The garment and textile industry is expected to achieve US$46 billion in revenue by 2025, doubling the figure of last year.— VNA/VNS Photo Danh Lam

HCM CITY (Biz Hub) — Seven leading French textile-machinery companies met with executives of 100 local garment and textile firms in HCM City yesterday to seek business opportunities and offer technical solutions to local manufacturers.

Alexandre EA, head of UBIFRANCE in HCM City, said as one of the world leaders in textile-machinery manufacturers, French companies would provide their best solutions and innovations so that local textile-industry stakeholders could gain a competitive edge in the global market.

Speaking at a seminar held yesterday with the French businesses, Ho Thi Kim Thoa, deputy minister of Industry and Trade, said Viet Nam was negotiating important trade agreements like the Trans Pacific Partnership (TPP) and free trade agreements with the EU, Korea and others countries that could result in a zero export tax for Vietnamese garment and textile products.

However, in order to receive duty-free access, local garment and textile firms need to invest more in yarn spinning, fibre production, knitting and dying to meet "yarn forward" rule of origin, which requires the TPP nation to use a TPP member-produced yarn in textiles, she said.

Nguyen Van Tuan, deputy chairman of the Viet Nam Cotton and Spinning Association (VCOSA), said the garment and textile industry had achieved impressive growth in recent years with increasing exports, but a weakness in fibre production and other problems had threatened its sustainable development.

Last year, the country imported six billion metres of cloth for production of garment exports, while the local textile industry just produced 1.4 billion metres of cloth, said Tuan, who is also deputy secretary general of the Viet Nam Textile and Apparel Association (VITAS).

"Currently, most domestically produced fabric is used in the domestic market, and is not part of the global export chain," he said.

To improve the situation, local firms should invest in modern technology to raise fabric quality that meets global market requirements, he said.

The garment and textile industry is expected to achieve US$46 billion in revenue by 2025, doubling the figure of last year, he said, adding that by then the country would need at least 12 billion metres of fabric a year.

The French companies which met with local counterparts yesterday specialise in spinning preparation, long-fibre spinning and fibre-blending machineries, finishing and dying machinery, yarn-finishing lines, and machinery for technical textiles.

Co-organised by UBIFRANCE, the French Textile Machinery Manufacturers Association, the Ministry of Industry and Trade, VITAS and VCOSA, the seminar was expected to open co-operation opportunities for businesses of the two countries in the textile industry, Thoa said. — VNS