Vietnam is predicted to consume 31.5-32Mt of cement this year, up 6.8-8.47% against last year, according to the Ministry of Planning and Investment.
Of the total, the State-owned Vietnam Cement Corporation (VNCC) plans to provide the local market with 13.3-13.5Mt of cement and 9.15Mt of clinker in 2006, up 2.3% and 5%, respectively, from 2005. Meanwhile, joint venture companies will produce 9.6-9.7Mt of cement, blast-furnace cement plants are to turn out 5.2-5.3Mt, and cement grinding bases plan to supply 3.4-3.5Mt.
This year Vietnam must import about 5Mt of clinker for local cement production, up 19% on-year. The import price of clinker is forecasted to rise slightly against last year. In January, the country imported 150,000 tons of clinker with a price of $28-29 per ton.
Last month Vietnam consumed 2.2Mt cement, and maintained a stable price level. A ton of cement was sold at VND720,000-780,000 in the north and at VND840,000-930,000 in the south.
Vietnam’s demand for cement will rise to 36.5Mt in 2007, 46.8Mt in 2010 and around 68 to 70Mt in 2020, while the supply will go up from 22.5Mt in 2005 to 35.3Mt in 2007.
The country has planed to invest VND12.43 trillion into cement production this year, according to the Ministry of Construction.
Vietnam plans to put 21 new cement plants with a combined capacity of 30.25 million tons per annum into operation between now and 2008 to meet the increasing demand.