Displaying items by tag: Nepal

Nepal: Exports of cement to India via the Kakarvitta road border crossing in Jhapa totalled 50,000t in the 2024 financial year, which ended on 15 July 2024. KhabarHub News has reported that shipments had a combined value of US$3.81m. The Kakarvitta crossing had not previously served to convey major despatches of cement between the two countries. The cement industry in Jhapa is 50% dependent on export markets for its demand. Eight plants operate in the district, of which three currently sit idle due to 40% local oversupply.

Nepal: Exports of cement and clinker reached US$48bn in the 2024 financial year, tripling the figure from 2023, according to the Department of Customs. Exports of cement were US$23.5m, while clinker exports stood at US$22.5m.

This follows the government’s introduction of an 8% cash incentive for mine-based product exports and the identification of cement as a potential export item in the Nepal Trade Integration Strategy 2023. Policy changes, including tariff waivers on significant electricity usage by manufacturers, also contributed to this growth.

Nepal: Sarbottam Cement's initial public offering (IPO) concluded on 8 March 2023, with the company issuing 13% of its capital. SSPro News has reported that this corresponds to a value of US$35m. Of the issued shares, 40% were allocated to qualified institutional investors. The issue was oversubscribed by a factor of 18.

The last traded price of Sarbottam Cement’s shares had risen by 10% on its first trading day on 19 March 2024.

Nepal: Hetauda Cement Industry has resumed cement production after a three-month cessation since late 2023. The company stopped making cement due to coal shortages, according to the República newspaper. General manager Basant Raj Pandey said that future stoppages were now unlikely, as the company had secured a regular supply of coal. The company is also conducting negotiations with the Ministry of Industry, Commerce and Supplies to install new equipment and provide subsidies for the purchase of raw materials such as coal.

Nepal: The Cement Manufacturers Association (CMA) has signed a memorandum of understanding (MoU) with the Department of Mines and Geology and non-governmental organisation Technology and Action for Rural Advancement (TARA) for the adoption of limestone calcined clay (LC3) cement in Nepal. The parties say that LC3 cement can reduce CO₂ emissions by 40% and reduce coal consumption in cement production. Enewspolar News has reported that the Swiss Development Cooperation has previously supported the diffusion of the technology in the global cement sector.

Nepal: Hetauda Cement Industry (HCI) will resume cement production at its Hetauda cement plant in early February 2024, following a suspension due to coal shortages. HCI uses 36,000t/yr of coal, and currently has 600t in stockpiles. The República newspaper has reported that on-going issues with equipment have reduced the Hetauda cement plant’s effective capacity to 10,000 bags per day. Additionally, HCI has failed to find a buyer for a shipment of 225,000 bags of cement. The Nepali government is reportedly considering paying new subsidies to the company.

General manager Basanta Raj Pandey said "The management of the factory has requested the Office of Prime Minister and Council of Ministers and the Ministry of Industry, Commerce and Supplies to provide subsidies to help resume its production."

Nepal’s Minister for Industry, Commerce and Supplies Ramesh Prasad Rijal said "The Prime Minister and his government are discussing arranging all possible subsidies to bring the industry back into operation as soon as possible."

Nepal/India: Chaudhary Group has signed a memorandum of understanding (MoU) for a strategic partnership with India-based conglomerate Adani Group. According to the MoU, Adani Group will support the Nepal-based cement producer in its distribution of cement into neighbouring states of India.

The Kathmandu Post newspaper has reported that Chaudhary Group’s managing director Varun Chaudhary said "This collaborative effort stands as a pivotal milestone, underlining our commitment to augmenting economic cooperation and trade relations between the two nations.” He added “Through this strategic collaboration, we aspire to fortify the harmonious rapport that characterises the Nepal-India relationship, while actively contributing to the growth and development of the adjoining states."

Nepal: Cement and clinker exports to India totalled 1.04Mt throughout the 2023 financial year, which ended on 15 July 2023. The República newspaper has reported that three separate cement companies exported their products during the year. Palpa Cement Industry began exports in July 2022, followed by Arghakhachi Cement in October 2022 and Balaji Cement in June 2023.

Total Nepalese export volumes to India were 607,000t of cement, worth US$2.74m, and 397,000t of clinker, worth US$3.21m.

Bangladesh: Cement producers and traders exported US$9.68m-worth of cement during the first nine months of the 2023 financial year. This corresponds to a year-on-year rise of 49% from US$6.51m during the first nine months of the 2022 financial year. The Bangladesh Export Promotion Bureau is targeting full-year growth of 15% year-on-year to US$11m from US$9.57m. Maritime Gateway News has reported that MI Cement Factory contributed 50% of Bangladesh’s cement exports so far in the 2023 financial year.

Bangladesh’s main trade partners for its cement exports for India, Nepal, Sri Lanka and the Maldives.

China: Huaxin Cement’s revenue fell by 6% year-on-year to US$4.43bn in 2022 from US$4.72bn in 2021. Its net profit decreased by 50% to US$393m from US$780m. Its sales volumes of cement and clinker declined by 20% to 75.3Mt and concrete sales volumes nearly doubled to 16.4Mm³. Despite flat cement demand the company expects a general domestic economic improvement, real estate market reforms and a focus on infrastructure to improve its fortunes in 2023.

During the reporting period the subsidiary of Switzerland-based Holcim started operating a 3000t/day production line at Nepal Narayani in early 2022 and commenced the second stage of a project to build a 4000t/day clinker line at Maweni in Tanzania in July 2022. Preparation work for a new clinker line project in Malawi also began. The company added that it has completed the investment and verification for ten additional projects in Africa, the Middle East and elsewhere in preparation of future business expansion. Overall, 13% of the group’s operating revenue derived from business outside of China in 2022 compared to 8% in 2021.