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Southern Indian cement producers start exports to Myanmar 05 February 2014
India: Producers in the south of India have started exporting cement to Myanmar in response to depressed market conditions locally. Chettinad Cements, the India Cements, Dalmia Cements and Ramco Cements have all started shipping cement to Myanmar in the past few months, according to local media.
"We started shipments in January 2014 to Myanmar of about 10,000 - 12,000t. It is not very remunerative, but when the chips are down, we have do something to stay afloat," said Vipin Agarwal, CEO-south, Dalmia Cements. He added that producers make 'token' profits from this market but hope it will become profitable in the future. Dalmia transports its cement from Dalmiapuram in central Tamil Nadu to Tuticorin port for subsequent export. Ramco Cements also starting trialling cement exports to Myanmar in mid-2013, having shipped around 40,000t so far.
Agarwal said that demand in south India has continued to fall with growth in Karnataka, no change in Kerala and decreases in Tamil Nadu and Andhra Pradesh. Cement producers in the region are operating at 55% of their rated cement production capacities. Myanmar is the second export market that cement producers are testing, after Sri Lanka.
Competition regulator recommends Naikuni removal from East Africa Portland Cement Company 05 February 2014
Kenya: The Competition Authority of Kenya (CAK) has recommended that Titus Naikuni stops chairing the Technical Committee of the East Africa Portland Cement Company (EAPCC) board, citing the risk that his position poses to the firm's strategic leadership in light of the fact that he represents Lafarge, which has a controlling stake in the rival Bamburi Cement.
The competition watchdog says that Lafarge's two board seats and control of strategic committees at the EAPCC amounts to anti-competitive behaviour that needs to be reviewed. Naikuni chairs the Technical Committee of the Portland board while lawyer Hamish Keith, another representative of Lafarge, is the chair of the Tender and Procurement Oversight Committee.
The authority has concluded that Lafarge's sizeable shareholding in Kenya's leading cement makers, Bamburi and the EAPCC gives it control of more than half of Kenya's cement market and amounts to monopolistic behaviour and undue concentration of economic power.
"The authority was of the view that this high market share and directorship of Lafarge in key strategic committees (tender and procurement and technical committees) at EAPCC exhibited features of unwarranted concentration of economic power," said the CAK in its 2013 annual report. The regulator made the recommendation in response to Industrialisation principal secretary Wilson Songa's December petition over Lafarge's dominance of Kenya's cement market that is linked to the French firm's multiple ownership of cement makers and its representation on Bamburi and EAPCC boards.
The move follows Songa's previous attempt to investigate directors at the EAPCC following a chaotic annual general meeting in late 2013.
Lafarge Republic to build 0.85Mt/yr grinding plant 05 February 2014
Philippines: Lafarge Republic plans to build a 0.85Mt/yr grinding plant for its Norzagaray cement plant to meet increased cement demand. The grinding plant will be commissioned in the second quarter of 2015.
The new grinding plant is intended to supplement the output of a new mill at its Teresa cement plant in Rizal province, which due to be commissioned in the first quarter of 2015. The Teresa mill is expected to have an investment of at least Euro25m and will have a production capacity of 0.85Mt/yr.
The two mills will increase Lafarge Republic's cement production capacity to 6Mt/yr. Lafarge manufactures the cement brands Portland, Pozzolan and Type 1P. It sells its products in 40kg bags or in bulk at 800kg and 1000kg per load in bulk carriers.
Azerbaijan cement production rises by 3.8% in 2013 05 February 2014
Azerbaijan: Cement production has risen year-on-year by 3.8% to 2Mt/yr in 2013, a historic high. However despite two new entrants to the industry, Eyyub Huseynov, the Chairman of the Union of Free Consumers of Azerbaijan, has attributed continuing high cement prices to cartel-like behaviour, according to the Turan Information Agency. Huseynov has called for faster adoption competition legislation by parliament..
In 2013 the cement production capacity of Azerbaijan increased by at least 3Mt. According to the State Customs Committee, the value of cement exports from Azerbaijan increased by 15% to US$153m in 2013. In 2012, Azerbaijan imported 1.03Mt of cement for building at a declared cost of US$85m. 11Mt of clinker was also imported at a value of US$46m.
Lipetskcement increases cement production by 23.3% in 2013 04 February 2014
Russia: In 2013 Lipetskcement, part of Eurocement group, demonstrated significant growth of its key indicators for production and shipment of cement. During the reporting period it produced 1.39Mt of cement and 1.05Mt of clinker, which exceeded 2012 values by 23.3% and 2.6% respectively. Bagged cement production increased by 19% compared to 2012 and amounted to 0.178Mt.
CEM I 42.5 N accounted for half of the company's total cement production. In 2013 Lipetskcement produced 0.645Mt of this type of cement, which is 82.5% more than in 2012.
"In December 2013 Lipetskcement celebrated 50 years since the plant was launched. 2013 was marked by the achievement of record levels of production and shipment of cement. In July 2013 a record was set for the production of cement. For the first time in the 50-year history of the Lipetsk cement plant the company produced 0.20Mt of cement. The previous record was 0.19Mt of cement in August 2011. Also in July 2013 there was a record shipment of finished products; customers were shipped 0.21Mt of Lipetsk cement," said the general director of Lipetskcement, Vladimir Sokoltsov.