Bolivia's producers optimistic on buoyant market

Bolivia's producers optimistic on  buoyant market
09 August 2013

In the past three years, Bolivian cement demand has increased between 9-10 per cent annually, according to the Bolivian Institute of Cement and Concrete (IBCH). The organisation also expects this growth rate to continue over the next two years.

"Low interest rates and the availability of money in the economy certainly have boosted residential construction of all types," said Marcelo Alfaro, CEO of IBCH and added that the level of income the country currently receives and large infrastructure needs of all types have also driven the realisation of many public works projects.

In anticipation of continuing rising cement sales, three cement plants (Soboce, Coboce and Itacamba) are planning to invest US$440m in the next two years to increase their production capacity.

Armando Gumucio, Soboce general manager, said the company will expand cement grinding at its Viacha works, La Paz with an investment of nearly US$35m, plus a similar amount in other investments scheduled later this year.

Soboce is investing US$160m in a new cement plant in Santa Cruz.

Meanwhile, Nilda Quintanilla of Coboce said the cement company currently has capacity to produce 915,000tpa and plans to invest about US$50m to double its clinker line capacity to 3500tpd.

Capela Alexander, general manager of Itacamba, revealed that its plant is running close to its 0.2Mta capacity. The company plans to increase its production by importing 160,000t for next year. Itacamba’s Yacuses project is expected to raise capacty to 0.85Mt, reflecting an investment of US$160m. The company anticipates a 55 per cent rise in its output this year when compared with last year, when production reached 0.09Mt.

Published under Cement News