They anticipate producing 660 million tons by 2005, 750 million tons by 2010, and 800 million tons by 2015. .Clinker production is to increase by 10 million tons per year from 2001 to 2005. Other forecasters suggest that China will hold production close to 2000 levels while upgrading technology and efficiency throughout the industry. 7 So far, the conservative production estimates seem more likely.
Cement Products and Quality China produces several strength grades of cement including #325, #425, #525, and #625. General types include silicate cement, general silicate cement, slog silicate cement, volcanic ash silicate cement, powdered coal silicate cement, and compound silicate cement. Special types include oil well cement, medium-low heat cement (dam cement), fast solid cement, antiquated. Overall, Chinese cement is not of particularly high quality. This can be attributed to the widespread use of vertical kilns. According cement industry in Bangladesh By duplicability’s Medium quality #425 cement makes up 62. Percent of Chinese production and low- grade #325 cement makes up the remainder. There are surpluses and low prices for low-quality cement, and shortages and higher prices for higher-quality cements. 3. 1. 2 Cement industry in INDIA Exports Indian cement accounts for not more than 0. 2 per cent of total world cement exports. The sector is relatively insulated from international markets. Given the bulky nature of the commodity and the inadequacy of transport infrastructure in the country, international trade has been limited to neighboring states in small quantities.
Even that miniscule volume of exports took a beating after the south-east Asian crisis, Hough the situation has improved gradually and the export figures (including clinker) have touched 9 million tones in 2003-04 (Table 5). Exports have been mostly restricted to those large companies that own Jetties. Companies like Gujarat Ambulant and L have been major exporters, who export mainly to get incentives like duty- free import of high grade coal and Table 5: Exports of Cement (in million tones) Year Cement ClinkeCement industry in Pakistan The industry comprises of 29 firms (19 units in the north and 10 units in the south), with the installed production capacity of 44. 09 million tons. The north with installed production capacity of 35. 18 million tons (80 percent) while the south with installed production capacity of 8. 89 million tons (20 percent), compete for the domestic market of over 19 million tons. There are four foreign companies, three armed forces companies and 16 private companies listed in the stock exchanges.
The industry is divided into two broad regions, the northern region and the southern region. The northern region has around 80 percent share in total cement dispatches while the units based in the southern region contributes 20 percent to the annual cement sales. Fiscal Performance 2008-09 Business Recorder reported that Pakistanis cement exports witnessed a healthy growth of 65%, to over 6 million tons during 7 months of the current fiscal year mainly due to rise in international demand. The exports may reach to 11 million tons and earn approve $ 700 million during 2008-09.
The statistics of All Pakistan Cement Manufacturers Association also showed that cement exports had mounted to over 6 lion tons in 7 months as compared to 3. 62 million tons of same period of last fiscal year, depicting an increase of 2. 38 million tons. Cement exports during January 2009 went up by 30% to 0. 81 million tons as compared to 0. 623 million tons in January 2008. However, slow construction activities in the country during the period badly upset domestic sale of cement, which depicted decline of 1 5%, to 10. 77 million tons as compared to 12. 59 million tons of last fiscal year.
By September 2009, after sector concluded the fourth quarter with a handsome growth of 1,492 percent on early basis, All Pakistan Cement Manufacturers Association’s report revealed on 29th September 2009. Higher retention prices (up 59 percent) and high rupee based export sales amid rupee depreciation (20 percent) drove profits up north. However, this growth is magnified, as PAYOFF-08 was an abnormally low profit period for the sector. Moreover, the performance is skewed towards large players with export potential as profitable companies in both years posted increase of Just 109 percent, said analyst at AS Research Taft Safari.
He said that cumulative profitability of companies in IFFY stood at RSI 6. 2 billion or $78. Million as compared to RSI 386 million or $6. 2 million depicting a massive growth of 1,492 percent. Companies with profits in both the years posted 109 percent earnings improvement. Though total dispatches were down 2 percent, net sales grew by 55 percent to RSI 101. 4 billion or $1. 3 billion on the back of higher net retention prices (up 59 percent) and improved export based revenues. Cost of sales ton also rose by 33 percent on yearly basis amid higher realized coal prices and inflationary pressures, the analyst maintained.
