Vietnam ministry seeks ban on sand exports to ensure supplies

sept 17, 2009


Vietnam’s construction ministry has asked Prime Minister Nguyen Tan Dung to temporarily ban sand exports from November to ensure domestic supply and protect the country’s environment from unrestrained production.

“We should halt sand exports until all provinces can provide specific information on reserves, exploitation capacity and plans to meet demand,” Le Van Toi, head of the ministry’s Department for Construction Materials, said by phone from Hanoi Wednesday. He estimated it may take several months for local governments to submit these reports.
Vietnam’s sand exports surged from May as demand increased following Cambodia’s ban on sand shipments, he said. Unplanned dredging can cause landslides and riverbank collapses along the Mekong River in Vietnam’s southern region, which provides the bulk of sand for export, Toi said.

The ministry expects demand from local construction projects will rise in the coming years and domestic sand supplies may run out if exports continue at the current pace.

The Southeast Asian country shipped nearly 9 million cubic meters of sand in the first eight months this year, compared with a total 1.3 million cubic meters last year, Toi said, citing figures from the Can Tho Customs Department, which handles most of Vietnam’s sand exports. Singapore was the biggest buyer so far this year, customs data show.

The country expects domestic demand to reach as much as 100 million cubic meters next year, 140 million cubic meters by 2015 and 197 million cubic meters by 2020, Toi said, citing ministry forecasts. Vietnam used 86 million cubic meters of sand last year, according the ministry’s data.

Source: Bloomberg