Deal #4114 Version 65814 Version 87742
Size under contract (leased or purchased area)
  • [current] 1640.0 ha
  • [current] 1640 ha
Comment on land area
Available infrastructure system; the project site is geographically located adjacent to Road A3 as a strategic route to connect to ASEAN+3 (China, Korea and Japan).
Available infrastructure system; the project site is geographically located adjacent to Road A3 as a strategic route to connect to ASEAN+3 (China, Korea and Japan) In 2016, the zone covered 16.4sq km (1640 ha) but is now being extended to more than 700 ha Source: The Phnom Penh Post
Comment on intention of investment
Construction of Hotel, Casino, and trading service
Construction of Hotel, Casino, and trading service The zone will have separate areas for commerce, banking and finance, logistics, education and medical services, and tourism. Source: The Phnom Penh Post The project is considered part of China’s Belt and Road Initiative (BRI) Source: The People Map
Implementation status
  • [2009, current] In operation (production)
  • [2003, current] In operation (production)
Comment on implementation status
The status of the project now is under construction, partially operational. The Boten Beautiful Land SEZ (BSEZ) was established in 2003 and is the first cross-border economic cooperation zone between the government of P.R.China and Lao PDR. The zone owner said that so far they have invested more than $1 billion in the development of the site and they expect that more than $10 billion will be needed to complete construction. Source: The Phnom Penh Post & The People Map
Comment on purchase price
Land Rental Rate (During concession Period) in Boten SEZ: Land Type I: β‰₯ 5,000 kip/m2 , Land Type II: 2,500-5,000 kip/m2, Land Type III: ≀ 2,500 kip/m 2 Source: Lao SEZ
Comment on jobs created (total)
According to interviews, as of 2020, approximately 2,000 people were living in Boten SEZβ€”80% Chinese and 20% Lao, Thai, and Vietnamese workers. Source: The People Map Recently, RFA reported that government of Laos and Boten SEZ signed the agreement to legalize the workers who work in the zone because it was reported that there are many illegal Chinese workers came to work in the zone and caused many problems such as fighting, using guns which was a big concern for local residents lives nearby. Source: RFA Lao
Actors involved in the negotiation / admission process
  • SEZ Office within the Lao Ministry of Planning and Investment (MPI) Government / state institutions (government, ministries, departments, agencies etc.)
Name of investment project
Bortaen-Denkham Trading Zone
Boten Beautiful Land Specific Economic Zone
Comment on investment chain
Diverging names: project is also known as "Borten Dankham Economic Zone" or "Borten Golden Service Area"; investor is also called "Borten Dankham Economic Zone" and "Borten Specific Economic Zone (SEZ)".
The Yunnan Hai Cheng Industrial Group Stock obtained funding from the Hong Kong Fuk Hing Travel Entertainment Group Ltd. Work on the SEZ began in 2016 and is projected to take 10 to 15 years. Source: The Phnom Penh Post The Boten Special Economic Zone (SEZ) or β€˜Boten Beautiful Land’, is a 10-billion-USD Chinese-built and funded zone. Source: The People Map
Name of indigenous people
Tai Lue ethnic group
Comment on community reaction
Local residents said that Boten is β€˜China now; China rented it’. Source: The People Map
Comment on displacement of people
The affected communities were relocated in the early 2000s to make for this project. When Boten was declared an SEZ in 2003, residents were resettled approximately 18 kilometers south to the village of Nateuy in Luang Namtha Province, as well as approximately 6 kilometers south on the main highway to Bopiat Village. Source: The People Map
Negative impacts for local communities
Environmental degradation, Socio-economic, Cultural loss, Eviction, Displacement
Comment on negative impacts for local communities
During Boten’s first iteration as the Golden City (2007–11), local employment decreased as workers cited abuse by bosses and discrimination. Before the development of the SEZ, Boten was covered by lush, dense forest. When the project started, many forest areas were cleared to make way for various stages of construction. A 2018 study noted the significance of Boten’s position in the illegal wildlife trade and called for improved regulations and law enforcement at the border. Source: The People Map
Overall comment
At Boten SEZ height, from 2010 to 2011, the zone attracted thousands of tourists and gamblers and was flush with as many as 4,800 Thai, Chinese, and Lao visitors at a time. However, the zone quickly developed a reputation as a lawless and violent place, rife with crime, prostitution, gambling, smuggling, and rumours of murder. There were also reports of indebted Chinese gamblers held hostage and tortured. As Boten’s notoriety grew, Chinese authorities issued warnings to Chinese citizens against visiting the zone due to the threat of crime. Under pressure from Beijing, the Lao Government intervened, leading to Boten Golden City’s shutdown in 2011. In April 2012, Yunnan Haicheng Industrial Group Company Limited was awarded a 50-year land lease for the SEZ with options to extend. As Haicheng designed the zone, the Lao Government set up preferential development policies as well as a no-gambling rule. Source: The People Map
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Duration of the agreement
90 years
Comment on contract
The project is under a 90-year lease agreement. Source: The Phnom Penh Post