Overview
In the process of implementing country industrialization and modernization, textile and garment has always been regarded as an important economic sector. Due to its character of supply chain, the throughout duty set forth to the sector has been building up a balance among segments to facilitate its development in stability and sustainability. However, the existence of ‘bottleneck” in weaving, knitting, dyeing and finishing makes Vietnam largely depending on imported fabric. Importation of fabric in 2016 was 6.5 billion meters, counting for 70% of total demand. This situation has drastically reduced motivations for this sector development, countless of the fact the production is being fragmented, production time prolonged and transportation cost increased. To restore, target for the next 10 years to increase quantity of domestically produced fabric to meet with the local demand is proposed, which means to increase from 2.7 million meters of fabric as of 2016 production to 18 million meters by 2025.
Apart from promulgation of various investment incentives, therefore, the Government recently allowed to set up some large scale textile industrial zones in provinces having suitable conditions. Nam Dinh was designated to build a textile hub for the northern part of Vietnam and Rang Dong Textile Industrial Park (located in Nghia Hung District) has been licensed to realize this target. In the area of more than 2,000 ha of land, Rang Dong is oriented as the green, clean and sustainable textile industrial park to be developed in 3 phases, namely:
- First phase (from 2017 to 2022): To make 1 billion meters of fabric in the area of 519.6ha
- Second phase (from 2023 to 2030): To increase fabric production to 1.5 billion meters and complete full supply chain in the area of 850ha.
- Third phase (from 2031 to 2035): To build a modern city of trading and service for textile and fashion in the area of 657ha.
