October 2025

India: The Maharashtra parliament has formed a four-member committee to review the possible wildlife impacts of Birla Corporation subsidiary Reliance Cement’s planned Yavatmal cement plant in Mukutban, Maharashtra. The Times of India has reported that the plant received Stage II environmental clearance in 2018. In 2019, dry forest due for clearance under the plant plans was found to constitute part of a tiger corridor. As a result, Reliance Cement must apply to the Maharashtra State Board for Wildlife. The parliamentary committee will visit the site and prepare a report for the board.

Greece: Heracles Group, part of Switzerland-based LafargeHolcim, has obtained environmental product declarations (EPDs) for all cements produced at its Volos and Milaki cement plants. The company says that the declarations cover both bagged and bulk products.

Chief executive officer Dimitris Chanis said, “For 110 years, at Heracles Group we have learned to always push the limits of the seemingly possible, pioneer and constantly move forward. Driven by our unwavering priority of sustainable development and our vision regarding the green transformation of the construction sector, we strategically design and develop policies and initiatives that promote a climate neutral and circular economy. EPDs are expected to play a key part in our group's effort to move towards more sustainable construction for a greener and better world for all.”

Bangladesh: LafargeHolcim Bangladesh has unveiled its Supercrete Portland limestone cement (PLC) bag redesign. The new bag features the tagline ‘Top quality, proper construction’ in Bengali. The Switzerland-based LafargeHolcim subsidiary produces the cement with limestone from Meghalaya, India. It says that its product is the only PLC on the Bangladeshi market.

Brazil: ABG Mineração, which is majority owned by Spain-based La Union Cements, plant to invest US$296m in establishing a cement plant and limestone mine in Mossoró, Rio Grande do Norte. Portal N10 has reported the production capacity of the plant as 1Mt/yr. The company expects that it will generate 300 direct jobs and US$138m/yr in sales.

Saudi Arabia: Southern Province Cement Company plans to upgrade its Jizan cement plant in Abha with a new 10,000t/day clinker production line to replace the plant’s existing clinker lines. The producer plans to launch the project in mid-late 2021.

Paraguay: Cartes Group subsidiary Cementos Concepción says that construction of its San Lázaro, Concepción, cement plant is 70% complete and on track for a commissioning date in August 2022. The La Nación newspaper has reported that the total investment value of the project is US$200m. President José Ortiz said that two issues had been overcome in staying on schedule, namely the Covid-19 outbreak and low flow of the river on which the new plant will be situated, both of which presented logistical problems. Work also continues on the establishment of a dedicated power plant for the plant at Vallemí.

UK: Cemex UK, part of Mexico-based Cemex, has renewed its 100% renewable electricity supply contract with France-based Engie until mid-2024. The supply will cover nearly 200 of its UK sites including its integrated cement plant at Rugby and its grinding plant at Tilbury.

Cemex’s Europe regional head of carbon, legacy landfill and special projects Martin Hills said, “Cemex has a dedicated Climate Action Plan for its global operations which outlines the company’s vision to advance towards a carbon-neutral economy and to address society’s increasing demands more efficiently. The use of renewable electricity at our sites plays an important part in this and we are pleased to have renewed our partnership with Engie for a further three years.

Cuba: Switzerland-based LafargeHolcim has agreed in principle to settle a US court case regarding alleged trafficking in private property previously confiscated by the Cuban government. The Miami Herald newspaper has reported that the group is preparing to pay the claimant compensation. In the complaint, the plaintiffs had claimed the current market value of the property was an estimated US$270m, plus legal fees, interest and other costs could be involved. An agreement is expected to be reached by late June 2021.

In late 2020 a court in Florida, US accepted a request for damages from LafargeHolcim to over 20 parties from Cuba whose land was nationalised and subsequently had a cement plant built on it. The claim alleged that Switzerland-based Holderbank had held a stake in the partly-state owned Carlos Marx cement plant near Cienfuegos since 2001. Holderbank later became Holcim and then LafargeHolcim. The plaintiffs have been aided by a change in US law allowing Cubans to claim damages in US courts for expropriated property from private companies which profited from them.

Another week and it’s another commodity story related to the effects of coronavirus. This time the Indian press and financial analysts have started to notice a shift in the fuel mix of some of the major producers from petcoke to coal. UltraTech Cement moved to 30% petcoke and 60% imported coal in the fourth quarter of its 2021 financial year that ended on 31 March 2021. This compares to a reported mix of 77% and 10% in the previous year according to Mint. Dalmia Bharat reduced its share of petcoke to 52% in the fourth quarter from 70% in the third quarter, while its coal mix was 35 - 40% in the fourth quarter.

Price is the driver here. UltraTech Cement’s chief financial officer Atul Daga summed the situation up in an earnings call in late January 2021. Essentially, he said that fuel represented about 13% of total costs for cement producers in India and that both the cost of coal and petcoke nearly doubled from June 2020 to January 2021. However, coal is seen as the cheaper option, hence the move towards it in the fuels mix ratio. The petcoke market meanwhile has suffered due to reduced oil refinery output due to, you guessed it, the effect of coronavirus on global markets in 2020. Scarcity in the US market has particularly affected the decisions on buyers for Indian cement companies since this is the key source of their imports. Demand for petcoke from Latin America and the Mediterranean hasn’t helped either. Both petcoke and coal markets are expected to stabilise in the second half of 2021. Diesel prices have also risen recently causing UltraTech Cement’s power and fuel costs to increase by 28% year-on-year to US$356m and logistics costs, including freight expenses, to rise by 25% to US$449m in the fourth quarter of its 2021 financial year.

With this in mind it’s interesting then, that for some analysts at least, fuel prices have been seen as more worrying for cement producer profits than the latest round of coronavirus-related lockdowns from India’s second wave of infection. Fitch Ratings for example, warned that the impact of mounting fuel costs would continue to be seen in the quarter to June 2021 but that it would subside due to the switch in fuel mix and price rises passed to end consumers. On the lockdowns, it forecast that localised restrictions, with cement plants being allowed to continue operating in most states, would cause a far less pronounced drop in cement demand than during the first national lockdown.

Graph 1: Monthly cement production in India, January 2019 – April 2021. Source: Office of the Economic Adviser.

Graph 1 above shows that the crisis the Indian cement sector faced during the first lockdown, when production crumbled by 85% year-on-year to 4.3Mt in April 2020. The following recovery saw production reach its second highest ever figure at 32.9Mt in March 2021. It’s too soon to tell what’s happening from the national figure but that dip in April 2021 is not looking good so far.

One benefit from unstable fuel prices is that it builds the economic case for cement producers to raise their alternative fuels substitution rates. UltraTech Cement, for example, reported that its ‘green’ energy rate grew to 13% in its 2021 financial year from 11% in 2020. With a target of 34% by its 2024 financial year, this is an ideal opportunity for a change for both UltraTech Cement and other producers.

Germany: HeidelbergCement has appointed René Aldach as its group chief financial officer (CFO) and it has created two new positions on its managing board. Nicola Kimm will become the new board member for sustainability and Dennis Lentz will become the new board member for digitalisation. All changes will become effective from the start of September 2021.

Aldach, aged 42 years, will succeed Lorenz Näger in the post of CFO following Näger’s retirement at the end of August 2021. Näger has been HeidelbergCement’s CFO since 2004. Aldach currently works as Director Group Reporting, Controlling & Consolidation for HeidelbergCement. He joined the company in 2004 and has worked in Germany, Africa and Australia, including holding the position of CFO for Hanson Australia.

Kimm, aged 51 years, will become the group’s Chief Sustainability Officer responsible for environment social governance, global research & development and new technologies. She currently works as an executive committee member and chief sustainability officer for Signify, the lighting business that was formerly part of Philips. As a trained ecologist and chemical engineer, and with a PhD in business engineering, she holds almost 25 years of international professional experience. Kimm has also held sustainability roles with BASF, Corbion/CSM and Philips and worked in Europe, Asia and the Americas.

Lentz, aged 39 years, will become the group’s Chief Digital Officer. Since 2010, he has held management positions as Head of Group Energy Purchasing, Director Logistics and Group CIO at HeidelbergCement. Before joining the company, he worked as a management consultant in the building materials and mining industry with a strong focus on process optimisation.