According to expertise forecast, Vietnam can manufacture sufficient cement for the domestic demand by 2009. It will not have to import clinker any longer and will have cement for export.
Mrs Pham Thi Minh Thuan, Deputy Director of Economic and Finance Department under the Ministry of Construction, said the Vietnamese cement development plan until 2010 and its orientations for the development until 2020 specified the growth rate and the cement demand of individual years. In 2006, Vietnam will use up 31-32 million tonnes. The demand for cement will reach 46.8 million tonnes by 2010 and 70 million tonnes by 2020. However, the current domestic source of clinker is able to satisfy 80 per cent of the needs and the deficiency is made up by imports from regional countries. In 2006, Vietnam is predicted to import some 4.5 million tonnes of clinker but it will stop importing clinker from 2009 and begin export cement.
According to expertise assessments, the Vietnamese cement industry has good technology in comparison with that in regional countries and the world. The production units with backward technologies only account for 25 per cent. They are mainly blast furnaces using wet production technology and these furnaces will be dismantled before 2020. The cement production of reverter furnaces and blast furnaces has stable quality. Apart from popular cement, Vietnam also manufactures special cements such as white cement, sulphate cement and others. Currently, Vietnam has around 49 cement blast furnaces and 12 cement reverter furnaces with a combined designed capacity of 17.66 million tonnes.
From 2006 onward, a series of cement plants will be put into operation while the current production capacity can satisfy the domestic demand. According to the Ministry of Construction, 40 cement projects with an aggregate output of 42.64 million tonnes are being built and will be put into operation. Vietnam will put into operation eight new cement production lines in 2007, 13 projects in 2008 and eight projects in 2009. Besides, 26 cement grinding stations are being operated and eight are being built. Under the plan, 20 blast furnaces will be transformed into reverter furnaces international he coming time.
Therefore, from now till 2008, Vietnam will have to import a limited amount of cement but still have to import clinker for domestic production. Notably, the price of Vietnamese-made cement is lower than regional countries and the world and it has higher and higher quality and more types of products. Under the orientation to sharpen the competitiveness of the Vietnamese cement industry, Vietnam will have to remove the reverter furnaces using wet technology before 2010 and gradually replace blast furnaces with reverter furnaces before 2020, according to the Ministry of Construction.
As for the Vietnam Cement Corporation (VNCC), it will develop a detailed scientific product strategy to resolve two matters of trademark and quality of products from now until 2015. The corporation will unify its trademark and this will minimise internal competition and help its factories to have shorter market approaching time. Apart from the standardisation of its all factories, VNCC will gradually upgrade its product grade from PCB 30 cement to PCB 40 cement and only manufacture PCB 40 cement. Besides, VNCC will only choose solutions with advanced technologies and high content of automation and prioritise the development of large-scale factories to ensure the production of cement with high and stable quality and at the lowest cost. New factories will be built in many places where there are good material sources, good infrastructure systems and good transport systems.