Cement News tagged under: Production costs

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Lower pricing hits July-September profits, India

15 November 2013, Published under Cement News

Indian cement companies saw their profits drop over the July-September period due to higher cement prices and freight expenses. Average dispatches across the country were estimated to have increased by 3.5 per cent, according to Business Line. Meanwhile, coal expenses were also lower as the international market price was down 11 per cent YoY to US$78/t. However, the average cement prices were at INR279/50kg bag during the quarter, down seven per cent from INR300/50kg bag. In South Ind...

Vietnam expects price stability

18 October 2013, Published under Cement News

Vietnam’s Ministry of Finance's Pricing Management Department expects cement prices to remain stable this month following September’s increase, local press reported. Some companies operating under the country’s largest cement producer, Vicem, raised prices by 5-9 per cent a month ago to VND1.3m-1.5m/t (US$61-71) in the north and VND1.6m-VND1.8m in the south. Vicem chairman attributed the hikes to higher production costs due to higher electricity prices. Cam Pha Cement Company, for exampl...

Asia Cement expects higher nine-month net profit

17 October 2013, Published under Cement News

Asia Cement said it expects a 150 per cent YoY increase in unaudited net profit attributable to shareholder for the first nine months of the year. The company says the advance is due to higher sales volumes and a decrease in coal costs compared to the same period of last year.

Rising South African input costs impacting Lafarge margins

08 October 2013, Published under Cement News

Lafarge South Africa has said it may raise cement prices on the local market due to higher fuel and electricity costs. Thierry Legrand, country chief executive, said last week that increasing input costs were having an impact on margins and had not been fully recovered in previous price increases. He said fuel costs rose by 21 per cent in 2011, 16 per cent last year and nine per cent so far this year, while electricity costs were increasing annually by more than nine per cent. As such, the...

Vietnam producers increase prices

24 September 2013, Published under Cement News

Vietnam producers have increased cement prices by VND100,000/t (US$4.71) to help mitigate higher input costs despite domestic demand remaining subdued. The increase is due to the rising cost of inputs such as petroleum, coal and power. The average selling price is now VND1.28m. Prices in the north range between VND1.28m-1.66m/t while in the north they are VND1.36-1.74m/t.  Producers have also reduced their discount to agencies by VND20,000/t, the price management department under Vietn...

Malaysian fuel price hikes to impact production costs

05 September 2013, Published under Cement News

Lafarge Malaysia Bhd, the country's leading cement producer, said an increase in fuel prices due to the government's recently-announced cut in subsidies, will have a definite impact on production costs.  “The increase would naturally have an impact on businesses in terms of transportation cost for both production and delivery to the market,” a spokesman from the company told The Star newspaper of Malaysia.  “We understand the need for this subsidy rationalisation exercise by the Governmen...

India Cement's net profit hit by rising production and transportation costs

22 May 2013, Published under Cement News

Rising production costs and subdued demand in the southern markets has resulted in India Cements reporting a 31 per cent decline in FY13 net profit. Net profits (consolidated) fell to INR178.62 crore for the fiscal, down from INR259.86 crore last year, while revenues rose nine per cent to INR5159.47 crore from INR4631.04 crore last year. According to N Srinivasan managing director of India Cements, profit took a hit due to an increase in cost of diesel and freight charges and high cost o...

Siam City Cement 1Q sales rise, net profit hit by higher costs, Thailand

13 May 2013, Published under Cement News

Siam City Cement Co (SCCC), Thailand’s second-largest cement producer, reported a decline in operating and net profit for the 1Q13 despite a rise in sales as higher electricity and transport costs negatively affected results. Net profit for the three months to the end of March 2013 was THB1.12bn (US$37.7m), down 5.4 per cent on the same quarter of last year. Sales, however, were up 8.4 per cent YoY to THB7.5bn from THB6.9bn in the same period of last year. The rise was attributed to in...

Pakistan cement producers deny cartel

01 April 2013, Published under Cement News

Pakistan cement producers have denied the existence of a cement cartel, telling the Ministry of Industries that they are operating at the lowest rate of return. The Express Tribune reports that during a meeting with the ministry, the producers in question countered the claims by stating they have passed on the minimum impact of inflation to end-users over the past few years. They highlighted that cement prices, which were PKR320/bag in 2005, currently only stand at PKR425/bag despite inpu...

Clinker import tax hike threatens small, medium-sized producers in Assam, India

18 March 2013, Published under Cement News

Medium and small-sized cement producers in Assam have criticized a proposal by the state government to raise the import tax of clinker by four per cent. The new proposal will see the entry tax on clinker raised from two to six per cent, applicable only to small and medium units, according to reports in the Economic Times. Industry sources said the proposal to raise the entry tax would adversely affect the small grinding units in the state. "It will increase the cost of production of the...