Inekon Group to build Vietnam plant

Inekon Group to build Vietnam plant
Published: 08 August 2006

Czech firm Inekon Group today signed a contract for the construction of a new cement factory for EUR115m (Kc3.3bn) in Vietnam with the management of Vietnamese company Phu Son Cement JSC.  Inekon Group is the general contractor, and PSG International is a sub-contractor. The cement factory’s machinery will be produced by PSP Engineering of Prerov. The first supplies to Vietnam are to be made in the first quarter of next year and the plant is to be completed in three years. 
The contract’s ceremonial signing means a lot not only for Inekon, but also for Czech foreign trade. It is a breakthrough in this trade in the area of complete plants, Inekon Group CEO Josef Husek told journalists today.  The project will be financed by the Czech Export Bank (CEB) and insurance will be secured by export and guarantee insurance company EGAP. 
Deputy Industry and Trade Minister Martin Tlapa said Vietnam is one of priorities for Czech companies.  "To succeed, one has to be permanently present in Vietnam and this is why the Industry Ministry plans to open a CzechTrade office in that country," said Tlapa.
Last year, Inekon signed contracts for the construction of cement works in northern Iraq, and this year in Tajikistan, worth a combined EUR337m (Kc9.6bn).  Inekon Group is a private Czech company set up in 1990. At the beginning, it exported rolling stock and imported materials for the chemical industry. Now the group produces and sells rolling stock and chemicals, and exports complete plants.