Scores of spinning and garment projects will boost local production.
This is the Nam Dan textile garment cluster project developed by Hanosimex in central Nghe An province capitalised around VND1.3 trillion ($62.8 million).
The project will be developed in two phases. Phase one involves three sub-projects valued at VND850 billion ($41 million). Sub-project one relates to building Nam Dan 1 spinning mill with 30,000 spindles producing PE yarn on Asian imported equipment and technology process worth VND350 billion ($17 million) in investment capital.
Sub-project two associates with infrastructure development servicing Hoang Thi Loan Textile Garment Joint Stock Company removal and building an open-end (OE) spinning mill at a cost of VND150 billion ($7.2 million).
Sub-project three involves building Nam Dan 2 spinning mill with 30,000 spindles producing T/C yarn at a cost of VND150 billion.
These three sub-projects were slated for completion in 2013. After that, Hanosimex will embark on phase two construction which involves building Nam Dan 3 spinning mill with 30,000 spindles producing T/C and quality TCD yarns and two knitwear production factories with an annual capacity of 2.4 million items at a cost of VND500 billion ($24 million).
A recently kicked-off $17 million material production project of Phong Phu Corporation’s Nha Trang Textile Garment Joint Stock Company was expected to bolster the textile-garment sector’s production capacity.
Slated for completion in late 2011, the 40,000 spindle mill would turn out quality PE, TA yarns and threat for fabric production serving home market and export demands, said the company’s chairman Tran Quang Nghi.
Hoa Tho Textile Garment Joint Stock Corporation just began the construction of the Hoa Tho suit production factory in Danang city’s Cam Le district, the first of its kind in the central region.
With an annual production capacity of 400,000 quality suits the $4.3 million project set to spend 70 per cent of its capital on purchasing cutting-edge equipment from world well-known manufacturers such as Rieter, Muratec and Jingwei.
Once completed in late 2011, the project would generate over $10 million in annual export value.
Vinatex deputy general director Tran Van Pho said businesses pumping capital into material and accessories production and turning out quality products had been wise decisions to help the garment sector better compete in the world market and develop in a sustainable manner.