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PPC cement volumes up 9 percent

Regional cement producer Pretoria Portland Cement says cement volumes at its Zimbabwean unit went up nine percent in the first half of the year ended 31 March on new marketing strategies implemented during the period.

In an interim report for the half-year ended 31 March 2015 released oyesterday, the South African based companies said despite the strong volume growth, price increases in the Zimbabwean market have remained muted.

“However, good cost control led to EBITDA rising by four percent in US dollar terms,” PPC said.

The company said exports from Zimbabwe to neighbouring countries were reduced from a robust performance in the previous period as a result of exchange rate pressures and the completion of projects that were being supplied by the cement maker.

It added that its $75 million new cement project in Harare was on course and on budget. The project is expected on line in the latter part of next year.

PPC’s only cement plant in Zimbabwe, located in Bulawayo, produced around 600 000 tonnes of cement last year while operating at 75 percent of installed capacity.

The group also has a lime clinker plant in Coleen Bawn in Matabeleland South but the bulk of its cement market is in Harare.- The Source

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Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

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