ID :
15953
Fri, 08/15/2008 - 13:56
Auther :
Shortlink :
https://oananews.org//node/15953
The shortlink copeid
Plastic enterprises must work together
HCM City, Aug 15 (VNA) - The Ministry of Industry and Trade (MoIT) reminded plastics enterprises that coordination was the key to fulfilling large and long-term contracts.
Currently, most of the nation's 2,000 plastics producers are small tomedium-sized operations following family business models.
Plastics producers should pay more heed to new technologies to make hi-tech products for use in cars, motorbikes, electronics and consumer plastics products, added MoIT.
The Vietnam Plastics Association (VPA) suggested that high-tech plastic products and local enterprises must reduce production costs if they want to be more competitive on the market.
Furthermore, businesses in plastics need to coordinate in order to stand up against foreign products in both domestic and overseas markets, as more and more foreign investors eye Vietnam for plastics factories.
Over the past 10 years, the annual growth rate of the Vietnamese plastics industry has increased by 15-20 percent. However, since the beginning of the year, material, production and transportation costs have steadily gone up due to the high price of crude oil.
Many operations cut production and even suffered losses in a bid to shield consumers from inflation.
While the price of plastics products increased only 10 percent this year, current material prices have risen 50 percent over costs in the Q1 of 2008.
According to VPA, fluctuations in material costs directly impacted producers as many necessary materials are hard to come by domestically.
Currently, the only two domestic suppliers of PVC resin are TPC Vina Plastic and Chemical Corporation LTD, with an annual capacity of 250,000 tonnes, and LG Vina Chemical Joint Venture Company, with an annual capacity of 150,000 tonnes.
Locally-made resins presently meet only 10 percent of total demand from plastics firms.-Enditem
Currently, most of the nation's 2,000 plastics producers are small tomedium-sized operations following family business models.
Plastics producers should pay more heed to new technologies to make hi-tech products for use in cars, motorbikes, electronics and consumer plastics products, added MoIT.
The Vietnam Plastics Association (VPA) suggested that high-tech plastic products and local enterprises must reduce production costs if they want to be more competitive on the market.
Furthermore, businesses in plastics need to coordinate in order to stand up against foreign products in both domestic and overseas markets, as more and more foreign investors eye Vietnam for plastics factories.
Over the past 10 years, the annual growth rate of the Vietnamese plastics industry has increased by 15-20 percent. However, since the beginning of the year, material, production and transportation costs have steadily gone up due to the high price of crude oil.
Many operations cut production and even suffered losses in a bid to shield consumers from inflation.
While the price of plastics products increased only 10 percent this year, current material prices have risen 50 percent over costs in the Q1 of 2008.
According to VPA, fluctuations in material costs directly impacted producers as many necessary materials are hard to come by domestically.
Currently, the only two domestic suppliers of PVC resin are TPC Vina Plastic and Chemical Corporation LTD, with an annual capacity of 250,000 tonnes, and LG Vina Chemical Joint Venture Company, with an annual capacity of 150,000 tonnes.
Locally-made resins presently meet only 10 percent of total demand from plastics firms.-Enditem
