Flag carrier Vietnam Airlines plans to build an aviation logistics center in the southern city of Can Tho in Vietnam that will connect to Can Tho and Tan Son Nhat airports.
The city of Can Tho will earmark 27 hectares of land next to Can Tho International Airport for the proposed aviation logistics center of the airline, according to Deputy Chairman of People’s Committee Truong Quang Hoai Nam.
“After the project is approved, the city will complete procedures to give land to the carrier. We will create the most favorable conditions to support Vietnam Airlines to build the logistics center here,” Nam said, as quoted by VNA,
Deputy CEO of Vietnam Airlines Trinh Hong Quang said the aviation logistics center project has an estimated investment capital of US$82.9 million, and construction will be divided into three phases from 2019 to 2024.
The center will be playing the roles of cargo terminal, leasing space for services, and distribution center for goods.
The center’s warehouse will have the capacity to deal with 200,000 tonnes of goods per year, and the off-airport cargo terminal’s capacity will be 100,000 goods per year.
Along with the construction of the center, the carrier will open more routes from Can Tho to other destinations in Vietnam and to foreign countries, Quang said.
Quang added that Can Tho is the economic driving force of the Mekong Delta, being strategically connected to Ho Chi Minh City and localities in the southwest region.
“While the demand for e-commerce is growing dramatically, Vietnam Airlines believes that investment in building an aviation logistics center in Can Tho would not only promote the development of logistics services for the whole region, but also contribute to reducing overload for Tan Son Nhat and Long Thanh international airports in the future,” Quang said.
According to director of Can Tho Industry and Trade Department Nguyen Minh Toai, the aviation logistics center will help boost the sales of local agricultural products and seafood in other areas of Vietnam, meeting the demand of many businesses.
Statistics showed that the region’s export volume is nearly 18 million tonnes per year, of which 70% to 80% is transported to Ho Chi Minh City and the southeast provinces before being shipped to other places.
Can Tho City has an annual export volume of about 800,000 tonnes of rice and about 170,000 tonnes of aquatic products, said the report.
Nam said many investors have expressed interest in the city, including Vietjet Air and Bamboo Airways which also want to invest in logistics services in Can Tho.
Photo: Genghiskhan
