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Development of processing and manufacturing industry

Việt NamViệt Nam18/06/2024

Focus on processing and manufacturing industry

With the proactive acceleration from the beginning of the year of manufacturing enterprises, the attention of the Industry and Trade sector and authorities at all levels in the province, industrial production has maintained its production pace with the results of the first 5 months of 2024 growing by 19%, the estimated industrial production value in the first 6 months reached 11,587 billion VND, of which the processing and manufacturing industry reached more than 9,000 billion VND, one of the important contributions to the GRDP growth rate of the province reaching 8.84%, ranking 9th out of 63 provinces and cities.

PPE packaging production line at Phuc Ung Industrial Park of WooJin Vina Korea Co., Ltd.

Many key products increased compared to the same period, such as sugar, base paper exports increased, cement increased, garment exports, refined wood increased by 5.8%... In particular, some industrial products that had low growth rates for many years, in the first 6 months of this year exceeded the plan, such as sugar products reaching 162% of the plan, cement reaching 110% of the plan.

The export wood processing factory in Long Binh An Industrial Park of Sao Viet Tuyen Quang Company Limited with an area of over 2 hectares, a scale of 30,000 m3 to 50,000 m3 of products/year, a total investment of over 100 billion VND has been in stable production, the factory is considered the most modern in the North. Ms. Cao Cam Tu, Deputy Director of Sao Viet Tuyen Quang Company Limited said: From September 2023 to now, the company has continuously signed orders, so it has increased production speed. This is a positive sign of production recovery after several years of being affected by the epidemic and instability of the world market. Currently, the unit exports 4 containers of goods per day, equivalent to about 1,000 tons. The unit is maintaining 2 continuous shifts with over 200 workers, striving for revenue of 160 billion VND in 2024.

The PPE export packaging factory at Phuc Ung Industrial Park of WooJin Vina Korea Co., Ltd. has been officially in production for nearly a month now. Mr. Truong Van Hung, General Director of WooJin Vina Korea Co., Ltd. said: After 2 years of construction with a total investment of over 70 billion VND, in May 2024, the factory officially operated with an automated line accounting for 70% of the production of PPE export packaging to Korea and Europe. Currently, the enterprise has signed a production order until the end of the first quarter of 2025. Therefore, it is increasing production, striving to reach 40 billion VND in the last 6 months of the year.

Since the beginning of the year, the province has completed and put into operation 6 projects, including: PPE export packaging factory in Phuc Ung Industrial Cluster of WooJin Vina Korea Co., Ltd.; Commercial concrete mixing station in Tan Thinh commune, Chiem Hoa district of Hiep Phu Co., Ltd.; Project to build a facility to produce crushed sand as construction materials from cobbles and gravels of Lo riverbed, Yen Son district of Hiep Phu Co., Ltd.; Zinc Sulfate ZnSO4 production line of Bao Au Joint Stock Company in Lam Binh district; Clean water supply factory project for Phuc Ung Industrial Cluster, Son Duong district of 27-7 Co., Ltd.; PPF SEWCRAFT export garment factory project of PPE SEWCRAFT Garment Joint Stock Company.

Up to now, in the whole Tuyen Quang province, there have been 284 completed projects put into production and business operation, accounting for 72.2% of the total number of projects, with a total investment of over 26,800 billion VND.

Besides the advantages, the province’s industry is also facing many difficulties and challenges, especially for export industrial products such as textiles, tea, and minerals. The reasons are assessed to be due to the high cost of raw materials and transportation, and the narrow export market due to the fluctuating world economic situation…

Wood production for export at Woodsland Tuyen Quang Joint Stock Company.

Create conditions for new projects to go into production

The province strives for an industrial production value of VND23,730 billion in 2024, of which the industrial production value must reach VND12,143 billion in the last 6 months of the year. Mr. Nguyen Trung Kien, Deputy Director of the Department of Industry and Trade, said: To ensure the growth rate of industrial production from now until the end of the year, the industry continues to work with investors to review and grasp the implementation progress as well as the difficulties and obstacles of industrial projects to ensure the implementation progress. At the same time, focus on drastic and effective solutions to ensure electricity supply according to the Prime Minister's telegram; mobilize resources to develop infrastructure of industrial parks and clusters; soon start construction of Nhu Khe - Doi Can Industrial Park and adjust and expand the planning of industrial parks and clusters...

The Department continues to advise the Provincial People's Committee on developing renewable energy sources such as: Biomass power, wind power, solar power...; speed up progress, call for capable enterprises to invest and trade in technical infrastructure of industrial clusters. In addition, participate in calling for and attracting industrial projects to invest in potential and local strengths with high value, modern technology, environmentally friendly, new products to create growth momentum and new production capacity.

The Industry and Trade sector has strengthened coordination with other sectors to advise the Provincial People's Committee on solutions to accelerate progress and put into stable operation projects expected to have high industrial production value and large budget revenue such as: Tarpaulin factory with a capacity of 5,000 tons of products/year of Tarpaulin JoYoung Vina Co., Ltd.; Tissue paper factory project with a capacity of 18,000 tons of products/year of Hong Phat Tuyen Quang Joint Stock Company; Flooring factory with a capacity of 1.92 million m2/year of Future Ghi Singapore Co., Ltd. Along with that, the province has promoted administrative procedure reform and implemented policy mechanisms to create more attraction for investors; including the industrial production sector.

Erex Sakura Biomass Fuel Plant Project of Erex Joint Stock Company (Japan) is being accelerated in Long Binh An Industrial Park (Tuyen Quang City). This is one of the important industrial projects of the province. Mr. Honna Hitoshi, Chairman and General Director of Erex Joint Stock Company said: The wood pellet plant contributes to realizing Vietnam's net emission reduction policy, providing stable electricity, contributing to meeting the economic development needs of Tuyen Quang province in particular and Vietnam in general. We are coordinating with contractors to speed up the construction progress, striving to put the plant into operation as committed to the province.

The project is invested on an area of 3.3 hectares with a total investment of over 478.8 billion VND (equivalent to more than 20.4 million USD) to produce biomass pellets and wood chips, with a designed capacity to produce 150,000 tons of biomass pellets/year and 150,000 tons of wood chips/year. Products produced here will be exported to Japan and neighboring countries. The factory is expected to be completed in November and put into operation from December 2024. The project will significantly contribute to increasing the industrial production value of the province.

With the efforts of the province, the Department of Industry and Trade, the province's industrial production enterprises will reach the target by 2024.


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