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Pakistan cement producers strike over tax hikes
Pakistan: Cement producers across Pakistan have initiated an indefinite nationwide strike in response to increased withholding and turnover taxes introduced in the federal budget for 2024-25. The mandatory implementation of Point of Sale systems has also been criticised, due to a lack of resources and training. The All Pakistan Cement Manufacturers Association is urging the government to adopt a presumptive tax regime to mitigate these challenges. Meanwhile, despite domestic challenges, Pakistan s cement exports rose by 40.5% in the first 11 months of the 2023-2024 financial year (FY23-24), which ended on 30 June 2024. reaching almost US$237m from US$168m in the corresponding period in FY22-23. /Global Cement
UAECEMENT.COM - Jul,17 ,2024

Dalmia Bharat expands Kadapa plant
India: Dalmia Bharat has expanded the capacity of its plant in Kadapa, Andhra Pradesh, by an additional 1Mt/yr. The Kadapa unit s expansion, which cost US$25m, raises the company s total installed capacity to 46.6Mt/yr. The company plans to increase its total installed capacity to 110-130Mt/yr by 2031. /Global Cement
UAECEMENT.COM - Jul, 09 ,2024

Vietnamese clinker exports face challenges
Vietnam: The average export value of Vietnamese cement and clinker has dropped sharply in 2023 due to falling prices, with the average price for clinker declining to US$31-32/t in May 2024, from US$46-48/t in 2022. The Vietnam News Brief Service reports that the Ministry of Construction (MoC) has identified an increase in export tax from 5% to 10% starting 1 January 2023, and additional anti-dumping duties imposed by the Philippines in March 2023, as barriers reducing the global competitiveness of Vietnamese clinker. In response, the MoC has proposed eliminating the export tax on clinker and revising policies to allow for VAT refunds on clinker exports. According to the MoC, resolving these tax and VAT issues is key to the success of Vietnamese clinker exports, which currently lag 20% behind international competitors. /Global Cement
UAECEMENT.COM - Jul, 04 ,2024

Ghana Standards Authority to shut down substandard cement plants
Ghana: The Ghana Standards Authority (GSA) is set to close down several cement manufacturing firms for producing low-quality products, as part of its effort to combat substandard cement production nationwide, according to Adom Online. This initiative aligns with the protections outlined in the Ghana Standards Authority Act 2022. Currently, there are only 14 licensed cement plants in Ghana. Director General, Alex Dodoo, said "The GSA has done research and we have noticed that some particular players believe that the only way to compete is to reduce the quality of cement. We have closed three of them and I can assure you that in the coming days a lot more will be closed down. If there is one thing we will not compromise on, it is quality.” /Global Cement
UAECEMENT.COM - Jul, 02 ,2024

Austrian cement production declines, further drop expected
Austria: Austria s cement industry produced approximately 4.4Mt in 2023, a 15% decrease from 2023. According to Holcim Austria CEO, Berthold Kren, there will be another double-digit decline in 2024. Kren highlighted a significant downturn in construction sectors, with a notable drop in housing permits. Infrastructure construction in eastern Austria is also decreasing, aligning with broader negative economic trends affecting the industrial construction sector. /Global Cement
UAECEMENT.COM - Jun, 29 ,2024

Ambuja Cement to acquire Penna Cement for US$1.2bn
India: Following the news of Adani s multiple acquisition of cement companies, more details have come to light regarding the acquisition of Penna Cement. Adani-owned Ambuja Cement has signed an agreement to acquire Penna Cement Industries (PCIL) for US$1.2bn, aiming to reach a production capacity of 140Mt/yr by 2028. This acquisition adds 14Mt/yr to Adani Cement s total capacity, bringing it to 89Mt/yr, and expands Ambuja s market presence in southern India. The purchase will be fully funded through internal accruals. Ambuja Cement CEO Ajay Kapur said "PCIL s strategic location and sufficient limestone reserves provide an opportunity to increase cement capacity through debottlenecking and additional investment. Importantly, the bulk cement terminals will prove to be a game changer by giving access to the eastern and southern parts of peninsular India, apart from an entry to Sri Lanka, through the sea route." /Global Cement
UAECEMENT.COM - Jun, 16 ,2024

RAK White Cement encourages shareholders to accept UltraTech Cement’s offer to acquire stake
UAE: The board of RAK White Cement has recommended that its shareholders accept a cash offer from UltraTech Cement for the acquisition of a further stake in the company. Global Cement News reported in May 2024 that UltraTech Cement had offered to acquire 32% of shares in the company. It previously acquired 29% in April 2024. /Global Cement
UAECEMENT.COM - Jun, 12 ,2024

Uzbekistan limestone production doubles
Uzbekistan: Uzbekistan s limestone output reached 0.92Mt in the first quarter of 2024, representing a 50 percent year-on-year increase, according to the Statistics Agency. The country s construction materials sector also saw a rise in exports, to US$153m. The government has ambitious targets for 2024, aiming to produce construction materials valued at US$3bn and a focus on local production, the country aims to become self-sufficient and reduce reliance on imports. The country aims to boost exports to US$1.1bn in 2024. /Global Cement
UAECEMENT.COM - Jun, 1 ,2024

Tanzania launches white cement production in Mkuranga
Tanzania: Fortune Cement Co has initiated white cement production at its new plant in Mkuranga District, Coast Region, aiming to meet both domestic and international demand. The plant, which produces 200t/day of white cement, will bolster employment and increase revenue through exports under the African Continental Free Trade Area (AfCFTA). Deputy Minister of Industry and Trade, Exaud Kigahe, said “The Ministry will collaborate to ensure that the products manufactured in this plant cross national borders and reach even the African free market.” He also noted that the new production capacity will reduce imports and create job opportunities for Tanzanian youth while enhancing foreign exchange earnings. Currently, over 50% of the raw materials for the plant are sourced locally, excluding white clinker, which is imported. /Global Cement

Dalmia Bharat launches new mill at Ariyalur
India: Dalmia Bharat has launched a new mill at its Ariyalur manufacturing unit in Tamil Nadu. The new 1Mt/yr cement unit increases the company s total manufacturing capacity to 45.6Mt/yr. This brownfield expansion is valued at US$24.5m and aligns with the company s aim to increase its capacity to 110-130Mt/yr by 2031. Managing director & CEO Puneet Dalmia said "Driven by robust infrastructure development, housing and investments, we anticipate cement demand to rise. This increased capacity will facilitate the growing demand in the southern region." /Global Cement

Southern Province Cement’s profits soar
Saudi Arabia: The net profit of Southern Province Cement rose by 27% year-on-year to US$16.5m in the first quarter of 2024 from US$13.0m a year earlier. However, its revenues fell by 16% relative to the first quarter of 2023, reaching US$66.9m. /Global Cement

JSW Cement to establish cement plant in Nagaur
India: JSW Cement will establish its first cement plant in the north of the country at Nagaur, Rajasthan. The new site will begin with a capacity of 3.3Mt/yr, eventually expanding to a capacity of 15Mt/yr by 2026. Managing director Parth Jindal posted on X "Extremely proud that JSW Cement is entering North India, today we have broken ground at our site in Nagaur, Rajasthan. A new beginning for JSW, one that will see us becoming a pan-Indian cement player by 2026.” /Global Cement

Pakistan cement sales down due to domestic market decline
Pakistan: The cement industry saw a slight decrease in cement dispatches in April 2024, falling to 2.94Mt from 2.95Mt in April 2023, according to data from the All Pakistan Cement Manufacturers Association. Despite an 8% fall in local sales to 2.33Mt, an increase in exports by 46% to 614,264t in April 2024 partially offset this decline. Specifically, north-based plants saw a 4.8% reduction in dispatches to 2.1Mt in April 2024, while south-based plants experienced a 12.7% year-on-year increase to 854,911t. Export volumes also reflected regional differences, with north-based exports increasing by 73% and south-based by 39%. In the 2024 financial year so far, total cement dispatches have risen by 2.5% to 37.5Mt, driven by a 65.4% increase in export dispatches to 5.72Mt compared to April 2023. However, domestic sales have declined by 4.1% to 31.7Mt. The north-based plants dispatched 26.2Mt domestically, a 3.6% year-on-year decrease, while south-based plants dispatched 5.55Mt, down by 6.5% from April 2023. A spokesman for the All Pakistan Cement Manufacturers Association said "The government needs to announce industry-friendly measures in the upcoming budget that can boost construction activities in the country. We need to increase our capacity utilisation to bring in economies of scale and to control our operations costs in order to reduce the overall impact on the end consumer.” /Global Cement

East African Portland Cement resumes operations
Kenya: East African Portland Cement (EAPCC) has recommenced operations at its Athi River cement plant after a one-month shutdown for renovations and maintenance. The plant has undergone a US$3m upgrade to expand its capacity in order to meet the increasing regional demand for cement, anticipating an annual production of 1Mt/yr within the next two years. Before the upgrade, the plant’s capacity was 310,000t/yr. Board chairperson Richard Mbithi said critical components used in cement production processes such as filter bags and refractory bricks were replaced during the upgrade. EAPCC also refurbished its grate cooler system, enabling the company to increase its production targets. Mbithi said “With the finalisation of the plant refurbishment and the resultant improved production and efficiency, we are confident that the company will accomplish the production and revenue targets.” The company undertook the first phase of maintenance two years ago and it involved the replacement of the kiln shell which was completed in September 2022. This led to improved clinker and cement production and resulted in a 38% increase in revenues, according to the Star Kenya. /Global Cement

Fecto Cement grows sales in first nine months of 2024 financial year
Pakistan: Fecto Cement recorded US$98.5m in sales in the first nine months of the 2024 financial year (FY24). This corresponds to a year-on-year rise of 26%. The company’s cost of sales was US$87.9m, up by 18% from nine-month FY23 levels. Its profit after was tax was US$2.51m, compared to a loss of US$13.8m. /Global Cement

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