Items filtered by date: Wednesday 04 January 2017
India: The India Ratings and Research credit ratings agency has said that demonetisation of the economy is likely to reduce growth in the cement industry by 2% to 4% in the 2016 – 2017 financial year that ends on 31 March 2017. Previously it had predicted growth of up to 6% in this period. The agency reported that cement production grew by 0.5% in November 2016 following rates of 5.5% and 6.2% in September and November 2016 respectively. It added that all India volumes fell by up to 25% in November and December 2016. The agency expects demand for cement from the housing sector will to decline further from its current contribution of 65% of all demand.
US: The Center for Biological Diversity, a non-government agency, has described plans to give Mitsubishi Cement a 120-year permit to mine limestone from a new quarry in San Bernardino National Forest in southern California as ‘unreasonable.’ Ileene Anderson, a senior scientist with the Center for Biological Diversity, made the comment on the basis that local flora and fauna would be adversely affected by the decision, according to the San Bernardino Sun newspaper. The US Forest Service and the County of San Bernardino are seeking comment on the proposal until 1 February 2017.
The new quarry will be located on public land abutting Mitsubishi Cement’s existing quarries at the site. It will serve the nearby Lucerne Valley cement plant.
US: Drake Cement has applied to the Arizona Department of Environmental Quality (ADEQ) to revise its air quality permit in order increase its clinker production at its Paulden plant by 10% to 0.73Mt/yr from 0.66Mt/yr at present. The cement producer is required to make the application as the increased production could increase its emission of particulate matter. The plant is also requesting a removal of the rolling three-hour clinker production rate limit of 83.3t/hr and an increase in the allowable hours of quarry crushing operation. The ADEQ will be holding a public hearing on the revision on 19 January 2017.
Vietnam: Nguyen Quang Cung, chairman of the Vietnam Cement Association, has predicted that the country will face an oversupply of nearly 50Mt in 2020. The local industry’s cement production capacity was nearly 88Mt/yr in 2016. It is expected to reach 108Mt/yr in 2018 and up to 130Mt/yr in 2020, according to comments made by the association to the Saigon Times. Domestic demand is estimated to be 82Mt in 2020 thereby creating the shortfall. The association is also lobbying for a two-year delay in regulation changes made in 2016 that are expected to make exporting cement more expensive for producers.
Vietnam: Ha Tien is to close its cement grinding plant in the Thu Duc district of Ho Chi Minh City following failed attempts to move the plant. The cement producer was ordered to cease all operations at the plant by 31 December 2016, according to Vietnam News. The plant reduced its production capacity to 1Mt/yr from 1.7Mt/yr in 2015 following accusations of air pollution. Ha Tien attempted to move the plant to District 9 in 2016 but the proposal was turned down by city planners.
Bestway considers bid for Dewan Cement plant 04 January 2017
Pakistan: Bestway Cement says it is considering making a bid for Dewan Cement's north plant and related assets. It joins Lucky Cement, Fecto Cement, Kohat Cement and a Chinese company in expressing interest in Dewan Cement, according to the News International newspaper. Bestway added that the final outcome will depend on due diligence and the bidding process.
Polish cement producers to meet sales forecast in 2016 04 January 2017
Poland: The Polish cement industry is expected to meet a sales forecast of 15.8Mt made by the Polish Association of Cement Producers (SPC). Jan Deja confirmed the prediction based on data for November and December 2016 from the Central Statistical Office (GUS) and the weather at this time in comments made to the Polish News Bulletin. He added that 2016 had seen a 'significant' drop in investments and that a boom in residential construction had compensated for a decline in infrastructure development. However, tenders for infrastructure projects have been launched suggesting that sales might reach up to 16.5Mt in 2017.
Sinoma subsidiary ordered to pay back US$8.3m tax rebate 04 January 2017
China: Sinoma Hanjiang Cement, a subsidiary of China National Materials Company (Sinoma), has been ordered to pay back a US$8.3m tax rebate by the Tax Office of Hantai District, Hanzhong City in Shaanxi. A notice issued by the office said that the cement producer failed to meet the requirements for the rebate, according to ET Net News agency. The office decided to disqualify Sinoma Hanjiang from the entitlement due to its policies regarding rebate and exemption of value-added tax for products and labour services involving comprehensive utilisation of resources. Sinoma said that the extra cost is expected to decrease its profit in 2016.