Vietnamese producer Ha Tien 1 Cement JSC (HT1) is seeking government approval to import coal from Indonesia for cement production as the market price has fallen sharply along with the drop in crude oil prices.

At present, HT1 is buying coal from Vietnam National Coal and Mineral Industries Holding Corporation (Vinacomin) at US$100/t. Meanwhile, the coal price in Indonesia is US$52/t FOB.

Analysts noted that if Ha Tien 1 can import 25% of total coal it needs for production, it would be able to reduce production cost by eight per cent.

HT1 made net profit of VND308.64bn (US$14.36m) in 2014 versus VND2.53bn the year before, thanks to an increase in revenue. Net revenue rose six per cent YoY to VND6.76trn last year.