The Hanoitimes - Authority of the northern province of Vinh Phuc have rejected a US$350-million garment and textile dyeing project proposed by Hong Kong - backed TAL Group, due to concern over environmental pollution.
Vinh Phuc provincial authority for the fourth time requested the government not to approve the project proposed by TAL Group, which has previously received criticisms from experts and officials over environmental risks, the Dau Tu newspaper reported.
In a workshop held by the local government in April to evaluate the socio-economic impacts of the project to the environment, the majority of economic experts and representative from related government agencies pointed to the project's incompatibility with the development plan of the garment and textile industry of Vietnam to 2020, with vision o 2030 approved by the Ministry of Industry and Trade (MoIT) as one of the main issues.
Additionally, experts said that the project's technology and manufacturing lines are outdated and posing high risk of environmental pollution to Vinh Phuc and provinces downstream of the May river, including Hanoi, Bac Ninh, Hai Duong, and Hung Yen.
The project, thus, in case of approval, will potentially cause negative impacts on environment and the province's potential for socio-economic development, experts warned.
Under this circumstance, TAL Group is requested to seek a more suitable location for the project.
In 2014, TAL Group invested in a US$50-million garment factory in Vinh Phuc, which later was put into operation in October 2016. Revenue of the factory in 2017 reached US$20.38 million.
TAL Group set foot in Vietnam in 2004 with the establishment of the US$40-million garment plant in Thai Binh province.
90% of TAL products have been exported to the US under brand names like Burberry, Brooks Brothers, Banana Republic and Tommy Hilfiger, it claims.