Duc Giang Chemicals Group Adopting Solutions for Sustainable Development

8:46:17 AM | 8/18/2021

Realizing potential apatite ore reserves in Lao Cai province, on September 3, 2008, Duc Giang Chemicals Group decided to invest in a chemical complex for downstream apatite ore processing in Tang Loong Industrial Park, Bao Thang district, Lao Cai province. In 13 years of development, with a total investment of about VND700 billion, the group has built the largest apatite processing complex in Vietnam and became a big tax payer and a major employer in Lao Cai Province.

The apatite ore processing complex of Duc Giang Chemicals Group consists of a phosphorus factory, a fertilizer factory, a phosphoric acid extraction plant, a food phosphoric acid plant, and a DCP animal feed additive factory.

The complex manufactures yellow phosphorus (output: 60,000 tons a year), phosphoric acid 85% (90,000 tons), phosphoric acid 50% (180,000 tons), DAP fertilizers (100,000 tons), MAP fertilizers (100,000 tons), single phosphate fertilizers (100,000 tons), rich phosphate fertilizers (100,000 tons), and DCP animal feed additives (70,000 tons).

The apatite ore processing complex is currently employing about 2,000 workers and paying an average of over VND500 billion to the State Budget each year. In 2021, its revenue was estimated at over VND8,000 billion. These results have importantly helped local socioeconomic development and boosted downstream mining and processing in Lao Cai province.

About a half of the output is currently exported and the rest is supplied to the domestic market by distribution agents across the country. Based on a sustainable development approach, the group always attaches importance to aligning business with environmental protection. For years, no environmental incidents have occurred. Occupational health and safety for workers is maintained and the working environment has been made increasingly green and clean. In addition, the company always accompanies local social security.

Mr. Dao Huu Duy Anh, General Director of Duc Giang Chemicals Group, said, to have good business results, the group has been greatly facilitated by provincial agencies. This resulted from the province’s efforts for a better investment and business climate.

“However, we faced difficulty in site clearance in Mining Project 25 with a reserve of 3,000,000 tons, to be extracted in five years. People asked for much higher compensation than the government-announced framework. In addition, the current provincial resource tax infrastructure fee applied to ores is too high. Therefore, we are asking the Provincial People's Committee for reconsideration,” he added.

In the coming time, in addition to boosting business performance and improving livelihoods of employees, the group will carry out solutions to produce 40 million tons of apatite ores, enabling the complex to work stably in the next 30 years. Second, the group will seek a way to solve waste (gypsum) because cement plants currently consume only nearly a third of waste (as additive to cement production).

Source: Vietnam Business Forum