“Although India and Vietnam have their own advantages, if they complement each other, the achievement will be greater. Therefore, instead of competing with each other, the textile industries of the two countries should cooperate for mutual benefit,” recommended Indian Consul Manoj Kumar in Ho Chi Minh City at Indian Textile Exhibition (Intexpo) 2015. The exhibition is jointly sponsored by the Synthetic and Rayon Textiles Export Promotion Council of India (SRTEPC), Indian Embassy in Hanoi, Indian Consulate in Ho Chi Minh City and Vietnam Chamber of Commerce and Industry (VCCI).
According to Mr Srijib Roy, SRTEPC Director, the total value of the world textile industry is worth some US$100 billion, the total export value accounted for US$40 billion, with India ranked second after China. India is also second in exporting synthetic fibre and textile. For Vietnam, although one of leading countries in exporting garments, its materials are mostly imported (US$12.5 billion in 2014). Meanwhile, India has sufficient supply of materials for the Vietnamese textile industry. Therefore, the cooperation between India and Vietnam will bring mutual benefit: a new export market for India and an ample material supply for Vietnam. In addition, with its large population, India is a potential export market for the Vietnam garment industry.
Sharing the same view, Mr Manoj Kumar added that there is a bright prospect for Vietnam-India cooperation as Vietnam is pro-active in international economic integration. In particular, Vietnam is the main market in the Indian “Look East” policy with promising opportunities for garment industries of the two countries: The large Indian population offers a high demand for fashion, while Vietnam is a leading country in garment export.
Mr Vinod K. Ladia, in charge of export promotion and ex-SRTEPC President, said that the Indian government has endorsed a credit programme to promote India-Vietnam garment cooperation worth US$300 million. Based on this programme, the two sides are considering the establishment of the first Indian garment industrial zone in Vietnam near Ho Chi Minh City. Thereby, Indian businesses can concentrate their production lines with the best infrastructure system access, reducing production costs while supplying in place materials for Vietnamese enterprises with updated technology, best quality and highly competitive prices.
Mr Vinod K. Ladia added: “The credit package of US$300 million will not only help Indian businesses develop factories in Vietnam, but also promote concerned Vietnamese businesses to expand cooperation with Indian partners. The successful development of such a garment industrial zone will serve as a strong basis for the establishment of another industrial zone in Northern Vietnam.”
Intexpo 2015 is in the framework of Saigon Tex 2015, April 9-12, 2015 in Tan Binh Exhibition & Convention Centre (TBECC) – Ho Chi Minh City. Participants includes some 20 Indian companies including leading companies such as Raymond Ltd, RSWM Ltd, Sutlej Textile & Industries Ltd, Sangam India Ltd, Banswara Syntex Ltd, and Welspun Syntex Ltd, showcasing various kinds of updated products, especially textile for costume, shirt, blouse, embroidered and high fashion cloth, indoor decoration, and synthetic and mixed yarns.
Intexpo 2015 participants have a total turnover of some US$10 billion (some 50 percent of total turnover of the Indian garment industry) and are expected to be leading materials suppliers for Vietnam, especially in materials that Vietnam cannot produce.
My Chau
Vietnamese
