Brazil spans 8,515,767km2 of land divided into 26 states, is the largest country in South America and the fifth-largest country in the world. With a population of 204 million in 2015, it is the sixth most populous country world-wide. As one of the biggest global emerging and developing markets, Brazil is home to a large and busy cement sector with local and international players alike. Here, Global Cement Magazine presents an overview of Brazil's cement industry, with particular focus on recent trends and economic developments.
Economy
Brazil is one of the BRICS economy countries (Brazil, Russia, India, China and South Africa) and is characterised by newly-advanced economic development. The country experienced a much milder recession than most of the world in 2008 that lasted for just two quarters. GDP grew strongly until 2011, when Brazil's 'overdependence on exports of raw commodities, low productivity, high operational costs, persistently high inflation and low levels of investment' began to slow economic development.1 In 2014, Brazil's GDP grew by 0.1% year-on-year to US$3.26tn (Figure 2) and its GDP/capita remained flat at US$16,100. Inflation grew from 5.9% in 2013 to 6.3% in 2014, while industrial production fell by 1.5% year-on-year.
The Brazilian economy is largely reliant upon commodity exports, including coffee, automobiles, steel, cement and crops. In 2014, it exported US$243bn of goods and imported US$242bn. Its 111 million-strong workforce was employed primarily by the service sector (71%), while agriculture and industry employed the remaining 15.7% and 13.3% respectively. Unemployment fell from 5.4% in 2013 to 4.8% in 2014, however, 21.4% of the population remained below the poverty line.
According to local media, corruption costs the Brazilian economy US$41bn/yr.2 "Corruption is widespread," said Wagner Giovanini, cluster compliance officer of Siemens in Brazil. "However, Brazilians have a habit of exaggerating the problem. It is possible to run a business without resorting to bribes, if you are committed to doing so." Though 69.9% of Brazil-based companies have reported that corruption is a large business constraint, efforts are ongoing to reduce its influence on multiple fronts.3 - 4
Cement industry
The Brazilian cement industry dates back to the late 19th Century, when the earliest cement plants were built. Industrial-scale production began in 1926 with the launch of the Companhia Brasileira de Cimento Portland cement plant. The industry has grown ever since. In 2015, there are 72 integrated plants with 76.53Mt/yr of cement capacity. Cement production and consumption is spread unevenly across 23 of the 26 states and is concentrated in the most populous states like São Paulo, Minas Gerais, Rio de Janeiro and Bahia (Table 1, Figures 3-4).
State | Population (million) | Cement capacity (Mt/yr) |
Minas Gerais | 20.7 | 20.15 |
Bahia | 15.1 | 9.40 |
Rio de Janeiro | 16.5 | 8.82 |
São Paulo | 44 | 4.51 |
Paraíba | 3.94 | 4.15 |
Goiás | 6.52 | 3.90 |
Above - Table 1: The population and cement capacity of Brazil's largest cement producing states. Sources: ftp://ftp.ibge.gov.br/Estimativas_de_Populacao/Estimativas_2014/estimativa_dou_2014.pdf and The Global Cement Directory 2016.
The Sindicato Nacional Da Indústria Do Cimento (SNIC), Brazil's cement industry body, reported that, on a preliminary basis, domestic cement consumption grew by 1% year-on-year to 71.7Mt in 2014.5 Domestic cement sales grew by 1.4% to 70.9Mt, imports fell by 20.4% to 817,000t and exports grew by 36.4% to 30,000t. Domestic sales grew mainly in the northeast and midwest and fell the most in the north. In 2014, the majority of Brazilian cement was sold to dealers (36.5Mt), while sales to concrete producers (13.6Mt), other producers (16.1Mt) and exporters (0.3Mt) were less significant. The United States Geological Survey (USGS) said that Brazil's cement production grew from 70Mt in 2013 to 72Mt in 2014, while its clinker capacity remained flat at 60Mt/yr.6
So far, 2015 has produced much poorer results for Brazil's cement companies. In the first nine months of 2015, domestic cement sales fell by 7.7% year-on-year to 49.2Mt, although exports rose by 10% to 22,000t (Table 2).7 Sales fell in all regions, most significantly in the midwest and the southeast.
Region | Sales in January - September 2014 (Mt) | Sales in January - September 2015 (Mt) | Change (%) |
North | 2.522 | 2.360 | -6.4 |
Northeast | 11.35 | 10.84 | -4.4 |
Midwest | 6.545 | 5.809 | -11.2 |
Southeast | 25.14 | 22.78 | -9.4 |
South | 7.764 | 7.445 | -4.1 |
Domestic total | 53.31 | 49.24 | -7.7 |
Exports | 0.200 | 0.220 | +10 |
Total | 53.33 | 49.26 | -7.6 |
Above - Table 2: Cement sales in Brazil in the first nine months of 2014, the first nine months of 2015 and the year-on-year change in %. Source: The SNIC.
Cement companies
In 2015, the Brazilian cement industry is dominated by nine companies that possess a total production capacity of 70.75Mt/yr from 64 integrated cement plants (Table 3). This represents 92.5% of the entire country's production capacity and 80% of the country's cement plants.
Rank | Company | Plants | Cement capacity (Mt/yr) |
1 | Votorantim Cimentos | 20 | 24.56 |
2 | InterCement Brasil SA | 14 | 16.5 |
3 | LafargeHolcim | 9 | 10.4 |
4 | Cimento Nassau | 10 | 6.01 |
5 | Brennand Cimentos | 3 | 3.50 |
6 | CRH | 3 | 2.58 |
7 | Cimento Tupi | 2 | 2.50 |
8 | CSN Cimentos | 1 | 2.40 |
9 | Supremo Cimento | 2 | 2.30 |
Above - Table 3: Brazil's major cement producers, plants and production capacity in 2015. Source: The Global Cement Directory 2016.
1. Votorantim Cimentos
Votorantim Cimentos is the industry leader in Brazil, with a total installed capacity of 24.6Mt/yr from 20 cement plants. This excludes four cement plants that are under construction and its mothballed cement plant in Ribeirão Grande, São Paulo, but includes the three active cement plants and 2.25Mt/yr of cement capacity of Mizu Cimentos Especiais, in which it holds a 51% stake. This gives it a market share of 32.1%. Aside from being Brazil's largest player, Votorantim is also the ninth-largest global cement producer, according to the Global Cement Directory 2016 and the Top 100 Global Cement Companies Report 2015. Since its establishment in 1933, the Brazilian company has developed a truly international business, with operations on every continent. In addition to cement, Votorantim also produces concrete, aggregates, mortar and lime.
In April 2015 Votorantim announced a new investment package for 2015–2018. US$1.6bn will be invested in five new plants in Brazil, one in Turkey and one in Bolivia, as well as in the expansion and modernisation of existing plants. The announcement came after the completion of its US$3.2bn, 2007-2014 investment plan, during which the company increased its global production capacity by 51%.
In Brazil, Votorantim's priority is to increase production in the central-north and northeast regions, where it has identified growth potential in the construction sector and in cement consumption. One of its new cement plants in Edealina, Goiás was due to start operations late in 2015. Another, in Primavera, Pará, is due to start production in the first half of 2016. In the second phase of Votorantim's expansion, the construction of a greenfield cement plant in Sobral and a brownfield grinding plant in Pecém, both in Ceará, is planned, as well as a new cement plant in Caaporã, Paraíba. These three plants are expected to come on stream in the second half of 2017.
The investments are in line with the company's preparation for a new cycle of growth in the country. "We are concentrating investments in attractive and profitable markets, always with long-term vision and thinking of the future market demand," said Walter Dissinger, Votorantim Cimentos' CEO. "We have prepared ourselves to confront a challenging scenario in Brazil and follow our policy of thinking in the long term. Our discipline and financial solidity allows us to keep investing to be ready for the recovery of the markets," he added.
Despite talk of positivity, Votorantim suspended cement production on a temporary basis at its plant in Riberão Grande, São Paulo in August 2015. The plant has operated as a distribution centre since then. The decision was blamed on the poor financial climate in the country. No news on when the plant will re-start production has been announced.
In the first quarter of 2015, Votorantim's revenue grew by 4% year-on-year to US$1.88bn and its net income grew to US$19.4m, up by 813% from US$2.12m in the same period of 2014. This was followed in the second quarter of 2015 by 17% revenue growth to US$2.03bn and 18% net income growth to US$158m. Votorantim said that its cement sales in Brazil suffered from 'the deterioration of the macroeconomic scenario' in both quarters, although its global sales grew thanks to higher volumes in the US and higher prices in Turkey and Morocco. In the first quarter of 2015, Votorantim's cement sales volume fell by 4% to 7.95Mt, while in the second quarter of 2015, its cement sales fell by 2% to 9.24Mt.
2. InterCement Brasil SA
InterCement, which is owned by Brazilian construction group Camargo Corrêa, is the second-largest cement producer in Brazil, with 14 integrated plants and a total production capacity of 16.5Mt/yr. Its market share is 21.6%. The company constructed its first cement plant in Apiai São Paulo in 1968 and now operates worldwide.
In June 2015 Camargo Corrêa announced plans to sell a 10-18% stake in InterCement for US$648m-1.17bn in order to make new overseas investments in areas like Egypt, Mozambique and Paraguay. The funds would provide a major boost to the company, which has US$2.66bn of debt. Camargo Corrêa is one of several in Brazil with executives accused of paying bribes for contracts with state-run oil company Petroleo Brasileiro, threatening its access to public works contracts and driving up borrowing costs. Two Camargo Corrêa executives have already pleaded guilty to the accusations.
There were two prominent staffing changes at InterCement during 2015. Paulo Diniz was appointed as Vice President of Finance and Investor Relations in July 2015. Diniz was most recently the Chairman of Amyris Brasil, an American synthetic biotechnology company. In August 2015, the COO of InterCement, Ricardo Lima, was appointed as company President to replace Jose Edison Franco. Lima and Franco have made a strategic company plan that includes a new US$250m cement plant in Mozambique.
In 2014 InterCement's revenue grew fell by 0.8% year-on-year to US$2.85bn. Its net income grew to US$54m, much improved upon the US$21.2m net loss it reported in 2013. During the period, InterCement's cement and clinker sales grew by 6% year-on-year to 30.5Mt. The growth was primarily attributed to strong performance in Paraguay and Africa. In Brazil, InterCement's cement and clinker sales volume grew by 0.5% to 12.6Mt and its cement sales price grew by 4.3%. No results from 2015 have been made publicly available.
3. LafargeHolcim
In 2015, Lafarge and Holcim completed their global merger to become LafargeHolcim. In Brazil, this united Lafarge Brasil SA and Holcim Brasil SA. LafargeHolcim now has nine cement plants and 10.4Mt/yr of cement production capacity in Brazil, making it the number three cement company with a market share of 13.6%. Its cement plants still exist under their pre-merger names.
France's Lafarge had been present in Brazil since 1959 and, prior to the merger, had seven cement plants with a total production capacity of 6.33Mt/yr. Meanwhile, Switzerland's Holcim, which had been active in Brazil since 1951, had an installed production capacity of 4.50Mt/yr from its four cement plants. As part of the merger process Lafarge and Holcim each divested several assets in Brazil, which were brought by Ireland's CRH.
In September 2015, LafargeHolcim launched a new promotional campaign for its Maua cement brand in Brazil. The campaign, launched in Rio de Janeiro with the concept 'Orgulho de Fazer Bem Feito' or 'Proud of doing things well', included radio spots and outdoor advertising in addition to point-of-sale material.
4. Cimento Nassau
Cimento Nassau, part of the John Santos Group, owns 10 integrated cement plants in Brazil with an installed capacity of 6.01Mt/yr, which makes it Brazil's fourth-largest cement producer. Its market share is 7.85%. The plants are located mainly in the northern region of the country, giving Cimento Nassau the largest stake in the northern region of Brazil.
In October 2015, employees at Cimento Nassau's Itaguassu-Agro Industrial plant in Nossa Senhora do Socorro, Sergipe went on strike over wage arrears, the Programa de Participação nos Lucros e Resultados (the PLR - a result-based bonus offered as a benefit by some companies) and layoffs.8 The workers' decision to strike was made after several meetings with the company and work stoppages warning. For several months, Cimento Nassau delayed the payment of salaries and the PLR. No resolution has yet been reported by local media.
5. Brennand Cimentos
Brennand Cimentos, part of the Brennand Group and founded in 1917, has a cement production capacity of 3.5Mt/yr from three cement plants. This makes it the fifth-largest cement producer in Brazil with a 4.57% market share. The company produces a variety of cements as well as aggregates and concrete products.
In September 2015, Brennand Cimentos launched production at its US$700m, 1.5Mt/yr new cement plant in Pitimbu, Paraíba.9 The plant is expected to serve the nine states of northeast Brazil. "The north-east is a market that is growing above the national average and this plant was built to meet this demand. Paraíba is geographically in the centre of the northeast, which is interesting for logistics," said José Eduardo Ramos, Brennand Cimentos' President. Brennand Cimentos does not publish any of its financial results.
6. CRH
CRH started cement production in Brazil in 2015 thanks to the acquisition of assets related to the completion of the LafargeHolcim merger. It now has three cement plants (two from Lafarge and one from Holcim) and 2.58Mt/yr of cement production capacity in Brazil, making it the country's number six cement company. Its market share is 3.37%. CRH also acquired two grinding plants in Arcos and Santa Luzia, both in Minas Gerais.
Given that CRH has only recently entered the market, its financial results do not make mention of its new Brazilian operations. It has stated that the integration of its new operations, including the Brazilian assets, is underway. In addition to its cement plants, CRH also has distribution centres at São José dos Campos in São Paulo and Belo Horizonte, Governador Valadares and Uberaba, all in Minas Gerais.
7. Cimento Tupi
Cimento Tupi is Brazil's seventh-largest cement producer with an installed capacity of 2.5Mt/yr from two integrated plants in the south and southeast of the country. It has a 3.27% market share. Cimento Tupi was founded in 1949 under the name Cement Company Vale do Paraíba and has grown steadily over the years. The company produces composite Portland
cement and high early strength Portland cement.
In March 2015, Merck Marra Jr, Chief Executive of Cemento Tupi, confirmed the company's plans to build a US$295m cement plant in Adrianople, Paraná. The announcement came when Cimento Tupi representatives met with state officials to discuss state government support for the project with infrastructure and licencing issues.
In May 2015 Cimento Tupi announced that it would miss a US$9m interest payment on bonds due in 2018.10 The US$185m of overseas bonds have a 30-day grace period. Cimento Tupi hired investment bank Rothschild as its financial adviser. The Standard & Poor's rating agency said that the cement producer was dependent on refinancing or asset sales to meet its interest burden and debt maturities for the next 12 months.11 Indeed, in the first six months of 2015, Cimento Tupi's revenue fell by 26% year-on-year to US$47m. It swung to a US$25.6m loss from a US$3.42m profit in the same period of 2014.
8. CSN Cimentos
CSN Cimentos is the number eight cement company in Brazil. It has one cement plant with 2.4Mt/yr of cement production capacity, giving it a 3.14% market share. Brazilian steel-maker Companhia Siderurgica Nacional (CSN), which owns CSN Cimentos, was established in 1941. In 2009 it entered the cement industry with the construction of its cement plant in Volta Redona, Rio de Janeiro. The plant uses the slag produced from its pig iron production as an environmentally-friendly alternative raw material.
In April 2015 CSN Cimentos announced plans to invest US$608m to build two new cement plants in Arcos and Romaria, both in Minas Gerais. The company also said that it would upgrade its existing cement plant in Volta Redonda with a new kiln and three new mills. The plant's cement production capacity will be increased by 2.4Mt/yr to 5.4Mt/yr when the work is completed.
Also in April 2015, parent company CSN announced that it was considering a merger with its cement arm, CSN Cimentos. The merger would help CSN achieve synergies and economies of scale and would result in 'process optimisation and maximised results,' with all business and administrative activities carried out via a 'single organisational structure,'
according to CSN. The merger would cost US$544,758 and be effective from 1 May 2015.
In the first quarter of 2015, CSN's revenue grew by 5% year-on-year to US$1.05bn and its profit grew by 7% to US$257m. Cement sales grew by 7% year-on-year to 525,000t and provided US$26.3m of revenue and US$8.86m of the profit. In the second quarter of 2015, CSN's revenue fell by 8% year-on-year to US$967m and it swung to a US$161m loss. Cement sales grew by 10% quarter-on-quarter to 579,000t and provided US$30.3m in revenue and US$10.4m of the profit. The company said that Brazilian cement production fell by 7.2% in the first half of 2015. During the period, CSN made US$237m of investments, including US$47.7m in its cement business.
9. Supremo Cimento
Supremo Cimento, part of Portugal's Secil, has 2.3Mt/yr of cement production capacity from two cement plants. It is the number nine cement company in Brazil and has a market share of 3%. Supremo Cimento was founded in 2003 in Pomerode, Santa Caterina. Secil acquired a 13.8% stake in 2012, marking its entry into the Brazilian market.
In April 2015 Supremo Cimento launched its new 2Mt/yr cement plant in Adrianopolis, Paraná (Figure 6).12 The new plant 'was designed to operate with low power consumption and to meet all environmental regulations, contributing to sustainable performance excellence.' Evanilton Braga, Supremo Cimento's Commercial Director, said that the investment was driven by the growth that the Brazilian construction industry has achieved in recent years. "We believe that the industry scenario remains favourable and the construction industry will grow again in the coming years," said Braga.
In June 2015 NSOSPE Empreendimentos e Participacoes (NSOSPE) acquired a 50% stake in Supremo Cimento for US$94m. NSOSPE is jointly-owned by Portuguese holding company Semapa Sociedade Invest Gestao SGPS and Secil. Semapa and Secil, which is itself 51% owned by Semapa, now indirectly own the entire share capital of Supremo Cimentos.
In 2014, the latest year for which data is available, Secil said that Brazil experienced a retraction in cement consumption due to the country's decelerated economic activity. In the southern region where its Brazilian subsidiary operates, however, cement demand grew by 1.5% year-on-year to 12Mt/yr. Supremo Cimento's cement sales grew by 5.3% to 495,000t and its earnings before interest, taxes, depreciation and amortisation (EBITDA) grew by 34% to US$7.06m.
Cartel cases
As highlighted earlier, Brazil has witnessed several cartel cases in recent years, while incidences of corruption have been reported with some frequency in the media. Brazil's cement producers have not been immune from such events.
In July 2015 Brazil's antitrust watchdog Cade ordered six cement companies named in a price-rigging case to pay a combined US$934m (divided as shown below) in fines within one month in a landmark decision that also ordered asset disposals. Cade also imposed sanctions on Associação Brasileira de Cimento Portland (ABCP - Brazil's Portland Cement Association) and the SNIC.
- Votorantim - US$450m.
- InterCement Brasil - US$72.4m.
- Itabira Agro Industrial - US$123m.
- Cia de Cimentos Itambé - US$26.4m
- Holcim - US$153m.
- Cimpor Cimentos - US$89.2m.
The companies were given a one-year deadline to reduce their installed capacity in the cement and concrete industries through asset sales. According to Cade, which first issued a ruling in the case in May 2014, the companies colluded on pricing to force rivals out of the market. The ruling, which followed an eight-year inquiry, followed cost overruns that dogged Brazil's preparations for the 2014 FIFA World Cup as well as dozens of road, port and infrastructure projects across the country. The companies control about 75% of the domestic market for cement and concrete. Cade showed evidence that several takeovers and asset swaps among cement companies during the 1990s and the 2000s were made to prevent rivals from entering the market. The largest players in Brazil's cement industry tend to have strong market control in specific regions, increasing the potential for collusion. Indeed, the number of cement producers in Brazil shrank to about 10 in 2011 from almost 25 in the early 1990s. Some of the companies are challenging Cade's ruling in the courts.
Also in July 2015, Cade ended its administrative inquest against Votorantim, Cia de Cimento Itambe and Cimpor. The investigation was into the alleged breach of economic order through actions such as the refusal to sell certain types of cement to independent companies from 2008 onward. The operations were alleged to have affected companies in Rio Grande do Sul and in the southeast and central-west regions.
In September 2015 Votarantim, InterCement Austria Holding and Camargo Corrêa settled a case with the Securities and Exchange Board of India (SEBI) for the alleged violation of takeover protocols regarding India's Shree Digvijay Cement. They paid US$115,000 in settlement charges. The SEBI had initiated adjudication proceedings against the three companies over the violation of provisions of the Substantial Acquisition of Shares and Takeovers (SAST) regulations. It was alleged that the entities failed to comply with certain provisions of the SAST regulations while making an open offer for the acquisition of 36.7 million shares, a 26% stake in Shree Digvijay Cement.
Supplier news
In February 2015 Aumund established its fourth global service centre with an integrated warehouse in Minas Gerais. The centre will improve the availability and operation of Aumund's customers' equipment through maintenance, according to the company. The central location was designed to serve customers in South America, where 10% of Aumund's equipment is installed. In addition to keeping spare parts in stock, the new service centre will also service and repair equipment manufactured by Schade Lagertechnik GmbH and Samson Materials Handling Ltd.
In February 2015 Russia's refractory materials producer Magnezit Group signed a cooperation agreement with Brazil's Vamtec, a manufacturer and trader of materials for metallurgical and cement plants. The agreement specifies distribution and promotion of Magnezit Group's products and services in Brazil. "Cooperation with Vamtec will let Magnezit Group find new possibilities for growth and continue efficient development of business in the South American market," said Magnezit Group's General Director Sergei Odegov.
Environment
In September 2014, the CSI Cement Technology Roadmap - Brazil was launched by the World Business Council for Sustainable Development's (WBCSD) Cement Sustainability Initiative (CSI) and the International Energy Agency (IEA). The study, which is expected to take two years, will map current and potential technologies that will contribute to the reduction in energy consumption and emissions of greenhouse gases in the cement industry, regarding and taking into the account the economic feasibility and the public policies related to the theme.
In February 2015 Votorantim Cimentos said that the proportion of alternative raw materials used in Brazilian cement is one of the best in the world. In 2013, 91% of all the cement sold in Brazil contained an alternative raw material.
"Brazil has one of the highest clinker substitution rates in the world. This is due to industry research and the development of technologies to incorporate natural substitutes and steel industry by-products into cement manufacture," said Edvaldo Rabelo, Executive Director of Energy, Sustainability and Safety for Votorantim Cimentos. "The addition of alternative raw materials ensures a product as strong and durable as cement made with pure clinker and generates gains such as reductions in gas emissions, water consumption and the burning of fossil fuels."
Votorantim Cimentos Research and Development Manager, Silvia Vieira, said that its plant in Porto Velho, Rondônia is considered a model in environmental initiatives. Located in the north of Brazil, there is a lack of limestone and the cost of transporting it from other mines is prohibitive. The plant saw alternative raw materials as a way to reduce costs. "This led us to think about producing calcined clay pozzolan at the plant and increasing the substitution rate. After research, the establishment of technical specifications and tests, we developed our own furnace to produce the material," said Silvia.
Outlook
The IMF predicted in its October 2015 World Economic Outlook Update that Brazil's GDP will fall by 3% in 2015 and by 1% in 2016, following 0.1% growth in 2014 (Table 4). Its 2015 prediction fell significantly from the 1% decline predicted in April 2015 and from the 1.5% decline forecast in July 2015. The IMF said that Brazil had faced 'economic distress' in 2015, which is expected to improve in 2016 and beyond.
Region | 2014 (%) | 2015 (%) | 2016 (%) |
Brazil | 0.1 | -3.0 | -1.0 |
Latin America & Caribbean | 1.3 | -0.3 | 0.8 |
Emerging economies | 4.6 | 4.0 | 4.5 |
Above - Table 4: GDP growth rate forecasts for Brazil, Latin America and the Caribbean and emerging market economies. Source: The IMF World Economic Outlook Update October 2015.
In July 2015, the SNIC announced that domestic cement demand could contract by 10-15% in 2015, the first market dip in 10 years. It added that consumption could fall to around 60Mt in 2016. GDP rose by 7.53% in 2010, but growth dropped in the following four years to 2.73%, 1.03%, 2.49% and 0.1%. The amount of cement produced followed the same trend. While in 2010 production was up by 14.2%, it rose by 7.55%, 8.19%, 2% and only 1.5% in the following four years. Similarly, civil construction revenue jumped by 33.5% in 2010, but the industry posted increases of 12.6%, 12.9%, 7.60% and 8.48% over the next four years. Given the 3% GDP contraction expected for 2015, cement production and civil construction are unlikely to grow.
In contrast, InterCement expects to face 'a new economic cycle based on sustainable growth in the medium and long term.' The company said that increased taxes and reduced government spending would result in reduced inflation and interest rates, generating 'growth and real income gains.' High demand for infrastructure investment and housing developments that stem from a 6-7 million shortage of houses is expected to cause cement consumption to grow by 3%/yr from 2016.
In its 2014 financial report, Secil's outlook for 2015 was positive, although it expressed concerns 'because the government is considering implementing a more strict monetary and economic policy, through a raise in taxes and interest rates.' Secil expects to post better results in 2015 than in 2014.
References
1. https://www.cia.gov/library/publications/the-world-factbook/geos/br.html.
2. http://www.latinbusinesschronicle.com/app/article.aspx?id=4550.
3. http://www.reuters.com/article/2015/10/23/brazil-corruption-idUSL1N12N1CJ20151023.
4. http://www.bloombergview.com/articles/2015-10-19/brazil-s-corruption-crackdown-can-t-be-stopped.
5. http://www.snic.org.br/pdfresultado/Resultados%20Preliminares%20Setembro%202015.pdf.
6. http://minerals.usgs.gov/minerals/pubs/commodity/cement/mcs-2015-cemen.pdf.
7. http://www.snic.org.br/pdfresultado/Resultados%20Preliminares%20Setembro%202015.pdf.
8. http://www.infonet.com.br/cidade/ler.asp?id=178550.
9. http://g1.globo.com/pb/paraiba/noticia/2015/09/fabrica-de-cimento-no-litoral-sul-da-pb-vai-gerar-250-empregos-diretos.html.
10. http://www.bloomberg.com/news/articles/2015-05-08/cimento-tupi-will-miss-9-million-interest-payment-due-monday.
11. http://www.istoedinheiro.com.br/noticias/negocios/20150610/cimento-tupi-nao-pagara-hoje-juros-bonus-2018/269161.shtml.
12. http://www.supremocimento.com.br/novidades/15/supremo-cimento-inaugura-fabrica-e-aumenta-producao-para-mais-de-2-milhoes-de-toneladas-ao-ano.