Foreign firms seek VN handicraft sources

With handicraft exports reviving after several months, more than 20 foreign businesses have contacted the HCM City Handicraft and Wood Industry Association in the last two months to source products.

HAWA said orders for handicrafts from foreign customers had been rising this year while at the end of last year, many orders were cancelled, causing many workers to lose their jobs.

Apart from existing clients in Japan, the US and some European countries, new ones from Paraguay and the United Arab Emirates had also shown interest, it said.

Hiep Luc Corporation based in Bien Hoa City has exported handicraft products worth more than VND4 billion (US$223,000) to the US and Europe.

Binh Duong Province-based Hung Thai Ltd Co is in the process of making around 200,000 pairs of wooden shoes for fashion markets in the Netherlands, Germany and Denmark.

Many handicrafts makers have had to expand their workplaces after getting large orders.

Nguyen Van Phuc, head of Vinh Phuoc Handicraft Export Corporation in Khanh Hoa Province, said he was building a 3,200sq.m. workshop and creating new designs to supply new customers in Spain, France and Sweden.

He said he had received orders for nearly VND10 billion ($556,000) which would take them rest of the year to execute.

Lack of workers

More and more handicrafts makers and exporters face a shortage of workers.

“We have had to double the number of workers since we have only 30-45 days to complete each order,”said Hiep Luc Corporation’s director Luong Thi Thuy.

Vinh Phuoc has recruited and trained nearly 50 workers and hired young locals on a temporary basis to ensure delivery time.

Dang Quoc Hung, vice president of HAWA, said enterprises needed to upgrade their machinery and equipment.

“The association also hopes firms would share orders to ensure there is no redundancy,” he said.

Tags: Vietnam business news, Vietnam Handicraft