The projects have a total investment of US$80 million. The companies are the first to commence the construction of plants in the 193ha IZ.

It’s the second project in Viet Nam in which Panko has invested, after the $70-million plant in Binh Duong’s My Phuoc 1 IZ was launched in 2002.

Panko, a wholly foreign owned project set up over an area of 33.5ha and involving an investment of $70 million, plans to produce 48,000 tonnes of textiles and dyed textile products.

The textile and garment-dyeing plant, the first of its kind in Quang Nam, will employ 15,000 workers when it becomes operational.

Head of the management board of Chu Lai Open Economic Zone Do Xuan Dien said the two textile and garment-dyeing projects would help to attract investment from domestic and foreign firms to the Tam Thang IZ in the future.

"We have also invited investment in the garment and textile industry in the IZ as the province has assigned it as a major textile zone. The province also offers a skilled and competitive labour force," Dien said.

He said Quang Nam was the fourth province to develop a fibre-weaving and dyeing industry after Nam Dinh, Hung Yen and Binh Thuan provinces.

The Tam Thang IZ has attracted five foreign investors with a total registered fund of $150 million.

As per the schedule, the Hirdaramani Group from Sri Lanka will open its $50-million garment and textile project in the IZ this September.

Chairman of the provincial people’s committee Dinh Van Thu said 91 textile and garment companies, operating in the province, produced VND2.9 trillion ($138 million) of products last year, which was 6.6 per cent of the province’s total industrial production value.

The textile and garment industry produced 55 million metres of cloth and created jobs for 3,000 workers.

He said the province had called for more investment and co-operation from foreign partners in the supporting industries for garment and textile industries in IZs.

According to the Chu Lai Open EZ management board, the Viet Nam Textile Group (Vinatex) was also planning to build a fibre-weaving and dyeing garment complex in the central province, for a total investment of VND1.5 trillion (US$71 million).

Source VNS