Econ
Spinning industry accounts for larger pie in textile export turnover
Vietnam’s fiber and yarn production has grown strongly, contributing a significant amount to the country’s textile and garment export turnover in recent years.
According to the Vietnam Textile and Apparel Association (VITAS), the country earned US$31 billion from exporting textiles and garment products, fiber, cotton and materials, of which exports of fiber made up $3.59 billion, up 22.7 percent year-on-year.
As the fiber sector has encountered anti-dumping tariffs in some major export markets like Turkey, India, and Brazil, this outcome proved encouraging, industry insiders said.
Vu Duc Giang, chairman of VITAS, said after Turkey imposed anti-dumping tariffs on several types of export fiber, such as draw textured yarn (DTY) and synthetic fiber in 2016, local export firms have been successful in finding alternative markets.
According to Giang, the quality of Vietnam's cotton fiber is very good and meets the requirements of importers.
"Vietnam's yarn industry is well positioned on the world's fiber map and is able to compete well with major countries such as India, China, Turkey and some Middle East countries," Giang said.
Nguyen Thi Tuyet Mai, vice general secretary and chief representative of VITAS in Ho Chi Minh City said besides traditional textiles products, high value-added items such as fabrics, fiber and yarn and textiles and garments accessories have grown well in the first months of 2018.
Notably, Vietnam’s fiber and yarn export alone reached $906 million in the first quarter of 2018, up 16.5 percent year-on-year.
Nguyen Binh An, General Secretary of the Vietnam Cotton and Spinning Association, said prior to 2000, the spinning sector’s production scale reached only 1 million spindles but its capacity was raised to 3.7 million spindles in 2007 and 7 million spindles at present.
Two thirds of yarn produced in Vietnam is for export now, with the main importers being China, Turkey and European and American countries.
The scale of the country’s fiber production has grown rapidly thanks to the operation of foreign direct investment (FDI) projects, including the Texhong Group with annual output of 450,000 tons in the Quang Ninh Province’s Hai Yen Industrial Zone, and the 30,000-ton factory of Century Corporation in Tay Ninh Province’s Trang Bang Industrial Zone 3.
Mai said the production scale of Vietnam’s spinning industry would become bigger in the future thanks to advantages brought by free trade agreements the country has joined.
Vietnam is seen as an ideal destination for foreign-invested spinning projects. The Republic of Korea, China and Hong Kong (China) are leading investors of spinning factories in Vietnam. Japan also outsources yarn products to Vietnam. In 2017, Vietnam exported 700,000 tons of fiber and yarn to China.
Experts said many foreign enterprises have invested in Vietnam’s garment and textile industry to exploit opportunities after the Comprehensive and Progressive Agreement for Trans-Pacific Partnership agreement was signed.
Besides the satisfactory export results, the Vietnamese yarn industry is now actively involved in the development of the yarn industry for the domestic textile and dyeing industry. Especially, Vietnamese knitted fiber products are hardly imported.
In addition, Vietnam has also been active in high-end cotton yarn products for high quality of textile. Besides domestic production, Vietnam's yarn industry is also exporting very large volumes annually.
However, Vietnam’s fiber production has to depend significantly on imported raw materials. It was reported that the fiber industry last year alone imported a large amount of cotton worth a record high of $2.36 billion, up 41.74 percent. Of which, imports from the United States continued to lead with 634,000 tons worth $1.17 billion.
Fiber export rose by 22.7 percent year-on-year to $3.59 billion last year
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Vu Duc Giang, chairman of VITAS, said after Turkey imposed anti-dumping tariffs on several types of export fiber, such as draw textured yarn (DTY) and synthetic fiber in 2016, local export firms have been successful in finding alternative markets.
According to Giang, the quality of Vietnam's cotton fiber is very good and meets the requirements of importers.
"Vietnam's yarn industry is well positioned on the world's fiber map and is able to compete well with major countries such as India, China, Turkey and some Middle East countries," Giang said.
Nguyen Thi Tuyet Mai, vice general secretary and chief representative of VITAS in Ho Chi Minh City said besides traditional textiles products, high value-added items such as fabrics, fiber and yarn and textiles and garments accessories have grown well in the first months of 2018.
Notably, Vietnam’s fiber and yarn export alone reached $906 million in the first quarter of 2018, up 16.5 percent year-on-year.
Nguyen Binh An, General Secretary of the Vietnam Cotton and Spinning Association, said prior to 2000, the spinning sector’s production scale reached only 1 million spindles but its capacity was raised to 3.7 million spindles in 2007 and 7 million spindles at present.
Two thirds of yarn produced in Vietnam is for export now, with the main importers being China, Turkey and European and American countries.
The scale of the country’s fiber production has grown rapidly thanks to the operation of foreign direct investment (FDI) projects, including the Texhong Group with annual output of 450,000 tons in the Quang Ninh Province’s Hai Yen Industrial Zone, and the 30,000-ton factory of Century Corporation in Tay Ninh Province’s Trang Bang Industrial Zone 3.
Mai said the production scale of Vietnam’s spinning industry would become bigger in the future thanks to advantages brought by free trade agreements the country has joined.
Vietnam is seen as an ideal destination for foreign-invested spinning projects. The Republic of Korea, China and Hong Kong (China) are leading investors of spinning factories in Vietnam. Japan also outsources yarn products to Vietnam. In 2017, Vietnam exported 700,000 tons of fiber and yarn to China.
Experts said many foreign enterprises have invested in Vietnam’s garment and textile industry to exploit opportunities after the Comprehensive and Progressive Agreement for Trans-Pacific Partnership agreement was signed.
Besides the satisfactory export results, the Vietnamese yarn industry is now actively involved in the development of the yarn industry for the domestic textile and dyeing industry. Especially, Vietnamese knitted fiber products are hardly imported.
In addition, Vietnam has also been active in high-end cotton yarn products for high quality of textile. Besides domestic production, Vietnam's yarn industry is also exporting very large volumes annually.
However, Vietnam’s fiber production has to depend significantly on imported raw materials. It was reported that the fiber industry last year alone imported a large amount of cotton worth a record high of $2.36 billion, up 41.74 percent. Of which, imports from the United States continued to lead with 634,000 tons worth $1.17 billion.
