10:01 | 02/11/2017 Industry
(VEN) - An industry promotion program in the Red River Delta province of Nam Dinh that helped a local company stabilize production and produce quality goods is a good example of how such government programs can effectively help business enterprises.
According to the Industry Promotion Center 1 (IPC1) under the Agency for Regional Industry and Trade, the project involved applying machinery in safety equipment production at Phuong Ngoc Co, Ltd, which purchased three computerized sewing machines for more than VND400 million.
Computerized sewing machines contain microprocessors that control the different operations. They automatically operates many of the processes with features like speed control and fabric guidance systems. In particular, computerized sewing machines help users spend less time on preparation and more time on production.
Vu Thi Kim Thoa, deputy director of the Phuong Ngoc Co, Ltd, said the application of new equipment in production has helped the company increase labor productivity and meet orders.
She added that with nearly 30 years of experience in production and sales of labor protection products, the company has confirmed its position in the market. Renovating production technologies is one of the main reasons for the company’s success. In particular, the company has invested in a new production line with total capital of VND10 billion to produce products according to European quality standards. The company’s products are also certified by the Directorate for Standards, Metrology and Quality, and the Ministry of Science and Technology. New technologies have saved the company 20 percent of labor costs, making product prices more competitive.
In addition to promoting investment in new technologies, the company has also focused on improving workers’ living conditions. Apart from the salary and insurance regimes fully implemented according to regulations, workers are rewarded in various forms during holidays.
Compared to the company’s financial potential, the support of industry promotion program is quite small. However, it plays an important role in providing market information.
In addition to boosting the domestic market, the company is aiming to export products. The company has asked the IPC1 to provide support for participating in overseas fairs in order to help the company understand foreign markets and promote exports.