The Cambodian government plans to start tightening the issuance of cement production licenses as two new cement plants are put into commercial operation by the end of 2017, according to Hort Pheng, head of the industrial affairs department of the Ministry of Industry of Cambodia. Pheng was speaking to the Phnom Penh Post about two new cement plants that will soon be put into operation. The two cement plants to be put into operation are Chip Mong Insee Cement, a joint venture between Cambodia's Chip Mong Group and Thailand's Siam Cement Group, and Battambang Conch Cement, a joint venture between Battambang KT Cement and Anhui Conch Cement . At present, there are three cement plants in operation in Cambodia, namely Kampot Cement, Chakrey Ting Cement in Huaxin and Thai Boon Roong Cement.
"Although investors have been asking us about the location of cement plants, one cement plant each in Battambang and Kampot is enough, and other provinces lack high-quality limestone for cement production," Pheng said. He added that once the five plants were fully operational, they would almost be able to produce enough cement to meet local demand. However, the local construction industry still needs to import cement to meet demand, and cement plants have been allowed to expand capacity to meet this excess demand.
The Chip Mong Insee Cement Plant in Kampot, with a design capacity of 5,000 t/d, is expected to be put into commercial operation in October 2017, with a total investment of US $262 million. Battambang Conch Cement in Battambang is reported to be uncertain whether it will be completed in December 2017 due to construction delays. Once the factories are up and running, they will prioritise Cambodia's domestic market over exports to Vietnam, Laos and Thailand.