|
Japanese shoemaker gets into stride in Laos
 |
| (From left) Mr Fujio Matsumura, Dr Nam Vinhaket, Ms Junko Yokota and Mr Thongmy Phomvisay cut a ribbon to open the new shoe factory on the outskirts of Vientiane. |
A Japanese shoemaker has doubled its production capacity after three years of successful business operation in Laos.
Lao Midori Safety Shoes yesterday held an official ceremony to open its new US$4 million factory in Houaynamyen village, Naxaithong district, Vientiane, boosting the company's production capacity from 300,000 pairs of shoes a year to 600,000.
( From left ) Mr Fujio Matsumura, Dr Nam Vinhaket, Ms Junko Yokota and Mr Thongmy Phomvisay cut a ribbon to open the new shoe factory on the outskirts of Vientiane.
Minister of Industry and Commerce Dr Nam Vinhaket, Deputy Minister of Planning and Investment Mr Thongmy Phomvisay, and Japanese Ambassador to Laos Ms Junko Yokota joined Midori Anzen Co Ltd President Mr Fujio Matsumura at the ceremony.
Speaking in an interview with local media yesterday, Mr Matsumura said his company's decision to increase production capacity in Laos was based on its successful business operation over the past three years.
The company's first US$6 million shoe making facility was established in 2008, he said, adding that the main market of the company's products is Japan.
He said his company plans to expand into European nations and Asean member countries which charge low import tariffs on Lao products.
Mr Matsumura said the Japanese company was attracted to Laos by the cheap labour costs and political stability.
He also said the company plans to recruit a further 200 workers to fill new positions at the new factory.
Mr Matsumura said the company wants to train Lao people how to operate modern equipment and help the country to export products made in Laos to international markets to boost GDP growth.
Dr Nam Vinhaket said the decision of the Japanese company to expand its business in Laos is a reflection of the deepening relations between Laos and Japan.
He also said the move indicates the trust of Japanese businesspeople in the policies of the Lao government to promote foreign investment in the country, adding that the government will continue to provide support to Japanese firms operating in Laos.
Investments by Japanese companies not only create jobs, but also bring new technology to Laos, he said.
Mr Thongmy thanked the Japanese firm for helping Laos to export products to Japan and world markets, saying the government anticipates more Japanese investment.
Ms Yokota said cooperation between the Japanese and Lao governments has increased alongside collaborations by the private sector, adding that the two countries began organising Laos-Japan business forums in 2001 to address business and investment barriers.
vientiane times
|
