In recent years, businesses involved in such many traditional industries in Da Nang as textiles, seafood and wood processing have gradually been expanding their production into other localities across the country. This fact demonstrates an inevitable trend in consistence with the economic development laws, especially, amid the city moving towards an environmentally-friendly locality with sustainable development.

In recent times, businesses involved in such traditional industries as textiles, footwear and seafood processing have opened their production facilities in other localities nationwide

Since 2018, in a bid to expand production and business scales, the city-based 29-3 Textiles and Garments Joint Stock Company has operated its own 12-production line plant with a capacity of 700 products per line in Duy Trung Commune, Duy Xuyen District, the neighbouring province of Quang Nam, to meet the increasing number of orders.

Also, the company recently opened another factory with 20 production lines in Thanh Khe District, hereby increasing manufacturing output to approach such new consumer markets as Mexico and Canada.

In a similar vein, Mr Tran Van Linh, the Chairman of the Board of Directors of Thuan Phuoc Seafood and Trading Joint Stock Company, said, his company is planning to open a meat and shrimp processing factory in the Mekong Delta province of Tien Giang and increase the area of the existing shrimp farming facility in Thua Thien-Hue Province to 200ha.

The above-mentioned steps show the company’s efforts to proactively ensure sufficient input materials, increase processing capacity, exports to its traditional foreign consumer markets, and more effectively penetrate into the USA as well.

In order to catch up with the development trend, in 2016, the Hoa Tho Textiles and Garments Corporation opened the Hoa Tho - Thang Binh Fiber Joint Stock Company in Quang Nam Province with the annual capacity of over 6,000 tonnes in order to promote fiber products for export to international markets and building the Merriman fashion brand.

Amid the city’s increasing population density and its orientations towards building an environmentally-friendly locality with sustainable development, such industrial sectors as wood processing, mineral exploitation and construction material production, all of which use a lot of resources and cause pollution, are not completely recommended in the city.

Meanwhile, such industrial sectors that use a lot of unskilled workers as textiles, footwear and seafood processing in big cities with high housing and living expenses like Da Nang must increase salaries for their workers, and this, in turn, leads to a hike in the input costs. This fact drives businesses active in these sectors to consider relocating their factories to less developed localities nationwide as a feasible way to continue taking advantage of cheap labour cost there.

Besides, at present, Da Nang’s strongly growing tourism and service industries are attracting the majority of the local labour force, and this fact makes it difficult for textile, footwear and seafood processing businesses to recruit workers

According to Mr Nguyen Ha Bac, the Acting Deputy Director of the city’s Department of Industry and Trade, the municipal government has issued orientations mechanisms to gradually shift such industrial production activities which adversely affect the environment as basic chemical, cement and paper production to environmentally friendly ones or industrial production support services.

Besides, businesses involved in such traditional industries as textiles, footwear and seafood processing will be encouraged to move their production facilities out of the city to ease pressures on local infrastructure development, and earmark land fund for priority industries, including hi-tech and IT. 

According to the Authority of Da Nang's Hi-Tech Park and Industrial Parks (IPs), businesses specialising in steel and cement production and other environmentally-unfriendly aspects in local IPs have been encouraged to promote technological innovations and meet environmental protection requirements.

As for long-term plans, these businesses should move their production facilities out of IPs in the future, especially Hoa Khanh IP, which is now on track to become eco-industrial park.