Lao cement maker vows to shore up domestic supply
Lao cement maker vows to shore up domestic supply
Lao-Patthana Cement Factory, a private cement industry company based in Khammuan province, will produce 5,000 tonnes a day or 1.6 million tonnes a year to supply construction projects slated ahead of the Asean Economic Community in 2015.
President of Souksomboon Group, Mr Chittakorn Souksomboon told media personnel in Khammuan province last week that the cement products produced will serve local markets while any surplus will be exported to Thailand.
The Souksomboon Group has invested a total of US$330 million to build the Lao-Patthana Cement Factory, including the site of the plant itself and the 1,600 hectare mining and quarry area.
“Production at our factory should be able to begin in 2016, and the products will be able to supply the demands of the Lao market,” he said.
Currently, the company is mapping and surveying the land in question, after it was granted a 50 year concession by the government.
He said the construction of the cement plant was not difficult but work on land leveling was a priority for the company.
“The mines will be able to provide a high grade of limestone to supply the cement factory and produce good quality cement,” Mr Chittakorn said.
Due to rapid economic development in Laos, demand for cement is on the rise especially in regards to the construction and restoration of more than 60 hydropower plants nationwide, he said.
Mr Chittakorn said Khammuan province in Laos and Nakhon Phanom province in Thailand have a great opportunity to boost trade relations after the opening of the 3rd Lao-Thai Friendship Bridge, which is one of the reasons to invest in the region.
The Souksomboon Group is also investing 1,500 million baht to build a cement factory in Nakhon Phanom province in Thailand, which will have a production capacity of 1,500 tonnes per day.
“Work on the plant commenced in 2011, and it is scheduled to start production in the first three months of next year,” he said.
Under the ownership of Souk somboon Group, BMC Cement Industry Factory (Lion Brand) in Nakhon Phanom province of Thailand will also supply cement products to various provinces of Thailand .
BMC's Managing Director, Mr Sahasin Preechaadulhirun said BMC Cement Industry's new factory aims to increase the efficiency of the cement industry ahead of the AEC and to be a leading cement maker in the upper Issaan region of Thailand.
“In fact, Thailand has several giant cement factories. They don't worry about competition because they have large market shares, so we hope to do our best in producing a high grade of cement which can supply market demand,” he said.
The cement maker noted that cement factories in Laos currently produce about 1.7 million tonnes a year but demand has soared to 3.5 million tonnes a year as the economy powers ahead.
vientian times
