Tuesday, February 24, 2009

Siam Cement Group subsidiary SCG Cement sees sales dropping

February 24, 2009
By Sucheera Pinijparakarn
The Nation


Firm turns to high-value products, new export destinations

Siam Cement Group subsidiary SCG Cement expects its sales volume to decline 16.67 per cent this year to 15 million tonnes, due to the sluggish economy.

The company is addressing the situation by focusing on boosting sales of more high-profit innovative products and seeking new potential export markets.

President Pramote Techasupatkul yesterday said the company expected domestic sales of 9 million tonnes and export volume of 6 million tonnes this year.

Last year, it sold 10 million tonnes domestically and 8 million tonnes abroad for combined sales revenue of Bt50 billion, up 13 per cent from 2007. Its net profit stood at Bt6 billion, up 10 per cent.

Pramote said sales revenue would likely drop this year but only slightly, due to an expected high revenue contribution from high-value products.

The company also predicts a 10-per-cent fall in domestic cement demand to 22.5 million tonnes this year.

Pramote said the situation should pick up slightly in the second half, thanks to the government's stimulus measures, with demand fully recovering in the next two years.

He said SCG Cement was already focusing on developing and promoting high-value products, in order to tap niche markets. The net profit margin of such products is 10 per cent higher than for conventional products.

He said the sales value of the high-profit products continued to grow. These items enjoyed sales-revenue growth of 9 per cent in 2007, 12 per cent last year and are expected to register 16 per cent growth this year.

"We plan to boost sales-revenue growth to 30 per cent within the next five or six years," he said.

SCG Cement has earmarked Bt180 million for research and development this year.

The company has also shifted its export focus away from the United States, where demand has slumped, to Southeast and South Asia and the Middle East.

Of last year's export revenue, 30 per cent came from South Asia, 30 per cent from Southeast Asia, 20 per cent from Africa and the rest from the Middle East.

The US market contributed 5 per cent of export revenue in 2007 before falling to zero last year.

Meanwhile, SCG Cement this year will complete its Bt5.8-billion project to install waste-heat power-generation facilities at its six cement plants in Thailand and Cambodia as part of its operating-cost reduction. The project will enable the company to save Bt1.64 billion in annual energy costs.

3 comments:

Anonymous said...

If you voted for CPP (Cambodian People's Party):

Also known as:

Communist People's Party
Khmer Rouge People's Party
Khmer Krorhorm People's Party


You're support the killing of 1.7 million Khmer peoples.

You're support the killing of innocent men, women and children in Cambodia on March 30, 1997.

You're support murder of Piseth Pilika.

You're support assassination of journalists in Cambodia.

You're support political assassination and killing.

You're support attemted assassination and murder of leader of the free trade union in Cambodia.

You're support corruption in Cambodia.

You're support Hun Sen Regime burn poor people's house down to the ground and leave them homeless.


These are the Trade Mark of Hun Sen Regime.


Hun Sen, Chea Sim and Heng Samrin are Khmer Rouge commanders.
When is the ECCC going to bring these three criminals to U.N. Khmer Rouge Trail?

Khmer Rouge Regime is a genocide organization.

Hun Sen Regime is a terrorist organization.
Hun Sen Bodyguards is a terrorist organization.
Hun Sen Death Squad is a terrorist organization.
Cambodian People's Party is a terrorist organization.

I have declare the current Cambodian government which is lead by the Cambodian People's Party as a terrorist organization.

Whoever do business with the current Cambodian government are associate with a terrorist organization.

Anonymous said...

You always fuck with my government.Why you don't fuck with your mom first and then....!

Anonymous said...

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