The Hanoitimes - Vietnam`s export value of textile and garment materials is expected to grow as foreign investors are pouring millions of USD into the industry.
Foreign investors have been stepping up interest in Vietnam's textile accessories through the growing presence of million-dollar projects, according to Dien Dan Doanh Nghiep (Business Forum) newspaper.
In 2017, export turnover of textile and garment materials reached a record high of USD$1.21 billion, for which the foreign-invested sector played a major part in this achievement.
In late July, Germany-based Amann Group started construction of Amann Vietnam sewing factory at Tam Thang Industrial Park in Quang Nam province, producing embroidery thread for garment and footwear industry.
The project is designed to have a capacity of 2,300 tons per year with investment capital in the first phase of US$13.8 million. It is expected that the first phase will be put into operation in mid-2019 with a capacity of 1,000 tons per year.
Notably, the factory will produce high-quality sewing thread in accordance with European standards, opening the door for Vietnamese products to regional and world's markets.
Additionally, Rio Industries from South Korea invested in a US$12-million polyester yarn production factory in Tay An Industrial Cluster in Quang Nam province.
With capacity of 4,400 tons of products per year, the factory specializes in producing polyester, nylon and other kinds of sewing threads for local production and abroad.
Early 2018, Japanese investors are licensed to build Ha Nam YKK Factory, specializing in producing zippers and raw materials for the garment industry with the production scale of 420 million products per year.
The project has total investment capital of US$80 million and is located in Dong Van III Industrial Zone in Ha Nam province, aiming to meet growing demands for these kind of products in the world market.
The growing investment activities in factories producing textile accessories in Vietnam are thanks to them being targeted as priority investment in accordance with Decision No. 68 of the Prime Minister approving the program of supporting industry development in 2016-2025, including sewing thread textiles and garments; chemicals, auxiliaries, dyes for dyeing finishing of fabrics; garment accessories: chamois, mex, zipper, ribbon, among others.
The move is expected to support the government's effort in completing a supply chain in the garment and textile industry, with the aim of reducing the sector's dependence on imported raw materials.