High cement demand from India, China affects local market
Ramani Kangaraarachchi
Tokyo Cement company will introduce the latest cement grinding
technology from Germany with an investment of US$ 15 million to improve
efficiencies ,product lines and logistics.
The company will increase its total investment to US$ 97 million with
the installation of new vertical Roller Mill.
Company Joint Managing Director Kuni Yanagihara told Daily News the
Company is ready to give maximum supply to the market from January next
year to reduce the existing shortage of cement. He said the cement
shortage in Sri Lanka is due to world demand specially the increased
demand from China and India.
China has become the No 1 supplier and consumer of cement getting
ready to hold the next Olympic games and Expo 2010 exhibition in
Shanghai and India who exported cement earlier now imports as a result
of increasing demand.
Meanwhile Sri Lanka itself has a high demand which came to the peak
during September and December, he said. The company would have a total
capacity of 2.5 million tons per year once the expansion is completed,
Yanagihara said.
He said that Tokyo cement was the first in the industry to invest and
operate a vessel titled "Tabernacle Star"to transport clinker which
improves cost efficiency saving valuable foreign exchange and plans are
under way to acquire a fourth ship.
Their Colombo terminal has also launched a converted and customised
vessel titled Tabernacle Prince to further streamline its delivery to
the Colombo port. This USD one billion investment can unload cement at a
rate of 425 MT per hour and load at 1000 MT per hour.
Tokyo cement has five brands namely Mitsui Cement, Tokyo Super
Ordinary Portland Cement,Tokyo Super Portland Pozzolana Cement, Tokyo
Super Masonary Cement and Super Mix.
Marketing Director D.S.Walpola said out of the total cost of
production 75 per cent is on raw material and regular increase of oil
prices has a direct impact on the prices one way of reducing prices is
bringing down the duty.
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