Thursday, January 20, 2011

Garment and textile industry should invest further in hi-value competitively priced products

Garment sector looks to boost world export standing.The garment and textile industry this year should invest further in hi-value competitively priced products to maintain its position in the world's top five exporters, with a view to making it into the top three, Deputy Prime Minister Hoang Trung Hai told a conference on Monday.

Hai urged the industry to focus on technological innovation, while sourcing the best raw materials and improving the quality of its human resources – including its management.

An adequate support industry was also necessary to ensure the sector's sustainable development, he said.

The sector has set an ambitious target of US$12.7-$13 billion in export earnings this year, according to the Viet Nam National Textile and Garment Group (Vinatex).

It is also aiming to source between 55 and 60 per cent of its raw materials locally to cut import costs this year.

To achieve these goals, the sector planned to focus on finding new export markets, Vu Duc Giang, Vinatex chairman, said.

To reduce reliance on imported raw materials, Giang said Vinatex was trying to encourage farmers to grow more cotton.

However, he said it would be difficult to develop a cotton growing industry that met the requirement of the garment and textile industry because of poor soil quality. He said that farmers should alternate growing cotton with other crops to boost profits.

Vinatex is preparing to establish a raw-materials manufacturing joint stock company with its member firms to work with provinces to earmark farmland for cotton growing. It will be looking for farms of 50ha to 100ha.

Despite a number of difficulties, the garment sector still generated $11.2 billion from exports last year, up 23 per cent year-on-year. The localisation ratio rose from 46-49 per cent. — VNS

No comments:

Post a Comment