Efficient industry promotion results in improved competitiveness
Efficient industry promotion results in improved competitiveness
Industry promotion has helped the Thai Nguyen Casting Joint Stock Company improve product quality and competitiveness.
Le Quang Hoa, Director of Thai Nguyen Casting Joint Stock Company said that in 2020, his company invested VND70 billion to expand production and procure advanced equipment and machinery in order to better meet the growing demand for cast products, especially for gas pit covers and garbage facilities of high-rise residential areas. Through the national industry promotion program, the Industry Promotion Center 1 under the Ministry of Industry and Trade's Agency for Regional Industry and Trade (ARID) funded part of the new equipment procurement.
The Thai Nguyen Casting Joint Stock Company twice accessed the provincial industry promotion sector’s assistance for equipment and technology innovation |
The new production line, imported from the Republic of Korea (RoK), is almost fully automated and can replace hundreds of workers. Its maximum capacity reaches 800 tonnes of product per month, making it one of the leading equipment of its kind in Thai Nguyen Province, Hoa said. Products made with the new equipment are much better than manually made products in terms of quality and appearance.
With its high-quality products, the company meets strict requirements of both domestic and foreign markets. Director Hoa said that since 1993 and 1994 when his enterprise was a small producer, the company has been exporting its products to Chinese Taipei and Greece through the Vietnam Steel Corporation. The company has also carried out many trade promotion activities and found major importers in the RoK, Hoa said.
Importers’ growing demand prompted the company to procure new equipment and machinery, the director said. Under the plan, 80 percent of the company's products will be for export and the remaining 20 percent for domestic sales.
The Covid-19 pandemic challenged the company’s production and sales (including exports). Increases in ocean shipping rates and input material costs have pushed up prices, decreasing the company’s export volume, Hoa said. He proposed that the government further reduce the value-added tax (VAT) for businesses and continue its electricity price reduction policy.
Apart from receiving industry promotion support for the demonstration model development of its export mechanical device production, the Thai Nguyen Casting Joint Stock Company twice accessed the provincial industry promotion sector’s assistance for equipment and technology innovation.
Director Hoa assessed industry promotion encourages enterprises to invest in and develop production.
