INSTEP signs MoU with four Industrial Parks in Vietnam to foster sustainable textile and apparel production

At IDH, through its IN Sustainable Textile and Apparel Parks (INSTEP) program is working towards improving working conditions, ensuring environmental sustainability, and promoting gender empowerment.

Recently, INSTEP has signed a Memorandum of Understanding with four industrial parks in Vietnam to help them meet international and local environmental and social standards, including Bao Minh, Nhon Trach 3, and Trang Bang IP. This partnership includes comprehensive assessments, improved transparency in environmental data, and activities that bring together various stakeholders.

These partnerships are set to drive collaborative initiatives under the INSTEP programme, aiming to collectively address key impact areas for Better Jobs and a Better Environment. Each of the participating industrial parks plays a significant role in Vietnam's textile and apparel sector. Bao Minh Industrial Park hosts over 13,000 workers and eight apparel and footwear factories. while Nhon Trach 3 supports 13,500 workers and three factories. Trang Bang IP is home to 20,000 workers and 22 factories and the fourth IP employs 10,000 workers across 35 factories. These figures highlight the substantial workforce and production capacity that will benefit from the new sustainable initiatives.

Since the signing of the MoUs, several collaborative activities have commenced at participating industrial parks. Three Industrial Park Sustainable Assessments (IPSA) have already been conducted. This assessment, developed by IDH, measures the social, environmental, and building safety baseline status of industrial parks and factories within those parks, identifying best practices and areas for improvement. The IPSA results inform a Collective Improvement Plan, and this year, it will be conducted at the five selected industrial parks involved in the INSTEP programme.

In addition to the IPSA, a ZDHC baseline assessment has been completed for all four industrial parks. This assessment provides insight into current chemical management practices and will guide the development of sustainable chemical management training tailored to each park's needs. In-person training on wastewater and sustainable chemical management is scheduled for this year.

In collaboration with GIZ, the Project Development Programme on rooftop solar energy has been launched in Trang Bang IP, involving four interested enterprises. This initiative aims to harness renewable energy and reduce the environmental footprint of the industrial parks. Furthermore, the Transparent Environmental Data Disclosure Platform (TEDP), piloted in factories and Bao Minh IP in 2023, will be rolled out to the other parks in 2024. This platform promotes transparency and accountability in environmental practices.

Looking ahead, IDH and the industrial parks will continue implementing these activities until the end of 2025, with plans to expand the programme further. Future initiatives include conducting energy audits at the IP level to identify areas for improvement in energy management and providing training on greenhouse gas accounting. Occupational Health and Safety training will also be offered to both IPs and factories level, ensuring a safer working environment. Additionally, the TEDP will be implemented and training provided for its use across the remaining industrial parks and their tenants.

These collaborative efforts highlight INSTEP's dedication to fostering sustainable practices within the Vietnam textile and apparel industry, contributing to a more sustainable and responsible future for the industry.