11:30:19 PM | 12/10/2014
As a Top 500 largest private enterprise in Vietnam, for the past years, TNG has attained rapid but sustainable development. To learn more about TNG’s operations, Vietnam Business Forum has an interview with Mr Nguyen Van Thoi, Chairman of the Thai Nguyen Business Association and President and CEO of TNG Investment and Trading Joint Stock Company. Ngo Khuyen reports.
As the Chairman of the Thai Nguyen Business Association, how do you assess the local business community? Could you please talk about its remarkable activities?
The Thai Nguyen Business Association, set up on April 16, 2013, initially gathered the business community of Thai Nguyen province under a common roof, helping them increase internal capabilities and contribute more to local socioeconomic development.
The association has proved its active roles in criticising and building policies and creating a more favourable business environment for local enterprises. This has helped the provincial competitiveness index (PCI) of Thai Nguyen province increase significantly in recent years.
TNG, set up 35 ago, has become a leading light in the Thai Nguyen business community and become a Top 10 garment and textile company in Vietnam. What are the core elements behind this success?
The year 2014 marked a 35-year construction and development and 10-year transformation into a joint stock company (in 2003). TNG's success primarily comes from the quick grasp and application of Party resolutions of the Party Central Committee like the Resolution 3 and the Resolution 9 (on State-owned enterprise (SOE) development and reform) as well as action programmes of Thai Nguyen province on SOE reshuffle and renovation. In early 2003, the company was transformed from an SOE into a joint stock company. On November 22, 2007, TNG floated its shares on the Hanoi Stock Exchange (HNX). TNG is now a Top 500 largest private enterprise in Vietnam. TNG effectively employs its human resources in such aspects as internal management and labour productivity. This has helped TNG attain rapid but sustainable development.
The Vietnamese garment and textile industry is heavily reliant on supplies from China. Hence, the industry will face difficulty taking advantage of Trans-Pacific Partnership (TPP) Agreement. How can Vietnamese companies diversify supply sources and reduce reliance on China’s economy?
It is undeniable that China plays a key role in supplying input materials for the world’s garment and textile industry, including Vietnam. But, we are having practical actions and taking rapid steps to reduce our dependence on China. Making domestic supplies is one of our approaches.
Shortly after the Vietnam Textile and Apparel Association (Vitas) put forth five recommendations at the meeting with the State President at the ceremony in honour of typical garment and textile companies in Vietnam in April 2014, the Ministry of Industry and Trade issued Decision No. 3218 approving the garment and textile development strategy until 2020, with a vision to 2030, with very specific plans. I believe that, with the involvement of the Government and central agencies, the Vietnamese garment and textile industry will benefit very much from the TPP. Then, market diversification or reduced dependence on the Chinese economy will be individual strategies of each company.
TNG has plans to control supply sources quite soon. In 2010, TNG invested to build a cotton and cotton quilting plant to decrease cotton import from China. The facility not only supplies cotton to nine TNG branches but also sells to other companies at competitive prices.
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