Vietnam: Vicem Hoang Mai plans to build a 3Mt/yr cement plant in Nghe An province with an investment of US$286m. The unit will be built in the province’s Hoang Mai 2 Industrial Zone, according to the Vietnam Economic News newspaper. The project was approved in principle by the Provincial People's Committee in May 2019. It is part of the country’s cement industry development plan in 2030.
Dangote Cement Ethiopia’s bagging unit on hold
Ethiopia: A new bag-packing unit at Dangote Cement Ethiopia’s Mugher plant in Oromia is unable to start operation due to a lack of raw materials. The US$20m polypropylene bag plant was completed in April 2018 but it is restricted by government controls on foreign currency that are limiting its import of input materials, according to the Reporter newspaper. The unit can produce up to 120 million bags per year.
The cement producer has also suspended plans to build a second 2.5Mt/yr production line at the plant. An agreement was signed with China’s Sinoma International for the project but it has since been abandoned due to a shortage of foreign currency, a lack of electrical power and general security issues. Deep Kamara, the country manager of Dangote Cement Ethiopia, was killed in an gun attack in mid-2018. No one has been arrested in relation to the murder.
LafargeHolcim Ivory Coast launches online sales
Ivory Coast: LafargeHolcim Ivory Coast has launched online sales of its products on the Jumia e-commerce platform. The online store is aimed at individual and small business customers, according to the Agence Ivoirienne de Presse. The project is starting in a pilot phase in Abidjan and Bingerville. Deliveries of orders made online are coordinated with the company’s Binastore network around the country.
India: Dalmia Cement and South Eastern Railways have inaugurated a freight train. The ceremony marked the start of an agreement whereby the cement producer will use its own locomotives with branded rakes of goods wagons, according to the Pioneer newspaper. The deal covers five such freight trains.Image
Argentina: Loma Negra has signed an agreement with the Asociación Obrera Minera Argentina (AOMA) union and the government to keep the Barker cement plant open. The deal follows three months of negotiations, according to La Nacion newspaper. The cement producer wanted to reduce the number of shifts at the grinding plant. It previously said it had started to close the plant in early-June 2019. The plant will continue to operate with 160 staff working a reduced workload amongst other concessions.
Taiheiyo Cement agrees with Task Force on Climate-Related Financial Disclosures recommendations
Japan: Taiheiyo Cement says it agrees with the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD). It is promoting research and development business strategies to mitigate and adapt to climate change. The cement producer is also intending to publish a long-term plan to reduce its CO2 emissions by 2050.
South Africa: Lafarge Africa has agreed to sell its full stake in Lafarge South Africa business to Caricement for US$317m. The deal is expected to complete in the third quarter of 2019 subject to regulatory approval. Proceeds from the transaction will be used to pay off Lafarge Africa’s shareholder loan of US$293m.
The subsidiary of Lafarge Holcim said that net sales fell by 2.6% year-on-year to US$218m in the first quarter of 2019 from US$224m in the same period in 2018. Its operating profit rose by 35% to US$23.4m from US$17.3m. Growth was driven by the Nigerian market and it described its cement volumes as ‘flat’ in South Africa. It also reported that its revenue rose by 3% year-on-year to US$855m in 2018 from US$829m in 2017. It reduced its loss to US$25.6m from US$43.7m.
Philippine Cement Importers Association refutes claims that imports are damaging local industry
Philippines: The Philippine Cement Importers Association (PCIA) has refuted the claims of local cement manufacturers that an increase in cement imports has caused ‘serious injury’ to their operations. In a position paper submitted to the Tariff Commission on the imposition of safeguard measures on imported cement, the PCIA said that some local producers were reporting continued profits despite the level of imports, according to the Manila Bulletin newspaper. It also denied accusations that cement imports were absorbing 17.2% of local production and 14.2% of total market demand.
"We have a domestic cement industry that is robust and resilient amid the import surge, and already competitive against imports,'' said the PCIA. "The 2013 to 2017 results of operations of the domestic cement industry showed its ability to compete with cement imports. Despite the surge of imports during the period of investigation (2013 - 2017), the domestic industry continued to exhibit improving revenues and continuing profitability." It finished by saying that the Philippine cement industry was globally competitive and did not require any structural adjustment.
France/Syria: The Court of Appeal in Paris will decide on 24 October 2019 whether charges of financing terrorism and crimes against humanity will be upheld. Lafarge and its former executives Bruno Lafont, former chief executive officer (CEO) of Lafarge, former safety director Jean-Claude Veillard, and one of the former directors of its Syrian subsidiary, Frédéric Jolibois have challenged the indictments, according to the Agence France-Presse. The legal case is investigating Lafarge’s conduct in Syria between 2011 and 2014. It has been accused of financing terrorism through indirect payments to extremist groups to keep its Jalabiya cement plant operational after the outbreak of war in Syria.
Myanmar: June Cement Industry’s new 5000t/day plant is waiting for permission from the government to use 15MW of electricity generated from two coal power plants. The US$471m unit is based at PyarTaung, KawPaNaw Village, Kyaikmayaw Township in Mon State, according to the Mon News Agency. The plant will extract limestone from the Pyartaung Mountain area. Coal for the plant is expected to be delivered via the River Attran. Local residents have expressed concern that barges may cause flood damage along the river’s banks.