Steppe Cement first-half sales edge ahead, Kazakhstan

Kazakhstan-based cement producer Steppe Cement has reported a rise in cement sales for the first half of 2012 and sees domestic demand increasing by low double-digits for the full year.

For the six months to June 2012, Steppe Cement sold 615,838t, a rise of two per cent compared to the same period of last year. Sales revenue during the period rose 23 per cent to KZT7728m (US51m).

The average price for the current period for delivered cement, exculding VAT, was KZT12,549/t (US$84) compared with KZT10,458/t in the corresponding period of 2011.

Cement sales in Kazakhstan increased by 16 per cent in 1H12 while the share of imported cement dropped from 17 to 14 per cent.

During the first half of 2012, Steppe’s market share fell to 19 per cent from 21 per cent, but did see an increase from 18 per cent in the first quarter of the year.

The company estimates that this year domestic cement consumption will increase 10 per cent YoY to 6.8Mt.