Footwear industry actively takes advantage of TPP’s opportunities

At Thai Binh Shoes JSC.  

 Vietnam’s participation in the Trans-Pacific Partnership (TPP) is a big opportunity for the provincial footwear industry’s strong development.

Many advantages

Sharing assessment on development opportunities of footwear and handbag industry, Nguyen Duc Thuan, chairman of Vietnam Leather and Footwear Association (Lefaso) cum president of Thai Binh Shoes JSC’s executive council said “TPP really opens a golden opportunity for Vietnam’s footwear and handbag industry to export to markets of nations participating in the TPP. In Binh Duong, this is the very big chance for local footwear and handbag industry”.

At present, Binh Duong has about more than 100 enterprises involving in footwear sector. Two main markets of this product include the EU and the US.

Truong Thi Thuy Lien, vice chairwoman of Binh Duong Footwear Society said that local enterprises’ order is relatively stable in this year. Lien added that footwear exporters in Binh Duong province gain many orders in this year. Many enterprises obtain orders until the end of this year, even some companies get long-term orders till the end of the first quarter of 2015. They include Thai Binh Shoes JSC, Lien Phat Company, Dong Hung Company and more.

Since the start of this year, output of export footwear products of local enterprises increases 15% compared with the same period last year.

Reporting to the provincial People’s Council delegation at the last working session on production and business of Thai Binh Shoes JSC, Mr. Thuan said that the company now has 22,000 laborers, each year exports 21 million pairs of high-class shoes, 6.5 million handbags to the US. The company’s production operation is expanded throughout the country.

“The company is ready to receive new opportunities of international integration, contributing positively to economic development of Binh Duong province in particular and of the country in general. Based on the foundation, the company’s orientation till 2019 is to be one of the international scaled companies and one among 5 enterprises leading in producing and exporting fashion products in Vietnam”, Thuan added.

Along with the mentioned advantaged opportunities, the provincial People’s Committee now orientates to set up an auxiliary production industrial park. Leaders of many enterprises in this province said that establishment of auxiliary industrial park in Binh Duong is suitable to export and import because production of materials is a foundation for development of industrial sector.

Well preparation of all areas

At the working session with Thai Binh Shoes JSC’s leaders, reps of the Economics-Budget Committee under the provincial People’s Council, departments, agencies and companies involving in footwear and leather industry exchanged straight issues of taking advantage of TPP’s opportunities and how to help enterprises strongly develop and compete in the international market.

Thuan shared that footwear and leather and handbag enterprises wanting to take advantage of TPP’s highest efficiency must create inside supply chains. A perfect supply chain from design, material source, production and distribution must be formed up in the community of membership companies participating in TPP. In addition, enterprises should make use of TPP’s chances to increase competition capacity, build sustainable strategy of development. Moreover, they must master technology, collect material sources and make efforts to develop.

In order to develop the footwear and leather industry, it is essential to increase working shifts in a bid to ensure orders and simultaneously to pay more attention to training labor safety for laborers and more, according to Mrs.Lien. Additionally, it is necessary to seek out ways for auxiliary industry sector to help enterprises make use of advantages of agreements in the future.

Concluding the working session, Tran Thi Kim Van highly appreciated Thai Binh Shoes JSC’s doe results and affirmed that this is a strong and successful enterprise of leather and footwear industry, contributing to local industrial development and social welfare. Mrs. Van suggested that the company should actively take advantage of TPP’s opportunities to strengthen their position in the footwear and leather industry.

Reported by PHUONG AN – Translated by A.C