Displaying items by tag: Sales
Saudi Arabia: Mubasher has reported that cement-making companies in Saudi Arabia witnessed a near 35% decrease in sales in February 2017. The cement companies sold 4.1Mt of cement in February 2017, down from 5.4Mt for the year-ago period. The companies' production also decreased by 26% in February 2017 to 4.0Mt, compared to 5.5Mt in the same month of 2016.
The country's cement inventory increased to 1.07Mt in February 2017, up by 18.2% year-on-year from 906,000t. Yanbu Cement topped cement sales in February 2017, as it registered sales of 474,000t, with a drop of 21.26% year-on-year from 602,000t.
India: A report by HDFC Securities suggests that the Indian cement industry will witness its first decline in cement sales volumes since 2001 due to demonetisation. The research by Ankur Kulshrestha and Sarfaraz Singh says that cement volumes fell by 13% year-on-year in January 2017 following a 9% decline in December 2016. They added that cement demand, although weak, is recovering from the shock with the south of the country least effected.
"Our channel checks across the country show cement demand, though still weak, is recovering from the effect of this move. Though states undergoing political processes (Uttar Pradesh and Punjab) are an exception to this recovery as of now, there is a possibility demand may pick up once the government formation is complete," said Kulshrestha and Singh. They added that energy prices contributed much of a surge of cement industry profitability in the last financial year or so.
Philippines: Cement sales rose by 6.6% year-on-year to 26Mt in 2016 from 24.4Mt in 2015 the Cement Manufacturers Association of the Philippines (CEMAP) has said. CEMAP president Ernesto Ordonez attributed the increase in sales to ‘continuing momentum for increased infrastructure,’ according to the Philippines Star newspaper. Despite this sales, volumes fell in the fourth quarter of the year. Ordonez blamed this on the run-up to the elections in 2016 and bad weather. Increased public and private infrastructure spending is expected to keep the local cement industry buoyant in 2017.
Argentina: Sales of cement have fallen by 10.7% year-on-year in 2016, according to data from the National Statistics and Censuses Institute (INDEC). Overall, the domestic construction sector declined by 12.7% in 2016
Brazil: The National Union of Cement Industry (SNIC) has said that 2017 may be the worst year on record for the local cement industry. Domestic sales of cement fell by 11.7% year-on-year to 57.2Mt in 2016. SNIC’s new president Paulo Camillo Penna described the situation as the worst in the industry’s history. He added that following capacity utilisation rates of 70% in 2015 and 57% in 2016 that he expects the rate to fall below 50% in 2017. SNIC forecasts that sales of cement will contract by 5 – 7% in 2017.
Pakistan: The All Pakistan Cement Manufacturers Association expects local cement sales to grow by 26 – 28Mt by 2020. It made the forecast as part of a six- month review of the industry. Chairman Sayeed Saigol said that local sales grew by 8.6% year-on-year to 19.8Mt in the first half of the country’s financial year to 30 June 2017 from 18.2Mt in the same period in the previous period. Based on current growth trends he added that the industry would need to increase its production capacity. To this end it is increasing capacity to 72.3Mt/yr from the current capacity of 46Mt/yr.
Despite the anticipated growth in cement sales Saigol defended import duties to the countries on the grounds that the government benefits from taxation of the local industry. He has also urged the government to support the industry by placing an anti-dumping duty on Iranian cement. Exports of cement fell by 3.5% year-on-year to 2.91Mt from 3.02Mt with a particular fall in exports to Afghanistan.
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.
Puerto Rico: Cement production has fallen by 30% year-on-year to 756,000 bags in the first eleven months of 2016 from 1.08M bags in the same period in 2015. Cement sales fell by 13% in the same period, a faster rate of decline than 8.5% in 2015 and 9.8% in 2014, according to local press. The decline has been attributed to a lack of funding supporting infrastructure projects and a slowdown in the residential construction sector.
Dominican Republic: Adocem, the cement association for the Dominican Republic, has reported that sales have risen by 8.15% year-on-year to 4.3Mt so far in 2016, according to the Listin Diario newspaper. Association president Gabriel Ballestas commented that the industry has benefited from government efforts and other local industries.
Indonesia: The Indonesian Cement Association (ASI) has reported that cement sales in September 2016 fell by 3.3% to 5.64Mt compared to August 2016. It blamed the decline on lower demand from the local housing industry. Cement sales fell sharply in Java, Sumatra and Kalimantan, while eastern parts of Indonesia, including Sulawesi, Maluku and Papua, saw an increase in sales, according to the Jakarta Globe.
"Weakening sales may be due to the lower demand from houses and apartments. Demand from infrastructure projects has been picking up since the second quarter of 2016, but still can't make up for the lack of demand from the property sector," said ASI chairman Widodo Santoso.
National cement sales rose by 2.95% year-on-year to 44.7Mt in the first nine months of 2016 and the ASI expects sales growth of 3 – 4% for 2016. However, cement producers fear that this growth rate will be insufficient to sustain investments in new cement plants. The ASI says that cement production in Indonesia has exceeded demand by more than 30%.