Lafarge budgets 54m-euro investments

French group Lafarge, the largest cement producer on the local market, will invest 54 million euros in the next two years to expand production capacities, as part of a 90 million-euro investment plan, which covers the 2006-2010 period. By the end of this year, Lafarge will complete the process of allocating 40% of the 90 million euros for building a cement mill and setting up cement bagging equipment in Targu-Jiu, as well as other investments in the cement plants in Medgidia and Hoghiz. Additionally, the French group has budgeted 50 million euros in funds for the 2007 – 2012 period, which will go into environment-related investments in Romania. In the first quarter of the year, cement sales for the overall market climbed 18%, while production went up by a mere 5%. According to data from the CIROM (The Cement Employers’ Association), demand currently exceeds supply.