Nepal: CG Cement Industry, a subsidiary of the Chaudhary Group, plans to enter the domestic cement market with the launch of its CG Ordinary Portland Cement (OPC) at the end of December 2013. Trial production runs are already underway at the plant in Dumbikas, Nawalparasi district. The plant has an OPC production capacity of 1500t/day.
“We will ship our products to the market after completing some government procedures,” said Varun Chaudhary, executive director of the Chaudhary Group. He added that the cement will arrive in stores after receiving certification from the government. CG also plans to establish a mine and cement plant in Palpa with a US$137m investment. The Palpa unit will produce clinker destined for cement production at the Dumbikas plant. Currently the Dumbikas plant sources its clinker from local producers and Indian imports.
Since 2010, Nepal’s cement imports have declined due to increased domestic production. According to Chaudhary, there are now 50 grinding units and 70 cement brands in the country. Cement demand in Nepal is estimated at 4Mt/yr, 70% of which is fulfilled by domestic supply.