In the wake of low domestic production of fabric (about 30 percent) of the total demand, Ministry of Industry has assigned Vietnam National Textile and Garment Group (Vinatex) to set up a fabric plant.
Vinatex plans to commission this plant by 2010 to produce and export one billion meters of fabric as the industry is undergoing tough times, said Bui Xuan Khu, Deputy Minister of Industry.
Early June this year, Government withdrewn its decision No. 55 supporting the industry in accordance with its commitment to enter WTO, which has compounded textile industry problems.
However, according to industry experts, this withdrawal means increase in its domestic capacity of goods for both international and local markets.
In order to achieve the targets, Vinatex is preparing a master plan to attract foreign investment into the industry, especially in knitting, dyeing and fibres sectors.
Initial breakthrough in the form of ITG of US has been achieved by Vinatex as the former has invested $80 million in setting up a plant in central city of Da Nang.
Fibre2fashion News Desk - Vietnam
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