Kenya: ARM will look to improve margins

Kenya: ARM will look to improve margins
Published: 13 September 2016

Tagged Under: East Africa ARM Cement Kenya 

ARM Cement posted a pretax loss of KES473.5m (US$4.5 m) in the first six months, which the firm attributed to unrealised foreign exchange losses associated with borrowing for its new clinker plant.

Managing Director, Pradeep Paunrana, told Reuters that the new 1.2Mta clinker plant has only been operating at about 75 per cent capacity since production began in April. "What this essentially means is that our production cost has come down drastically because imported clinker is much more expensive - at least 70 or 80 per cent more expensive than what we are producing locally," he said in an interview.

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