Caribbean Cement Company at 90% capacity - imports to plug supply gap

Caribbean Cement Company at 90% capacity - imports to plug supply gap
Published: 30 August 2007

Caribbean Cement Company says it is almost back to normal operations, following the passage of Hurricane Dean.

"The plant has not been hit hard and there are no major disruptions to the plant as in the cases of hurricanes Ivan and Wilma," said Anthony Haynes, director general at Carib Cement.

The Rockfort plant, along with all its sales locations, resumed operation August 22, three days after the hurricane.

"Operations are back to normal even though full capacity has not been restored," said Haynes.

The plant has restored 90 per cent of its capacity and is expected to return to full capacity by the end of the week. It will take up to seven days to restore maximum capacity," Haynes said.

Carib Cement is still quantifying the damage to the Rockfort-based plant, he said.

It was, however, reported that the most significant loss was in process stocks such as cement, coal and clinker. No significant damage was done to buildings as with other hurricanes.

Carib Cement is investing J$9.2bn to construct a new kiln and mill, with expected capacity of 1.2Mt of clinker and 1.8-2Mta of cement.

The expansion is expected to reduce the company’s fixed costs and meet local demand as well as facilitate export.

The company recorded profit after tax of J$251.8m for the second quarter up to June 2007, with a eight per cent decrease in sales volume over the similar quarter for 2006 due mainly to a decline in market and the presence of imported cement.

Third-quarter market performance is projected to be between 12 and 14 per cent below projection, with an upturn expected within the last quarter.’