The news feeds on this site are independently provided by Adfero Limited © and do not represent the views or opinions of the World Gold Council.

Wednesday, 31st March 2004 (6842 views)

Thai company Pranda jewelry Plc is currently expanding its operations in Vietnam, in order to take advantage of cheaper labour costs.<BR/><BR/>The company plans to establish itself on the global stage by tripling output at its Vietnam operations by next year, the Bankok Post reports.<BR/><BR/>Pranda chairman Prida Tiasuwan said the company was planning capacity expansion at its Danang plant. <BR/><BR/>Targeted output for 2005 at the Danang factory is 600,000 units of which 540,000 would be shipped overseas, and export revenue is targeted at $2.3 million this year and $4.6 million in 2005. Pranda also distributes its Prima Gold branded gold ornaments and Esse silver ornaments in Vietnam.<BR/><BR/>"With the incentive of zero tax granted in Vietnam, we import raw materials including gemstones from Thailand to add value to exports. Finished products made in Vietnam, mainly silver ornaments, are priced in a range of $8-20 apiece with costs staying on par with those we manufacture in Indonesia at prices of $3-10," Mr Prida said.<BR/><BR/>Mr Prida also revealed that Pranda planned to complete expansion by midyear in Indonesia.<BR/><BR/>About 90 per cent of Pranda's output in Vietnam is now exported, mainly to the United States and Germany. Skilled labour wages in Vietnam are about 30-40 per cent cheaper than Bangkok.

 

« Back to Gold News stories