09 December 2016
Belarus: The Belarusian Cement Company and Eurocement Group have signed a contract concerning deliveries of cement in 2017. In line with the agreement the deliveries will satisfy the demand for Belarusian cement on the Russian market. The deliveries in 2017 will be at least as large as in 2016, according to the Belarusian Telegraph Agency. The deal was signed by Eurocement Group President Mikhail Skorokhod, Director General of Belarusian Cement Plant Igor Lozhechnikov and Director General of Krichevcementnoshifer Vladimir Korchevsky.
Belarusian Architecture and Construction Minister Anatoly Cherny said that the Russian market is the key target market for Belarusian cement producers. He added that despite falling demand in Russia that the share of Belarusian cement on Russian Federation markets would grow larger.
Demonetisation halves cement demand in November 2016 09 December 2016
India: Demonetisation of high value Indian rupee currency notes reduced cement demand by 45 – 50% in November 2016. Demand for cement fell across regions with the central region including Uttar Pradesh and Madhya Pradesh suffering the least, according to the Hindu newspaper. The decline has hit the industry when it was expecting an increase in demand stimulated by infrastructure development following the monsoon season.
A slowdown in real estate activity has particularly affected the cement industry as the majority of cement in the country is used by the realty sector. RP Gupta, chairman and managing director of Shiva Cement, said that contractors are finding it difficult to make cash payments for buying raw materials such as sand, bricks and stones as well as paying wages. Cement companies are reportedly trying to help dealers install bank or credit card payment machines to reduce cash-based transactions.
Hyundai Cement sales expected to generate up to US$515m 09 December 2016
South Korea: The sale of Hyundai Cement is predicted to generate up to US$515m. Sources quoted by the Maeil Business Newspaper say that the auction in mid-December 2016 will receive attention from cement producers and private equity funds. Hyundai Cement is the seventh largest cement producer locally, holding about 7% of the market. Larger producers, such as Ssangyong Cement Industrial, Tongyang Cement & Energy and Lafarge Halla Cement, with production units in coastal regions, would all benefit from purchasing Hyundai Cement with its assets located internally in the country.
EAM, Mamba and Sungura to enter cement industry in Tanzania 09 December 2016
Tanzania: EAM, Mamba and Sungura are planning to invest in the cement industry. Industry, Trade and Investment Minister Charles Mwijage said that the companies have all requested to enter the industry at the Dar es Salaam International Trade Fair, according to the Tanzanian Daily News. EAM wants to build a 3Mt/yr plant in the Tanga region on condition that the government lets it export cement internationally. It has also requested other conditions that are in discussion with the government. Mamba and Sungura are also in discussion with the government regarding their projects.