical basis of Marxism Leninism and Ho Chi Minh Thought and keep close with policies, guidelines and
socio-economic development policies of our country and socio-economic
development objectives of Ba Ria - Vung Tau
4.2. Research Methodology: The thesis uses the methods of economic political research such as: Comparative method; logic method, modeling method,
systematization, statistical method to highlight the research’s content
5. New contributions of the thesis
- Systemize the theoretical and practical issues about service economy and
the service economy in the islands and clarify the role and position of the service
economy in the national economy, development trend, the factors that affect
service economy;
- Evaluate objectively the service economys situation in the sea, island of
our country and Ba Ria - Vung Tau, especially seaport services, logistics service,
tourism services and logistics fishery service; point out the cause of the current
situation, from which draw lessons for the development of the field of local
services.
- Propose some solutions to develop some favorable service sectors, such as
port service, tourism service, logistics fishery service in the island of Ba Ria Vung Tau province. Therefore the subject will certainly have an important effect
on local development process in building guidelines and policies for socioeconomic development
6. Structure of the thesis
The thesis structure includes: The introduction, conclusion and list of
references, appendices; the content consists of 4 chapters and 12 smaller parts.
Chapter 1: Published overview document related to service economy in the
development in the islands
Chapter 2: Rationale and practice of service economy in the development of
the islands.
Chapter 3: Actual service economy reality in the development of the island
in Ba Ria - Vung Tau province
Chapter 4: Solution of service economy development in the development of
the islands of Ba Ria - Vung Tau province.

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Chapter 1
THE PUBLISHED OVERVIEW DOCUMENT RELATED TO SERVICE
ECONOMY IN THE DEVELOPMENT OF THE MARINE AREA
According to the global economic experts, service economy accounts for an
increasingly large share of the national economy. And the twenty-first century is
identified as "The century of seas and oceans", so the study of economic
development services in the marine area has attracted many scientists, experts on
sea, island and the world's leaders.
1.1. Abroad studies
Service economy is studied very early by the world's economists as the
mercantilism of Western Europe, to Karl Marx. But in the period of 30 recent
years, the research in this area is of particular interest, such as: Delaunay, Jean Claude (1992) "Services in Economic thought: Three centuries of debate," Kluwer
Academic publisherc '1992; JamesA.Fitzsimmon; Monaj Fitzsimmons (1998):
"ServiceManagement: Operations, Strategy, and in Formation Technology",
McGraw-Hill, 1998; James Fitzsimmons (2000) "Role of Services in an
Economy", University of Texas at Austin; Jean Gadrey (1992) "L 'e'conomie des
Services", Ed.La D'ecauverte 1992; Kwanho Donghyun Park and Shin (2012),
"The Service Sector in Asia: an Engine of Growth It?";... In general, the study of
foreign authors stopped at the assessment of the role of service economy, raised
the notion of service and service economy, service competitiveness, divided the
service sector, the cost of the service sector, presented a model of quality service,
confirmed the transition of service economy in the structure of the modern
economy, gave some forecasts about the development of the service sector, but
none author mentioned the service sector for the development of the marine area.
1.2. The local research
1.2.1. The economic research service

In recent years the service economy field are also greatly interested by
economists, leaders, managers in our country, with many studies, many articles in
valuable magazines, documents such as Tran Hau (2010) "Social Services; some
theoretical and practical issues "; Journal of Political Theory, No. 10; Truong
Quang Hoan (2011) "The evaluation of the implementation process of trade
liberalization for the priority service sectors for ASEAN Integration", Journal of
Southeast Asian Studies No. 10; Pham Thi Khanh (2008) "Rapid and Sustainable
Development of the service sector in Vietnam", Journal of Political Theory 7;
Duong Vinh Suong (2012) " Services market in the development of the market
economy in our country." Journal of political theory 7; Nguyen Ngoc Manh
(2012) "Development of the service sector of the United States in the first decade
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of the twenty-first century"; Economics Doctoral Dissertation; Academy of Social
Science - Social Science Institute of Vietnam; Nguyen Chien Thang (2010)
"Development of the service sector in the context of Vietnam's accession to the
WTO"; Economics Doctoral Dissertation, Academy of Social Science - Social
Science Institute of Vietnam; Nguyen Trung Khanh (2011) "Some policies about
raising the competitiveness of the tourism destination in Malaysia "; Journal of
Southeast Asian Studies, No. 10; Vo Thi Thang (1998) "Development of tourism
in Vietnam"; Journal research exchange, 11..., the authors had in-depth analysis of
various aspects of the service economy role to the socio-economy, the factors
affecting the service economy, development trends and some of the services sector
is considered to be the advantages of Vietnam from tourism, port services,
maritime services, insurance, banking, health care, education - training... the issues
related to protection of natural resources, the environment, security and order for
service activities; many articles also has taken the suggestions and measures of
services economy development in our country especially when Vietnam integrates
into the world economy.

1.2.2. The research related to economic waters, islands
Maritime economy is one of the key economic powers of the marine
countries; so there have been many scientific works, many articles on economics
in marine area; the article mentions many aspects such as management issues of
marine resources; the issue of security on the marine area, the status of exploiting
marine resources to the topic recommending measures to protect maritime
security; building professional management apparatus of resources, marine
environment; economic development experience of the marine area of some
countries in the world and the effective exploitation of marine resources such as
Tuan Anh (2011) At the "International Conference on East Sea security at the
United States, June 2011 "Journal of Southeast Asian studies, No. 7; Tran Nam
Chan (2011), "Some construction-oriented strategy to protect the sovereignty and
security of maritime boundaries during international integration"; Journal of
Political Theory 01; Tran Thu Ha (2014), "Some problems of dividing economic
region in Vietnam"; Nguyen Huy Hieu (2010) "Strengthening the consolidation of
defense - security, save firmly the sovereignty over sea and islands in the new
era"; Journal of Political Theory, No. 02; Tran Du Lich (2011) " Necessarily to
have the economic development of the sea Ministry", Online Youth, 9th June; Vo
Dai Luoc (2011) "Planning the entire coastal economic zone", Online Youth,
dated 09.06.2011; Linh Ngoc (2011) " Marine economy needs a big mind"; Trade
magazines 1 + 2; Ta Quang Ngoc (2007) "For Vietnam become a strong nation
from sea and rich from sea soon ", Communist Review, July; Nguyen Nham
(2008) "Marine strategy of the world's major countries: concern from an
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economic perspective of Vietnam sea", Journal of Economics and Forecasting,
No. 20; Vu Van Phuc (2012) "Marine Economic Development with ensuring
national defense and security", Online Youth; Bui Tat Thang (2011) "Marine
economic development in Vietnam"; Vietnam Economic Times...

1.2.3. A number of articles, research on the service economy in the marine
area of Ba Ria - Vung Tau province
Located in the Southern key economic area, the most dynamic economic
region in the country with many service economy activities, Ba Ria - Vung Tau is
also the concern of our country and the domestic economists, scientists and
especially local leaders; so there have been many studies, articles about marine
service economy of Ba Ria - Vung Tau province, published in magazines, news
outlets such as Le Van Bay (2012), "Opportunities and challenges of logistics
services development in Ba Ria - Vung Tau "; Logistics training materials; Hoang
Nghia Doan (2010) "Con Dao with the goal of becoming a tourism economic
zones with high-quality services," Journal of Economics and Forecasting, No. 17;
Tran Thi Huong (2010), "The development of supporting industries in the Ba Ria Vung Tau province "; Journal of Economics & Forecasting, No. 17; Sa Huynh
(2014), "Application of technology and advanced preservation process: Increase
the value of seafood after catching", Report of Ba Ria - Vung Tau, dated
06.06.2014; Nguyen Viet Lien (2012), "Ba Ria - Vung Tau has the ability to
attract investment in the development of industrial parks, ports and tourism
projects"; Nguyen Tuan Minh (2010), "Promoting the advantages, potential to
continue make Ba Ria - Vung Tau have rapid and sustainable development ";
Journal of Economics and Forecasting, No. 17; Dang Duy Quan (2013) "The
potential and economic development solutions to marine area of Ba Ria - Vung
Tau to 2020", Journal of Transportation of 6/2013; Vu Ngoc Thao (2010) "The
role of the seaport system in the economic development strategy of Ba Ria - Vung
Tau"; Journal of Economics and Forecasting, No. 17; Phung Duc Vinh (2014):
"To develop MICE tourism forms: a necessary path of Ba Ria - Vung Tau,"
Travel Report, 28/4 days;...
1.3. Some comments
We can say the service economy and the service economy in the marine area
is a vast field, not just the scientists, the researchers are interested in, but also the
political, military, security in the country and abroad. With more than 200
documents, articles, and research related to service economy and service economy

of marine land domestic and abroad that the author has been consulted, most of
this work has highlighted the special importance of the service economy and the
maritime economy; the impact of the marine area economy for socio-economic
development - nations with the sea as well as landlocked countries. The subject,
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the article was provocative or proposed multiple orientations solution having an
important contribution in the formulation of guidelines and policies of our country,
the coastal localities, as the basis for research planning, investment, development
and exploitation of the potential economic advantages of the marine area and the
service economy in the marine area.
However, the studies, the subjects, the articles mentioned above do not have
any research topic holistically about the services economy picture in the marine
area, Ba Ria - Vung Tau, especially in the field of sea port services, logistics,
tourism and logistic fisheries services. Therefore the thesis will continue make indepth analysis, comparing the potential advantages of the province, since would
suggest some concrete solutions in the immediate and long-term services economy
development in the marine area with focusing on seaport services, logistics,
tourism services; seafood logistics services; At the same time some solutionoriented links developed some service areas between the province of Ba Ria Vung Tau with several provinces in the region.
We can confirm the thesis studying the author's services economy
development in the marine area Ba Ria - Vung Tau province has no overlap with
the work, the researchers announced that the author has investigated research and
gave reference. The thesis’s conclusions is completely new, suitable for the study
period and never mentioned or referred to in the previous announcement.
Chapter 2
RATIONALE AND PRACTICE OF SERVICE ECONOMY
IN DEVELOPING MARINE AREA
2.1. Service economy in developming marine area generalization
2.1.1. Definitions
2.1.1.1. Definition of marine area

Definitions of Zone and Economic Zone have been thoroughly studied
under various aspects by many domestic and foreign economists; if reviewed on a
large scale, Zone includes multi-countries area such as: South East Asia, Bay, East
of Europe… Our country holds economic zones such as: North-East of the
Northern region, Middle region, South-East region… Yet, many economy experts
define economic zones according to features of economy status, culture, society
for example: Urban area, Rural area, Mountain and Midland area, and sea and
island area.

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Marine area is a term used to describe a geographical space which owns a
lot of similar features. However, when attached to economic zone - ocean and
island economic zone, this term shall be defined with potentials and particular
economic development.
According to International Convention on Law of the Sea of 1982, marine
areas are determined including: internal waters, territorial sea, contiguous zone,
exclusive economic zone and continental shelf. This is the territory and territorial
waters which own various unique features of economy, culture - society and
security - national defense of sea and island.
Marine area holds exploitable special advantages from sources such as:
minerals, oil and gas, shipping, island tourism, aquaculture, mining and processing
aquatic products, shipbuilding services, ship repair services… which turns marine
economics into indispensible key economic sector. Economic combined with
defense, security and protection of marine ecological environment, islands,
contributes to the development of culture, education, improving literacy levels for
coastal people, islands.
2.1.1.2. Service economy
a. Concept of Service and Service economy

Service is one of three elements of the economy in terms of economic
structure of the industry - which are Agriculture - Agricultural sector, Industry construction - Industrial Area and Services - Service sector.
Initially, the services merely reflect the operational support to the process of
production of material goods - non-production activities. However, under the
development of production, the productive forces, the social division of labor...
and with the changes in the concept of material wealth, service activities along
with its location and role change. Not only exist in brokerage activities, support...
now are the services considered as a part role in the increasingly important social
production - they also directly produce production parts which have the
blossoming role of social life, products and services. For example, the service
activities with accompanying products, such as banking, financial services, credit,
foreign exchange services, transportation services, cargo insurance, personal
insurance, services tourism, international labor service... And as a result, they form
the service economy with an undeniable role in the national economic structure.
Thus, the service economy is the economic sector in the structure of the
national economy. It not only exists as a field supporting for the activities of
production of material goods; the service economy is also directly engaged in
production - As much as manufacturing develops, the service in this capacity

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participate more and more deeply into the material production sector, directly
producing special goods revenge - for goods and services.
b. Service economy classification
According to domestic and foreign economists, the classification of the
service economy relying on the purpose, the characteristic of study can be divided
into: services production and non-production services; social services and personal
services; commercial services and not commercial services...
Currently in the documents in Vietnam, there is no great unity the concept

of "service area", "field service", "service economy", "service sector"... there is no
higher unity. Thus, in this thesis, the author mainly uses the concept service
economy.
c. Factors affecting service economy
- The policy, guidelines and policies of the Party and State
- Human Resources
- Capital investment for economic development services
- The natural conditions, the environment
- The international factors affecting economic activity services
d. Some criteria for evaluating the quality of service
To evaluate the quality of service, criteria are such as: serving material
products; the ability to provide services; safety level; understanding customers;
commercial civilization...
e. Economic role of services in the economy - society
Services have a very important role in the economic life - society of nations:
It is a "bridge" between the elements of "input" and "output", and promotes
economic to develop dynamically and effectively.
Service development would transform the economic structure of the country
in the direction of increasing the proportion of Industry, and Service and declining
share of Agriculture; This shift will make the economy operate effectively,
promote the economic growth of the GDP, GNP; be a bridge between the regions
in the country, between domestic and foreign; facilitate implementation of the
process of cooperation and integration in international economic development for
the goal of peace and development
Economic services include hundreds of fields, attracting a large number of
social labor, contributing to reducing the unemployment rate nghiep. For example,
labor structure in the service sector of the US in 1997 was 73.3%; UK 71.6%;
France 67.1%; Korea 62%
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2.1.2. Characteristics of service economy in development marine services
2.1.2.1. Potential and opportunities for service economy in development
marine services
2.1.2.2. Developing service economy is prerequisite for development marine
economy
2.1.2.3. Service economy is a motivation for marine economy to develop to
the new level
2.1.2.4. Service economy in developing marine economy is compatible with
the nature of globalization, open, international integration
2.1.3. Role of service economy in development marine services
2.1.3.1. General role of service economy in development marine services
Economic development services in the sea, the island will directly
participate in the value chain of products and goods, contribute to the growing
economy, motivate to engage, promote the development of other regions;
contribute to building a rational economic structure, create an economic
combination of sea and island with inland regions to rapid and sustainable
development...
3.1.3.2. Specific role of service economy in development marine services
Economic development services in the sea and island is linked to resources,
the nature of the sea and islands; These are very specific resources, thus, they
require various services from the mining services, shipping, processing, provided
basic necessities on the sea and island services, to the recreation and tourism
services; insurance services; financial services, banking... All of these will create
momentum for strong economic development - society for the sea and islands.
2.2. Service economy in development of Vietnam’s marine services
2.2.1. Service economy in Vietnam generalization
2.2.1.1. The process of formation and development generalization
National renewal process has been initiated and run by our Party (1986)
with the policy, the way of the economy transformation from centrally planned

economy to a socialist-oriented market economy and international integration.
Therefore, the services sector has the opportunity of rapid development, various
types of new service introduction; the share of services grows fast, contributing
positively to the growth, and the restructuring of the economy towards
industrialization and modernization.
2.2.1.2. Limitations of the service economy in the economic structure in
our country
After 30 years of economic reforms in our country, although services have
achieved significant achievements, there are still many limitations, and no
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breakthrough in professions and sectors has been witnessed, hence the proportion
of services in GDP is still low. Between 1995 and 2013, the economic structure of
our country's service almost had no increase. After peaking in 1995 with 44.6%, it
declined quickly in 2008 to 38.1%, though it increased to 42.8% in 2010, two
years later, in 2012 it was 41.7%. Although in 2013 there is a return to growth in
the proportion of 43.3%, this is still not a guaranteed proportion of sustainable;
many domains in services sector are considered as advantages such as tourism,
maritime services, insurance, finance, banking..., yet still no breakthrough; this is a
major challenge for the sustainable growth of the economy, as well as objectives
of economic restructuring following the trend of the world.
2.2.2. Potential for developing service economy in marine services in
our country
Sea and island economy includes coastal economic zone, on the sea, the
islands. It covers the main economic activities such as maritime economy; oil
exploitation; sea travel; search services, rescue and salvage; ship building and
repair services, maritime communications; fisheries, marine scientific research …
This concept is consistently agreed by many economists andin line with
international practices.

2.2.3. Development status of service economy in our country
2.2.3.1. Development status of mining services
- Mineral potentials in the seas, and islands of our country
Coastal and island zones in our country have natural resources and abundant
mineral, mineral sources, rare and large reserves, high economic value such as oil and
gas; in addition to other minerals such as coal, iron, titanium, glass sand...
- Mining and mining services status in the seas, and islands (mainly oil and gas)
This is a key mineral resources, with high economic value, and hundreds of
activities associated to services such as the geographic services survey, exploration
services, labor supply services, transport services oil etc... which could bring
billions of dollars/year. But, so far the service of our country's oil and gas revenues
account for only about $150 million of the approximately $3 billion, while
approximately 90% ($2.85 billion); to 2010 increased by about 35%; to about 65%
of services in the hands of an international service company.
2.2.3.2. Development status of maritime transportation services and
logistics services
- Potential and development advantages associated with maritime
transportation services and logistics services in our country
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Vietnam's sea area lies on a maritime route from the Pacific to the Indian
Ocean. This is the world’s biggest international trade strategy way; so we can
build the system of domestic and international seaports.
- Development status of port and logistics services.
According to the world rankings, Vietnam ranked 53th on the operational
efficiency of seaports and logistics services; especially in the ASEAN region,
Vietnam is at No. 5. In this position, Vietnam's logistics systems are rated average,
while the advantage of our country's potential for port development and logistics
services ranked higher than those countries.

2.2.3.3. Development status of marine tourism services
- Potential and advantages for development of marine tourism services in
our country
Our country's sea area runs along the length of the country from north to south
and there are many beautiful beaches qualified international standards... This resource
is extremely valuable to the economic development of marine tourism industry.
- Limitations and weaknesses for development of marine tourism services in
our country
So far, our country’s in general tourism and in particular marine tourism
ranking is still very modest compared to other countries in the region; such as
Malaysia, in 2014 welcomed 26.8 million passengers leading revenue to 65 billion
ringgit (20.44 billion dollars), Singapore welcomed 13.2 in 2011 million, on
revenue of 22.2 billion dollars Singapore (17.8 billion dollars); Thailand, despite
political upheaval, 2012 received over 20.5 million passengers, causing revenue of
approximately $ 25 billion. While Vietnam had an economic, political and social
stability, in 2014 we only attracted 8 million international tourists and 40 million
domestic tourists, revenue of about 10.42 billion US dollars.
2.2.3.4. Development status of fisheries sector and aquaculture logistics
- Potential and advantages of fisheries sector in our country
With more than 1 million km2 sovereign water, our fishery resources of the
sea, and the island are very rich and diverse; this is a tremendous resource that allows
us to economic development fishery logistics service that few countries have;
- Development status of aquaculture logistics
Although it has achieved accomplishments, in 2001-201, the fisheries
economic contribution to overall GDP is average of nearly 3% of GDP/year; So
far, our country's fisheries sector has not gone out of the shadow of a fishing craft,
small production levels, and fisheries logistics are too outdated.
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2.3. Economic development experience in developing maritime services
of some nations and locals levels.
2.3.1. Maritime service economy of some countries
2.3.1.1. Singapore
The biggest key to success of Island-Country of Leo is taking advantage of
the advantages of the sea, and islands to develop a number of key economic
sectors, such as marine services, ports, logistic services, cruise services.
2.3.1.2. Malaysia
Being the oceanic nation, Malaysia has built a rational economic structure,
investing seaport service development very early; Malaysia has taken focus on
developing marine tourism; State creates open policies to encourage private
investment. Currently Malaysia has many beautiful beach resorts, known as
"Paradise Beach, Island," "Paradise for travelling lovers"...
2.3.1.3. Thailand
Thailand is known for tourism industry, especially marine tourism under
names such as "tourist paradise", "shopping paradise",... The Thai government has
invested heavily the infrastructure; has had policies to widely promote tourism,
has offered many incentives,... in order to attract tourists, always has created
newer and more interesting tourism products,... along with the friendly,
enthusiastic, the hospitality of the people
2.3.2. Services economy in marine developments of some local in Vietnam
2.3.2.1. Marine services exploitation potential issues in Quang Ninh
2.3.2.2. Marine services economy issues in Da Nang
2.3.2.3. Marine services economy issues in Khanh Hoa
2.3.2.4. Marine services economy issues in Ba Ria - Vung Tau in correlation
with the national comparison
Comparing the similarities of the potential and advantages of Ba Ria - Vung
Tau to locals above, we see that the share of services in the structure of the
economy is still very low in this province, only accounting for 35%, while 44.2%
in Quang Ninh, 61.1% in Da Nang, 47% in Khanh Hoa.

2.3.3. Lessons for marine services economic development for Ba Ria Vung Tau
First, developing economic services is to exploit the potential and strengths
of local to develop economy - society.
Second, the province should have more open policies to diversify the forms
of service
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Third, the local needs to determine some breakthrough service sectors
Fourth, the province needs to create some unique, typical and local-featured
products and services.
Fifth, the province needs to invest in planning, building and development of
physical infrastructure for development services
Sixth, the priority to development of human resources for the development
of marine economy is needed.
Seventh, the local should strengthen the promotion and propagation of the
service activities.
Eighth, branding products and services is necessary.
Chapter 3
SITUATION OF SERVICE ECONOMIY IN THE DEVELOPMENT OF
MARINE AREAS, BA RIA - VUNG TAU ISLAND
3.1. The potential and advantages for development of service economy
in the marine areas, Ba Ria - Vung Ta islands
3.1.1. The potential and advantages of the natural conditions of Ba Ria Vung Tau Province
Ba Ria - Vung Tau was founded on August 12, 1991 by merging the three
districts of Dong Nai and Vung Tau Special Zone - Con Dao. It is a coastal area
with natural area 1989.5 square kilometers (approximately 0.6 area of the
country); 8 administrative units including 02 units of islands and peninsulas; has
great potential and advantages of natural resources for the development of
economic sectors, especially economic services, including:

3.1.1.1. Mineral potential (mainly petroleum)
3.1.1.2. Potential development of shipping, ports and logistics
3.1.1.3. Potential and advantages of tourism and sea, islands
3.1.1.4. Potential and advantages of developing logistics fisheries service
3.1.2. Potential and economic advantage, cultural - social
Ba Ria- Vung Tau Province is located in the southern key economic sectors
with a population of over 1 million people, is the only province in the country that
has great potential for oil and gas; have multiple industrial parks, large sea port
system, the leading tourism center of the country with many advantages in culture,
history, religious beliefs...,
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Southeast region have road systems, river systems, railways and airways
that are not relatively comprehensive.
Ba Ria - Vung Tau is also one of the localities with many traditional
villages, national culture- historical monuments; and is also adjacent to the famous
historical-culture monuments in Dong Nai, Ho Chi Minh City..., is a local that has
relatively high economic growth, growth rate, per capita income constantly
increase, for example GDP is 21.48 million / person / year in 1996, but GDP is
estimated at $ 15,000 (including petroleum) in 2015.
With the potential and advantages of natural conditions, social- economic
conditions, Ba Ria - Vung Tau has all the very favorable conditions for rapid
development of the service sector as industrial services, cruises, islands, fisheries
services, ports and logistics services… This is an important contribution to
economic development - local society.
3.2. The process of formation and development of service economy in
developing Ba Ria - Vung Tau Province
3.2.1. Perspective, the policy of development in marine areas, Ba Ria Vung Tau island
Aware of the role and position of the maritime economy in building and

defending the Fatherland, from the early years of renovation, the Party and State
have issued many policies and guidelines of developing marine economy such as
the Resolution 03-NQ / TW dated 06/5/1993 of the Politburo on a mission of
developing the marine economy, Directive No. 20-CT / TW on boosting the
marine economic development; in the Party Congress documents, especially
QTW9 in X term about Vietnam's marine strategy to 2020...
Provincial Party Congress documents of the Fifth / 2010, Ba Ria - Vung Tau
has also determined: "Continue developing marine economic, building Ba Ria Vung Tau Province to be a industrial city and port in the modern direction... to
promote the marine advantages, coast, implemented economic restructuring by
increasing service sectors, defined marine development as a key task, while
developing logistic services... development the new type of modern service, high
quality "; People’s Revolutionary Committee has also issued an action plan in
order to implement "Strategy for development of Vietnam's tourism by 2020 and
to 2030"...
3.2.2. The route in the economic development process in developing
marine services in Ba Ria - Vung Tau Province
3.2.2.1. The process of developing mining services
Ba Ria- Vung Tau is the province that has industry of oil- gas exploration,
therefore from its inception to the provincial Party committee, the provincial
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government has identified the role of this economic sector for economic
development - society, this is the sector which including various types of services:
services Geological survey, exploration, mining and processing of oil and gas... In
2014, Vietnam Petrolimex Group achieved total revenue 745 500 billion, while
total revenue of services reached 240.7 thousand billion, accounting for 32% of
the total revenue of the oil and gas conglomerate; services create jobs for
thousands of officials, engineers, workers, improve incomes for the people of Ba
Ria - Vung Tau.

3.2.2.2. The process of developing the port services and logistics services
As a province identified industrial economic structure - construction and
services is essential, now Ba Ria - Vung Tau has many large IP and IC. For over
20 years, with attention of the Party, the State and the Party's efforts, local
authorities, Ba Ria - Vung Tau plans gradually, attracts investment, builds a port
system, which has some international modern ports.
Total revenue from the transport, warehousing and transportation services in
the province in recent years continued to increase, it is 6921 billion in 2009,
reached 11 889 billion in 2013, while revenue from port services is 2,345 billion in
2014. Port services and logistic services are really becoming important economic
sectors in the economic development strategy of Ba Ria - Vung Tau.
3.2.2.3. The process of developing marine tourism
Marine tourism is considered as the strength of Ba Ria - Vung Tau from
the French. Currently the province has invested in building many facilities for
tourists, facilitated to businesses and individuals to invest in tourism. Therefore,
tourisms in Ba Ria - Vung Tau constantly increase; in 2001 the province has
welcomed 3.9 million on revenue of 548.8 billion; in 2010 welcomed 8.4
million, revenue of 1.780 billion, there were 13.9 million passengers in 2014 and
revenues of 2,357 trillion.
3.2.2.4. The process of developing marine logistics
With the potential and advantages of the fisheries, the Party for over 20
years, the provincial government also has many guidelines and policies for
development. Ba Ria - Vung Tau has made the most significant development,
especially the number of vessels and fishing boats; from where there is no train
service, but in 2014 the province has a fleet consisting of 47 service units; in 2008
mining production has reached about 265 thousand tons, reaching 299 430 tonnes
in 2013, exports reached 13 859 billion (approximately USD 650 million),
logistics services have been put into production as service vessels service ice,
gasoline... and the export processing factories are HACCP standards, eligible to
export to European markets, the US, Russia, Japan...

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3.3. Some reviews
3.3.1. The outstanding achievements of the service economy in Ba Ria Vung Tau Province
In the field of oil and gas, revenues keep rising. In 2014, Oil and Gas Group
achieved total sales 745 500 billion, while services revenue reached 240.7
thousand billion, accounting for 32%, creating jobs for thousands of workers,
engineers, workers, improve incomes for the people of Ba Ria - Vung Tau, and
contributed thousands of billions for local budget.
Ports & Logistics services are really becoming an important economic
sector of Ba Ria - Vung Tau, contributing to the economic development of the
South East region and the country. Total revenue from the transport, warehousing
and transport services in the province in 2009 was 6921 billion, in 2012 reached
11 093 billion and in 2013 was estimated at 11 889 billion, the average income of
workers, workers over 70 million / person / year.
In the tourism business keeps growing both in terms of visitors and revenue;
in 2001 the province has welcomed 3.9 million on revenue of 548.8 billion in
2010 to welcome 8.4 million, revenue of 1.780 billion, was 13.9 million in 2014,
sales reached 2,357 billion...
In the fisheries sector, in 2010-2015 reached a total production value of over
13 trillion, by 142.97% over the period 2006-2010, the average growth rate of
7.34% / year; exports totaled 600 thousand tons, reaching $ 1.7 billion
So after 20 years of development, Ba Ria - Vung Tau, thanks to the potential
and advantages for the development of economic sectors and services have made
important achievements, as a prerequisite to Ba Ria - Vung Tau continues to grow.
3.3.2. The limitations and weaknesses.
3.3.2.1. In the field of sea port services, logistics services.
The development of the service sector and logistics service still many
limitations and weaknesses; not overall planning, science; development of seaport

system is too fast but spontaneous... service prices extremely messy, unstable,...
the technical equipment, backward technology, customs clearance procedures is
limited..., human resources and logistics services lacking seaports
3.3.2.2. In the field of marine tours
If compared to the Quang Ninh province, Da Nang, Khanh Hoa, the Ba Ria
- Vung Tau has a comparative advantage than this, however, the tourism industry
of the province in 2014 to welcome 13.9 million passengers and revenue is 2,357
trillion, much lower than the revenue of Quang Ninh, Da Nang and Khanh Hoa.
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3.3.2.3. In the field of fisheries logistics
If we compare the economic growth of the province on average for nearly
10 years (15.8% / year), the growth of services, mining, fishery processing only
50% (approximately 8, 7% / year). Currently the province has only one fleet
logistics with 47 seafood... demand the services of materials and equipment, fuel,
ice, media processing, marine protection is huge. The technique of preserving
aquatic products after fishing was mainly based on the ratio of craft damaged
products, high losses.
3.3.3. The cause of the limitations of economic development in developing
marine services in Ba Ria - Vung Tau province.
3.3.3.1. The common cause.
a. The management role of the State agency
b. Restrictions on mechanisms and development policies
infrastructure in the sea, the island country

physical

c. The issue of branding and product promotion are not really interested and
invested properly

d. The limitations in awareness of the role and position of the sea, islands
3.3.3.2. The causes of the Ba Ria - Vung Tau
a. Human resources
b. On planning, investment and management.
c. About branding and creating unique products.
3.3.4. The problem posed to economic development services to the waters,
the island province of Ba Ria - Vung Tau
- System infrastructure of coastal areas and islands are backward,
fragmented, and equipment are not synchronized;
- The exploitation and use of marine resources are ineffective;
- Regarding management of the sea; we apply slowly the method of
advanced management in islands,
- Awareness of the role and position of the sea and the maritime economy at
all levels and departments, local authorities and residents of coastal are inadequate;
- Marine biodiversity and fishery resources are in declining trend,...

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Chapter 4
ECONOMIC SERVICES DEVELOPMENT SOLUTIONS IN
MARINE AREAS, ISLAND BA RIA - VUNG TAU
4.1. Oriented economic development - social Ba Ria - Vung Tau to 2020
4.1.1. Some forecasts for economic trends in developing services in the
territorial seas of Ba Ria - Vung Tau to 2020 and vision to 2030
4.1.1.1. The tendency emerging from the impact of sanctions and
international community
4.1.1.2. South China Sea issue, marine security andenvironment Sea, island
4.1.1.3. Tendency to develop regional services (relating to the elements
outside Ba Ria - Vung Tau)

4.1.2. Objectives and general orientations
4.1.2.1. The common goal
4.1.2.2. Some major orientations
4.2. Economic services development tasks in developing the seas, the
island in Ba Ria - Vung Tau province
The first, the development of the main industries.
The second, the system gradually complete technical infrastructure.
The third, focus investment and development of focus forms of tourism.
The fourth, to promote the advantages of seaport transportation system,
promote services and inland waterway transport and sea and international
maritime services.
The fifth, focus on the development of the sector, which accounts for a
significant proportion of the service structure.
The sixth, investment services thriving multi-modal transport.
The seventh, development of services for oil and gas exploration activities.
4.3. Solutions for service economy development in developing marine
area in Ba Ria - Vung
4.3.1. Group solution for the main service economy activity in developing
marine area of Ba Ria - Vung Tau
4.3.1.1. Solution for developing seaport services, logistics service
a. Planning, and investing in infrastructure construction of seaport services,
logistics services
+ Continuing to survey, identify the shallowness and depth in the seaport
system, in order to invest in renovating and upgrading the site of modern handling
equipments.
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+ Developing port systems planned port clusters 5; early moving the port
system from Ho Chi Minh City to Ba Ria - Vung Tau

+ Planning and investing in construction of warehousing systems,
developing modern Logistics center to regional and international level;
+ Encouraging non-state investors, including foreigners, especially
multinational shipping service.
+ Completing the upgrading of transportation systems connecting road, rail
and air.
+ Planning and constructing at Go Gang Island Science and Technology
Research Center modeled after Technopol the Science Park in Brest (France)
+ Continuing to restructure public enterprises in the field of sea port
business, towards equitization.
b Developing human resources serving seaport services, logistics services
First, implementing of the overall strategy for human resource development
in the period of industrialization and modernization which was approved by the
province.
Second, hiring officials, engineers and workers working in this area and
training or retraining in universities and colleges in the country and abroad.
Third, coordinating enterprises operating seaports and logistics.
Fourth, the province’s coordinating or assigning provincial universities,
training colleges in the fields of seaports and logistics
Fifth, continuing to improve the management system of human resource
development of seaport services and logistics services
c. Coordinating and linking in seaport services, logistics service
The Management Board of the seaport system should plan linking and
coordinating with travel service business, fishery to exploit the advantages of the
port system such as: shuttling tourists by sea; constructing business centers in the
port area...
4.3.1.2. Solution for developing tourism service in Ba Ria - Vung Tau
a. Investing in the construction and upgrading infrastructure for tourism
Focusing all resources to reform urban architecture, creating the "green,
clean, beautiful and civilized, impressed" environment to meet the needs of

tourists, especially foreign tourists.
Diversifying tourism products, enabling investors to construct recreation
places, entertainment, performing arts...
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Building infrastructure to support tourism activities such as: installation of
ATMs, the Internet, billboards, observatories in tourist attractions, public toilets...,
upgrading rated historical and cultural monuments systems, building reserves of
marine life...
b. Strengthening promote tourism at home and abroad
Department of Culture, Sports and Tourism in coordination with Vietnam
Marketing Association promote tourism to boost Ba Ria - Vung Tau abroad,
through the organization of cultural events, sports and tourism.
c. Planing scheme of opening tours, and new tourist attractions, creating
tourist highlight for Ba Ria - Vung Tau
Province allows favorable conditions for enterprises to invest in some
tourism routes such as Route provincial, inter-provincial tours by boat; restarting
tours by helicopter to visit the marine works; facilitating domestic studios,
international montage.
Province should plan scheme that turns Go Gang Island (Vung Tau) into
center of tourism, trade and entertainment Express complex, which should include
a Formula 1 (F1).
d. Strengthening the operational management of tourist services
Strengthening inspection and strictly handling negative tourism activity,
solving the overpricing problem, pickpockets, beggars, lottery tickets; collecting
domestic waste in the areas of beaches, historic culture, religious places.
Forming Visitors Support Center, setting up hotlines, to receive and process
feedbacks from tourists.
e. Training and retraining of human resources for the tourism industry

Tourism, Labor, Invalids and Social Affairs sector invests, and sorts labor
skills, then plans and forecasts labor demand in the future to plan timely retraining;
4.3.1.3. Solutions for developing seafood logistics services in Ba Ria Vung Tau
a. Investment in the construction and developing physical infrastructure technical and technology for fisheries logistics
First, developing fishing ports, landing sites and seafood gathering spots;
storm shelters, attached to the fishing logistics services; focusing on investing
production facilities, equipment for exploiting, manufacturing gears and seafood
processing; thriving fishing fleet offshore fishing by preferential credit capital of
the State and the service fleet at sea in accordance with Decree 67.
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Gradually developing and applying quality management system in
accordance with HACCP, SQF, ISO in the processing and exporting aquatic
products; strengthening marine scientific research.
b. Focusing on developing human resources for fisheries and aquaculture
logistics at sea, coastal areas and islands
Focusing on building long-term training and retraining for the workforce
and management staff to adapt quality for fisheries; especially the staff working in
trade promotion abroad.
Enhancing training for fishermen and workers in fishing and seafood
processing.
c. Planning and developing the fisheries market
First of all province needs to develop the potential domestic market; At the
same time, strengthening internatioanl fisheries markets, especially in the
traditional market.
d. Re-planing the materials for seafood logistics
- Planing on fishing areas
- Planing planning process regions and seafood consumption
e. Strengthening the management of fishing activities and fisheries services

Bettering the State management system of specialized fishery from the
central to local level, accelerating the consultation, transfering scientific and
technological achievements for fishermen, pushing flood prevention, maintaining
regular security work defense safety.
g. Continuing to improve mechanisms and policies to develop fisheries and
aquaculture logistics
Immediately instructing provincial departments concerned to focus on
building and early action program issued on maritime strategy Ba Ria - Vung Tau
to 2020 and vision to 2030, under Resolution No. 09- NQ/TW of the Central
Committee of the marine strategy.
h. Strengthening and expanding international cooperation in the field of
fisheries services
Province’s assigning provincial departments and agencies to issue
appropriate policies for local fishermen to be able to join fishing, seafood
processing along with the fishermen of the countries in the region like Philiphin,
Cambodia, Thailand, Malaysia..., and to cooperate with each other in service
activities at sea.
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4.3.2. Group of solutions to state management of service activities in the
seas, the island province of Ba Ria - Vung Tau
4.3.2.1. Solutions to manage natural resources, and protection of
ecological environment in sea, islands
Strengthen the management, protection, conservation and development of
natural resources, protection of ecological environment in the seas, coastal areas
and islands.
4.3.2.2. Solution of security, order and security for developing economic
services in the seas, the island province of Ba Ria - Vung Tau.
The province needs to increase investment in equipment, techniques, tools

dedicated to the management board of the resort, the fishing, seafood processing.
4.3.2.3. Building a model community management
resources and
environmentalin the seas, the island province of Ba Ria - Vung Tau
Construction management model based on the community as the
Philippines, Indonesia, Indonesia, United States..., this is a good experience to the
local implement and learning.
4.3.2.4. Building infrastructure disaster prevention, disaster, prevent
erosion, protect the population, responding to climate change seas, islands
Besides infrastructure such as dykes, embankments, drainage canals... to
prevent, reduce damage from natural disasters, catastrophes caused, the biological
solution is also interested in investments such as multiple biodiversity security
enhancement, natural ecosystems, coastal areas in order to create a solid buffer,
enhanced ability to cope with climate change.
4.3.2.5. Solutions on international cooperation of management of marine
resources, the island
To preserve the environment of peace and friendship of the efficient
exploitation of marine resources, islands, the province should have the
appropriate policies for the local fishermen can participate in fishing, seafood
processing along with fishermen of the countries in the region such as Philiphin,
Thailand, Malaysia...
Summary: For economic development services in the seas, islands, apart.
policies and guidelines policy of the Central Government, then the introduction of
synchronous solutions, will determine the effectiveness of economic development
services in the seas, the island province of Ba Ria - Vung Tau.

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