PERU: SECTOR CONSTRUCIÓN EN EXPANSIÓN

Tras retomarse el dinamismo en la construcción de centros comerciales, viviendas, y en inversiones en minería y electricidad, el consumo interno de cemento se incrementó en 7.26 por ciento en agosto, según el Instituto Nacional de Estadística e Informática (INEI).

Este incremento se dio en agosto, tras registrar retrocesos de 2.17% y 4% en junio y julio. El índice de consumo interno de cemento retomó, de esta manera, la tendencia creciente registrada hasta mayo. 

El INEI precisó que "en agosto se retomó el dinamismo en la ejecución de obras privadas, como la edificación de viviendas, centros comerciales e inversiones en los sectores electricidad y minería”.

El vicepresidente del banco de inversión Latin Pacific Capital, Emilio Zúñiga, señaló que el nombramiento del Gabinete Ministerial y el presidente del Consejo de Ministros, Salomón Lerner, en el Congreso, despejaron las dudas sobre el rumbo del Gobierno.

"Estas señales han precipitado decisiones de inversión y tranquilidad en los sectores económicos, claves para la recuperación que necesitamos, sobre todo mirando el riesgo de una posible recesión global el próximo año", expresó.

Zúñiga, indicó que el sector construcción tiene un efecto multiplicador importante en la economía, y que se espera que el Producto Bruto Interno, se expanda este año a más del 6.5 por ciento.

Según el economista, la construcción genera muchos recursos al Estado, y esto será primordial para generar una política contracíclica el próximo año si es que se da un escenario adverso a nivel internacional.

SPAIN: Empresa coreana y brasileña quieren adquirir plantas del Grupo Gallardo

Dos compañías extranjeras, la brasileña Votorantim, y la coreana Daewo, están interesadas en adquirir varias plantas del Grupo Industrial Gallardo, propiedad del empresario extremeño Alfonso Gallardo, entre las que estarían factorías ubicadas en Alemania, Badajoz y Rentería (Guipúzcoa).

Según han informado a Efe fuentes conocedoras de la negociación, una de estas compañías ya ha visitado las instalaciones del Grupo Gallardo y la otra lo hará en breve, y el interés de ambas se produce después de la ruptura de las negociaciones con la Compañía Siderúrgica Nacional (CSN) de Brasil.

En concreto, Votorantim y Daewo estarán interesadas en adquirir la acería alemana de perfiles Sthalwerk Thüringen, la planta de Cementos Balboa, en Alconera (Badajoz) y la planta de papel prensa Papresa, ubicada en Rentería (Guipúzcoa).

Tanto Votorantim como Daewoo son compañías líderes en sus países y operan en los mercados en sectores como el acero, metal, cemento y energías.

Estas negociaciones llegan después de que el pasado 16 de septiembre, la brasileña Companhia Siderúrgica Nacional anunciase la rescisión del contrato que firmó en mayo para adquirir la participación del grupo extremeño "Alfonso Gallardo" en cinco empresas en España por supuestos "incumplimientos contractuales", aunque no detalló las condiciones incumplidas.

La siderúrgica brasileña, en un comunicado enviado al mercado de valores, informó de que su subsidiaria CSN Steel rescindió el contrato que preveía la adquisición de la participación que el grupo Alfonso Gallardo posee en las empresas Cementos Balboa S.A, Corrugados Azpeitia S.L., Corrugados Lasao S.L.U., Stahlwerk Thuringen GmbH y Gallardo Sections S.L.U. ("Contrato").

Por su parte, el grupo "Gallardo" acusó a la Companhia Siderúrgica Nacional de no haber respetado sus compromisos contractuales y anunció que había iniciado "la vía arbitral para exigir el cumplimiento del contrato y la indemnización por daños y perjuicios que corresponda".

INDIA: Retreating monsoon shows signs of revival for cement sales in Sept

Cement sales in September showed signs of revival with monsoon subsiding in most parts of the country. However, despatches of ACC were hit due to the ongoing unrest over Telangana issue in Andhra Pradesh. The company's plant at Wadi in Karnataka, which accounts for 29 per cent of its total capacity, caters parts of southern and western markets.

UltraTech Cement, which has an annual production capacity of 52 million tonnes, has not yet announced the production and sales numbers for September. The company has one cement plant each in Karnataka and Andhra Pradesh, with a satellite grinding unit in Ginigera (Karnataka) catering the southern markets.

BUILDERS ON FAST-TRACK

Cement demand from real estate sector has improved with many builders putting their projects on fast track to keep up their promise of timely delivery during the festival season, said a cement company official.

However, there are no substantial developments in the infrastructure sector even as some government projects have been announced. The real offtake from infrastructure companies may be a few months away, he said.

With concern over rising input cost and increase in lending rates still lingering, cement companies have kept their production under check in order to align with the demand.

“It is too early to predict a recovery in cement demand as there is no marked improvement in economic health of the country. Besides, the unstable global developments emanating from the US and euro zone are also not encouraging,” said an analyst.

POWER SUPPLY HIT

Besides transportation hiccups, the Telangana agitation, which lasted for over 20 days, paralysed power supply. Though big factories have their captive power plants, the smaller cement units were the most affected. The supply of coal from Andhra Pradesh was also hit pushing up the cost of power production for captive plants that had to rely majorly on imported coal shipments.

Mr V. Srinivasan, Research Analyst, Angel Broking, said cement companies are expected to face margin pressures due to higher fuel costs because of increased domestic and international coal prices.

The demand revival has helped cement companies to hike prices on an average by Rs 5-10 a 50-kg bag across the country. Despite the hike in prices, cement producers' profitability may be under pressure due to rising cost.

STOCKS UP

Despite the benchmark Sensex losing 287 points, the top three major cement company stocks managed to close with a gain on Tuesday. ACC was up 0.07 per cent at Rs 1,101, UltraTech rose 0.20 per cent to Rs 1,105 and Shree Cement jumped 1.70 per cent at Rs 1,885. Ambuja Cement remained unchanged at Rs 149.

AFRICA: ETHIOPIA: Maritime Enterprise to Prepare Facility for Imported Coal

The Ministry of Industry (MoI) has directed the Ethiopian Maritime and Transit Service Enterprise (EMTSE) and Ethiopian Shipping Lines (ESL) to prepare transportation and port facilities for the unloading of coal to be imported by the Ethiopian Petroleum Enterprise (EPE).

A letter officially directing the three institutions signed by Mekonnen Manyazewal, minister of MoI, was sent last week. The ministry had been looking for an alternative energy source for furnace-oil cement factory use and initially had looked at importing Pet Coke. However that proved difficult both in terms of supply and cost, so the ministry has turned to coal. A task force composed of ESL, MTSE and five major cement factories along with MoI has considered the possible import of coal from countries, based on geographical proximity and institutions capable of importing at competitive prices.

The MoI is mandated to assess how much coal is needed by cement factories. Accordingly, EPE is tasked with preparing the necessary human resources and budget and looking for companies to supply coal and import it from South Africa within a month.

MoI is to collect the cement factories actual monthly demand of coal and available stock at their factory in a week's time, according to sources inside the MoI.

Two months ago, National and Messobo factories had teamed up to import 41,000tn of coal from South Africa. Currently, except the state-owned Mugar and East cement factories, which are expected to finalize installation of infrastructure for using coal, all 12 existing cement factories have the necessary infrastructure to use coal.

The estimated annual demand of coal for the cement factories this fiscal year is 896,500tn, excluding the two factories which will not install the necessary infrastructure this year, according to research conducted by a team of experts.

Considering the geographical proximity and degree of Caloric value of the coal which is 6,300 kilo calories and cost-effective prices, the team has chosen South Africa for importation. This has alsobeen approved by the minister.

About 207.30 dollars will be spent for one metric tonne of coal to be transported from South Africa, according to the assessment.

Out of all factories, the highest amount of coal is consumed by Messebo and Derba Midroc factories, which have the capacity of producing 2.1 and 2.3 million tonnes of cement yearly, and consuming 272,000tn of coal each.

Coal found in Ethiopia is known for its less caloric value and is highly flammable. Reserves amounting to 628 metric tonnes, largely deposited in Illibabur, Oromia regional state and Semien Shoa, Amhara regional state, were discovered in the 1940s, according to the study.

AFRICA: ZIMBABWE: Cement Prices Shoot Up

CEMENT prices have shot up over the past few weeks as dealers take advantage of shortages caused by a major plant breakdown at Lafarge.

Traders are now selling a 50kg bag at between US$16 and US$20. The recommended average price is US$12,50 a bag.

Lafarge Zimbabwe confirmed yesterday that one of its two mills was down.

Lafarge managing director Mr Jonathan Shonhiwa said it was unfortunate that some retailers were taking advantage of the shortage to exploit customers.

"We are currently operating one cement mill as the other one has broken down," said Mr Shonhiwa.

"The cement mill breakdown has resulted in shortages on the market (since) we are a major player."

He said the company was working "flat out" to restore normalcy.

"Very few people are getting the product through normal channels," said one dealer.

"There are now some middlemen who are selling cement to us at prices that are even higher than the recommended retail prices."

The recommended retail price for masonry is US$9,79 and US$10,79 for PPC.

The cement shortage has come at a time when the construction industry is beginning to pick up as a result of steady recovery of the economy.

This could push up building costs if the shortages are not addressed soon.

President of the Construction Industry Federation of Zimbabwe Mr Philip Chiya-ngwa, who is also a shareholder at Lafarge, said he was going to investigate what was pushing the prices up.

A survey by The Herald yesterday revealed that most retailers in Harare did not have cement.

Workers at Farm and City said when in stock, PPC15 costs US$15 per bag, Masonry US$12 while at Mohammed Mussa Wholesalers PPC sold for US$13,50 and Masonry US$12,50 when in stock.

Retailers at Magaba and Msasa were demanding between US$16 and US$20.

The Herald was yesterday inundated with calls from people seeking to know what had triggered the price increase.

"My builder had just started working on the foundation and my budget has been seriously affected. I had budgeted US$1 200 for 100 bags of cement needed for the slab and I do not know what I am going to do," said Mr Samuel Shango of Kwekwe.

AFRICA: Cement Price - Dealers Promise to Cooperate With Dangote

Cement dealers and distributors across the country have promised to cooperate with the management of the Dangote Cement plc to ensure that the benefits of more production of the product from its new Ibese factory plant in Ogun State get down to the end users at affordable price.

A statement from the Dangote Group said the dealers made the pledge at the weekend while on a facility tour of the cement plant to see the level of progress of work done so far in the soon-to-be ready factory.

The statement said that the dealers expressed satisfaction at the level of commitment of the President of Dangote Group, Alhaji Aliko Dangote on the need to have sufficient cement to meet local demand, stop further importation of the product and embark on its exportation.

It said that the dealers and the distributors who came under different associations were surprised at the size of the plant which ranked among the largest in the world and promises to produce additional six million metric tons of cement when it commences operations later this month.

They assured that they would complement the efforts and determination of Alhaji Dangote in establishing more cement factories which is meant to produce enough for local consumption and to stop importation of the product so as to bring down the price per bag.

They said that they would ensure for the reduction of the price of cement in the wake of enough production for local demand, adding that they will do that by constantly monitoring the process of distribution and checkmate the activities of middle men whose roles in the distribution chain of cement has often times accounted for skyrocketing price of the commodity.

Chairman of Ifelodun Dealers Association, Lasisi Akanbi who spoke on behalf of others,thanked Dangote Cement for making them part of the success story of the new plant,adding that they were waiting eagerly to have the plant come on stream.

In his remark, the Managing Director of the Lagos Cement Terminal of Dangote Cement, Akin Adesokan thanked the dealers for their faith and steadfastness in the Dangote brand and urged them to stay by the group's products particularly, Dangote cement.

AFRICA: NIGERIA: Dangote Group Plans Rail Lines From Factories to Reduce Cement Cost

THE Dangote Group has revealed it will soon construct rail tracks from all its cement factories to the national railway to reduce transportation and cost of the product.

Mr. Akin Adesokan, the Managing Director of Dangote Cement Terminal in Lagos, disclosed this on Sunday when he conducted distributors round the Dangote Cement Factory in Ibese in Ogun.

He said the project was necessary because the cost of transporting bulky goods such as cement in the country was still a challenge.

Adesokan said Dangote would also establish a vessel freight to boost the exportation of goods to the Economic Com- munity of West African States (ECOWAS) markets.

He said the move was to forge a strong bilateral trade relation- ship among the ECOWAS member-countries. Adesokan said with the vessel freight, the movement of goods outside and within the country would reduce the cost of haulage and the product.

'The challenge is taking our goods from the factory to the ports, and since there is no railway system, it makes transportation of bulky goods burdensome,' he said.

The official said Dangote had invested heavily on haulage because the company has bought over 2,000 trucks to distribute cement to all depots in the country.

'This is our own Corporate Social Responsibility and no other company has done this.

'The price will definitely come down because the Chairman of Dangote Group, Aliko Dangote, has the interest of Nigerians at heart.

'He wants to bring down the price of cement to the barest minimum so that everybody can afford it.' 'The factory in Ibese has the capacity to produce six million tonnes of cement per annum and it is to bring cement to every part of the South-West region.

'Before now, we cannot bring cement from Obajana down to the South-West. But, with this factory now, it will be a thing of the past.'

'From Ibese, we can take cement to Ibadan, Oyo, Ogun and all other parts of the South West region,' he said.

Adesokan said he took cement distributors to the factory because he wanted them to see the extent of readiness of the factory.

He pointed out that the demand for cement in the country was currently about 17 million metric tonnes annually but envisaged that the demand would increase this year.

The official assured that the Ibese factory would be completed this month, while the first batch of production would follow immediately.

A distributor with the Ifelodun Cement Dealers Association, Ewekoro, Mr. Abodunrin Matthew, called on the Federal Government to address the issue of transportation infrastructure in the country.

'What we need from the government are good roads, because there is a shortcut to the Ibese factory through Papa to Lagos-Ibadan expressway.'

'The government has to support local manufacturing companies like Dangote for it to help the country stop the importation of some goods into the country,' Matthew said.

Another distributor, the Chief Executive Officer of David Excellence Nigeria Limited, Mr.Ade Shaleye, advised that Dangote company must put in place infrastructure. He said this would help to make its goods available to distributors at less cost.

AFRICA: KENYA: Sh12 Billion Pokot Cement Factory to Be Built Soon

The government has said construction of the stalled Sh12 billion Pokot Cement Factory will start soon. Investors from India who bought land for the project have not pulled out of the area, according to Acting Managing Director of Kerio Valley Development Authority, Francis Kipkech.

Prime Minister Raila Odinga commissioned the factory at Ortum in West Pokot in July 2010 and since then construction has not started. Area residents are now questioning why the project stalled. "The project has not stalled and the investor is now assembling his requirements before proceeding with the the work at the site. Its not a small project and requires proper planning," said Kipkech.

The factory is to be put up by investors from Cemtech which has already received licences from the government to proceed with the project. Cemtech is a subsidiary of Sanghi Group of India which is the world's leading cement producer. Chief Executive of Cemtech Rajesh Rawal had confirmed that they had finalised plans to put up the cement factory which was expected to produce more than 1.2 million tonnes of cement annually. Rawal has not been accessible for comment on the progress of the project.

Pokot County Council chairman David Moiben said the process of putting up the factory is detailed and may take time. "As far as I know the project will take off but they have to plan properly and bring in necessary material and equipment," said Moiben. The group had outlined plans to put up an ultra modern, environmentally friendly cement plant with state of art technology along with staff houses, schools, a medical centre, staff training centre and other amenities and facilities on 650 acres of freehold land which the firm has already purchased from residents of the area.

Before the project was commissioned Rajesh confirmed that Cemtech had already paid Ksh 120 million to purchase the factory site and the project had also been licensed by the Pokot County Council which gave Cemtech 99 years of rights to mine limestone for the cement production in the area. As part of the project plan the group will also put up a 64 Mw power plant and 50 Mw from the plant power would be sold to the national power grid. tech. The Pokot factory was expected to directly employ 1,200 people and benefit another 40,000 residents of the arid region.

MEXICO: Mexico's Cemex hits 13-year low, debt worries weigh

Shares of Mexican cement maker Cemex fell to a 13-year low on Tuesday on concerns about slowing growth in Europe and the United States will hobble the company's ability to meet its debt obligations.

One of the world's biggest cement makers, Cemex almost defaulted in 2009 on $15 billion in debt used to fund its purchase of rival Rinker, but it negotiated a refinancing deal.

Now, steep losses in the Mexican currency and expectations of slowing growth in its main markets, the United States and Europe, are raising the chance that Cemex could fail to meet targets with creditors to boost its cash flow.

"This downturn in global markets is really complicating their situation," said Gerardo Roman, head of stock trading at brokerage Actinver in Mexico City.

"All the heavily indebted companies are getting hit, and they are going to keep getting hit," Roman said.

Cemex shares (CMXCPO.MX) fell 10 percent to 3.36 pesos. The stock has shed more than 46 percent since mid-September.

PAKISTAN: Cement sales fall 18% in Aug, prices still rising

KARACHI: Cement sales in August 2011 fell to its lowest level since September 2010 at 2.4 million tonnes, down 18 percent month-on-month (sharpest MoM fall in 21 months). 

Heavy rainfalls in the country along with lesser working hours during Ramazan were the key contributors towards this decline. Domestic demand stood at 1.6 million tonnes (down 19 percent MoM), while exports slipped to 714,000 tonnes (down 14 percent MoM). However, previous year’s low base owing to floods helped total cement sales in 2MFY12 to rise by 7 percent year-on-year (5.2 million tonnes). 

On the other hand, local retention prices have increased to Rs 290/bag (retail prices in the vicinity of Rs 410-420/bag) from last month’s average of Rs 251/bag. Recent rise in power cost of Rs 2/unit has been passed on by the manufacturers, well over and above our estimated impact of Rs 20/bag. Export prices (by sea) have gained some ground as well, rising up to $60/tonne from its recent mean of $52-55 per tonne. 

Analysts expect domestic cement demand to reach 23.3 million tonnes (up 6 percent YoY), while exports to remain in the neighborhood of 9.5 million tonnes.

Local cement sales fell by 19 percent MoM in August, with the decline led by a fall from the southern part of the country (down 38 percent MoM). The decline is attributed to heavy rainfalls in the south along with curtailed working hours during Ramazan. As a result, industry’s sales during 2MFY12 reached 3.7 million tonnes, an increase of 14%YoY – reflecting the low base of last year. 

Meanwhile, exports also declined to 714,000 tonnes in August (down 14%MoM) as logistical issues hindered sales to Afghanistan (down 26%MoM). This takes 2MFY12 sales figure to 1.5 million tonnes, which is 7%YoY lower than last year’s sales of 1.7 million tonnes. 

The local cement prices have increased up to Rs 410-420/bag, with retention for cement manufacturers reaching as high as Rs 290/bag (up 15% from August’s average of Rs 251/bag). The increase in prices is because of manufacturers passing on the impact of recent hike in power cost of Rs 2/unit. However, the Rs 35-40/bag increase in prices is well over and above our estimated impact of Rs 20/bag. Hence, earnings outlook for Q1FY12 remains bright for cement manufacturers (preliminary estimates: Lucky Rs 4.8/share – up 113%YoY and 4%QoQ).

Though overall demand in August witnessed a massive decline of 18%MoM, analysts expect this trend to reverse on the back of improvement in weather conditions. Hence, they also expect overall cement sales to reach 32.8 million tonnes in FY12, up 5% from last year.

AFRICA: MOZAMBIQUE: New Cement Plant to Be Built in Magude Next Year

The construction of a new cement plant in Magude district, in the southern province of Maputo, will begin next year according to the provincial director of Trade and Industry, Fanieta Manjate.

Initially, the construction work had been scheduled to start in June, reports the daily newspaper "Diario de Mocambique".

Budgeted at 78 million US dollars, the project is being developed by the Chinese company "Africa Great Wall Cement Manufacturer".

The factory will be built in Chichuo, about 11 kilometres from Magude, covering an area of 80 hectares. The region has huge limestone deposits, which is one of the key ingredients of cement.

According to Manjate, the company is currently mobilising equipment and building houses to accommodate the staff who will be involved in developing the project.

Manjate stated that the Environmental Impact Study has already been approved, and families living in the area are being relocated to make way for the development of the project.

The plant will have the capacity to produce up to 500,000 tonnes of cement per year when it starts operating at the end of 2012 or early 2013.

With this plant, the number of cement factories set up by Chinese investors will rise to three.

A cement factory at Salamanga, in the southernmost district of Matutuine, in Maputo province, is currently under construction at a cost of 72 million dollars. The Salamanga factory is also located in an area with massive limestone deposits, and is expected to produce about 800,000 tonnes of cement per year.

The third factory, GS Cement, will have the capacity to produce 550,000 tonnes of Portland cement. This factory will be developed at the industrial park in Boane with an investment of 100 million dollars.

The country's largest producer of cement, Cimentos de Mocambique, is currently upgrading its factories in Matola, Dondo and Nacala, to double production.

Along with the proposed new factory in Sofala province, the country's cement production could jump from the current level of 1.3 million tonnes per year to reach four million tonnes per year by 2013.

The significant expansion of cement production capacity in Mozambique is in response to the growing demand for building materials in the country.

PARAGUAY: INC garantiza entrega normal de cemento

Desde la Industria Nacional del Cemento (INC) afirman que esta semana se tendrá una provisión normal de cemento, a pesar del nuevo paro que tuvo el horno de clínker de la fábrica de Vallemí. El presidente de la cementera, Édgar Acosta, afirma que hay 975.000 bolsas del producto en stock.

El domingo último, la cementera registró nuevamente un paro no programado del horno de clínker de la fábrica de Vallemí (Concepción) por la falta de fueloíl. Es el segundo paro que se tiene en lo que va de esta actual administración, encabezada por Édgar Acosta Alcaraz.

El presidente de la cementera indicó que este nuevo paro obedeció a que ya no se tiene fueloíl. Esto, a consecuencia de que la carga que debió llegar el último fin de semana con este combustible tuvo un retraso, por lo que llegará recién este viernes 7 de octubre.

De acuerdo con los datos técnicos, la carga que debió llegar a la INC trae unos 6.500 m3 de fueloíl que servirán para reactivar el horno. 

Provisión normal

Según Acosta Alcaraz, la producción de cemento y la entrega de bolsas de cemento no se resentirán por esta semana, debido a que el molino en Villeta sigue trabajando con la cantidad de clínker que se tiene. Comentó que actualmente, la INC tiene en stock unas 975.000 bolsas disponibles para entregar en los próximos días.

Indicó que esta cantidad servirá para abastecer tranquilamente esta semana y si fuese necesario, la semana próxima. “Seguiremos haciendo una entrega normal. Toda esta semana se va a entregar, incluso en tercer turno”, afirmó el titular de la cementera.

Según Acosta Alcaraz, el promedio que viene despachando la INC es de unos 48.000 a 50.000 bolsas por día, que es la capacidad máxima de producción que tiene la fábrica. Reiteró que esta semana se cumplirá con el cronograma de entrega de cemento tal como ya se estableció para estos días.

Convenio con Petropar

Hoy a las 11.00 en el Ministerio de Industria y Comercio (MIC), la INC y Petropar firmarán un acuerdo mediante el cual la petrolera se compromete a entregar mensualmente unos 8.000 m3 de fueloíl a la cementera nacional.

COLOMBIA: Cementos Argos se agranda en EE. UU.

Cementos Argos anunció ayer que concretó la compra de parte de los activos para la producción de cemento y concreto en Estados Unidos, pertenecientes a la compañía Lafarge, por 760 millones de dólares.

La transacción se convierte en el negocio más grande que ha realizado una empresa o una industria colombiana en Estados Unidos e incluye una planta de cemento en Roberta, Alabama; otra en Harleyville, Carolina del Sur; una molienda de clinker en Atlanta, Georgia; 79 plantas de concreto en Georgia, Carolina del Sur, Alabama y Florida; 347 camiones mezcladores; cinco terminales férreos y un puerto marítimo en Mobile, Alabama.

Así, la capacidad instalada de la empresa colombiana en EE. UU. sube a 3,2 millones de toneladas de cemento y 10 millones de metros cúbicos de concreto anuales. Además, queda con una capacidad instalada de 16 millones de toneladas de cemento y 14 millones de metros cúbicos de concreto anuales.

AFRICA: NIGERIA: New Lafarge plant produces first 2.5m metric tons of cement

Lafarge Cement WAPCO Nigeria plc has announced that it has successfully produced its first 2.5 million metric tons of cement for the Nigerian market at its new Ewekoro II plant in Ogun State.

This achievement was attained eight weeks after the plant produced its inaugural clinker.

The greenfield cement plant will double the overall volume of Lafarge WAPCO’s products (including Elephant Cement and Elephant Supaset) supplied into the Nigerian market, from 2 million to 4.5 million metric tons.

Speaking on this achievement, Samy Abdelkader, the plant’s CEO, said “the importance of this historic milestone in our 50 years of quality cement production is that very soon enough cement will be readily available for Nigerians.”

Continuing, Abdelkader said “our company has fully keyed into the Federal Government’s Backward Integration Policy, which aims at self-sufficiency in cement production.”

In order to ensure continuous production without power interruption, the new Ewekoro II plant is supported by a 90mw power plant, commissioned June 2011, by the Ogun State Governor Ibikunle Amosun.

Upon the official commissioning of the plant, Lafarge Cement will be adding about 12,000 tons of cement to the Nigeria cement market every day.

“We are convinced that there will be an appreciable stability of supply in the cement sub-sector when there is more volume of cement made available to Nigerians.

“The new plant will also be a testimony to the company’s leadership in innovation as it has the capacity to produce four different varieties of cement to better serve customers’ special requirements,” the CEO stated then.

Lafarge Cement WAPCO Nigeria is a leading manufacturer and marketer of cement, which is also a subsidiary of France-based Lafarge SA, the world leader in building materials.