Govina Investment JSC Going through Hardships to Sustainable Development

9:34:52 AM | 12/23/2021

The COVID-19 epidemic is a challenge but also a test for business health. Its sudden outbreak caused most manufacturers to suffer adversity. However, with the government-backed support policy, featured by social security packages and business assistance, and with the determination of all the staff, Govina Investment Joint Stock Company received certain help to overcome this crisis.

In response to policies on solutions to accelerate commercial agricultural production, form large-scale production fields and supply sources, and investment incentives for the processing industry, in 2017, Govina Investment Joint Stock Company invested VND160 billion to build a wood processor with an annual capacity of 120,000 cubic meters in the first phase in Thanh Binh Industrial Park. In late May 2018, the first phase was completed and put into trial operation. It made products for export to South Korea and the United States. Currently, the facility is making high quality, environmentally friendly interior plywood, mainly for export to the US market.

Govina Investment Joint Stock Company employs hundreds of workers, mostly locals, paid an average of VND7-8 million monthly salary. Policies on vocational training, salary and insurance are always of high priority and primary concern of the company. At the same time, every year, the company makes a significant contribution to local budget revenue and socioeconomic development.

Empowered by modern technology, wood processing stages are completely automated from input to output. The cutting-edge industry enables the company to use up trunk, branches and roots for processing. Excess parts such as sawdust and bark are used fuels to generate energy, thus helping reduce costs and protect the environment. Its products meet international quality standards, enabling them to compete in demanding markets like the United States and South Korea, because the company selects the best technology and equipment suppliers in the world. Based on available local potential, the company aims to become the largest consumer of timber in the province.

Currently, the biggest difficulty for the company is the incomplete infrastructure in the industrial park and untrained local workers. Moreover, the company does not have a raw material area for active production and most raw materials are purchased locally. To solve this matter, in the coming time, Govina Investment Joint Stock Company will maintain the quality of industrial wood products, use wood from planted forests rather than virgin forests, diversify environmentally friendly product designs and advance towards sustainable development. The company conducted a survey and launched the Govina afforestation project in Bac Kan province in order to provide stable input supplies for its factory in the future. When the project is put into operation, it will create jobs for local workers, help socioeconomic development, actively train workers, and apply recruitment policies.

Mr. Vu Khanh Cuong, General Director of Govina Investment Joint Stock Company, said: “During its operation, Govina has always been supported by local authorities, agencies, especially the industrial zones authority, to have all administrative procedures quickly settled. We hope that central and local government will introduce more incentive and support policies for businesses investing in agricultural and rural development like Govina to stabilize production, generate jobs and contribute to general local development.”

By Vietnam Business Forum