Logo of Phnom Penh Post newspaper Phnom Penh Post - Construction recovery spurs Kingdom’s material imports



Construction recovery spurs Kingdom’s material imports

Construction recovery spurs Kingdom’s material imports

111020_12
Construction workers apply a coating of sealant to the outside of a building in Phnom Penh’s Tuol Kork district in August.

The increasing size of construction projects and individual developments in the Kingdom has led to a 184.7 per cent growth in construction material imports in the last nine months, according to Lao Tip Seiha, director of department construction of Ministry of Land Management Urban Planning and Construction.

“In the first nine months we saw that the size of many projects surpassed 3,000 square metres, especially those invested in by local investors such as housing projects, hotels, factories and warehouses, he said adding that he hoped the positive growth experienced since the sector’s recovery from 2008 downturn would continue.

“I strongly believe that the value of imported construction materials will continue to increase as the sector recovery continues.”

Ministry of Commerce figures obtained by the Post yesterday show 536,969 tonnes of materials, worth a combined US$467 million entered the Kingdom between January and September, compared to 331,324 tonnes worth $164 million.

Some experts acknowledged that the restart of delayed projects has also attributed to the import growth.

“We saw the increase because of the demand for individual housing projects and also construction has started again at a number of delayed developments,” Khmer Construction Building Materials Co General Manager So Chandara said yesterday.

He added that the company’s sales of steel and cement had increased throughout the year.

A total of 1,470 projects were approved in the first nine months of 2011. Although the number of construction projects declined from 1,580 in 2010, the value soared from $458.4 million to $881.3, this year.

Daniel Parkes, Country Manager of CBRE Cambodia told the Post yesterday that these figures reflected the decline in property and land speculation.

“Asian speculation has finished. In the last few years we saw an increase in the volume of purchases, but reality is now being restored to sector,” he said.

He added that there has been an “up-tick in serious interest in Cambodia in 2011.”
However, Cheng Kheng, Managing Director of Cambodia Property Limited yesterday warned that while the value of projects has increased, large scale developments are still struggling to rebound from the
downturn.

“Our research shows that there has been more activity in the first nine months of 2011, this is a good sign for the year, and it should continue, but many projects remain delayed.”

MOST VIEWED

  • Omicron patients can stay home: PM

    The Ministry of Health has issued a directive on the treatment of people who have tested positive for the highly transmissible Omicron coronavirus variant, following a suggestion from Prime Minister Hun Sen on the night of January 21. The directive permits home quarantine for those who

  • Cambodia’s first ever anime festival kicks off Jan 22 at capital’s F3 centre

    Phnom Penh's first ever Anime Festival will bring together fans, artists, shops and other local businesses with ties to the Japanese animation style for cosplay competitions, online games, pop-up shops and more on January 22, with Friends Futures Factory (F3) hosting. F3 is a project that

  • Mr Pancake or M Crepe? Tasty by any title

    Crowds of people gather around a lone man with a mobile food cart every day at around 2pm in front of the Institut Francais du Cambodge to order what many say are the best crepes in Phnom Penh. To some – even to the man making

  • Fourth dose Covid booster drive jabs 43K in two days

    In the first two days of the fourth-dose Covid-19 vaccination campaign, more than 43,000 people volunteered to get the jabs, while over 4.6 million people have received a third shot. Health ministry spokeswoman Or Vandine said that fourth-dose vaccinations, which began on January 14 exclusively with the Pfizer

  • Singapore backs Cambodia's efforts on Myanmar

    Singaporean Prime Minister Lee Hsien Loong supports Cambodia in its efforts to seek a solution to the ongoing Myanmar crisis as the chair of ASEAN. Lee expressed his support during a meeting with Prime Minister Hun Sen via videoconference on January 14, with the talks focused

  • PM sets tourism reopening as centrepiece of ATF 2022

    Prime Minister Hun Sen urged ASEAN to reopen tourism and trade now that many of the bloc’s member countries have vaccinated their populations. Speaking at the 40th ASEAN Tourism Forum 2022 (ATF 2022) in Preah Sihanouk province on January 18, the premier also said ASEAN has a