Displaying items by tag: Pakistan
Pakistan: The Association of Builders and Developers (ABAD) has issued a statement warning of the dangers of recent cement price rises. The Balochistan Times newspaper has reported that the association called the rises disproportionate given the local availability of raw materials. It said that the increase would be reflected in the prices of housing units under the Naya Pakistan Housing Programme.
Prime Minister Imran Khan launched the scheme, alongside a financial support package, to revitalise the construction industry in the wake of the coronavirus outbreak.
Lucky Cement wins fire safety award
21 December 2020Pakistan: Lucky Cement has won an award for use of modern technology to control fire accidents and save lives at the Fire and Safety Awards 2020, organised by the National Forum of Environment and Health. The Frontier Post newspaper has reported that the company is an ISO-9001, ISO-45001 and ISO-14001 certified health and safety leader. The cement producer’s chief operating officer (COO) Amin Ganny said, “At Lucky Cement, we ensure a safe and secure environment for all of our employees and stakeholders associated with our business operations directly or indirectly.”
Competition Commission of Pakistan enquiry finds evidence of collusion by All Pakistan Cement Manufacturers Association members
17 December 2020Pakistan: A Competition Commission of Pakistan (CCP) enquiry committee has recommended that the commission take action against the All Pakistan Cement Manufacturers Association (APCMA). The Frontier Star newspaper has reported that the enquiry found evidence that APCMA members had formed collusive arrangements contrary to the prohibited agreements under the Competition Act.
The Pakistan Bureau of Statistics (PBS) recorded a cement price rise in Northern Pakistan in April 2020 and May 2020, and in major cities in northern Pakistan and southern Pakistan in June 2020 and July 2020. This occurred in spite of a reduction in demand in early 2020. As a result, the CCP launched a search and inspection of the APCMA head office and the office of its senior vice chairman, a cement company director, in September 2020.
Pakistan: The Ministry of Commerce has advised the government that a concessionary rate for cement companies for the supply of electricity would reduce costs and increase international competitiveness. The Business Recorder newspaper has reported that the ministry proposed the measure due to the industry’s ‘immense’ potential for exports. In the 2020 financial year, the country exported US$266m-worth of cement. The ministry said that the current government’s policies would cause this to ‘substantially’ increase.
Punjab government approves five cement plant plans
09 December 2020Pakistan: The government of Punjab Province has approved five cement plant plans worth a total of US$1.25bn. The Frontier Post newspaper has reported that Chief Minister Usman Buzdar chaired a cabinet meeting in which No Objection Certificates (NOCs) were issued to five planned cement plant projects.
Pakistani five-month cement dispatches rise
07 December 2020Pakistan: Cement dispatches in the five months to 30 November 2020, the first five months of the 2021 financial year, were 24Mt, up by 17% year-on-year from 20Mt over the corresponding period of the 2020 financial year. Data from the All Pakistan Cement Manufacturers Association (APCMA) shows that exports grew by 22% to 4.4Mt from 3.6Mt. The Nation newspaper has reported that November 2020’s dispatches were up by 4% year-on-year to 4.5Mt from 4.3Mt, while domestic demand rose by 6% to 3.7Mt from 3.5Mt. Five-month demand also rose, by 16% to 19Mt from 17Mt.
Pakistan: Pioneer Cement has begun power generation at its upgraded 24MW coal-fired power plant. Link News has reported that the plant previously had a power generation capacity of 12MW.
Lucky Cement orders three new Wärtsilä engines for Pezu cement plant
26 November 2020Pakistan: Lucky Cement has placed an order for three 10MW 34DF dual-fuel engines for its Pezu cement plant in Khyber Pakhtunkhwa province from Finland-based Wärtsilä. The engines are capable of operating on various fuels but will be fuelled primarily by natural gas. They have been ordered to provide additional power for the unit’s captive power plant due to an increase in cement production capacity. The orders were placed in April, August, and November 2020. No value for the order has been disclosed.
“It is important for large cement producers to have operational flexibility to run the power plant on multiple fuels in case the gas supply is interrupted, or whenever otherwise required. Wärtsilä’s multi-fuel power generating technology provides the kind of flexibility that we need for an efficient and reliable power supply. The cement plant is relying purely on the power plant with Wärtsilä gensets supplying the power,” said Syed Noman Hasan, executive director at Lucky Cement.
In addition to the engines, Wärtsilä is also supplying waste heat recovery boilers needed to generate steam required for the steam turbines for electricity generation in combined cycle mode. The first Wärtsilä engine is being delivered in November 2020 and is expected to become fully operational in January 2021. The remaining two engines will be delivered by March 2021 and will become operational in May 2021.
The cement plant already uses ten Wärtsilä dual-fuel engines in its on-site power plant. The need for the new engines follows on from an increase in cement production capacity.
APCMA’s Karachi offices searched in pricing probe
20 November 2020Pakistan: The Competition Commission of Pakistan (CCP) conducted a search and inspection of the Karachi offices of the All Pakistan Manufacturers Association (APCMA) on Thursday 19 November 2020. The search was carried out as part of an enquiry launched in May 2020 to investigate possible anti-competitive activities by cement producers. Two different CCP teams entered and searched the offices of the Chairman and Vice Chairman of APCMA and impounded relevant records.
The enquiry began based on the information gathered through various media reports and concerns expressed regarding a concurrent increase in cement prices across Pakistan, particularly during April 2020. The APCMA stands accused of orchestrating a price rise among producers.
The CCP previously searched and inspected the APCMA’s main offices in Lahore. That search allegedly led to the discovery of WhatsApp messages and emails that led investigators to believe there were grounds for further investigation.
Iranian cement production grows by 14% to 36Mt in first half of year
18 November 2020Iran: Cement production rose by 14.4% year-on-year to 35.6Mt in the first half of the local calendar year that started in March 2020 from 31.1Mt in the same period in the previous year. The sector exported 5.8Mt of cement with a value of US$128m to 28 countries according to the Mehr News Agency. India, Afghanistan, Russia, Iraq, Qatar, Kenya, Kuwait, Sri Lanka, Pakistan, Armenia, Turkmenistan, Kazakhstan, Azerbaijan, Bangladesh, China and Oman were among the export destinations of cement.