Displaying items by tag: subsidy

Oman: Cement producers have reacted positively to anti-dumping measures implemented by the Ministry of Commerce and Industry. The Oman Observer newspaper has reported that the measures, which consist of quality screening, have, since coming into force on 1 March 2020, been ramped up in construction, with a general restriction of the movement of goods due to the coronavirus. Raysut Cement said, “These measures will enable Raysut Cement and our peers Oman Cement to operate at full capacity. We hope that the authorities will continue to strictly enforce this measure in the interest of fair market competition.”

Raysut Cement said that it is ‘Aggressively pushing ahead’ with its US$30m Port of Duqm grinding plant project, which is due for commission in March 2021. “It is a good time for countries like Oman to become self-sufficient in the domestic availability of a strategic commodity like cement,” it said. On 4 May 2020 Raysut Cement announced plans to lobby the government for a gas or electricity subsidy.

Oman’s cement demand is currently 20-25% below pre-lockdown levels.

Nigeria: Oyebamiji Dauda, the chairman of the Lagos State Bricklayers’ Association, has urged the government to cut the price of cement. He wants it to make cement manufacturing more competitive by allowing more producers to operate in the market, according to the News Agency of Nigeria. He added that the ‘high’ cost of cement was negatively affecting building construction. Dauda’s ideas to ease the price of cement include government subsidy, tax breaks for local producers of building materials and further penalties for imported products.

China: Jidong Cement and its subsidies have received US$30m in subsidies from the Chinese government in the first half of 2019. It said that the subsidies were related to its daily activities, according to Reuters. The cement producer said that its estimated profit nearly doubled to US$134m in the reporting period following restructuring the company. Its cement and clinker sales volumes by 15% year-on-year to 45.76Mt.

Belarus: The government is considering offering subsidies to local cement producers. The matter was discussed at a meeting examining the performance of various companies chaired by the Belarusian president Alexander Lukashenko, according to the Belarusian Telegraph Agency. First Deputy Prime Minister Alexander Turchin said that cement companies had invested in projects only for the price of cement to fall ‘dramatically’ leading to financial losses. If any aid is provided it will come with government-enforced targets.

India: The state government of Tamil Nadu has scaled down its support for the Amma Cement Supply Scheme. Sales data shows that the scheme failed to meet its targets in 2015 – 2016 and 2016 – 2017, according to the Hindu newspaper. Its highest level of sales was 52% of procurement in August 2016. The subsidised cement scheme was launched by former Chief Minister Jayalalithaa in 2014 to help lower and middle income groups purchase cement at subsidised prices.