Dalat Fiber Company Limited: Committed to Ecologically Sustainable Solutions

Dalat DWS Fiber Company Limited owns a European-standard wool spinning factory invested by Sudwolle Group with 2 facilities in Dalat with a scale of over 60,000 square meters. The project has a total investment of 50 million USD, with a designed capacity of about 5,000 tons of yarn/year.

This is also one of 12 key projects that Lam Dong Provincial People's Committee granted investment registration certificates to at the Conference to announce the Provincial Planning for the period 2021 - 2030, vision to 2050 and investment promotion that was recently held.

Lam Dong Newspaper reporter had an interview with Mr. Karol Sieradzki - General Director of Dalat DWS Fiber Company Limited about the investment process and initial results of Sudwolle Group when investing in Lam Dong province.

Mr. Karol Sieradzki - General Director of Dalat DWS Fiber Company Limited

Reporter: Hello! Thank you for taking the time to welcome us and answer the Lam Dong Newspaper's interview. As far as I know, Da Lat Fiber Factory is the first wool fiber factory invested in Vietnam. Can you tell us more about the reason for choosing Da Lat City to build this factory?

Mr. Karol Sieradzki: Dalat Yarn Co., Ltd. is a joint venture between Südwolle Group, a private company from Germany, and Lien Phuong Textile Joint Stock Company (LPTEX). It is one of the most modern and sustainable wool yarn factories in the world .

Südwolle Group has sales offices worldwide and production and warehouse facilities in eight countries, including Vietnam.

Because of Vietnam's open policies with free trade agreements signed with many countries around the world, our Group's Board of Directors decided to invest in Vietnam. This was an extremely wise decision because it created many business opportunities for us as well as our customers.

In particular, Da Lat City with its cool climate and fresh natural environment is an ideal condition for the company's staff and workers to work. Along with that, preferential policies in attracting investment from Lam Dong province for businesses have also contributed to our choice of locating the factory in Da Lat - Lam Dong.

Products of Dalat Fiber Company Limited are assessed as environmentally friendly, in accordance with new export regulations.

Reporter: Right from the beginning of setting foot in Da Lat, Südwolle Group has determined to build infrastructure and produce in an ecologically balanced direction. Can you explain this in more detail?

Karol Sieradzki: As a leader in the wool industry, Südwolle Group is committed to connecting the supply chain, inspiring and creating opportunities to share new ideas, products and technologies. We are committed to sustainable and transparent solutions in our industry. The company meets ecological standards including ZDHC, bluesign®, OEKO-TEX, and traceability certificates such as GOTS, IVN Best, GRS, RWS…

Not only is DWS the first spinning mill in Vietnam, it is also one of the most modern spinning mills in the world. One of the outstanding features of Dalat Spinning Mill - DWS is its production according to the Biobalance principle, meaning ecological balance. This is the first wool spinning mill in Vietnam with an advanced machinery system and using clean energy from solar power, with a capacity of 2.04 MWp.

The solar power system at Da Lat Fiber Factory uses 3,456 solar panels and 16 SMA Sunny Tripower CORE 2 inverters with a capacity of 110kW.

When choosing Da Lat to locate the spinning factory, the Company aimed for cleaner production, applying all techniques and machinery to reduce energy consumption, reduce water, waste, electricity, greenhouse gas emissions as well as increase the use of sustainable energy sources.

Therefore, the Company cooperated to build a rooftop solar power system on all factories. The system is not connected to the national grid, only used internally, mainly in the spinning area. Not only electricity, the factory's wastewater is also collected and treated by the Company for reuse in the steaming department, the remaining discharged water meets A standards.

Not only building modern factories and applying energy-saving systems, Dalat Fiber Company also focuses on training people to ensure that each member is aware of environmental protection.

Dalat Fiber Company has developed the ISO 14000 environmental standards; in which, there is a very clear process for training workers in production stages. We consider training workers as a basis for sustainable business development.

Dalat Fiber Factory is committed to sustainable and transparent solutions in the industry.

Reporter: After more than 5 years of operation, what important results has Dalat Fiber Company achieved? Can you share more about this?

Mr. Karol Sieradzki: The Group's total production capacity is 25,500 tons/year for long fibers and 6,000 tons/year for air-blown fibers. Of which, our existing factory in Vietnam has a capacity of 3,000 tons/year.

Currently, Dalat Fiber Company can produce both natural and synthetic yarns, pure wool or wool blends, used for weaving, circular knitting, flat knitting, socks and technical yarns. In our strategic plan, the second factory in Dalat with a capacity of 2,000 tons/year will be invested in the next 2 years, increasing the total capacity of the factory from 3,000 tons/year to 5,000 tons/year. We believe that with the support of local departments and agencies, the second factory will be implemented as committed.

Up to now, we have produced 8,211 tons with a total revenue of nearly 20,000 billion VND; of which, domestic revenue reached 1,590 billion VND and export revenue reached 18,410 billion VND. We have paid more than 246 billion VND to the state budget.

Currently, Da Lat Fiber Company is employing nearly 300 local workers and is expected to have 200 more workers when the second factory comes into operation.

Dalat Spinning Mill is one of the most modern and sustainable combed wool yarn factories in the world.

Reporter: It is known that, besides many advantages, the Company also has some difficulties and obstacles in the investment implementation process. So do you have any recommendations or proposals for Da Lat Fiber Company Limited in particular and foreign-invested enterprises in general when investing in Lam Dong province?

Mr. Karol Sieradzki: Currently, we have to import raw materials from China because the company cannot find a unit that can process wool dyeing in Vietnam. To improve delivery time as well as provide raw materials for the spinning factory in Da Lat, we are building the most modern textile dyeing factory in Du Long Industrial Park, Ninh Thuan province with a capacity of 1,500 tons/year. We expect this textile dyeing factory to go into production early next year, 2025.

On the other hand, due to the impact of the Covid-19 pandemic and the global economic crisis over the past 5 years, our group's global business results were not as good as expected. However, thanks to incentives in production and business in Vietnam and the support of the People's Committee of Lam Dong province in general and Da Lat city in particular, as well as the high commitment of local staff, Da Lat Fiber Company Limited has begun to achieve positive results.

Currently, the Company is also facing some difficulties related to project expansion and capacity increase due to new regulations on restricting investment attraction in industrial parks and industrial clusters without wastewater treatment systems. This affects the application for environmental licenses as well as causes concerns about project expansion for phase 2. We hope to continue to receive support from all levels, sectors, provincial and municipal leaders so that phase 2 of the project can continue to be implemented as committed.

Reporter: Thank you for this interview. I wish you good health and the Company continued sustainable development!

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Source: http://baolamdong.vn/kinh-te/202409/cong-ty-tnhh-soi-da-lat-cam-ket-huong-den-nhung-giai-phap-ben-vung-ve-sinh-thai-5701683/