Cement News tagged under: Pricing

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Indian producers signal possible price hike

17 September 2012, Published under Cement News

Indian cement producers have indicated that prices may have to be hiked to absorb increased freight charges as diesel prices are hiked. Speaking to the Hindu, JK Lakshmi Cement Whole-time Director Shailendra Chouksey said: “The increased freight is not only going to impact the distribution of finished goods but also on a total of 3Mt freight. I don’t think the industry is now in a position to absorb this.” Following the INR5.62 a litre hike in the price of diesel last evening, apex tr...

Morgan Stanley sees China recovery from 4Q12

17 September 2012, Published under Cement News

Morgan Stanley (MS) believes that the China cement industry showed some early signs for recovery, noting that prices have stopped declining on rising property construction following accelerating land sales. In addition,  land sale revenue can help governments on construction capital. Therefore, MS believes that cement demand has turned steady, and a recovery can be expected in 4Q12 - 2013. The Bank added that with the slump in earnings, the cement manufacturers reduced capital expenditu...

Global market outlook

17 September 2012, Published under Cement News

Analysts at Jefferies International have recently provided an update on their expectations for global cement markets. While prospects for the US are improving, emerging markets are beginning to face uncertainties and the outlook for Europe is weaker than it previously anticipated. US markets have performed stronger than expected in 2012, having risen 15 per cent in the first half to 37Mt. While growth slowed in June and the rate is expected to ease to around three per cent for the remaind...

Competition tribunal serves notice to CCI

13 September 2012, Published under Cement News

The Competition Appellate Tribunal ( COMPAT) has served notice to the Competition Commission of India and the Builders Association of India regarding the INR6307 crore (US$1.1bn) fine issued on 11 cement producers for price fixing. Hearing an appeal by cement companies including UltraTech and ACC, the tribunal also asked the CCI not to take any coercive action in the matter until 11 October when the COMPAT would next hear the case. In their petitions, the cement firms have requeste...

Steppe Cement posts first half loss, Kazakhstan

11 September 2012, Published under Cement News

Kazakhstan-based cement producer Steppe Cement Ltd posted a consolidated loss after tax of US$0.1m for the six months ended 30 June 2012. Revenue six months ended June 30 were US$52.16m (2011: $43.06m) while pretax profit was US$391,000 (2011 loss: US$2.84m). The company’s sales volumes increased by two per cent to 615,838t and the average sales price increased from USD72/t to USD86/t during the period.   Production costs per tonne increased by 11 per cent in US dollar terms. The hike was...

Indian producers appeal fine, India

11 September 2012, Published under Cement News

A total of 10 out of 11 Indian cement companies fined in June for cartel practices have approached the Competition Appellate Tribunal to contest the ruling. Sources said the companies had approached the tribunal last week and the matter is due for hearing on 13 September. In June, the Competition Commission of India had imposed a penalty of INR6,307 crore (US$1.1bn) on 11 cement companies for price fixing. The major companies on which penalty was imposed included ACC Ltd, Ambuja Cement...

Competition mounts for East Africa market share

07 September 2012, Published under Cement News

Public sector infrastructure projects and the rapidly growing middle class in the East Africa region will be the main drivers of cement consumption as competition is set to intensify with the arrival of new market entrants. S peaking to AllAfrica press, Kephar Tande, chairman of the East African Cement Producers Association, said Friday that the ongoing regional trade integration and an expected surge in housing demand will be the new battlefront for market share as new players enter the ma...

GCC profits rise 27.1 per cent in 1H12

06 September 2012, Published under Cement News

Profits of the Gulf Cooperation Council (GCC) cement sector increased 27.1 per cent YoY in the first half of 2012 to US$971.5m from US$764m in the same period of 2011, the latest report from Global Investment House (GIH) shows. According to the report, the GCC cement sector grew 17 per cent in the first six months of the year mainly due to a huge pipeline of projects in Saudi Arabia helping to generate significant demand. Oman was in second place with growth of 13.8 per cent while Qatar a...

Lafarge Malayan Cement expects robust 2H12 demand

05 September 2012, Published under Cement News

At Lafarge Malayan Cement’s analysts 2Q12 briefing held on Monday, the company said it expects the robust cement demand seen in the first half to continue in the second half. The company expects the healthy demand scenario to be driven by the implementation of large infrastructure projects such as the new LCCT terminal and coal power plants. Group utilisation rates remain high at 85-90 per cent, enabling management to cut back on cement exports in favour of serving the domestic market....

S&P lowers West China Cement corporate rating, China

04 September 2012, Published under Cement News

Standard & Poor's Ratings Services lowered its long-term corporate credit rating on West China Cement Ltd. (WCC) to 'B+' from 'BB-'. The outlook is negative. The research house also lowered the issue rating on the China-based cement manufacturer's senior unsecured notes to 'B+' from 'BB-'. S&P said in a statement: “We lowered the rating to reflect our view of WCC's weakened liquidity position, given the company's low cash balance and high short-term debt. WCC's cash balance fell to CNY173m...