After more than a year of construction, Vietnam's first eco tannery has opened in the southern province of Binh Duong.

Saigon Tan Tec Leather Limited is subsidiary of German/Chinese leather producer ISA Tan Tec, which also operates an ecologically-friendly tannery facility in China.

The new plant in Vietnam cost US$12m to build, which is much higher than its original budget of US$ 8.7m.  

According to the company, the new plant has been set up in response to demand from major clients such as Timberland, New Balance, Keen and Hush Puppies for ecologically friendly leather.

Leather produced in the factory will meet the LITE energy and water consumption standards which are based on calculations by the British Leather Technology Center and require roughly 30% less energy and 50% less water to produce.

The 4.4 hectare plant will employ some 300 workers with an annual capacity of 2m square metres of high-quality leather which will be used by local shoe manufacturers and exported to factories in China, India and Thailand.