Deal signed for coal, cement terminal

KARACHI: An agreement was signed on Saturday for the development of the country’s first mechanised and fully automated coal, cement and clinker terminal on a 30-year Build, Operate and Transfer (BOT) basis.

Chairman of Port Qasim Authority (PQA) Vice Admiral M Shafi and Chief Executive Officer of Pakistan International Bulk Terminal Limited (PIBTL) Sharique A Siddiqui signed the implementation agreement.
The terminal construction will cost around $173 million. It is expected to become operational in three years with an initial project cost of $140 million.

DGKC profits plunge by 94pc

The profits of DG Khan Cement (DGKC) declined by 94 percent to Rs22 million for the quarter ended on September 30 against Rs395 million during the same quarter last year, a company statement said on Wednesday.

The earning per share stood at Re0.06 against Rs1.08 last year. The company did not announce any payout. Net sales arrived at Rs3.5 billion, down by 23 percent, primarily due to lower dispatches owing to floods.

Low sales growth creates problems for cement units

LAHORE: Almost all cement units, except four, face problems as the production capacity of domestic cement industry has increased by 14.5 million tons since 2006/07, while the local sales have increased by only 2.5 million tons during the period, according to a study on Saturday.

A study of the cement sector conducted by The News revealed that the sector has been adding capacities since 1995/96 when the total production of cement was 10.173 million tons with the local demand of 9.43 million tons.

Inland freight subsidy for cement plants

KARACHI: The disqualification of the Southern Cement plants for claiming Inland Freight Subsidy was removed on Tuesday, paving way for product originating within minimum of 100 kms from seaport, also to qualify for subsidy.
According to cement producers, the courts passed ruling on Tuesday morning to the effect that the disqualification on products originating within 100 kms from seaport was removed till the final disposal of the case.A senior official at a cement company said that the companies in the Southern zone could now submit documents and claim subsidy; the final outcome of which would be determined on the disposal of the case. All shipments after March 29, 2010, would be eligible.

Soaring cement, steel prices hit construction

 KARACHI: There is substantial increase in steel bar prices in the market, while enhanced activity in the construction sector has made prices of cement moving up again.

Many consumers paid Rs45,000 per ton for steel bars made of ship plates two months back, now it is priced at Rs66,000 per ton.

New projects push cement sales up

KARACHI: The start of construction work on new small apartments’ projects and large scale renovation of houses have pushed up the local demand and sales of cement.
Around 35-40 new projects of small apartments have been launched in Karachi since Ramazan last year. Many people have started renovation of their houses as they think that it is the right time as steel prices are comparatively low this year along with fall in cement prices.

Inequity in freight subsidy irks cement makers

KARACHI: The All Pakistan Cement Manufacturers Association (APCMA) and some exporters have criticised the Trade Development Authority of Pakistan (TDAP) for disqualifying all those plants for inland freight subsidy which are located within 100-km of the seaport.
The TDAP last Friday issued a public notice allowing the inland freight subsidy on cement exports to only those plants which are located at least 100 kilometres away from the seaport. This condition has effectively eliminated all the cement plants which are located in South to avail this benefit.

Cement units seek 50pc subsidy on freight

KARACHI: Cement manufacturers have sought 50 per cent subsidy on the inland freight cost to boost cement export to more than $1 billion, industry sources said here on Wednesday. 
 
All Pakistan Cement Manufacturers Association (APCMA) in a letter to the government said that the payment of $36 million as freight equalisation subsidy to the cement factories will get an additional export earning of $359 million.