Pacasmayo set to enjoy second quarter

Pacasmayo set to enjoy second quarter
Published: 17 August 2009

After a difficult first half of the year involving heavy rains and social conflict nearby, northern Peruvian cement group Cementos Pacasmayo expects a better second semester and hopes to exceed its cautious predictions of 2% growth (initially it had predicted 3.9% growth but Peru’s GDP expectations were reduced and the firm reacted with a new prediction) for the whole of 2009.

Pacasmayo ranks second in the national sector with a market share of 19.1% (in June 2009). It is considering a new expansion of its plant and a move into new business areas. Cementos Selva is a subsidiary of Pacasmayo. Key projects in terms of the demand they will generate for Pacasmayo include the Bayovar sulphate-treatment plant, the Quitaracsa and Santa Rita power-plants, mall expansions (Real Plaza in Trujillo) and, possibly the La Zanja mining project. Work on popular-price housing projects in Chimbote, Trujillo, Chiclayo and Piura have yet to begin and will not be helping.

Pacasmayo has developed HS, a new super-cement for Bayovar, and should put it on sale before the turn of the year. Limestone sales represent almost 10% of total sales for the firm. The latter is also developing Fosfatos del Pacifico, set to exploit a concession in Bayovar (Piura). It wants to construct a thermal plant and participate in a wind-power project too.