Industry Figure Urges Vietnam’s Textile Sector To Import Raw Material From India

Trade & Policy

Industry Figure Urges Vietnam’s Textile Sector To Import Raw Material From India

The Vietnamese textile and garment industry needs to diversify its raw material import sources if it wants to develop, a senior Vietnamese industry figure has stated. Vietnam Textile and Garment Association (VITAS) Deputy General Secretary Nguy?n Th?Tuy?t Mai said that with exports of US$28.5 billion last year, Vietnam is one of the five biggest exporters in the world.

However, to maintain this, the country has to import large volumes of feedstock including yarn, fabric and others, she said. Depending on purely on one or two sources will limit manufacturers’ production capacity and development and hence seeking new sources is necessary for the industry to decrease its dependence on traditional sources in ASEAN and China, she said.

In this connection, members of VITAS and the Ho Chi Minh City Association of Garments, Textiles, Embroidery and Knitting (AGTEK) agreed that India is one of the best alternative choices. AGTEK Chairman Ph?m Xuân H?ng stated that many Vietnamese garment companies have visited India to explore co-operation opportunities and returned impressed with the country’s garment and textile industry, since several raw materials available in India suited their needs.

Incidentally, Vietnam has imported garment and textile raw materials from China for a long time. It is now looking at upgrading technologies as well as diversifying its raw material sources. Mai said that establishing co-operation with India is a good idea because Indian products have good quality and priced reasonably due to the free trade agreement signed between India and ASEAN. Besides, India plans to cut taxes on garments and textile sector products in the future, she said.

Meanwhile, the Indian consulate in Ho Chi Minh City has promised strong support for Vietnamese companies seeking to tie up with their Indian counterparts. It hoped a large Vietnamese delegation would attend the Textile India 2017 garment and textile exhibition in Ahmedabad, from June 30 to July 2, stating that Vietnamese companies would find all the products they need, right from fibre, yarn and cotton.

The exhibition would also enable the Vietnamese companies to study the Indian garment and textile industry closely as well as identify new raw material sources, the Indian consulate stated.