September 2024
Egypt: Chengdu Design & Research Institute of Building Materials Industry, a subsidiary of Sinoma, has been awarded a Euro1.05bn order to build six 6000t/day cement plants from the Equipment Bureau of the Ministry of Defence. The scope of the turkey contract includes construction of six new integrated cement production lines, operation and maintenance of two 5775t/day cement production lines of Phase II of GOE ARISH and the six Beni Suef cement production lines under the contract for three years. The order represents around 15% of Sinoma’s turnover in 2015.
Brazil: Jose Otavio Carneiro de Carvalho, president of the National Union of the Cement Industry (SNIC), estimates that the Brazilian domestic market will decrease by 12% in 2016, according to the Folha newspaper. SNIC data shows that cement sales fell by 11% year-on-year to 61Mt/yr for the June 2015 to May 2016 period from 69Mt in the previous year. Sales so far in 2016 have fallen by 14% to 23Mt for the January to May 2016 period from 27Mt from the previous year. SNIC have suggested that demand will only resume from 2017 and that companies may be holding back investment to ensure it.
Philippines: The Cement Manufacturers Association of the Philippines has warned that so-called ‘technical’ smuggling is on the rise. CEMAP president Ernesto Ordoñez claimed that the declared freight costs for nine out of 12 imported cement shipments that it inspected were undervalued at only US$3 – 10/t. These compared to the average freight costs of US$19/t for shipments from Vietnam or China. He added that the difference in the freight costs meant that the government could be losing at least US$175,000 in value added tax (VAT), according to the Philippines Daily Inquirer.
Based on the sample, Ordoñez estimates about 75% of the 161,000t of imported cement that entered the country in the first quarter of the 2016 were technically smuggled. CEMAP have called for inspection of other shipments that entered the country in last quarter of 2015 and in the first quarter of 2016. They added that unchecked smuggling might lead to violations such as cement misclassification and substandard cement that in turn might endanger public safety.
CEMAP data shows that imports of cement grew from 4000t in 2014 to 314,000t in 2015. Cement imports of 161,000t were recorded for the quarter of 2016.
Europe: The European Court of Justice (ECJ) has ruled that a Greek law that requests employers to receive approval by the Labour ministry before making bulk redundancies is incompatible with European Union law. The judgement was made in relation to the layoff of a group of workers at the Halkida cement plant when Lafarge purchased the plant from AGET Heracles in 2013, according to the Athens News Agency. The Labour ministry blocked the request, citing conditions in the labour market, the financial situation of the company and the interest of the national economy. Lafarge then appealed to the Council of State, which then referred the case to the ECJ.
KCP to expand production at Muktyala cement plant 10 June 2016
India: KCP plans to expand the production capacity of its cement plant at Muktyala in Andhra Pradesh to 3.5Mt/yr from 1.8Mt/yr. The company said in a statement that the upgrade is expected to cost US$60m. KCP operates two integrated cement plants in Andhra Pradesh.
Flexco launches PTEZ Belt Trainer 09 June 2016
US: Flexco has added the PTEZ Belt Trainer to its line of belt trainers. Designed with the Flexco ‘Pivot and Tilt’ feature, the new PTEZ Belt Trainer is targeted at
applications that requires tracking to prevent damage to the belt or conveyor structure, including single-direction and reversing belts.
“The PTEZ Belt Trainer is an advanced solution over typical low-cost wobblers or pivot-only trainers,” said Kevin Fales, marketing specialist for Flexco. “With our unique pivot and tilt technology, the PTEZ will pivot away from and increase tension on the mistracked side in order to quickly guide the belt back to the centre.”
The PTEZ belt trainer can be used on vulcanised or mechanically-fastened belts for most medium-duty applications, including wet and dry conditions, belts with edge damage or wear, and belts that are mistracking to one or both sides. The line’s ‘Pivot and Tilt’ feature keeps the belt away from the structure and the material stays on the belt without the use of sensor or edge rollers. The tapered ends on the roller drive the pivot and tilt mechanism, allowing the two forces to quickly move the belt back to the centre. The PTEZ Belt Trainer also features a polyurethane roller cover to prolong its lifespan.
Savannah Cement partners with Kenyatta University 09 June 2016
Kenya: Savannah Cement has signed an agreement with a Kenyatta University run student work induction programme. Acting Vice Chancellor Professor Paul Wainaina signed a Memorandum of Understanding with Ronald Ndegwa of Savannah Cement to confirm the arrangement, which will include student internship, joint research and other activities. As part of the arrangement both undergraduate and postgraduate students will gain access to the business.
Pakistan: The All Pakistan Cement Manufacturers Association (APCMA) has warned that an increase in Federal Excise Duty on cement may increase the levels of illegal imports of Iranian cement. The increase in the tax was announced in the 2016 – 2017 federal budget. Instead, the association wants the government to reduce taxes on cement to promote local dispatches, according to local media.
According to the latest data, issued by the APCMA, the cement industry dispatched 35.5Mt of cement between July 2015 and May 2016, an increase of 106% year-on-year from the previous period. However, exports to countries other than India, fell during this period.
Canada: The Cement Association of Canada (CAC) has congratulated the Ontario government for releasing its Climate Action Plan. The five-year plan was released on 8 June 2016. A key feature of the plan includes supporting a cap-and-trade carbon pricing scheme.
CAC singled out that the plan would enable emissions-intensive trade-exposed (EITE) industries, like cement, to reduce their own reliance on coal. The plan has set aside US$30 - $45m to help EITE industries across Ontario move away from coal and develop the necessary supply chains so they can better utilise alternative low carbon fuels. Other aspects of the plan the CAC liked included the plan’s decision to establish a service standard for decisions on alternative fuel applications and the collaborative nature of the plan’s consultation.
"Today, I'm happy with approaches that are laid out in the climate action plan which will help industries, like cement, reduce their greenhouse gases (GHG) emissions while remaining globally competitive. We look forward to continuing to work with the Ontario government on the next steps to ensure that Ontario achieves its GHG reduction targets," said Michael McSweeney, president and CEO, CAC.
Report highlights risks to cement producers from future emissions costs and water use constraints 09 June 2016
World: A new report released by the Carbon Disclosure Project (CDP) has highlighted the potential costs of future CO2 emissions and water supply constraints for 12 of the top global cement producers. CDP’s research shows that, even at a US$10/t CO2 price, US$4.5bn could be wiped off profits, with the least efficient companies most at risk.
By compiling questionnaire responses, the report ranks 12 cement producers for performance across five key areas – emissions, energy and material management, carbon cost exposure, water resilience and carbon regulation supportiveness. It found that LafargeHolcim, Shree Cement and CRH were the least CO2- and resource-intensive producers, with Italcementi, Cementir and Taiheiyo Cement the most highly intensive. Several major Chinese and other regional players failed to respond.
CDP found that many of the major cement companies have emissions targets that are set to expire in the next few years. It argues that, with the Paris Agreement driving towards net zero emissions by the middle of the century, cement companies have a ‘historic opportunity to set targets that can ‘future-proof’ their businesses.’
Tarek Soliman, Senior Analyst, Investor Research at CDP said, “This is the first piece of major research to break down how major players in the cement industry are meeting the challenge of reducing emissions in line with the science called for by the Paris Agreement. Cement will be a crucial building block as the Paris Agreement is put into effect, as it accounts for 5% of the world’s man-made emissions. The results couldn’t be clearer for companies and investors: a tipping point for cement companies is not far away.”
“As carbon-related regulatory measures inevitably tighten and the carbon price signal strengthens, investors will expect both strategic and rapid changes from cement companies, including better use of currently available options as well as investment in longer–term ones, whether this be in areas such as low-carbon product development or the deployment of carbon capture, use and storage.”