Construction materials market still booming

Holcim Romania, the local subsidiary of the Swiss group Holcim, posted a 20% sales increase in the first half of the year, against the same time last year, above the 10-15% growth rate forecast in early 2008, as consumption of construction materials is unharmed by fluctuations on the real estate market.

The company has budgeted an around 350 million-euro turnover for this year, up 10-15% against 2007. "In the first six months of the year, cement sales increased 20%, a rate which will continue into the second half of the year. Turmoil on the real estate market has not been felt in the constructions sector yet, but it remains to be seen what will happen in the coming period," said Markus Wirth, general manager of Holcim Romania.

The company will increase its production capacity by 30% this year following an extensive 120 million-euro investment in the Campulung plant. Holcim has built in Campulung the largest kiln in Eastern Europe, with a cement production capacity of around 2 million tonnes a year, and one of the tallest industrial facilities in Romania, given the 135-metre pre-heater tower.

Source: Ziarul Financiar