Displaying items by tag: Shortage

North Korea: The Sangwon Cement Complex has appealed to smaller cement plants to boost production for major government projects, despite a lack of raw materials and electricity, according to Radio Free Asia.

The ‘vaguely written’ appeal, issued in early February 2025, states the urgent need for cement to complete government housing projects and rural development initiatives, but does not specify how production should increase. One of the projects listed is the Pyongyang housing project, which aims to build 10,000 new homes per year, and a total of 50,000 by the end of 2025.

A resident said “The Sangwon Cement Complex is affiliated with the central committee. Its electricity and raw materials are fully provided by the central party. How can the appeal demand increased cement production from local cement companies when there is no electricity or limestone?”

Another resident noted that most construction is being carried out by military labour units but cement shortages are forcing builders to cut corners, with most rural houses reportedly built from soil mixed with clay, lime, and decomposed granite. Though the appeal came from the Sangwon Cement Complex, residents see it as an implicit order from Kim Jong-un’s government. In the past, citizens were forced to gather sand and gravel for public projects, and some fear this order could have the same effect.

Chad: Chad has been experiencing a cement shortage for several weeks, according to Tchad Infos. This has reportedly led to a rise in prices.

The Minister of Trade and Industry said "This situation is due to difficulties in supplying raw materials essential to the production of cement, in particular clinker, which must be transported by rail. Since 17 February 2025, an incident on the Camrail railway line in Cameroon has delayed deliveries. The orders, unloaded at the port of Douala due to the absence of a seafront for our country, could not be transported on time."

Bangladesh: Chhatak Cement Factory has ceased production due to severe gas and limestone shortages, despite a modernisation project having reached 91% completion.

The Bangladesh Chemical Industries Corporation (BCIC) began a US$54.7m project to convert the plant’s production process from wet to dry in 2016, in order to increase capacity to 1500t/day (0.45Mt/yr). The project cost rose to US$116m, with US$68m spent by November 2024. However, the plant remains idle despite the completion of construction works over a year ago, due to the lack of a new gas pipeline and ropeway to import limestone from India. This ropeway was supposed to transport limestone from the Komorrah Limestone Mining Company in Meghalaya.

The project's committee has proposed extending the deadline to June 2026 and allocating an additional US$25m for a 43km gas pipeline from Sylhet to Chhatak. Trial runs are now being conducted every 15 days in order to prevent the plant’s machinery from rusting.

Project director Abdur Rahman Badsha said that the Chinese contractor responsible for the ropeway construction, Nanjing C-Hope Cement Engineering Group, is awaiting a subcontracting agreement with KLMC to begin work in India.

Nepal: The Public Accounts Committee of the House of Representatives has received a complaint alleging that cement producers have created artificial shortages in order to raise prices, according to Republica newspaper. A meeting has been scheduled to discuss the complaint.

Liberia: The Daily Observer has reported smuggling of essential commodities, including cement, across the Ganta Border into Guinea, potentially leading to shortages. Over 1000 bags of cement are allegedly transported daily from the Ganta market into Guinea, leading to an increase in prices.

Nepal: Construction activities in Nepal have been impacted as a result of private cement manufacturers raising prices, allegedly through cartelisation, according to Online Khabar news. According to Ravi Singh, president of the Federation of Contractors’ Associations of Nepal, contractors are struggling to purchase cement at the increased rates.

He said “On one hand, contractors have not been paid for completed projects, and on the other, rising cement prices have pushed many to consider halting construction altogether.”

He accused manufacturers of cutting production by up to 40% to create an artificial shortage, calling it “a tactic to manufacture scarcity and exploit the situation.”

Many contractors have already stopped purchasing cement at the new prices. Cement producers defended the price rise, claiming it corrects previous underpricing caused by ‘unhealthy competition’. The Department of Commerce, Supplies and Consumer Protection has held discussions with producers, giving them seven days to justify the price hike and submit their price lists.

Mozambique: The closure of the largest cement plant in Sofala has led to an acute cement shortage in Beira, according to local news reports. Local retailers are now relying on two plants in Dondo, 30km from Beira, but these reportedly cannot meet demand, leading to a rise in prices by some sellers. The government’s Industry and Commerce sector has denied the existence of a ‘cement crisis’.

Iran: Ali Akbar Alvandian, the Secretary of the Cement Industry Employers' Association, says that cement plants have been forced to cut production due to a shortage of gas. He said that plants near cities had been forced to halve production, according to comments made to the ILNA news agency. Plants in the countryside, however, have been able to cope better by using mazut heavy fuel oil. In addition cement companies were also negatively affected by electricity rationing over the summer. At its peak, in August 2024, 70% of kilns were closed.

Despite these issues there have been no significant changes in the price of cement due to the country’s use of commodity exchanges. However, exports have decreased by 17% year-on-year in the first seven months of the year. Most of the country’s clinker is exported to Iraq, Kuwait and India. The main destinations for cement include Afghanistan, Russia, Kuwait, Armenia, Turkmenistan and Pakistan.

Egypt: Starting in October 2024, the Egyptian Ministry of Petroleum and Mineral Resources will centralise distribution of mazut to cement plants to ensure continued operations amidst the country's power shortages. Deputy PM Kamel El Wazir announced the plan, responding to requests from cement producers for a reliable fuel supply to maintain the stable production and distribution of cement.

Cement plants are required to submit a report on quarry material prices over the past three years, highlighting price increases and their impact on the industry. The Cement Division of the Building Materials Industry Chamber also requested consistent export support payments, the extension of investor rights to quarry resources, and the testing of pozzolanic cement for standard compliance.

Jamaica: Caribbean Cement Company (CCC) is addressing concerns that have arisen due to a shortage of cement in the market, which has reportedly led to hardware stores rationing supplies, according to the Jamaica Observer. The government has been called on to address the problem, reportedly affecting more than 150,000 people employed in the construction industry.

A spokesperson for CCC said “Caribbean Cement Company has successfully completed the scheduled annual maintenance of its kiln, and we are aware that some customers are experiencing delays in obtaining cement. Prior to the maintenance, the company held sufficient inventories to meet market needs. However, the passage of Hurricane Beryl and the company’s subsequent response to ongoing relief efforts resulted in faster consumption of these initial inventories. We recognise the importance of our operations to the construction industry and are working diligently to replenish inventories as quickly as possible for our valued customers. We anticipate a return to normal inventory levels during the coming days.”