Concern from an auxiliary industrial cooperative

Production workers at the workshop of Hoang Tuyen cooperative production and trade services

After more than 10 years of establishment, Hoang Tuyen Cooperative's products have had a good foothold in the market. However, Mr. Hoang still has too many concerns for supporting industrial enterprises such as Hoang Tuyen Cooperative to develop in the context of cooperation and fierce competition from foreign enterprises in the same industry.

Start-up after dozens of years as a hired man

Mr. Hoang, originally from Ha Tinh, joined his family in Dong Nai to establish a career quite early. He had a long time working as a labor exporter and working in Eastern European countries, until the early 2000s did he return home and look for a job when he was relatively old.

An important milestone for him to have the idea of building his own production facility was in 2005 when he was recruited to work in a company specializing in manufacturing Taiwanese machines, ventilation fans and vacuum cleaners. At that time, this enterprise accepted to recruit a Vietnamese team, Mr. Hoang, who had prior mechanical knowledge, was assigned to be the team leader of this construction team. In his role, he quickly mastered production techniques. Besides, thanks to regular market research and construction in many places, he also knew and approached customers more widely.

From here, the intention to split up to build their own factory gradually formed. And this intention was even stronger when at that time, after many years working abroad, Mr. Hoang also saved a good amount of capital to start his own business.

After a period of preparation, in mid-2008, Hoang Tuyen commercial production and service cooperative was headquartered on Highway 51, An Hoa Commune, City. Bien Hoa is born. Explaining the establishment of a production base in the form of a cooperative, Mr. Hoang said that it was due to the movement of the Dong Nai Cooperative Union. In addition, joining the Cooperative Alliance is an initial stepping stone to receive support from the State as well as expand relationships, find customers.

Thanks to the dynamism of the director and his team, Hoang Tuyen Cooperative's products are increasingly diversified, from industrial fans, vacuum cleaners, treatment systems, factory cooling systems to mechanical products such as trolleys, conveyors for raw materials, materials ... at companies in industrial zones.

Concern for the development of auxiliary industry businesses

Despite a certain success, according to Mr. Hoang, supporting industrial products of Vietnamese enterprises face many difficulties when penetrating foreign enterprises. The rest of the market share for Vietnamese businesses is very small, many businesses are forced to go through intermediaries to reach customers.

“The demand for industrial goods is very supportive, but it is not easy to sell products smoothly. Hoang Tuyen cooperative also has more than 10 years of development, but on a small scale, it is difficult to compete with foreign enterprises, although their quality may be equivalent. The market is completely passive, even unfair, there are orders that we are forced to produce and outsource to them by the intermediaries. As a Vietnamese enterprise, it is necessary to produce complete products to serve the market, not being an outsourcing or service enterprise. We have a very clear mission and vision, we must always strive with our own strength, but we need to be supported a lot ”, said Mr. Hoang.

The wish of the director of this new type of cooperative is how the domestic business community in general and enterprises in the supporting industry in particular have a really strong association capable of intervening. This association will represent the interests of members and act as a bridge to create cooperation opportunities for Vietnamese businesses. Only when there is a strong association, products from the manufacturing facilities come directly to customers, thereby promoting the development of auxiliary industries.

Nam Vu