Wednesday, 11/03/2009 12:07

Taiwanese firm threatens to pull out if license changed

A Taiwanese company said on Monday it will withdraw its investment in a US$40-million textile factory in Ba Ria-Vung Tau Province if local authorities went ahead to ban the fabric dying part of its factory.

“The Eclat Group in Taiwan had a meeting and agreed that they would withdraw its investment of 10 percent if the dying production was not allowed,” Richard Wang, the company’s deputy director said, adding that was their only choice.

Eclat Fabrics Vietnam Company, which is getting ready to start operations in April, was granted a license in 2007 to build the factory with a fabric dying section that is banned under Vietnam’s environmental protection legislation.

The factory has a planned capacity of 6,000 tons a year, providing around 1,000 jobs.

An official from Eclat Fabrics Vietnam Company said he was really confused and worried by the possible modification on its license.

The project at the My Xuan A2 Industrial Park in the province’s Tan Thanh District has completed 95 percent of construction, while the $1.5-million wastewater treatment system is in testing stage. It is designed to release the treated waste into the Thi Vai River.

In 2007, the Ba Ria-Vung Tau Province’s Industrial Parks Management Board granted an investment license to the company with approval from the Department of Natural Resources and Environment, despite the company’s plans to dye 600 tons of fabric per year.

Le Minh Chau, head of the Ba Ria-Vung Tau Province’s Industrial Parks Management Board, said it was impossible to modify the issued license as per the request from the Department of Natural Resources and Environment.

“I think related authorities should revoke the license only if the company violates environment protection regulation during its operations,” he said.

Last October, inspectors from the Ministry of Natural Resources and Environment found that the licensing had violated environmental protection laws and instructed the provincial authorities to issue measures against individuals and authorities involved.

Ba Ria-Vung Tau Department of Natural Resources and Environment reviewed the licensing process, without imposing any penalties, and in December asked the provincial people’s committee to modify the license cancelling approval for the fabric dying section.

In September 2006, Deputy Prime Minister Nguyen Sinh Hung had banned provincial authorities from issuing licenses for certain production activities along the Thi Vai River, including dying, leather tanning, making starch, processing rubber latex and producing chemicals.

Nguyen Long

thanhnien

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