Siam City reduces sales target

Increased oil prices have brought SCCC’s expenses up about ten per cent, but SCCC has determined to keep its ready-mix price at Baht1700 baht a tonne for the rest of this year.  In the pre-mixed cement market segment, SCCC sold 585m cu.m in the first five months of this year for 789 million baht. The company is expanding its production capacity by building three new mixing plants this year, up from 38 at present. Each plant will cost 30 million baht.  CEO Siva Mahasandana told reporters three new plants on the eastern seaboard would be finished by the end of the year and three new ones on the outskirts of Bangkok would be finished by next March.

Because economic growth has been slower than predicted this year and the price of steel has risen, the construction sector is not likely to grow quickly in the second half of the year. SCCC has reduced its annual sales growth prediction from ten per cent to eight per cent. SCCC hopes to maintain a market share of 28 per cent by expanding its sales channels and providing better service to customers.