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Algeria moves towards cement self-sufficiency

23 June 2015

Algeria: According to All Africa, the Algerian minister of Industry and Mines Abdeslam Bouchouareb has said that the country is moving towards, "Self-sufficiency in cement and steel products thanks to the new facilities that will be operational in the short term."

Bouchouareb said that Algeria, which imports about 3Mt/yr of cement, "Will manage to cover its needs and even over produce by 2016." It will be the first time since independence from France in 1962 that the country will cease cement imports.

Two new cement plants in Biskra with a total production capacity of 4Mt/yr will, besides the national network of operating cement plants, meet the demand of the domestic cement market. Privately-owned La Biskrie des Ciments will be operational in December 2015 with an 1Mt/yr of cement production capacity.

Published in Global Cement News
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  • Algeria
  • Plant
  • La Biskrie des Ciments
  • GCW206

Ireland’s Competition and Consumer Protection Commission goes to court

23 June 2015

Ireland: Ireland's competition watchdog will go to the High Court in July 2015 as part of its probe into alleged anti-competitive practices in the cement industry.

In May 2015, the Competition and Consumer Protection Commission (CCPC) seized thousands of documents when it raided the offices of Irish Cement, a subsidiary of CRH, Ireland's largest listed company. It also visited the offices of several other companies. The CCPC will ask the court in July 2015 to rule on which of the documents seized it is allowed use to build its case, as some of the material could constitute privileged information, such as legal advice. The watchdog has launched an investigation into whether Irish Cement has abused its dominant position in the market, which the company denies.

The commission has confirmed that it seeks High Court approval to filter the material it seized from the CRH subsidiary. "When it conducts such searches, the commission is entitled to compel the target business to disclose information to it even if the target claims that the information in question contains legally privileged material," said the CCPC. The commission said it had, "Made an application to the High Court seeking a determination as to whether certain information seized from Irish Cement during the search operation on 14 May 2015 constitutes legally privileged material." The CCPC is obliged to keep the information confidential until it gets such a determination. It is understood that the documents seized have not yet been handed over to the investigating team, pending the High Court determination.

Irish Cement has previously stated that it fully-facilitated the 'raid' on its premises and is cooperating fully with the CCPC investigation. The commission's investigation is focused on the Euro50m/yr bagged-cement sector. The commission has stressed that the investigation could take some time to complete before any further legal action, if any, is taken.

The CCPC stressed that next month's planned court hearing is simply to help it filter out Irish Cement's legal advice and does not mean that it has decided to prosecute. "For the avoidance of doubt, the commission has not instituted High Court proceedings against Irish Cement for any breach of competition law," it said.

Published in Global Cement News
Tagged under
  • Ireland
  • Competition and Consumer Protection Commission
  • Irish Cement
  • CRH
  • GCW206

Lafarge suspends construction of Rostov cement plant

23 June 2015

Russia: According to Esmerk Russian News, Lafarge has suspended the construction of a Euro710m cement plant in Rostov. The plant was scheduled to launch in 2016. The planned capacity of the first phase was 2Mt/yr of cement.

Published in Global Cement News
Tagged under
  • Russia
  • Lafarge
  • Plant
  • GCW206

Cemex Latam affected by currency depreciation in 2015

23 June 2015

Colombia: Cemex Latam Holdings, the Latin American arm of Mexico's Cemex, has reported unfavourable results in the first quarter of 2015 in Colombia and said that its stocks have been affected, despite the fact that the region turned towards infrastructure improvement projects. As the company's share value in Pesos has dropped by 30% and it has recorded another 35% decline due to depreciation, Cemex Latam Holdings' value in US Dollars is 70% lower.

Company president Carlos Jacks has attributed the poor results in January - March 2015 to the 25% depreciation against the US Dollar, as well as the fact that its 31% growth in 2014 was far higher than the industry average. Another factor was the decision that Colombia should return or generate the same cash flow or the same amount of US Dollars before the depreciation and so it raised its prices, thinking that there would not be a reversal of the exchange rate.

Cemex Latam Holdings will work to recover the price in June 2015 and Jacks feels more confident about the second half of the year. Better sales volumes are expected if its efforts are successful. The company hopes that its local division will return to levels prior to the depreciation of the exchange rate in terms of its cash flow in US Dollars as a result. The business anticipates some momentum in housing programmes over 2016, as well as participation in the first wave of 4G motorway projects and possibly the second wave towards the close of 2015. It projects that around US$5bn/yr will be spent on cement, or US$500m each, while the projects will require some 3.50Mt of cement. The entire market consumes 13Mt/yr of cement. Cemex Latam Holdings will invest around US$180m in 2015 and the funds will mainly be used to expand the production capacity at its plant in Maceo, Colombia or premises in Monterrey, Mexico.

Published in Global Cement News
Tagged under
  • Colombia
  • Cemex
  • Cemex Latam Holdings
  • GCW206

New CEO for Lafarge’s French unit

22 June 2015

France: Lafarge Group has appointed Benedicte de Bonnechose as CEO in charge of operations of its French unit. She will succeed Pascal Casanova, who was appointed as head of Latin American operations at the future combined group LafargeHolcim.

Bonnechose has been a member of Lafarge's board since 2012.
She has played a key role at the group's reorganisation in France and was in charge of its strategy, public affairs and environment businesses. Since 2013 Bonnechose has been CEO of Lafarge's aggregates unit.

Published in Global Cement News
Tagged under
  • Lafarge
  • France
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