Thai company expects more cement consumption due to tourism
SCG Cement-Building Materials, a subsidiary of Thailand’s Siam Cement Group, anticipates cement consumption to grow by 1-2% year-on-year, exceeding 30 million tonnes in the current year. This growth is primarily due to the recovery of the tourism sector.
Having developed a “hybrid structural cement” that reduces carbon dioxide emissions during production, the company demonstrates its commitment to battling climate change.
Nithi Patarachoke, the 42 year old president of SCG Cement-Building Materials, asserts that the construction industry is expected to witness steady growth this year, primarily driven by tourism-related projects and building maintenance. Nithi said…
“As the country fully reopens, we’ve seen growth in the construction sector, spurred by demand from projects in tourist hotspots, Bangkok, and its neighbouring provinces.”
Moreover, Nithi noted that businesses and households face high electricity bills, leading to increased demand for rooftop solar panel installations, another area of the company’s expertise.
“The solar power division, encompassing solar power solutions and equipment, is projected to grow more than 300% in 2023.”
In the first quarter, the revenue of SCG Cement-Building Materials rose by 3% quarter-on-quarter to 50.8 billion baht, with profits amounting to 13.4 billion baht, a year-on-year growth of nearly 11 billion baht. This increase can be attributed to higher sales and effective marketing strategies, Bangkok Post reported.
Nithi added that the company’s improved performance can also be traced to the nation’s gradual economic recovery and its cost-reduction programme. SCG Cement-Building Materials effectively cut expenses by using alternative fuels like biomass and biogas instead of traditional ones such as coal. Alternative fuels now constitute 38% of all fuels used, up from 34% the previous year.
During the first quarter, the company’s solar power consumption reached 179 megawatts, an increase from 177MW in the previous year.
According to Nithi, SCG Cement-Building Materials will maintain its strong focus on reducing carbon dioxide emissions. The hybrid structural cement has contributed to a reduction of over 80,000 tonnes of carbon dioxide emissions during its production in the first quarter, equivalent to planting 8 million trees.
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