Cambodian cement factories to meet domestic demand: CCMA

• Feb 11, 2022

Cambodia’s economy has seen marked growth in the last two decades with seven percent GDP growth, as various sectors such as housing construction, and the real estate sector continue to flourish.

According to the 2022 forecast, the Cambodian economy will receive a five percent contribution from these sectors. The continuous growth in the construction sector has led to an increased demand for cement production.

Till recently, Cambodia relied on cement supply from other countries before having its own cement factories. Cambodia now has its own five cement factories, producing nearly 8 million tonnes of cement every year, allowing the nation to reduce the amount of imports to cater to the increasing demand.

Cambodian Cement Manufacturing Association (CCMA) Secretary General Puth Candarith told Khmer Times that the five cement factories in the country are Kampot Cement, Cambodia Cement Chakrey Ting, Chip Mong Insee, Battambang Conch Cement and Thai Bun Rong.

“There are plans by two companies namely Chip Mong Insee and Battambang Conch Cement to increase production to meet local demands,” he said.

The main challenge, he said, is the fluctuating prices as the market sees a lot of competition from abroad.  “Imported cement has recorded a 33 percent drop in pricing and to despite this, we have to retain skilled workers for a stable production chain.”

The CCMA data released last year showed that Chip Mong Insee was able to produce 1,842,440 tonnes of cement and Kampot Cement produced 2,222,543 tonnes.

Battambang Conh Cement last year produced around 1,807,740 tonnes, Cambodia Cement Chakerey produced around 1.1 million tonnes with Thai Boon Roong producing nearly 1 million tonnes.

The five factories have a total capital of $800 million in investments, with 2,700 employees and a total production volume of eight million tonnes per year. They are able to scale up production to 10 million tonnes a year, according to the Ministry of Mines and Energy.

A report by the Ministry of Land Management, Urban Planning, and Construction has shown that a total of 2,901 construction proposals have been approved in the first eight months last year, a 13 percent drop.

The official figures also showed that the approved construction proposals were valued at $3,843 million, declining by 24.4 percent compared to the same period last year.

Of the total, housing accounted for 2,530 projects or 87.2 percent of the total construction proposals.

Source: https://www.khmertimeskh.com/501022927/cambodian-cement-factories-to-meet-domestic-demand-ccma/