Hung Yen Garment Company (HUGACO):
Remaining positive in the face of international competition
After 38 years of development together with the Vietnamese garment industry, HUGACO is now positive about international integration. With over 4,500 modern sewing machines imported from
The company gives high priority to quality and strictly implements the management system of ISO 9001-2000. It has become one of Vietnam’s leading garment export companies with 40 per cent of its products shipped to the United States, 25 per cent to Europe, 25 per cent to Japan and 10 per cent to other markets. As the commodity delivery is always on schedule, the company has created a high credibility among partners. With low costs and a skilled workforce, HUGACO products are highly competitive in the industry.
The company has focused on the development of human resources, training managers and workers, upgrading equipment and working conditions to meet the demands of development. In 2004, the turnover of the company was VND205 billion (102.5 per cent of the plan and 20.6 per cent more than 2003) with a profit of VND6.2 billion (155 per cent of the plan).
The company is also successful in the expansion of production and markets. As the export quota makes up only 25 per cent of the output, the company has developed new products and non-quota markets.
In 2004, HUGACO developed its trademark and domestic market, expanding its agents to all provinces, increasing the domestic market share to 5 per cent of its turnover. Though small, it is a turning point for an export-oriented company.
With expanded production and a comparative edge, HUGACO is now in a very strong position, especially since becoming a joint stock company in January 2005, concluded Mr Nguyen Xuan Duong, Deputy Director of the company.
Vietnamese
