VGG to establish Vietnam’s first green fabric factory

by Apparel Resources News-Desk

08-January-2020  |  1 min read

Garment factory

The Viet Tien Garment Joint Stock Corporation, better known as VGG, has something good for Vietnam’s garment and textile industry in 2020.

VGG has entered into an agreement with Newtech and Luenthai to set up Viet Thai Tech fabric unit to meet the fabrics demands of Vietnam’s garment and textile sector.

And, importantly, it will be the first green fabric factory of Vietnam – built in accordance to US green standards.

Speaking about the new factory, Vu Duc Giang, Chairman, Vietnam Textile and Apparel Association (VITAS) said “the project aims at proactively sourcing raw materials, shortening production and delivery time, as well as meeting strict quality requirements from customers in the garment industry.”

To be built at a cost of US $ 20 million, the factory is expected to go operational in June 2020.

Notably, the first phase will involve a cost of US $ 12 million, whereas US $ 8 million will be invested in the second phase of the project.

Giang, who is also the chairman of VGG, said that the new fabric factory should quickly set a target of factory deployment and investment in equipment and technology, so that it can supply fabric for VGG and export markets by September 2020.

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