Vietnam unlikely to reach cement export of 1m tonnes this year

Supply and demand of domestic cement output has been balanced after many years of shortage. In the coming time, the country’s cement volume will be in surplus, and a part of which will be for export.

Vietnam Cement Industry Corp (Vicem) targets to reach one million tonnes of cement export in 2010. But the target will be hard to come into reality.

Nguyen Ngoc Anh, general director of vicem said that the corporation now has 97 cement production lines with total designed capacity of 57.4 million tonnes. Till the end of 2010, there are 13 more new lines with a capacity of 11.7 million tonnes being put into operation,
Factually, during the past five years, some cement companies under vicem, namely Cam Pha, Hoang Thach, Ha Tien 1, Hoang Mai exported products to the markets of Africa, Middle East and Cambodia but their export volume remained low.

So, recently vicem cooperated with its member companies to organise survey in many regional markets for preparation of cement export plan. After the surveys, a number of cement export deals was signed, particularly over 30,000 tonnes to Cambodia, 7,000 tonnes to Laos and 3,000 tonnes to China.

Many specialists said that Vietnam’s cement export will likely suffer the heavy competitive pressure from importers’ home market. Also, the big markets like Europe and US are dominated by Thai made cement. Vietnam will difficultly seek buyers in the markets where Thailand’s cement appeared already because Thailand’s clinker price is cheaper with better quality than Vietnam’s.
Congthuong

Tags: Vietnam cement, Vietnam cement exports, Vietnam cement indutstry

Posted by VBN on May 13 2010. Filed under Cement. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry