Cement plant utilisation jumps to 85%

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Philippines: The Manila Bulletin has reported that the capacity utilisation of local cement plants has increased to 85% from 68% in 2014 due to strong domestic construction activities, according to the Department of Trade and Industry (DTI).

DTI undersecretary Victorio Mario Dimagiba said that there is enough cement supply to meet demand. He added that the Philippines had 31.3Mt/yr of cement production capacity in 2014, when consumption was 21.3Mt, or 68%. At present, however, plant capacity utilisation has reached 85%.

The increase in demand in the Visayas and Mindanao areas in the past two weeks was to pre-empt the onset of the rainy season. Dimagiba said that, even though there are cement plants in these regions, there is a huge logistical challenge in the transport of cement to the islands. He added that should local demand in these regions exceed production, imports could augment the shortfall.