Building material market stable

12.05.2017

HÀ NỘI — The domestic building material market was stable in the first four months of the year and continued to meet demand, said the Ministry of Construction.

The ministry said the building material planning and development programme has been implemented to ensure supply and stabilise prices, and also enable exports.

The total consumption of cement and clinker in the January-April period reached nearly 26 million tonnes, a 5 per cent year-on-year increase, meeting 32 per cent of the set target. Of this, total local consumption of the two building materials rose 9 per cent against the same period last year to reach 20.79 million tonnes.

Cement and clinker exports totalled 5.15 million tonnes, a sharp drop from the corresponding period last year due to a Government decision that exported cement products are not eligible to enjoy input value-added tax (VAT) deduction. In addition, the product carries a 5-per cent export tax.

The taxes have upped export costs by US$4.5 per tonne of clinker and $7.5 per tonne of cement based on average free-on-board (FOB) prices of $30 and $50, respectively.

From January through April, the country’s output of building glass was 63 million sq.m, 5 per cent less from the same period last year. Ceramic tiles productivity was estimated at 182 million sq.m, representing a 6 per cent year-on-year increase.

The production value of the building materials businesses in that period was estimated at more than VNĐ10.4 trillion, meeting 28 per cent of the annual target.

Source: Vietnam News

Photo: CBR Investment AG