(VOVWORLD) - The Vietnamese garment and textile industry has recently seen many foreign direct investment (FDI) projects. Vietnam has attracted 3,500 FDI garment and textile projects with a combined value of 37 billion USD, according to the Vietnam Textile and Apparel Association. FDI accounts for 65% of the garment and textile industry’s export turnover. Large corporations from China, Japan, India, South Korea, and Taiwan (China) are investing in building modern factories in Vietnam.
 Vietnam’s garment and textile industry welcomes new investment. (Photo: baodautu.vn) |
Last month, Singapore’s Sanbang Company began construction of a factory for towels, fabrics, and DTY yarn at Rang Dong Textile Industry Park in Nam Dinh province with a total investment of 30 million USD.
The 103,000-square-meter factory is expected to become operational in the fourth quarter next year. The expected annual capacity is 15,000 tons of towels, 14 million meters of woven fabric, and 15,000 tons of DTY yarn.
A Sanbang representative said this project will create lots of jobs for local farmers shifting from agriculture to industry. Many other large projects are under way in the park, including a 203-million-USD textile dyeing factory being built by the Top Textiles Company of Japan’s Toray Group.
This project has completed its first phase, with a capacity of 60 million meters of fabric per year, and is now its second phase, which will increase capacity to 120 million meters of fabric per year.
In September, a groundbreaking ceremony took place at Hoa Phu Industrial Park, Dak Lak province, for a factory of the ReGal Vietnam Textile Company, with a total investment of 20 million USD.
The 3-hectare Hong Kong-invested company will generate permanent jobs for 800 workers. Ding Feng, the company’s Director, said the ReGal Group chose to build the factory there because of Dak Lak’s abundant workforce.
“Our company is planning to move some factories from China to this industrial park. Once the company locates its headquarters here, it’ll create more jobs for local workers and offer a better allowance regime for those whose partners also work for our company,” according to the company’s leader.
The Vietnam Textile and Apparel Association said that, with its 100-million-people market, high-quality human resources, and open investment attraction policies, Vietnam's garment and textile industry is seeing a strong increase in FDI capital. The country’s participation in many free trade agreements is also expanding the export market for its products.