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More and more investment in domestic wood
By Tuan Minh 18:43, 2016/06/20
The Vietnamese leading company in wood-working and decorative materials An Cuong Wood Working JSC will receive financial supports worth 30 million USD to branch out its business.
 
The press conference on investment announcement
The press conference on investment announcement
The investment comes from the VinaCapital Vietnam Opportunity Fund (VOF) and the Deutsche Investitions-und Entwicklungsgesellschaft (DEG), an investment fund of the German KfW Group. Of the total amount, 70 percent will be contributed by the VOF and the remaining will be provided by the German group’s investment fund. The money will be doled out within one year, with 18 million USD already disbursed in first stage and 12 million USD to be spent in the second round.

Established in 1994, An Cuong company has been the manufacturer and distributor of wood and plastic based panels used in interior décor for well-known brands from the US, Germany, Italy, Spain and Australia. The company has 10 luxurious showrooms nationwide and a manufacturing factory in the southern province of Binh Duong. It has enjoyed robust growth of 30-35 percent for years and earned a revenue of more than 70 million USD in 2015.

The domestic wood market has great potential for doing business but domestic enterprises lack information about it. They have set up independent business to exploit the domestic market but lack cooperation in developing that business. Meanwhile, state management offices have not done any market research for the domestic wood market, including the kinds of wood and demand for wooden products. 
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