Construction material market in Laos attracts regional interest
Construction material market in Laos attracts regional interest
Construction materials importers and producers from throughout the region are seeking to expand the market share for their products in Laos after learning about rapid development.
Despite being a small market, its Asean membership means that Laos is an interesting market for companies based in the region and also globally.
Some construction materials companies in Thailand, Vietnam, Malaysia and the Republic of Korea consider Laos as a promising market where they would like to increase their sales base and also introduce new technologies.
Now, many worldwide well known construction materials brands are exporting to the small market of six million people, which is experiencing considerable growth in the home building and construction businesses.
Schneider Electric and Juton paint products have entered the Lao construction market in recent years, with other exporting companies in Thailand examining the opportunities. Schnieder and Juton have both entered into deals with local business partners who will act on their behalf.
A senior sales executive of Juton Thailand Limited told Vientiane Times last Thursday at the Association of Lao Architects and Civil Engineering Expo 2014 at Lao-ITECC in Vientiane that despite the company's sales success in Laos in the previous years, it will continue development efforts ahead of the inception of the AEC in 2015.
Armstrong hardwood and laminate flooring made by Home Materials Company in the USA is a new entrant in the construction material markets in Laos.
Home Material Company in Thailand imports this product from the USA to distribute in Thai markets. It just shifted this commodity to Lao markets a few months ago.
Although the Armstrong brand name is not widely known yet among construction companies and house builders in Laos, the dealer in Thailand will try to make this trademark more recognised.
A Home Material Company representative, Mr Korawit Intarat said that the company will try to boost sales in Laos by introducing its Armstrong hardwood and laminate flooring to Lao people over the next two years. Last week, more than 100 companies from Thailand, Vietnam, Malaysia and the Republic of Korea brought in their products and new technologies to the expo.
Firms from these countries, especially from Thailand, want to create a stronger marketing base in Laos ahead of the introduction of the AEC.
According to the Asean website, the AEC shall be the goal of regional economic integration by 2015.
It envisages a single market and production base; a highly competitive economic region; a region of equitable economic development, and a region fully integrated into the global economy.
The AEC will transform Asean into a region with free movement of goods, services, investment, skilled labour and freer flow of capital.
vientiane times
