Cement exports provoke concern
Cement exports provoke concern
Vietnam’s cement exports have soared to an all-time high, leading experts to voice concerns over the sector’s negative effects on the environment and natural resources.
Data from Vietnam Cement Association (VNCA) shows that the country saw last year’s cement exports reaching an estimated 33 million tons, with export turnover of US$1.2 billion, marking the first time that the cement export turnover exceeded US$1 billion.
The cement sector uses nonrenewable resources that will soon run out due to rising cement production for export. Also, its production pollutes the environment and consumes a large amount of energy, noted the experts.
Thus, many countries in recent years have limited cement production and exports by hiking environment, resources and export taxes. For instance, China sharply reduced its domestic cement production and started importing the material from Vietnam.
Many cement manufacturers in the country failed to control the volume of waste being discharged into the environment and have continually violated environmental regulations; some have even been forced to suspend operations, according to VNCA.
The sector boasts high potential for automation, but the number of employees remains relatively high, particularly among State-run firms. Further, the manpower is unstable, which results in unsustainable and short-term management strategies.
Apart from this, many cement manufacturers are reportedly slow to update their management knowledge and adopt modern technology, causing inefficient operations.
To achieve export turnover of US$1.2 billion, local cement export taxes have been kept at 0% since February 1 last year and value-added taxes have been refunded to cement exporters.
