Cement association plans mergers and reorganizations

China's cement association is formulating a plan to encourage mergers and reorganizations in the industry, aiming to eliminate obsolete plants, Shanghai Securities News reported on Tuesday.

The plan, drafted by the China Cement Association and expected to be finished by the end of this year, will put forward a specific timetable and measures to eliminate obsolete plants and promote industrial mergers and reorganizations, the newspaper said, and these measures are likely to receive support from ministerial bodies in the second half of this year.

The plan intends to significantly reduce the number of producers of cement clinker and called for large financial institutions to provide financing and credit services for mergers and acquisitions by large companies and increase loans while simplifying loan procedures.