Vietnam new cement development plan to be submitted to PM in Q4

The Vietnamese Ministry of Construction plans to submit a new development planning draft for the cement industry until 2015 and with a vision for future developments through 2025 to the Prime Minister in the fourth quarter of this year.

The Vietnamese Ministry of Construction plans to submit a new development planning draft for the cement industry until 2015 and with a vision for future developments through 2025 to the Prime Minister in the fourth quarter of this year.

The move is aimed to tackle the country’s foreseeable huge cement surplus, which will come earlier than the forecast of the latest approved planning until 2010 and a vision through 2020.

The new planning will be the fourth of its kind for the industry within the past 12 years.

Under the draft, the MoC will regulate the process of putting major cement projects in use from now until 2015, and rezone areas where are home to too many cement projects.

The ministry forecast Vietnam will face a cement surplus of at least two million tons this year due to the boom of new cement plants nationwide while its cement export plans are facing difficulties.

Additional 16 cement plants are likely to be put into operation in 2010, raising the nation’s total designed cement production capacity to 65.66 million tons, compared to its estimated demand of between 50 and 52 million tons, the ministry said.

The Ministries of Construction, and Industry and Trade have requested three cement firms to seek more export markets for their products to reduce the country’s forecast glut.

Chinfon Cement Corporation, Nghi Son Cement Corporation and Phuc Son Cement Company were urged to export between 100,000 and 150,000 tons of cement each in the second half of 2010, 50% of their output in 2011 and all their products from 2012. – VCCI

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