Oct 22, 2019Leave a message

Vietnam: Foreign Investment In Textile Fabric Projects Has Been Stopped By Environmental Protection! The Prospect Is Worrying.

Vietnam Textile Co., Ltd. is a wholly-owned subsidiary of the foreign enterprise interweave Holdings Limited. At present, it is carrying out the project of "Vietnam advanced shirt fabric production factory" in Taiyuan Gonghe No.2 industrial zone. The project is approved by Taiyuan provincial Party committee, provincial government and people's Congress. The general management committee of each industrial zone in Taiyuan province has issued an investment license. The planned capacity of the project is 1 million square meters per year. The company has submitted an environmental assessment to the Ministry of environment and resources in 2018 for approval.

However, the project was "stuck" by the environmental protection department.

According to the Vietnam Minzhi news, Vietnam's general environment administration has received a document from Vietnam Textile Co., Ltd. to stop the giant textile dye project in No. 2 industrial zone of Gonghe, Taiyuan Province, on the grounds that the environmental requirements for waste discharge cannot be met. This project has always been the focus of public opinion.

The Ministry of environment and resources set up a special audit committee to carry out field visits in March 2019 and related meetings in June. The reason for the public project ceased is that the relevant agreements reached between the enterprise and the general management committee of the industrial zone have expired, and the land that has already been fixed can not be handed over to the enterprise or the land that has been delivered, but the environmental protection certificate can not be granted.

How can enterprises respond to this?

The enterprise pointed out that "due to the inconsistency of policies on environmental protection adjustment between the general management committee and the Ministry of environment and resources of each industrial zone in Taiyuan province and the requirement of our company to make relevant supplements, the issue of environmental protection evaluation was postponed". At the same time, the Taiyuan Provincial Industrial Zone Management Committee did not allow us to discharge waste water 2 kilometers away from the river.

Vietnam's Ministry of environment and resources requires us to install sewage pipes 7.5-8 kilometers away from the downstream of the water source. This increases the cost of installation, management and operation. At the same time, the Ministry of environment and resources requires that 50% of the waste water is recycled every day and the maximum discharge of 5000 cubic meters of water is allowed to enter the industrial river every day. Compared with the waste water produced by the company for 14400 cubic meters per day during the peak period, the production cost of this light increases a lot, resulting in the fact that the project is no longer feasible.

The enterprise side shows that: the delay of the project has also caused a lot of cost losses to the company and the company is not willing to go on. After a period of time and even consideration, we have made this difficult decision, although so far we have paid a lot of effort on the project.

The "Vietnam advanced shirt fabric production factory" project was approved by Taiyuan provincial Party committee, provincial government and people's Congress. The general management committee of each industrial zone of Taiyuan Province issued an investment license. However, after the Taiyuan Provincial Industrial Zone General Management Committee sent a letter to the central government office, it reflected that the Ministry of national environment and resources had acted unfairly and unfairly, and did not deal with it objectively. The company was deliberately making difficulties in Interweave Holding Limited. Then the central government office requested that all parties concerned should jointly handle the matter.


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