Resource efficiency helps to save US$30 million annually

In the past three years, The Vietnam Improvement Program, an International Finance Corporation’s initiative to improve resource efficiency in the local apparel, textile, and footwear sector, has supported 82 factories to invest US$37 million in resource efficiency measures, helping them to save $30 million annually by using less water, energy and chemicals.

In addition, factories have also saved a total of 4 million cubic meters of water and reduced 303,000 tons of greenhouse gas emissions annually.

Phong Phu International (PPJ) said that improving resource efficiency and increasing production have helped it to lure new customers who are looking for suppliers meeting global sustainability standards.

Not only having had more new orders, these measures have also helped PPJ to cut energy consumption by nearly 7 million kilowatt hours per year and save 200,000 cubic meters of water annually. Thanks to that, this company saves $700,000 per year.

The IFC, a member of the World Bank Group, said that Vietnam is one of ten largest apparel exporters in the world. With export turnover of more than $30 billion annually, apparel industry contributes greatly to economic growth of the country. However, chemical waste also makes this industry to become a source of environmental pollution in Vietnam.

According to Mr. Kyle Kelhofer, IFC country manager for Vietnam, Cambodia, and Laos, these measures help to save operating costs and improve competitiveness of domestic enterprises in global supply chains.