Cement on demand: Firm

Business

By PETER ESILA
THE demand for cement in the country is growing with around 450,000 tonnes needed per year, according to Mayur Industries.
Mayur chief operating officer Trent Alexander told The National said this would continue in the next two to five years due to infrastructure projects on line.
Mayur Industries will begin the construction of its K1.3 billion Central Cement and Lime project next year.
“There is a particularly high demand for cement right now in the northern distribution region logistically centred in Lae, due to building and construction activity,” he said.
“Currently cement is imported from places such as China and Vietnam. Clinker (unrefined cement) is imported from Japan. Our project intends to manufacture both the clinker and cement in PNG,”
He said the relationship between gross domestic product (GDP) and cement consumption, plotted by multiple sources and years, showed a general inclination towards a cement consumption of 600kg per capita or less in nations with per capita GDPs in excess of US$25,000 (about K87,720).
“This pattern is usually represented by a trend line with a steady incline that reaches a plateau or declines gradually once the GDP reaches that threshold,” he said.
Alexander said PNG was lagging in this metric with just 50kg per capita.
“In addition, there is also a correlation between GDP and electricity consumption. Again, PNG is at the bottom of the curve,” he said.
“As cement and electricity become cheaper and more accessible, the GDP will improve,” he said.
He said an abundance of cement would make durable road construction more economically viable.
“The use of concrete pavements means a surface design life of two to three times greater than bitumen or asphalt.”
Meanwhile, Hardware Haus Limited general manager Alvin Prasad said they on average supply between 900 and 1,400 tonnes of cement to the market every month.
Prasad said demand for cement was increasing in PNG.
“Hardware Haus is the trusted supplier of A grade Paradise Cement in the market.
Demand for cement has been growing due in increase in road works, runway rehabilitation and increase in general concrete structural works,” he said.
“Hardware Haus gets its cement from PNG Taiheiyo in Lae.
“The factory monitors the quality of cement by taking samples and produces quality certificate every month.
“The factory gets its raw materials from overseas. And due to recent shipping issues, there is shortage of cement in the market.
“Hardware Haus has its own storage facility and has ensured consistency of supply throughout the country.”