Factory part of plans to rapidly increase production to seize opportunities from free trade agreements.
The Vietnam National Textile and Garment Group (Vinatex) has announced that it is preparing to build a factory to manufacture goods for export in central Quang Binh province on August 25.
The factory will be located at the Cam Lien Industrial Zone in Le Thuy district and is part of Vinatex's plan to rapidly increase its production capacity to take advantage of upcoming free trade agreements.
Built on an area of 6 ha with total investment of about VND150 billion ($6.7 million) and a capacity of 8 million tons per year, the factory includes buildings, lighting systems, a waste water treatment system, and other ancillary items.
The project is divided into three phases. After finishing the first phase it will provide 1,000 jobs. With new equipment the plant will ensure the quality requirements for products being exported to markets such as the US, the EU, and Japan in the future.
It is expected that the first phase will come into operation in March 2016.
Vinatex is currently focusing its investment in the central region, in particular provinces such as Quang Binh and Quang Nam. In March this year it began construction of a fiber - weaving - dyeing – sewing complex in Huong An commune, Que Son district, Quang Nam province, with total investment of VND1.2 trillion ($54 million).