Cement News tagged under: Demand

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Vietnam’s balancing act

04 December 2013, Published under Cement News

The economic slowdown and the real estate bubble in Vietnam have resulted in a sharp decrease in cement demand in the past few years and an oversupply is envisaged in the years to come. However, the overall surplus situation barely scratches the surface, as balancing regional supply and shortages poses a far more complicated issue that must quickly be addressed. By Huong Thieu and Duy Nguyen, StoxPlus Corp, Vietnam. While the north and central Vietnam faces a surplus cement supply sce...

Prism Cement's credit metrics seen improving from FY15

04 December 2013, Published under Cement News

India-based cement producer Prism Cement Ltd is expected to see an improvement in credit metrics from FY15 on the back of an overall improvement in operating efficiency and an absence of any debt-led capex, according to a recent note by India Ratings. It has assigned Prism Cement Limited (PCL) a Long-Term Issuer Rating of 'IND A-'. The Outlook is Stable. The research house notes that the sharp deterioration in PCL's financial profile in FY13 was largely driven by the breakdown of a silo a...


02 December 2013, Published under Cement News

Sales growth at Dangote Cement continues to outpace the Nigerian cement market with group sales volumes up 29.5 per cent to 9.95Mt, compared to the same period last year. Pre-tax profit for the nine-month period rose 42.6 per cent to NGN151.7bn (US$957m), while EBITDA grew 35.9 per cent to NGN181.1bn (US$1142m). Consolidated group revenue was up 28.7 per cent to NGN289bn (US$1822m) and gross profit reached NGN189.4bn (US$1195m), up 39.4 per cent. Following a deferred tax credit of NGN4.4bn...

Argentinan capacity at its limits?

07 November 2013, Published under Cement News

Cement production capacity in Argentina is reaching its limit, according to Sitio Andino. The rupture of  a filter that paralysed Loma Negra’s San Juan works for a month-and-a-half, at a time when the Mendoza construction sector enjoyed a recovery, has highlighted the tight fit between supply and demand in the South American country. Delivery lead times shot up to 30-45 days and prices surged at retail level to around US$58/50kg bag. Loma Negra and Holcim, two major cement producers recog...

Iraq can grow with security

23 May 2013, Published under Cement News

With considerable growth potential in the Iraqi cement market, the government is not only keen to rehabilitate the old plants but also aims to encourage new investors to enter the country. However, the task is a difficult one because of the continued political instability, the prospects for further unrest and inadequate energy supplies. Iraq’s cement industry has potential to grow, but it is restricted by political uncertainty and a lack of energy provision Iraq is a nation that...

India: brighter times in sight?

20 May 2013, Published under Cement News

The Indian cement sector continues to face a number of issues which have been heightened by weaker-than-expected demand following the monsoon season. This article brings recent developments to the forefront and explores whether an improved outlook can be anticipated. After an encouraging start to 2012, India saw a disappointing 2H performance India’s cement industry has once again hit the stumbling blocks. Despite an encouraging start to 2012, cement demand during the post-monso...

Vietnam market remains sluggish

29 March 2013, Published under Cement News

The Vietnamese Ministry of Construction said that cement consumption was estimated at 3.7Mt in February, accounting for 7.4 per cent of this year’s plan. The cement market remained subdued though producers continued to offer 3-5 bags of cement for free on 100 bags of cement. The Ministry’s plan foresees a cement demand of around 56-57Mt, of which the domestic market is expected to absorb 48.5-49Mt. The remaining 7.5-8Mt. is earmarked for exports, which in February touched 0.52Mt. ...

Moroccan cement market down 18% in 2M13

29 March 2013, Published under Cement News

Cement demand in Morocco during the first two months of the year fell by 18 per cent as the recovery of the construction sector remains out of reach. Total cement consumption over the two months is 2.4Mt. Public works are feeling the pinch as is the new tax regime on the sale of undeveloped land. Capital gains on these sales have seen an increase in tax rate from 20 to 30 per cent on land held for more than five years. Meanwhile, cement prices remain stable at MAD1100.

Credit Suisse sees Indian cement sector expanding

11 March 2013, Published under Cement News

Credit Suisse says margins in India's cement sector should expand over the next two years on the back of price increases and improvement in demand, among other factors. Reuters reported that the investment bank assigns new ratings to Indian cement companies after a change in analysts. Credit Suisse rates ACC Ltd "outperform" with target price of INR1545 while assigning "neutral" rating to UltraTech Cement Ltd and Ambuja Cements with target prices of INR1900 and INR05 respectively.  T...

Nomura cautious on China demand growth and average prices

21 January 2013, Published under Cement News

Investment bank Nomura is bearish on China cement but is less positive than the market on 2Q13 and 2013 demand growth and potential average selling prices (ASP). The house has analysed 138 railway projects in China and found the net incremental cement consumption for 2013 for 2013 to be 16t less than last year. Normura also explored more reliable property new-starts data and concluded that cement demand from the property sector would fall 1.1 per cent YoY in 2013 to 615Mt. It believ...