SCG eyes 10% sales growth this year
Siam Cement Group (SCG), the country's largest industrial conglomerate, targets sales growth of more than 10 per cent this year, driven by global demand recovery and an increased proportion of high-value-added (HVA) products to about 30-40 per cent of ove
President and chief executive officer Kan Trakulhoon yesterday said he had signalled to his staff that they should return to the US market, now that there are good signs that the economy in that country is recovering. Chemicals will be the spearhead products to help SCG increase export sales in the United States.
The Middle East and Africa are also target markets this year, he said.
The company’s sales last year are expected to surpass Bt360 billion, as targeted. Kan anticipates sales of Bt400 billion this year, which would represent a rise of more than 10 per cent over 2011.
"SCG’s export sales currently account for 29 per cent of the company’s sales, but the proportion from the US market is roughly 1 per cent. In 2006, export sales to the US accounted for 15-20 per cent of our sales. Sales to the US market may not increase significantly during the next two years, but they will grow gradually," he said.
He said SCG used to export cement to the west coast of the US, and it continues to sell ceramic tiles. The company believes that its chemicals are competitive in the US market.
Kan said the company would also increase the HVA sales proportion from last year’s 31 per cent, which would also mean overall sales growth for SCG.
Meanwhile, he is confident that about 90 per cent of Thailand’s factories will have been able to resume operations by the end of the year.
The national water-management master plan, which will be finalised soon, will be a key factor boosting confidence among local and foreign investors, he added.
