Few buyers for Vietnam building ceramics

Hanoi (VNA) - About 80 percent of building-ceramic manufacturers have
temporary restricted operations as half of their products are finding no buyers
in the domestic market.

The temporary stop is caused by the slow real-estate market and the world economic
recession, according to the Vietnam Building Ceramic Association.

The minority of ceramic manufacturers still operating at full capacity are big
companies such as Bach Ma and Dong Tam, who produce export products, said Dinh Quang
Huy, association chairman.

The association affirmed that the situation is better than three months ago but the
volume of the stockpiled ceramics is still far too great.

Nguyen Thanh Tri, General Director of Viglacera Dap Cau Joint Stock Company, said
his company has been selling more products than in October.

However, the consumption is still much less than the same period last year. If this
situation continues, the company cannot reach the business goal set for 2008, he
added.

Despite the fact that all building ceramic manufacturers are trying to find ways to
maintain production, the picture of domestic ceramic market in 2009 looks somber.

Additionally, companies still find it difficult to acquire loan from banks despite
the Government's support credit policies.

To stimulate the market, the association proposes that the Government assist the
sector by building cheap houses for workers and other initiatives.

With this support, ceramic companies can sell their products. This is also a good
way to help the flagging real-estate market, Huy said.-Enditem