Organic Textiles – A New Direction for Enterprises

Green production has become a model pursued by enterprises to meet new global demands, align with global development trends, and enhance their competitiveness in domestic and international markets.

High-Value Products

Greening the supply chain in the textile and garment industry is a global trend that businesses must embrace. To stabilize production and achieve sustainable goals, many companies within the Vietnam National Textile and Garment Group are adapting to market demands, investing in machinery and technology, and transitioning to green production to meet customer requirements.

Recognizing the importance of green production, Dong Xuan Knitting Co., Ltd. (Dong Xuan) is actively transitioning to meet sustainability criteria and increasing product value through organic textile production. According to CEO Vu Duc Tho, the company has secured garment orders through June 2025, creating an opportunity to focus on developing organic textile orders that deliver higher value.

Organic textiles require raw materials that meet the Global Organic Textile Standard (GOTS). This ensures that organic cotton is cultivated without harmful chemicals, such as synthetic pesticides and fertilizers, and is produced using natural and sustainable methods. These standards aim to maintain environmental balance while protecting the health of farmers and consumers.

“At Hung Yen Garment Factory, we operate two production lines dedicated to organic textile products for Japanese customers. We import yarn from customer-specified suppliers, mainly in China and Japan, and then weave, finish, and sew the garments. The factory has also invested in 94 specialized machines exclusively for organic knitwear production. New machines are distributed evenly across two separate organic production lines, monitored directly by customer representatives to ensure material management and waste recycling,” shared Mr. Tho.

To execute new organic orders, the factory established a team to study and test production processes in detail, training workers to meet precise production timelines. Since introducing organic textiles, productivity has increased by approximately 30%, and product pricing has risen significantly compared to conventional items. Worker awareness and income have also improved, with monthly earnings exceeding VND 9 million /worker.

Dong Xuan has also gained approval from clients to source raw materials domestically, identifying local suppliers within the Vietnam National Textile and Garment Group who meet organic standards. This approach reduces costs and enhances product value while ensuring a stable supply chain.

Challenges of Organic Textile Production

Although organic textile production brings significant value and efficiency, transitioning to green production requires substantial financial resources. Initial investments in imported raw materials and machinery remain high. Mr. Tho revealed that the company plans to invest in three organic production lines and rooftop solar power systems at the Hung Yen facility by year-end. Such large-scale investments necessitate a cautious and phased approach.

Producing for the Japanese market, known for its stringent quality and precision standards, demands a highly skilled workforce. To address this, the factory employs a meticulous training process, assigning experienced staff to guide new hires for one month before integrating them into production lines. Workers are continually trained to master each stage of production, gradually progressing to operate complex machinery.

When launching new orders, the company provides targeted on-site training to address skill gaps. Additionally, Dong Xuan invites lecturers from Hanoi Industrial Textile and Garment University to deliver specialized training and organizes visits to other high-performing units within the group, such as Hue Textile & Garment JSC and Hoa Tho Textile & Garment JSC, for further learning.

Enterprises recognize that sustainable production is crucial for their survival, competitiveness, and long-term growth. However, challenges persist in securing funding for green production investments and sourcing stable, certified raw materials.