A group photo is taken at the Savannakhet Dry Port on Tuesday in recognition of a visit by the Malaysia Ambassador to Laos and his delegation.

Malaysian Ambassador to Laos visits the Malaysian Business in Savannakhet Province

The Ambassador of Malaysia to Laos, Ambassador Edi Irwan bin Mahmud, and his delegation on November 21 visited the Savannakhet Special Economic Zone C – Savan Park and Savannakhet Dry Port, Warm Welcome by Mr Tee Chee Seng, General Manager of Savan Park, President of Malaysia Business Chamber of Lao PDR, after meeting with the Governor of Savannakhet province, Mr Bounchom Ubonpaseuth.

Malaysia Ambassador (left) meets with the Governor of Savannakhet province on November 21.	The visitors pose for a group photo after touring the premises of Savan-DKLS Water Supply Co., Ltd.

The visit was arranged to encourage further investment in the zone, where Malaysian businesses already have operations, and to follow up on their progress.
The Malaysian delegation and Mr Bounchom Ubonpaseuth were welcomed by the Chief Executive Officer of the Savannakhet Dry Port, Mr Jean Pierre Grzelczyk.
There are currently nine Malaysian businesses operating in Savannakhet Special Economic Zone C – Savan Park and it is expected that more Malaysian companies will set up production sites in this area in the future.
During the visit, Ambassador Edi Irwan bin Mahmud complimented the Zone operators on their success in attracting businesses to the site, where 82 companies now have premises, including 45 factories, 28 service companies, and 9 commercial enterprises.
The delegation also visited a water supply company owned by DKLS Industries Berhad of Malaysia, named Savan DKLS, as well as a facility in Savannakhet province where clothes are coloured with natural dyes, named Vavisa Blue Indigo, and had dinner at the Chez Vanson Restaurant.
The Special Economic Zone is attracting more visitors to Savannakhet and boosting the province’s economic and investment growth, giving it a reputation as a sound investment destination.

Ambassador Malaysia take a group photo before dinner with the Malaysian Residence in Savannakhet.

The Savannakhet Special Economic Zone (Savan Park Zone C) is strategically located on the East-West Economic Corridor (EWEC) and was developed from 234 hectares of wasteland into an industrial, commercial and logistics hub.
Through the strategic location setup of the EWEC by the Japan International Cooperation Agency (JICA), the Savan Park SEZ fulfilled the potential for the development of the site into a free trade industrial zone.
Plenty of companies in the region are now considering investing in Laos because of the incentives offered, the country’s political stability, the relative lack of extreme weather events, low initial investment cost, and the low or zero import duty paid by importing countries on products that are “Made in Laos”.
To ensure that sufficient skilled labour is available for the increasing number of investors, as well as providing jobs for local people, Savannakhet Dry Port partnered with Savannakhet University to open the Academic Learning Centre for Logistics and Transport in 2022.
The centre has been training students to work in the logistics sector.
The Savannakhet Special Economic Zone was the first SEZ to be established in Laos and the Savannakhet Dry Port was the first approved dry port to be acknowledged by UNESCAP.
Former President Bounnhang Vorachit signed a ratification of the Savannakhet Dry Port to comply with UNESCAP requirements on October 16, 2019.
The dry port is located on the East-West Economic Corridor at a distance of 1,450km from Vietnam. The Corridor passes through Savannakhet province and Thailand and ends in Mawlamyine, Myanmar, from where links to the Andaman Sea and the South China Sea are possible.
The Savannakhet Special Economic Zone is part of the Greater Mekong Sub-Region development programme.
A total of 82 companies are currently registered in the Savan Park SEZ Zone C, paying a sizeable amount of taxes to the government and helping to raise the living standards of the local community, as well as boosting exports.
The total value of imports in 2023 was recorded at US$140,480,327.8 while the value of exports rose to US$160,711,221.9, according to figures updated last month.
The record for imports in 2022 was US$200,783,102.63, with the value of exports rising to US$207,145,947.38.
The value of transit cargo passing through the Savannakhet Dry Port in 2022 was estimated at US$5,929,965,550 and, as of October this year, the value of transit cargo reached US$5,595,773,805.
Savan Park is fully protected by a Prime Minister’s Decree that was approved in 2003 to generate investment in the Savannakhet Special Economic Zone. Operations at the Zone are in full compliance with this decree and investors are confident in its effectiveness.
Savan Park was established in 2008 as the first SEZ in Laos. The Special Economic Zone was later upgraded, becoming the Savannakhet Special Economic Zone Authority (SEZA) and providing a one stop-service to all investors in the zone.

By Advertorial Desk
 (Latest Update November 24, 2023)