US: Colombia-based Cementos Argos is planning to export 0.4Mt of cement to the US in 2021. The cement producer’s exports to the country grew by 419% year-on-year to 135,000t in the first five months of 2021 from 26,000t in the same period in 2020. It says that it expects the US cement market to grow by 2.2% year-on-year in 2021.
The company is currently upgrading its integrated plant in Cartagena, Colombia and improving the associated port terminal. The US$40m project is scheduled to be completed in the second half of 2021. It is intended to support the export market to the US and elsewhere.
Trinidad & Tobago: Trinidad Cement says it has no plans to raises its prices at the current time. However, it reserves the right to do so in the future if its production costs change, according the Trinidad Guardian newspaper. The subsidiary of Mexico-based Cemex said that it had suffered ‘significant’ losses due to government coronavirus-related regulations. It has not sold cement to the local market since early May 2021 with the exception of three construction projects due to the request of the government. The cement producer added that its silos and warehouses were fully stocked and that it was ready to start supply when it is given permission to do so.
Cement shortages at retailers has been reported in June 2021. Cement importer Rock Hard Cement announced earlier in the month that it was set to raise its prices in July 2021 due to increasing prices around the world and volatile shipping rates.
India: The state government of Telangana has renewed The India Cements’ mining licence for two sites in Guntur district until 2037. These are the Pondugula and Pulipadu mines, which supply the company’s Vishnupuram cement plant in Nalgonda district. The Times of India has reported that the producer first received its licence for the mines in 2000 and applied for the recent extension a decade later.
Ambuja Cement Foundation partners with National Bank for Agriculture and Rural Development
India: The Ambuja Cement Foundation has announced the formation of a partnership with the National Bank for Agriculture and Rural Development (NABARD). The bank is funding phase two of the foundation’s Employability through Skill initiative. The initiative supports the development of off-farm economic activity in rural areas.
India: The South Indian Cement Manufacturers’ Association has supplied 200 oxygen concentrators to the Chief Minister Relief Fund (CMRF) to help in the fight against the Covid-19 outbreak in Andhra Pradesh. United News of India has reported the value of the donated items as US$273,000.
US: SRM Concrete has completed its acquisition of 24 former Argos USA ready-mix concrete plants in Dallas, Texas. No issues were reported by the regulators, according to Agencia CMA. The purchase, valued at US$180m, was announced in May 2021.
India: Ratings agency ICRA has forecast a 25% year-on-year decline in cement sales during the first quarter of the 2022 financial year to 30 June 2021. Domestic cement demand fell by 4% year-on-year and by 35% month-on-month in April 2021, according to the Press Trust of India. The agency said that this was due to the spread of the Covid-19 outbreak to rural areas and the imposition of numerous regional lockdowns. Pent-up demand is expected to drive a gradual recovery in the second quarter from July 2021. Costs for cement companies increased by 5% nationally year-on-year in April 2021. Increased fuel, power and transport costs all contributed to the rise.
PCA forecasts US regional cement consumption in 2021
US: The Portland Cement Association (PCA) Market Intelligence Group has released its Spring 2021 Regional Forecasts for the Northeast, Central, West, and Southeast regions. Residential construction has been identified as the main driver of consumption growth in most regions.
The Pacific sub-region of the West is forecast to grow by 1.1% year-on-year in 2021, while the Mountain sub-region will drop by 0.7% following strong growth in 2020.
The West South Central sub-region is expected to rise by 2.3% and the West North Central by 1.2%. In the former this will be supported by residential demand and a recovery in the oil well cement market. The PCA added that he sub-region maintains very strong construction fundamentals given demand from strong in-migration and an expanding tax base.
The PCA noted that the Northeast had been hit ‘hard’ by the coronavirus pandemic but that cement consumption still grew by 0.6% in 2020. In 2021 the association has forecast growth of 0.1%. Although residential construction is expected to drive demand the association said that the region is expected to lag behind national trends in public cement consumption given, “state fiscal conditions and the characteristics of the region.”
Finally, the PCA forecasts that cement consumption in the South Atlantic sub-region will be ‘strong’ with growth of 6.8% in 2021 and 2.1% in 2022. Demand in the East South Central sub-region is also expected to be positive with consumption growth of 7.6% in 2021 and 1.9% in 2022.
Germany: Data from HeidelbergCement’s Sustainability Report 2020 reveals that it reduced its specific net CO2 emissions by 2% year-on-year to 576kg/t of cementious material in 2020 from 589 kg/t in 2019. This represents a 23% reduction since 1990. The company has a target of 30% by 2025. It has a number of carbon capture and utilisation/storage (CCU/S) projects in various stages of development to meet its goal of becoming carbon neutral by 2050. Other data shows that its alternative fuels substitution rate rose to 25.7% from 24% and its clinker ratio fell slightly to 74.3%.
During the reporting year, the group joined the climate lobbying group Foundation 2° and achieving a CDP climate protection rating of A. For water security it secured the second-highest rating of A-. The group’s specific water consumption for cement rose by 5% in 2020 to 271.9l/t of cement from 260l/t in 2019. However the company says it is continuing to improve water consumption reporting at its sites until 2025.
Morocco: LafargeHolcim’s Settat plant has been ranked as the second most efficient integrated cement plant in LafargeHolcim Group. The classification is based on industrial performance criteria in terms of efficiency, cost and sustainable development covering 129 of the group’s integrated plants around the world. Five of the six plants operated by LafargeHolcim Morocco are also reported to be in the Top 20 of this list. The 1.7Mt/yr Settat plant has also become a pilot in the group’s ‘plant of tomorrow" initiative whereby automation technologies, robotics, artificial intelligence and predictive maintenance will be used to improve its production efficiency further still.