August 2025

Nigeria: Former Lafarge Zimbabwe chairman Johnathan Shonhiwa has joined Dangote Group. Shonhiwa, who resigned from Lafarge Zimbabwe recently, was chairman for almost two years after having taken over from Muchadeyi Masunda in January 2014. Prior to that, he was managing director of Lafarge Zimbabwe for six years, finance director for four and a half years and finance manager for two years.

Russia: Igor Nikolenko has been appointed as the new general director of EuroCement's CJSC Kavkazcement. Igor Nikolenko was born in Belgorod in 1965. He graduated from Belgorod Technological Institute of Building Materials in Mechanical Engineering in 1990 and then worked in the Belgorod cement plant.

Kavkazcement is one of the largest cement plants in southern Russia with a production capacity of 3.1Mt/yr. The raw material base is limestone from the Ust-Dzhegutinsky mine and clay from Karachay-Cherkessia. The company became part of EuroCement in 2004.

Ireland: Senan Murphy, currently chief operating officer at the Bank of Ireland, has been appointed as group finance director at CRH, according to The Irish Examiner.

Murphy will take up his new role, as well as joining the CRH board, in January 2015. He will succeed Maeve Carton in the finance director role, who has been in that position since 2010. Carton will move to a newly-created wider role with the title of group transformation director. There, she will be charged with better integrating CRH's businesses, identifying operational and financial opportunities and cash generation opportunities.

Plans for the former Shoreham cement plant on the south coast of England took an exciting turn towards the end of 2014. Zero carbon design firm Zedfactory announced its plans to regenerate the brownfield site into an eco-resort featuring holiday homes, performance space, affordable homes, a hotel and conference centre, a watersports venue, wildlife preserves and more. Or, ' hobbit homes' as the Daily Mail put it when it covered the story six months later.

This raises the question of what happens to cement plants when they close?

In the UK, where a housing shortage in certain areas collide with NIMBY (not in my back yard) attitudes and strict planning regulations, former industrial or brownfield sites are prime sites for new housing developments. Subsequently, old cement plants are attractive to builders to build houses. Two examples of current sites heading this way include the former Cemex plant in Barrington, Cambridgeshire and the former Lafarge Eastgate plant in County Durham. Both sites have gained planning permission and were still in the pre-building stage according to local press reports in mid-2015. Dylan Moore's website 'Cement Plants and Kilns in Britain and Ireland' provides a good resource on former plants in the UK and Ireland.

One of the jokes about classic UK science-fiction television series Dr Who was that during the 1970s it was either filmed on cheap studio sets or in quarries. Endless encounters with alien beings took place in cement plant quarries including Lafarge Northfleet (alien in spacesuits), Lafarge Aberthaw (tentacle faced aliens), Hanson Ketton (Arthurian knights who may in fact be aliens...) and many more. Indeed, one of the conditions of the proposed Lafarge Eastgate sale in March 2015 was that a television production company could continue to use the quarry to film an adaptation of Beowulf for five years!

On the more imaginative side of what to do with old plants, La Fabrica near Barcelona is a spectacular example. Architect Ricardo Bofill converted a 19th century plant into his firm's head office, La Fabrica, and his own personal residence. As Ricardo Bofill Taller de Arquitectura's website puts it, "Eight silos remained, which became offices, a models laboratory, archives, a library, a projections room and a gigantic space known as 'The Cathedral', used for exhibitions, concerts and a whole range of cultural functions linked to the professional activities of the architect." Architecturally the project refers to Catalan Civic Gothic style with surrealist elements.

This sense of entertainment from industrial architecture was continued by sculptor Bob Cassilly in St Louis, USA who decided to build Cementland. Cassilly purchased the former plant and slowly assembled his clinker-themed version of Disneyland. Unfortunately he died in 2001 following an accident with a bulldozer at the site before he finished.

More and more former cement plants will be seeking new purposes as Europe rationalises its cement industries and excess capacity is eliminated. China too faces similar issues as it consolidates its industry. Most will probably lie fallow before eventually being knocked down and then turned into something following the cheapest economic path forward. With luck though, some will follow the dreams of Zedfactory and people like Ricardo Bofill and Bob Cassilly.

Tell Global Cement what has happened to old cement plants that you know about via our LinkedIn Group.

India: UltraTech Cement Ltd has reported that the tenure of S Rajgopal, Independent Director of the company, ended upon the conclusion of the annual general meeting of the company held on 28 August 2015.

UK: Simon Vivian, Chief Executive of Breedon Aggregates Limited, has been appointed as Chairman of the UK's Mineral Products Association (MPA) for the next two years. He succeeded Bill Brett, effective 1 September 2015. Vivian is the third chairman of the MPA to date to serve from an independent company.

"We are delighted that Simon has agreed to pick up the baton from Bill. His wide industry knowledge and experience will be invaluable to the association as we look to set the agenda for the industry for the next 10 years and respond to the challenges ahead," said MPA Chief Executive Nigel Jackson

The MPA looks out for the interests of the UK's cement producers.

South African cement producers may be cheered this week with the news that Iranian cement is causing grief in Pakistan once more. Imported cement from Iran is allegedly undercutting local product in Pakistan through massive 'under-invoicing.' Sources quoted in Pakistan – itself a cement exporter (!) – described the situation as 'incomprehensible.'

The issue here is that Iran is doing to South Africa what Pakistan is doing to South Africa: selling cement cheaper than locally produced product. It's especially ironic this week because one Pakistani cement producer, Lucky Cement, is taking the fight against South African anti-dumping duties to the courts.

A report from July 2015 reckoned that Pakistan's cement exports might drop by 10 – 15% at the start of 2016 as economic sanctions on Iran are lifted. The report had a bit more sense than the usual scaremongering. It predicted that removing sanctions in Iran would not affect competition in Afghanistan as Iranian producers generally targeted Kandahar.

Despite this, cement exports to Afghanistan from Pakistan hit a high of 4.73Mt in the 2010 – 2011 financial year, according to All Pakistan Cement Manufacturers Association (APCMA) data. Since then they dwindled slightly for the next couple of years before decreasing more sharply from mid-2013. Overall exports fell by 11.57% to 7.2Mt in the 2014 – 2015 period. Pakistan's exports to Afghanistan may have been hit by the departure of North Atlantic Treaty Organisation (NATO) forces and a new cement plant in neighbouring Tajikistan.

In part the battle seems to be about tax. In June 2015 the APCMA lobbied the Pakistan government to cut duties. At the time these included a 5% federal excise duty and a 17% general sales tax on the retail price of cement. One APCMA spokesman reckoned that these taxes added US$1.56 per bag of cement. More recently the APCMA rallied against a tax on cement exports and an increase in import duties on coal. In this climate, repeated news stories on Iranian exports to Pakistan dodging taxes don't sound so good.

Meanwhile, back in South Africa, Lucky Cement has started to take legal action against anti-dumping duties imposed upon its cement exports by the International Trade Administration Commission of South Africa (ITAC). The ITAC imposed provisional anti-dumping duties of 14.3 – 77.2% on Portland Cement originating in or imported from Pakistan from 15 May 2015 for six months. The duty was imposed on bagged cement. Pakistan-based cement producers may defend themselves by saying that they are following the laws of the countries they are exporting to. In theory Iranian exports to Pakistan that pay the correct taxes should be the same price as Pakistani products.

What this debacle shows is that things could get a whole lot worse for coastal cement markets within easy reach of Iran once the sanctions fall. National bodies like the ITAC across the Middle East, South Asia and East Africa should start tightening up their import policies now.

Kenya: The board of directors of the East African Portland Cement company (EAPCC) has appointed Albert Sigei as its Chief Operating Officer with effect from 24 August, 2015. Sigei will be responsible for production operations, production engineering, supply chain management and sales and marketing. He will be based in the Athi River Office.

Sigei has worked in the cement industry for 18 years. His last role was as the Vice-President of Business Support & Ready Mix operations with Lafarge in Nigeria. He has previously worked with Pricewaterhouse Coopers. Sigei holds a BSc in Engineering from the University of Nairobi.

The Chinese stock market volatility this week has not been a surprise for the cement industry. The question for both the local cement industry and the wider economy is how the current economic jitters are being managed. Are we witnessing the long expected hard landing of the Chinese economy or will the state planners been able to dodge it?

Growth in the housing market and infrastructure spending has been falling. The country's cement producers have reduced their production growth as the industry consolidates. First half profits in 2015 have fallen for many Chinese cement producers including China Resources Cement and Asia Cement. Anhui Conch, one of the top three cement producers in the world, reported that its first quarter profits in 2015 fell by 31%.

Chinese cement production figures have always seemed incompatible with other data suggesting incomplete information. For example, the Global Cement Directory 2015 reported China's cement production capacity at 1.48Bnt/yr. At full capacity utilisation this would suggest a national cement consumption of 1057kg/capita, a figure that bears no resemblance to any other country on earth with the exception of petrochemical giants like Saudi Arabia and Qatar. Although, to be fair to China, it's recent economic growth has been unprecedented. Poor reporting, the country's unique state regulated capitalism, language difficulties and other factors may all have contributed to confusion among western analysts.

In mid-August 2015 China devalued the Yuan in its biggest drop in 20 years. It is likely it was a strategy to boost exports to rally markets against a sliding stock market since mid June. At the time of writing the Chinese authorities have now tried cutting interest rates with a similar aim and the markets have rallied.

The effect of a devalued Yuan is relevant due to China's overcapacity in several heavy industries such as a steel and cement. Already European and North American steel bodies have cried out against the threat of fresh Chinese exports undercutting their business. Clinker exports are likely to pose less of a risk given its relative low value and high transport costs. Even so, China exported less than 15Mt in 2013, a tiny portion of its production capacity. Altering the exchange rate might well help that export figure creep up. This would be bad news for local cement producers in coastal areas of East Africa for example. Here, Chinese imports might be harder to resist than, say, southern Asian ones, due to Chinese investment in the region. Recent spats over Chinese cement imports in Kenya and Zimbabwe underline this issue.

More worrying for the wider cement industry will be the risk of Chinese cement plant manufacturers and suppliers further undercutting western firms. Eurocement signed a deal with Sinoma in November 2014 for the Chinese equipment producer to supply three 3Mt/yr production lines for US$93.3m each or just over US$30m per 1Mt of production capacity. Compare this to FLSmidth's charge to a Qatari firm of US$190m in October 2014 to build a 2.24Mt/yr production line or just over US$80m per 1Mt of production capacity. This is not a completely fair comparison due to the plants being in completely different regions, but it gives some idea of the price pressures non-Chinese equipment manufacturers face. In their defence the usual argument is that their equipment is better made. However, cement producers being able to buy even cheaper Chinese kit will not help their plight. Today we report on Dangote Cement signing yet more contracts with Sinoma to build new cement plants in Africa.

The actions of the Chinese financial authorities show that they are trying careful tweaks one-by-one to fix the situation. The real problem though is that, as China transitions from a developing nation into a developed one, broader structural changes to the general economy may be required instead of tweaks. A massively over-producing cement industry is a symptom of this and how the country copes with it is instructive to how it will succeed overall. Bold attempts to consolidate the industry have shown willingness in recent years. Unfortunately the current crisis may artificially prop up an industry that should be reducing in size.

India: Prism Cement Limited has appointed Vivek Krishan Agnihotri as a director following the resignation of the previous director. The Board has also appointed Agnihotri as the executive director of cement, effective from 17 August 2015.