An Israeli textile firm is completing necessary procedures to break ground on a production facility in a south-central Vietnamese province after receiving the investment license last month.
Yossi Hajaj, chief financial officer with Delta Galil Industries, worked with the administration of Binh Dinh Province on Monday on the project, to be located at an industrial park in Cat Trinh Commune.
The Tel Aviv-based company was licensed on February 9 to invest US$13 million in the 18,000-square-meter production site, which will make textile and apparel products.
The Delta Galil Vietnam plant will begin production in the fourth quarter of this year, according to The Saigon Times Online.
Delta Galil has targeted to generate $30 million in annual revenue from the plant, or 1.3 million products a year.
The company has already completed the planning work for the facility’s premises, and is working on the basic design and the environmental impact assessment report.
“As a global enterprise, we are capitalizing on the growth potential of diverse markets around the world…. we are driving improvements in the production area, and will invest in a new facility in Vietnam to support growth in the coming years,” CEO Isaac Dabah said in a statement.
Delta Galil Industries was established in 1975 and produces men’s and women’s underwear, bras, socks, baby clothing, leisurewear, nightwear; knitted fabrics, elastic ribbons, and trimmings.
The company said its manufacturing and marketing are spread across 20 countries, whereas it manages to sell 500 million products on an annual basis.
Delta Galil partners with leading global fashion brands such as Calvin Klein, Nike, Hugo Boss, and Victoria’s Secret, and is also licensed to sell its own products under such brands as Wilson, Maidenform, and Tommy Hilfiger.