AnPoly, a draw textured yarn, is the first achievement of cooperation in the process of re-opening the plant. The plant, located in the Northern Hai Phong port city was one of 12 loss-making projects under the Ministry of Industry and Trade.
It is expected the plant will reach a capacity of 400 tons of AnPoly yarn per month to service the local garment market and export to Japan, the Republic of Korea and Pakistan.
During the ceremony, APH and An Son signed a contract to supply the yarn to Hop Long Company Limited.
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PVTex with APH and An Son Textile Fiber JSC signed a contract for processing of DTY of the Dinh Vu polyester fiber plant. Photo: kinhtedothi.vn |
The launch marked a new development period for the plant since its cooperation with An Phat Holdings JSC and An Son Textile Fiber JSC. Experts from Singapore and India as well as An Son’s team worked at the plant to provide financial support, production planning, machine maintenance and workforce training.
The parties plan to increase the number of manufacturing lines to 10 and bring capacity to 700-750 tons per month by the end of this quarter.
Furthermore, the operators plan to re-open the remaining workshops and start manufacturing polyester staple fiber (PSF) on total 29 production lines with a capacity of 1,800 tons per month in the first quarter of 2019. In addition, they will be active in negotiating to restart the rest of the plant next year.
PVTEX, a subsidiary of PetroVietnam with a total investment capital of USD 325 million, started commercial operations in May 2014 with a capacity of 236 tons of fiber per day, reaching 48 percent of the designed capacity.
The plant halted operations in September 2015 owing to a huge loss of VND 1.26 trillion (USD 55.3 million) and negative equity of VND 504 billion.
It was scheduled to restart in 2016 but failed to do so. Authorities would have considered bankruptcy if the equitization of the enterprise had been unsuccessful.
PVTEX and APH signed a memorandum of co-operation on producing and trading Dinh Vu polyester fibre on April 27.
Source: VNA