Vietnam’s loss-making projects turn fortunes around

Three projects and fertiliser production enterprises of Vietnam National Chemical Group have maintained production and business and, step by step, increased the average capacity.

HANOI: Five of the 12 delayed or former loss-making projects under the Industry and Trade Ministry (MoIT) have become profitable, while the seven others made positive changes.

With directions from the Prime Minister, and relevant ministries and sectors, the Committee for Management of State Capital (CMSC) at Enterprises has solved difficulties in MoIT’s delayed and loss-making projects.

DAP 1 fertiliser Hai Phong plant under Vietnam National Chemical Group has been in stable production since 2017. As a result, it did not have losses from January 2022.

Dinh Vu Polyester Fiber Plant of Vietnam Oil and Gas Group has maintained efficient production of 27 Drawn Texturised Yarn lines and gained profit.

Meanwhile, the remaining seven projects also have positive changes.

Three projects and fertiliser production enterprises of Vietnam National Chemical Group have maintained production and business and, step by step, increased the average capacity.

Although still having many difficulties, the three projects have produced and supplied a large amount of urea and DAP fertilisers to the domestic market and a part for export.

Those have contributed to stabilising the domestic fertiliser market and ensuring national food security.

By the end of 2022, these three fertiliser plants still have accumulated losses. However, in 2022, thanks to the highest fertiliser price in the last 10 years, the three factories have made a profit of about 2.63 trillion dong (RM487.57mil).

In addition, the phase-two production expansion project of the Thai Nguyen Iron and Steel Corp, one of the most difficult projects among the 12 projects, has also had many positive developments.

The State Capital Investment Corp, Vietnam Steel Corp and Tisco2 have directly negotiated with Tisco2’s main engineering, procurement and construction contractor, China Metallurgical Group Corp (MCC Group) and worked with the Chinese embassy to take support from them in solving the project’s difficulties. — Viet Nam News/ANN