SCG mulls entry into Philippine cement industry
Siam Cement Public Co. Ltd. (SCG) (Thailand) is looking to manufacture cement in the Philippines on top of its existing network in the rest of Southeast Asia. The cement business of SCG, which also has interests in chemicals, paper, steel and automotive manufacturing, is comprised of several units in Thailand, Cambodia, Indonesia, Laos, Myanmar and Bangladesh. SCG, if it pushes through with its cement investment here, will be entering an industry where installed production capacity outpaces actual market demand. Cement sales reportedly grew 7-8 per cent to as much as 15.627 million tonne in 2010 according to the Cement Manufacturers Association of the Philippines. But kiln capacity, in contrast, stood at 19.547 million tons while grinding capacity was at 26.369 million tons in 2009, industry data show.