Cement maker sets hopes on expansion plans
Cement maker sets hopes on expansion plans
Lao Cement Factory No II expects to expand its production capacity due to the increasing demand for cement by the construction sector each year.
“Currently we are carrying out a study on the proposed expansion and do not yet know when construction will start,” factory representative Mr Khamphang Souksengdao said yesterday.
The factory has the capacity to produce 800 to 1,000 tonnes of cement per day, but “that is not enough for supply, while demand is increasing,” Mr Khamphang said.
“Our order book is filled with requests from customers for both the construction of large projects and houses,” he said.
“At present we supply only our regular customers in Vientiane and Vientiane province. But the demand is still very high.”
However, the company has not revealed how much cement is requested each year.
Mr Khamphang said demand was increasing due to the country's rapid economic growth and overall development.
Lao Cement Factory No II started production at the end of 2002, using only local raw materials and supplying only the local market.
Investment in the factory was shared between the Lao government, which put in about 288 billion kip (US$36 million) for a 49 percent stake in the project, while the remaining 51 percent is owned by a Chinese company.
Lao Cement Producer Association President, Mr Vanthong Sitthikoun, said recently there are eight cement factories in Laos. Two of them are in Vientiane province, two are in the capital and one is in Luang Prabang province. Khammuan, Savannakhet and Saravan province have one factory each.
Vangvieng Cement Factory No 3, with a production capacity of 1 million tonnes per year, is slated to begin commercial production sometime this year. This factory will help Laos to meet the increasing domestic market demand for cement.
vientiane times
