ID :
24106
Mon, 10/13/2008 - 10:31
Auther :
Shortlink :
https://oananews.org//node/24106
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Vietnamese investor invests US$ 2 million to establish steel factory
Vietnamese investor invests US$ 2 million to establish steel factory
(KPL) Vietnamese investor admitted steel demand in rainy season for construction works were dropped by 50%, due to construction projects have been suspended temporally.
Last few years, Hydropower, road infrastructure development, house and hotel construction projects have been mushrooming sharply as these developments are creating good environment for high steel demand in Lao market however oil price still affects to consumers.
Mrs Boualai Thongsamai, Managing Director of Vietnam’s Quang Minh Steel Company said that since her company started to produce steel in Laos at the beginning of this year. The company was able to sell at least 300 tons per month or 20% average, but when rainy season came it shook sale as it was found that the volume of sale was decreased about 100 ton a month during rainy season. She believed when rainy season was off it is able to sell at 500 tons a month.
“Our company is join-venture Investment Company, which Vietnamese investor shared 92% and Lao investor shared 8%. It invested US$ 2 million, combination with US$ 800,000 registered capital to establish Quang Minh Steel Factory in Laos.
Firstly it was allowed from the Lao government in 2006, later year it built steel factory and at the beginning of 2008 year this factory completed and produced its kinds of different steel for customers” she said
She said that establishing steel factory in Laos is a part of efforts to expand its market in order to meet Lao and foreign customer’s demand, after seeing niche market in Laos. For instance the Lao government has set plans to develop the country through new projects will be happened in the future. So steel demand will soar sharply in Hydropower Development Sector, house and hotel construction project and road infrastructure development projects.
Now her company has more than 20 branches to purchase the steel for sale in both northern and southern provinces especially Savannakhet, Khammuan, Xiengkhuang, Vientiane, Luang Namtha and Luang Prabang provinces.
She added that all raw materials were directly imported from Vietnam to produce the finished steel.
(KPL) Vietnamese investor admitted steel demand in rainy season for construction works were dropped by 50%, due to construction projects have been suspended temporally.
Last few years, Hydropower, road infrastructure development, house and hotel construction projects have been mushrooming sharply as these developments are creating good environment for high steel demand in Lao market however oil price still affects to consumers.
Mrs Boualai Thongsamai, Managing Director of Vietnam’s Quang Minh Steel Company said that since her company started to produce steel in Laos at the beginning of this year. The company was able to sell at least 300 tons per month or 20% average, but when rainy season came it shook sale as it was found that the volume of sale was decreased about 100 ton a month during rainy season. She believed when rainy season was off it is able to sell at 500 tons a month.
“Our company is join-venture Investment Company, which Vietnamese investor shared 92% and Lao investor shared 8%. It invested US$ 2 million, combination with US$ 800,000 registered capital to establish Quang Minh Steel Factory in Laos.
Firstly it was allowed from the Lao government in 2006, later year it built steel factory and at the beginning of 2008 year this factory completed and produced its kinds of different steel for customers” she said
She said that establishing steel factory in Laos is a part of efforts to expand its market in order to meet Lao and foreign customer’s demand, after seeing niche market in Laos. For instance the Lao government has set plans to develop the country through new projects will be happened in the future. So steel demand will soar sharply in Hydropower Development Sector, house and hotel construction project and road infrastructure development projects.
Now her company has more than 20 branches to purchase the steel for sale in both northern and southern provinces especially Savannakhet, Khammuan, Xiengkhuang, Vientiane, Luang Namtha and Luang Prabang provinces.
She added that all raw materials were directly imported from Vietnam to produce the finished steel.
