Economy

Unlocking industrial potential in western Lam Dong

Hong Thoan 19/08/2026 20:37

Alongside mining and deep processing, local authorities in western Lam Dong are taking steps to promote industrial and small-scale manufacturing, aiming to unlock the region’s development potential.

Aluminium ingots produced from bauxite ore in Nhan Co Commune open up opportunities for further development of aluminium-related industries
Aluminium ingots produced from bauxite ore in Nhan Co Commune open up opportunities for further development of aluminium-related industries

Local authorities see considerable potential for industry and small-scale manufacturing, particularly in the preliminary processing, preservation and processing of agricultural products such as coffee, pepper and fruit. Small-scale mechanical engineering, agricultural machinery repair, construction materials, stone mining and other rural industries also offer room for growth in Dak Sak Commune.

However, the sector still makes a relatively small contribution to the local economy. Dak Sak currently has around 300 small industrial and manufacturing establishments, many with limited investment in machinery and technology.

According to Nguyen Van Pho, Chairman of the Dak Sak Commune People's Committee, the sector has expanded and helped create jobs and shift the local labour structure, but accounts for only around 10% of the local economy annually.

Pho said local authorities are focusing on better planning and management, particularly land allocation and industrial space, to capitalise on advantages in surrounding areas and align local development with the province's broader industrial planning.

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Tam Thang Industrial Park still has considerable space for development

Dak Sak Commune is restructuring its agricultural sector towards high-value commercial production, creating favourable conditions for businesses to expand agricultural processing. The locality is also investing in infrastructure and seeking investment in small-scale industries linked to local culture, particularly textiles, agricultural products, brocade and speciality food processing. It aims for processing industries to contribute 10-12% annually.

Meanwhile, Cu Jut Commune has strong potential for industrial development, supported by Tam Thang Industrial Park. The commune currently has around 1,000 industrial and small-scale manufacturing establishments, with traditional sectors including garment production, mechanical engineering, tool manufacturing, and agricultural and forestry processing.

In the first half of the year, industrial activity remained stable, supporting local jobs and incomes. Output reached approximately VND 951.953 billion out of the annual target of VND 1.904 trillion, or about 50% of the plan.

However, local authorities said the sector has yet to become a major driver of economic growth. Cu Jut is therefore seeking further investment, including in emerging industries such as solar energy, and targets industrial and small-scale manufacturing growth of 12-14.29% in 2026.

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Agricultural and local speciality processing in Dak Sak remains small-scale

In Nhan Co, industrial development is expected to make the area a key industrial hub in western Lam Dong, extending beyond aluminium production to related and supporting industries.

Bauxite mining and alumina processing have also been planned in other areas, including Kien Duc, Quang Tin, Quang Son, Dak Song and Tuy Duc, with total geological reserves estimated at more than 2.72 billion tonnes.

Local authorities across the region are aligning their development priorities with broader industrial planning, aiming to better harness local strengths while attracting external investment and resources.

Western Lam Dong comprises 28 communes and wards. The province plans to develop the region around mining, bauxite-alumina processing, aluminium production, supporting industries, and high-tech agricultural and forestry processing, while promoting green industry.

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