Vietnam is set to earn US$1 billion from textile and garment exports to the Republic of Korea (RoK) this year, said President of the Vietnam Textile and Apparel Association (Vitas) Vu Duc Giang.

The RoK, therefore, will become the fourth largest key market of Vietnam’s textile and garment sector, after the US, EU, and Japan.

Last year, Vietnam’s textile and garment exports to the RoK exceeded US$904 million, showing a year-on-year increase of 145 percent, the highest so far.

Along with a strong rise in Vietnam’s exports to the RoK, Korean businesses have invested intensively in the garment sector in Vietnam, with a total capitalization of US$1.8 billion.

The Vitas leader said not only textiles and garments but also footwear and furniture can get a larger share of the RoK market when the two countries sign a free trade agreement (FTA) in the near future.

Since mid 2011, more than 100 affiliates of Vietnam National Textile and Garment Group (Vinatex) have made necessary preparations to take advantage of the ASEAN-RoK FTA and the upcoming FTA between Vietnam and the RoK.

“The FTA will give a boost to the garment industry and create better conditions for Vietnamese businesses to link up with RoK partners which are strong in terms of technology and materials,” said Vinatex General Director Tran Quang Nghi.

Source: VNA