Social impact of garment projects

(Baonghean) -One of the outstanding results in attracting investment in the recent past of our province is that it has attracted many garment export projects both domestically and internationally. The implementation of garment projects in accordance with investment agreements has created a change in the issue of labor use, fundamentally solving the pressure of using rural labor in the area...

Provincial leaders visit NamSungViNa Garment Factory (Dien Chau).

Textile projects flourish

Following National Highway 46 from Vinh City to Nam Dan District to Nam Giang Commune, the image of a large-scale factory rising up in the middle of villages and countryside is like a highlight of a changing countryside. That is the Haivina - Kim Lien garment factory with 100% investment capital from a Korean enterprise. It is difficult to express the excitement of the officials and people of Nam Dan District when the enterprise invested in the project in the area, because this is a project that solves jobs for rural workers, increases income for people very effectively. For that reason, right from the beginning of the project's construction and investment, Nam Dan District has accompanied the enterprise, creating conditions for the enterprise to organize production during the factory construction period by temporarily lending some unused classrooms of Kim Lien Secondary School; supporting propaganda for quick site clearance to invest in infrastructure of Nam Giang Industrial Cluster. People agreed to temporarily lend the investor the production site, supporting the enterprise to quickly clear the land according to the prescribed policy mechanism to quickly build the factory. Thanks to that, after a year of both production and factory construction, the Haivina - Kim Lien Garment Factory Project (Nam Dan) with a total investment of 288 billion VND officially went into stable production at the Nam Giang Industrial Park. Currently, the project has reached 80% capacity, with 3 million products/year, attracting 2,300 workers, mainly unskilled workers in the locality. The factory's revenue in 2012 reached more than 123 billion VND, contributing nearly 7 billion VND to the state budget, creating stable jobs for workers with an income of over 3 million VND/month/person. 100% of workers have social insurance paid by the enterprise and are fully guaranteed the regimes according to the Labor Law.

Also an investment attraction project in the field of garment export, but compared to Haivina - Kim Lien Garment Factory, the Industrial Garment Factory project of NamSungViNa Company is smaller in scale. The project was invested and built in 2011 on an area of ​​5 hectares in Thap - Hong - Ky Industrial Park (Dien Chau District). The project is 100% capital of Korean enterprises, with a total investment of about 150 billion VND and when the project is completed, the factory can attract over 4,000 workers. It can be said that this is the investment project in the field of garment with the fastest construction and operation progress. “It has only been 6 months since the investment promotion, then the factory construction started and went into production. And since the production started, it has only been more than 6 months and has created jobs for more than 1,000 local workers, with an average income of 2.5 to 2.8 million VND/month/person. This is the fastest and most effective investment project ever in Dien Chau” - Mr. Le Van Cam - Secretary of Dien Chau District Party Committee affirmed. Although NamSungViNa Company has only been in operation for a short time, it has also shown positive contributions to social activities such as participating in supporting victims of Agent Orange, supporting the construction of the district's Martyrs Monument with a total value of 250 million VND. Currently, the enterprise is continuing to complete investment procedures to build a school for a poor commune, worth about 2 billion VND.

Along with the above 2 projects, currently in Nghe An there are 2 other projects invested in the field of garment export from foreign capital which are also effective. They are Prex - Vinh Company Limited in Lac Son commune (Do Luong), with a total investment of 10 million USD, attracting more than 3,000 workers; The garment project of Lan Lan Company Limited - Japan, with an investment of 37 million USD, in Yen Thanh district, attracting nearly 1,000 workers. In addition to foreign-invested projects, in recent years, Nghe An has also attracted a number of domestic investment projects in the field of garment, including Khai Hoan - Anh Son Export Embroidery Garment Company Limited (with an investment of 40 billion VND, attracting more than 2,000 workers); Nam Dan Hanosimex Textile Cluster Project (with an investment of more than 1,300 billion VND, attracting more than 2,000 workers); Tuan Phuong Company Project (investment capital of 16 billion VND, on an area of ​​6,500m2, attracting over 500 workers)... There are a number of enterprises with experience and business reputation that continue to invest in expanding production scale, such as Phu Vinh Company Limited; Lam Hong Garment Company (Military Region IV); Hoang Thi Loan Textile Joint Stock Company...

The policy is correct and accurate.

In his initial comments on investment in Nghe An, Mr. Kim Tae Hyung, General Director of Haivina Kim Lien Company Limited, said: “Nghe An province has an abundant young workforce, and the salary paid to workers is relatively low compared to other regions. The workforce is mainly high school graduates. The province and district are interested in issuing many mechanisms and policies and promptly removing difficulties and obstacles for businesses when needed. If the province pays more attention to the infrastructure of industrial parks and clusters, including electricity, water, transportation, water supply and drainage; focuses on investing in high-quality human resources (it is very difficult for businesses to recruit workers who are good at Korean and English); improves the province's competitiveness index; pays attention to security work..., it will certainly attract more large projects to Nghe An, especially garment projects and other labor-intensive projects”.

With the awareness and viewpoint that investment attraction must be selective, prioritizing projects using high technology, projects with little impact on the environment, in recent years, the quality and effectiveness of projects attracted in Nghe An in general are quite clear, gradually eliminating projects that lack sustainability and have negative impacts on the environment. The garment sector is one of the groups that has been interested in attracting and in practice has achieved many economic and social effects. Mr. Nguyen Huy Cuong - Deputy Director of the Department of Industry and Trade, said: "The policy of attracting investment in garment projects to industrial clusters in the districts of the province recently is very accurate and correct. On the one hand, bringing industry to rural areas, on the other hand, it aims to exploit local labor resources, create jobs and income for people in the context of promoting industrialization and modernization of agriculture and rural areas, the number of surplus rural workers is increasing". Thus, it can be seen that attracting investment in the export garment sector in recent times has been really effective, especially in creating jobs for rural areas. Just a preliminary calculation of the newly invested garment enterprises that have recently come into operation has created jobs for over 10,000 workers. However, for textiles to become the province's leading important industry, contributing significantly to socio-economic development, in addition to preparing investment conditions such as premises and infrastructure, the training of skilled labor resources must be given importance, in order to be able to attract investment as well as increase labor efficiency.

Article and photos: MAI HOA