China: Anhui Conch expects its net profit to rise by nearly 100% year-on-year to US$2.3bn in 2018. It has attributed the growth in profit to rising cement prices, growing operating income and effects from structural reform in the industry.

Turkey: YD Madencilik, part of Üstyapi Insaat Group, has ordered two grinding plants from Germany’s Christian Pfeiffer for a new cement plant in the Düzce region. Christian Pfeiffer will supply two parallel grinding plants, consisting of a roller press (2x 1450kW) and a ball mill (Ø 4.0 x 13.0m, 3200kW), supplemented by a KS200 static separator and a TFS 325-Z twin feed separator.

Each of the two plants ensures a production of 210t/hr of ordinary Portland Cement. Alternatively, the two grinding plants can also be operated separately to allow production of different types of cement. It is also possible to operate the roller presses or the ball mills in single mode. Delivery of components for the plants started in late 2018 and they are scheduled to be completed by the end of may 2019. Christian Pfeiffer previously worked with YD Madencilik in 2015.

Vietnam: Vietnamese Prime Minister Nguyen Xuan Phuc has allowed Thanh Thang Cement to add two new production lines to its plant at Thanh Nghi in Ha Nam. Lines 4 and 5 will have a combined production capacity of 2.3Mt/yr, according Viet Nam News newspaper. Line 4 is expected to be commissioned in 2022 and line 5 in 2026. The cost of the upgrade has been disclosed.

Brazil: Paulo Camillo, the president of SNIC, forecasts that cement sales will rise by 3% in 2019. If he is correct then it will be the first rise in four years for the local industry. Total cement sales fell by 1.1% year-on-year to 52.8Mt in 2018 from 53.4Mt in 2017. Particular falls in sales were noted in the north and northeast of the country, although exports rose by 14.3% to 88,000t. A truck drivers strike and general economic uncertainty reduced the effects of a positive first half to the year. The cement association also said that freight, fuels and electricity costs grew ‘significantly’ in 2018. However, it is optimistic that new legislation support co-processing of alternative fuels will partly help to alleviate this situation.

India: The Supreme Court has dismissed a request by Rajputana Properties, a subsidiary of Dalmia Bharat, to review to decision to dismiss a plea challenging the National Company Law Appellate Tribunal's (NCLAT) order allowing UltraTech Cement to acquire Binani Cement, according to the Financial Express newspaper. UltraTech Cement declared that Binani Cement was its subsidiary in November 2018 following a protracted legal battle with Dalmia Bharat. It changed its name to UltraTech Nathdwara Cement in December 2018.

Nigeria: The Cement Company of Northern Nigeria (CCNN) has successfully merged with Kalambaina Cement. Abdul Samad Rabiu, the chairman of CCNN, said that the merger would boost efficiency, productivity, output and the financial returns of the company, according to the Eagle newspaper. The merger plans were publicly announced in mid-2018.

Nigeria: Lafarge Africa’s Nigerian operations have won the inaugural Corporate Social Responsibility (CSR) Awards of LafargeHolcim for the Middle East and Africa. The country won the overall award after beating 35 other countries in two of the four award categories, according to the Vanguard newspaper. It won gold for its CSR initiatives in the Education and Employment category ahead of Egypt (silver) and Kenya (bronze). Nigeria also won gold in the Shelter and Infrastructure category ahead of Morocco (silver) and Cote d’Ivoire (bronze).

Lafarge Africa runs its ‘Easy Home’ initiative in Nigeria, to help individuals build decent houses on a low budget. In 2016 over 30,000 people benefited from the initiative. In 2017, Lafarge Africa created the Cement Professionals Training Program, to help young people in the fields of technology, engineering, cement manufacturing, instrumentation and automation. The company made investments in social investment programs and initiatives in 2017 in its host communities across the country, directly impacting more than 450,000 beneficiaries. Lafarge Africa also complements the local government’s efforts to improve primary school education through the Lafarge Africa National Literacy Competition.

Peru’s been the place over the last week with news reports of new production capacity and its targeting as a key export market by Vietnam.

Local press reported this week that three new cement grinding plants are planned to start production in 2019. Cemento Inka plans to build a 0.6Mt/yr grinding plant at Ica near Pisco. It also plans to upgrade the kilns at its plant at Cajamarquilla near Lima. Then Mixercon, a ready-mix concrete firm, wants to spend US$20m towards building two new plants in northern Lima, also in 2019. It also has plans to open distribution centres around the capital too.

For a local industry generally dominated by local often family-controlled producers this is quite a change. The larger companies – Pacasmayo, UNACEM and Yura – normally dominate the headlines and the market here. Unsurprisingly then that Pacasmayo and Yura also have upgrades planned for their plants in 2019 too.

Changes to capacity started in late May 2018 when Salaverry-based importer Invecem was said to be buying equipment for a 0.25Mt/yr grinding plant. Then things really started moving when Unacem bought Cementos Portland (Cempor), a joint venture between Chile's Cementos Bío Bío and Brazil’s Votorantim Cimentos. The foreign companies were planning to build a plant near Lima but the project was delayed by a legal battle over environmental issues intitiated by Unacem. This was followed by Cal & Cemento Sur (Calcesur), a subsidiary of Grupo Gloria, announcing that it was going to add a new production line to its cement and lime plant in Puno.

With this level of interest in grinding plants going on it’s unsurprising that Vietnam, a major exporter of cement, has taken an interest. Imports of cement to Peru rose by 65% year-on-year to 0.94Mt in the 12 months from December 2017 to November 2018 from 0.57Mt in the same period previously. Imports of clinker rose by 37% to 0.78Mt from 0.57Mt. This compares to a rise of 21% to 0.61Mt in cement imports in 2017 and a fall of 1.2% to 0.51Mt in 2016. In the 12 months to the end of November 2018 most of that imported cement (81%) came from Vietnam followed by 14% from China and 3% from Mexico. Clinker imports have been more varied with 39% from South Korea, 31% from Vietnam, 19% from Ecuador and 11% from Japan. The general situation for the clinker producers has been a slight increase in cement production to 10Mt for the 12 months to the end of November 2018 and slightly higher increases in despatches.

So, it looks like an apparent cement demand is up in Peru and the importers are rushing to meeting demand. The question, then, is why haven’t the clinker producers announced projects to squeeze out the grinders? As mentioned above Pacasmayo and Yura have upgrades planned but nothing really large seems to be coming yet. Also, given the tough time Cempor was given by the local companies what kind of opposition are the new projects by Cemento Inka, Mixercon and Invecem likely to face? The country’s gross domestic product (GDP) growth rate is below the glory days of the 2000s when it topped 6% but it is still one of the strongest in South America with 3.8% forecast for 2019 by the World Bank. This is the country in the region to watch in 2019.

Nepal: Surendra Prasad Paudel has resigned as the general manager of Udayapur Cement following his appointment as the head of the Nepal Oil Corporation. Paudel became the head of the cement producer in February 2018, according to the Kathmandu Post newspaper. The chartered accountant improved the financial situation at the company, reporting a profit in the last financial year and clearing debts.

Saudi Arabia: Tabuk Cement has appointed Ali bin Mohammed Al-Saif Al-Qahtani as its new general manager. It follows the resignation of Ali Bin Mohameha Al-Asmari. Al-Qahtani holds a bachelor's degree in Chemical Engineering from King Saud University and worked for a variety of companies including Saudi Aramco.