Industria Nacional del Cemento requests price increase, Paraguay

Industria Nacional del Cemento requests price increase, Paraguay
11 May 2011

Paraguay’s sole cement producer Industria Nacional del Cemento (INC) will be asking the government to approve a price increase for cement. At the moment a bag of cement changes hands for PYG35,000 (US$9)but Édgar Acosta, president of INC, has asked the government to allow a price rise to PYG42,000.

The price increase will allow the company to make necessary investments. "We will make an official submission to the President on the need for an increase, but we state that the need is related to investment, " Mr Acosta said.

"If this company does not make an investment this year, we can not wait, this company goes, it’s that simple, " he added.

INC experienced four kiln stoppages between December 2009 and September 2010 and problems relating to the reliable supply of fuel have ultimately led to a market shortage.

At present, INC produces around 50,000 bags per day and dispatches averages around 43,000, said the company. However, the company is working to increase daily deliveries, which according to some sources, average at around 30,000 per day.
Published under Cement News