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ICRQuarterlyInternational Cement Review December 2003
The Global White Cement Repor
t
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The Global White Cement Report
2003
The Global
White Cement
Report 2003
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The publishers would like to acknowledge, with
grateful thanks, all those individuals, companies
and trade associations who helped in providing
information, data and commentary in the
compilation of this report. This publication has been
compiled by the staff of International Cement
Review.
Photo credits
While maps, graphs and part of the photos were
supplied by in-house graphic services, we would like
to thank the following companies for supplying
below photographs : Aalborg Portland
photographs on p. 5, 41, 42, 54, 62, 75, 77, 78, 81.
Cementa AB photograph on p. 52. Cementos del
Nare photographs on p. 5, 34, 49, 54, 55. Cemex
photograph on p. 7, 18, 22, 25, 27, 32, 36, 58,
86. Lehigh Cement Co photographs on p. 55, 60.
Although every effort has been made to ensure the
accuracy and completeness of this publication, the
publishers do not accept any responsibility for any
errors or omissions. Any views expressed are those of
the publishers and their correspondents.
The Global White Cement Report its text, maps and graphs
must not be reproduced, photocopied, stored or conveyed by
any means of mechanical or electronic device without prior
written consent from Tradeship Publications Ltd.
Acknowledgements
The Global White Cement Report
2003
The Global White Cement Report is published by
Tradeship Publications LtdOld Kings Head Court, 15 High Street, Dorking,
Surrey, RH4 1AR, UK
Tel. +44 (0) 1306 740363
Fax +44 (0) 1306 740660
E-mail: [email protected]
Website: www.CemNet.com
Managing Editor David Hargreaves
Editor Chris Blasdale
Technical Editor Dr Michael Clark
Production Editor Muriel Bal
Design Storm Creative Partnership
Advertising Gary Morton
Subscriptions Susan Hargreaves
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5
Contents
Introduction 7
Executive summary 9
World production base 13
The global white cement production base has a capacity of
17.5Mta and an annual output of 12Mt. This chapter identifies key
producing countries and provides their output and capacity figures.
World producers 39
A third of global production is manufactured by five producers. The
report focuses on the Big Five and also outlines other important
players.
World consumption 49
Although world demand is less than one per cent of per capita grey
cement consumption, white cement is a key niche market. Sales are
particularly strong in Europe and China.
Marketing & promotion 61
A key constituent in a wide range of applications, white cement is
marketed and promoted with increasing effectiveness.
Trading 65
A quarter of white cement is traded across the globe. This chapter
investigates the reasons for high trading volume and also looks at
competition and pricing trends.
Global industry outlook 69
The outlook for the international white cement industry is generally
positive as the world looks forward to increasing demand.
White cement technology 71
Dr Michael Clark outlines the specific technological requirements in
the various stages of white cement production.
Appendices 87
Appendix I Production base by region and country.
Appendix II Consumption by region and country.
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7
Introduction
This is the first report produced by International Cement
Review (ICR) on white cement, a sector which has
previously been relatively undocumented, apart from a
few articles and conference papers. Why, though, the interest
in the white cement sector which is generally regarded as a
niche market only, and where worldwide production at 12Mt
is less than total cement consumption in a country of the size
of the UK? The answer possibly lies in the fact that usage of
white cement is at the forefront of the visual representation of
concrete in the built world, and as such is important to the
cement and concrete sectors in terms of promoting all of its
products and applications. Additionally, there are interesting
comparisons to be drawn of the white cement sector compared
to grey cement, which is 150 times larger in volume terms, in
relation to consumption patterns and company participation.
This report looks at many of the key points of interest
within the white cement sector including:
a review of world production
analysis of global, regional and national consumption levels
the patterns of trade, including major markets and suppliers
corporate analysis of major companies within the sector
detailing of white cement applications, and marketing and
promotional challenges
technical considerations in terms of production
an outlook on future trends within the sector
The report does not include assessments of the availability
and relative scarcity of suitable limestone reserves for white
cement production globally. Additionally, it has not been
possible to compare all existing production units in terms of
quality and whiteness of product. It should also be stated that
while some companies and industry associations were willing to
divulge basic market information, many others were not
prepared to do so. Therefore some of the data contained within
the report is produced from as informed as possible estimates.
Chris Blasdale
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The global white cement industry is a small segment of the overall cementitious sector. With
estimated output in 2002 of around 12Mt it represents by volume less than one per cent of
the worldwide grey cement sector. Nevertheless, for the cement/concrete participants in the
construction materials sector, white cement represents one of the most effective visible means
of promoting their product in applications against competing materials. While considered
purely a niche market by many, for the companies involved in white cement manufacture, its
importance can range from being the sole or major business activity of that company (eg
Federal White Cement of Canada) through to being merely an interesting adjunct to
mainstream activities (Lafarge is a top-5 player in white cement, but this activity is estimated
to represent directly less than one per cent of its total turnover).
Executive summary
The white cement industry is experiencing
considerable change. The overall market has
grown by five to six per cent since 1994, a
growth rate ahead of grey cement. This has resulted
in major capacity additions in a relative sense. These
additions have generally been founded on highly
efficient plants targeting both domestic and
significant export sales. A profile of the industry
would be one of an increasingly global nature, with
over 3Mt being traded internationally. In terms of
the major players, both Aalborg White and imsa, to
whom white cement represents a major part of their
overall business, have been at the forefront of this
globalism, extending their influence in certain
regions. Overall the industry has become morecompetitive, and this has resulted in recent years
with lower prices in many markets. An apparent
anomaly remains, however, in that in some
countries, prices have remained high and supply has
continued to take place from relatively high cost
domestic producers. Across the world this can be put
down to a variety of factors, including potentially
high handling and distribution costs for importers,
the desire of many consumers of white cement forconsistency of product, and control of existing
producers over channels of distribution. This
situation becomes more understandable given that
this report has only identified 76 white cement
plants globally in 45 different countries (excluding
China).
If growth in demand for white cement continues
at its current rate for the next 10 years, then a
further 7.5 to 9.5Mt will be consumed in 2011
compared to 2002. For this to occur then, existing
high consuming regions will need to more than
sustain current levels of demand, and lower
consuming regions will need to grow significantly.
The drivers of demand for white cement are not
necessarily of similar weighting as for grey cement. It
is less of a commodity product, and therefore
demand could be advanced by positive perceptions
in terms of fashion/aesthetics and effective
promotion of its applications.
Headline comments from the report are as
follows:
Production base
Total global production of white cement in 2002 isestimated at just below 12Mt with indicated capacity
levels of 17.5Mt.
Europe is both the largest producer (28 per cent of
global output) and has the highest capacity
utilisation of all the regions.
China is already responsible for an estimated 23
per cent of global white cement output, although
definitions of what represents white cement differ.
The Mediterranean Basin (from North Africa
around to Greece) is responsible for an estimated 14
per cent of global output and the relative importance
of this region is set to grow.
The Middle East has more than doubled its white
cement capacity (currently around 2.1Mta) in the
last 10 years.
Asia, excluding China, is responsible for just over
10 per cent of global output, and has mixed
prospects.
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Latin America, with the exception of Mexico,
forms a relatively insignificant part of the globalwhite cement production base.
In North America, the US production base remains
old, and only represents 25 per cent of domestic
demand.
The top-5 producing nations are: China, Spain,
Turkey, Mexico and Denmark markedly different
from grey cement.
The top-10 producers are responsible for 49 per
cent of global white cement output from 45 per centof global capacity. Excluding China, these shares
would respectively be 64 per cent and 60 per cent.
The top-5 global grey cement players are all in the
top-10 of white producers.
Major capacity additions between 1995 and 2003
are estimated at 3.5Mt, excluding China.
Consumption
Consumption of white cement in 2002 is
estimated to be 12Mt and 9.4Mt excluding China.
This represents an average per capita usage of only
1.9kg, and is less than one per cent (0.7 per cent) of
grey cement production worldwide.
Europe is estimated to be the largest white cement
consuming region representing 27 per cent of the
global market considerable disparities on a per
capita basis exist across the region.
The Mediterranean Basin is characterised by high
consumption levels of white cement. The region is
responsible for nearly 12 per cent of global output
and per capita consumption is estimated at 6kg
annually in 2002, and 1.3 per cent of grey cement
consumption.
The Middle East is estimated to be responsible for
just over 10 per cent of global white cement
demand. Of all of the regions, it has the highest per
capita usage of 7.3kg annually, with the Gulf states
in particular showing a high intensity of usage.
Africa, excluding Mediterranean North African
countries, is a very low consumer of white cement,
representing only just over one per cent of the global
market.
China, the largest single market globally is
responsible for 68 per cent of Asian white cement
consumption, fairly in line with grey cement
proportions. The white cement market in China is
estimated to be around 2.6Mt, with a per capitaconsumption of 2kg annually.
The rest of Asia is estimated to have consumed
around 1.23Mt in 2002. The average per capita
consumption over the region is considerably lower
than China at 0.8kg annually.
Latin America consumes around seven per cent of
global cement output, with Mexico as the leading
nation.
Estimated consumption in North America in 2002was around 1.3Mt, 11 per cent of global demand.
Per capita consumption in the region is 4.1kg
annually, just over double the global average.
The five largest white cement consuming nations
are China, Spain, USA, France and India.
Leading producers The top-5 producers are estimated to be Cemex,
Aalborg White, Lafarge, Italcementi and imsa.
Cemex with an estimated 11 per cent global
market share in 2002 has benefited from strong
market positions and demand conditions in Spain,
Mexico and USA. Its market leadership is set to
come under challenge.
Aalborg White with a seven per cent market share
is currently No 2, but with recent additions has
higher capacity than Cemex. White cement
represents one of two core activities for its parent,
FLS Industries, and global market leadership is an
expressed objective.
Lafarge with a five per cent market share is
currently trying to embrace the increased globalism
of the white cement market; as the worlds largest
cement company they should not be under-
estimated in terms of future initiatives.
Italcementi is currently a European player only in
white cement it accounts for five per cent of the
global market. Like some other companies, they
appear to have heightened interest in white cement,
as evidenced by a recent small white cement
investment in Bulgaria.
imsa also has a similar market share (around five
per cent), but its profile is very different. With over
1Mta capacity at one location, it has been a major
influence on recent competitive changes in the
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sector. It too has declared aspirations to be No 1,
although whether this is possible from oneproduction location is questionable.
Other leading white cement companies include
Holcim, which has recently centralised its white
cement activities and has just announced sizeable
investments in Romania and is now even looking to
extend its influence beyond Europe. Finally,
HeidelbergCement, another significant force,
although its white cement strategy is more
ambivalent at present.
Trading In excess of 3Mt of white cement was traded
outside of the country where it was produced in
2002. This represents over 25 per cent (32 per cent
excluding China) of the global white cement. As a
comparison, grey cement traded globally is around
seven per cent of the overall market.
Leading trading companies, in order are Aalborg
White, Cemex, imsa, RAK White,
HeidelbergCement and Federal.
Main import markets are USA, Spain, Germany,
Algeria, Saudi Arabia, Israel and UK.
Increased trading levels and the number of
meaningful suppliers has led to increased
competition. This has impacted on prices since 2000
in particular. Achieved prices in export markets have
halved in some cases, although this has to be
examined on a specific market basis.
Marketing White cement is used in many external and visual
applications of concrete and mortars, etc the
challenge is for the industry to increase usage in a
range of current and new applications.
Improved promotion of white cement is underway,
with Aalborg White and Holcim White two of the
noticeable companies. More needs to be done
particularly in currently low/medium consuming
countries and other countries where there is not a
local producer. Global industry initiatives whilst
desirable are probably not practical.
Outlook If the recent growth of demand estimated at five
to six per cent annually continues for the next 10
years, then demand in 2012 will be between 19.5 to21.5Mta an increase of 7.5 to 9.5Mt above
existing levels.
Should that be the case, then capacity additions of
the order of 7-10Mta would be required, expected
mainly at existing production facilities, with any new
production facilities where they do occur, most likely
to be in Asia, North Africa, Middle East and Latin
America.
The proportion of white cement traded is likely torise further given the above scenario. A further boost
to this view would be given by increased
concentration of ownership by the existing larger
producers.
The previously low level of corporate activity in
terms of mergers and acquisitions (M&A) or
marketing agreements within white cement is
expected to increase.
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Total global production of white cement in 2002 is estimated to be just below 12Mt with
indicated capacity levels of 17.5Mt. For the purposes of these estimates, product is deemed
white cement if that is how it is described in the specific market where it is produced. For
instance, off-white cement is described as such in Australia and therefore is not included,
whereas considerable tonnages of perhaps questionable material from China are included. In
research carried out it became clear that it would be untenable to create a cut-off point (eg
whiteness) that could be applied across the global sector.
World production base
The research has identified 76 white cement
plants globally excluding China. These plants
are located in 45 different countries, and are
responsible for an estimated output of 9.3Mt in
2002 from a capacity exceeding 13Mt. In China,
output of 1.5Mt of white cement is estimated from
40 identified plants and a further 70 small
unspecified plants. An additional 1.2Mt output of
white cement from unlicensed plants is also
estimated in China.
Global production of just below 12Mt represents
an average per capita usage of only 1.9kg, and is
less than one per cent (0.7 per cent) of grey cement
production worldwide.
Regional analysis of the production base is
shown in Table 1 Estimated white cement
production by region, 2002.
Europe is both the largest producer (28 per cent
of global output) and has the highest capacity
utilisation of all the regions. It has a long established
production base, which generally would indicate
relatively high cost structures. In Western Europe,
most of the capital investment recently has been in
terms of efficiencies, environmental improvements
and small-scale capacity improvements. Aalborg
White is the exception where a 200,000tpa capacity
increase has been carried out in 2003. In Eastern
Europe, the challenge appears to be to improve
production facilities and build up regional output
that is low. Italcementi commenced production of
white cement at its Devnya plant in Bulgaria in late
2002.
China is discussed in detail in the specific country
section. While the quality of a good portion of its
white cement output appears questionable, Chinas
role in the global white cement sector is very likely
to increase in the future given better export
prospects and a generally low cost base. China is
already responsible for an estimated 23 per cent of
global white cement output.
The Mediterranean Basin (from North Africa
around to Greece) is responsible for an estimated 14
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Table 1 Estimated white cement production by region, 2002
Region Capacity Output Capacity Plants
(000tpa) (000tpa) utilisation (%)
Europe 4150 3400 82 21
Asia China only 4150 2700 65 >100*
Mediterranean Basin 2625 1680 64 11
Middle East 2190 1290 59 10
Asia excluding China 2180 1290 59 15
Latin America 1360 1050 77 15
North America 800 585 73 4
* Total number unknown
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per cent of global output. With nearly 1Mta capacity
added recently (imsas second line and Aalborgs
Sinai White) there is clear scope (and strategic
expectation by some companies) that the importance
of this region will grow in terms of the global white
cement industry.
The Middle-East has more than doubled its
white cement capacity (currently around 2.1Mta) in
the last 10 years. With high consuming local
markets, and a low cost production base in Iran and
UAE in particular, the relative performance of this
region in output terms also looks set to grow.
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Table 2 Estimated top-10 white cement producing countries
Region Capacity Output Capacity Plants
(000tpa) (000tpa) utilisation (%)
China 4150 2700 65 >100
Spain 1490 1250 84 6
Turkey 1250 690 55 3
Mexico 645 615 95 5
Denmark 820 575 70 1
Iran 930 560 60 5
France 530 500 94 2
India 700 470 67 2
Italy 530 450 85 4Egypt 720 430 60 3
* Total unknown but indicators suggest over 100 factories have the capability to produce some form of white
cement
Figure 1 The global white cement production base
4 2
2
2
2
22
243
7
10
100
4
2
2
3
3
7 6
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Asia, excluding China, is responsible for just over
10 per cent of global output. While output prospects
for India and to a lesser extent Southeast Asia
appear good, the more developed economies of
Japan, Korea and Taiwan are likely to decline further
in importance.
Latin America, with the exception of Mexico and
Colombia, forms a relatively insignificant part of the
global white cement production base.
In North America, while Federal in Canada has
invested in new capacity, the US production baseremains old, and only represents 25 per cent of
domestic demand. This is a much more extreme
version of what occurred in the US grey cement
sector. Investment in new capacity in
the future can certainly not be assumed
however.
In all regions, the growing presence
and interest of cement majors in white
cement, plus companies such as imsaand Aalborg, to whom white cement is
a major part of their business, could be
expected to lead to further inter-
regional trading, and global rather than
regional white cement production and
sourcing strategies.
The top-10 producing countries
(see Table 2 Estimated top-10 white
cement producing countries) are responsible for
nearly 70 per cent of global output. For specific
country comments, see below.
It should be noted that white cement is traded
much more extensively in proportional terms than
grey cement, mainly because of its higher value per
tonne and the fact that it is only produced in 46
countries globally. This explains why Denmark, a
small producer of grey cement, should figure in the
top-5 producers. Aalborg White, from its Danish
facility, for example, exports around 90 per cent ofits production.
Drawing comparisons to top grey cement
producing nations, notable exclusions from the top-
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Table 3 Estimated top-10 white cement producers, 2002
Company Capacity Output Capacity Share in global Plants
(000tpa) (000tpa) utilisation (%) output (%)
Cemex* 1470 1330 90 11 8
Aalborg White* ** 1530 880 58 7 3
Lafarge 750 625 83 5 6
Italcementi 740 590 80 5 5
imsa/Sabanci 1100 580 53 5 1
HeidelbergCement* 500 465 93 4 4
RAK White 450 380 84 3 1
Federal 500 300 60 3 1
Holcim 495 290 59 2 5
Grasim 400 280 70 2 1
* Lehigh White allocated according to equity ** Includes 2003 capacity addition
Figure 2 Share of top-10 white cementproducers in global output, 2002
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10 are USA, Japan, Korea and Brazil. Spain, Iran
and Turkey (as well as Denmark) all haveadvanced white cement producing rankings
compared to grey cement.
Table 3 Estimated top-10 white cement
producers, 2002 shows an overview of key
companies in the global white cement industry.
Specific individual comment on the major players
is made below.
Collectively, the top-10 players are estimated
to be responsible for 48 per cent of global whitecement output from 45 per cent of global
capacity. Excluding China, these shares would
respectively be 62 per cent and 60 per cent.
The top-5 global grey cement players are all
in the top-10 of white producers with Cemex
holding a heightened position compared to grey
cement, and Holcim and arguably, Lafarge an
underweight position. It is worth emphasising
though that overall white cement production is
less than one per cent of grey production, and
therefore to the majors is unlikely ever to be more
than a niche market, albeit a potentially profitable
one and of disproportional importance in terms of
promoting overall cement and concrete usage.
To Aalborg White and imsa, both grey
producers as well, white cement is much more than
a niche part of their business. In cement terms, their
white activities are likely to represent more than 50
per cent of their overall business in turnover. Both
companies (like Cemex) have an objective to be
market leader in white cement globally.
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Table 4 The 10 largest white cement production locations by estimated output,
2002
Country Plant Company Ownership Process Capacity Output
(000tpa) (000tpa)
Turkey Mersin imsa Sabanci Dry 1100 580
Denmark Rrdal* Aalborg Aalborg Wet 820 575
Spain San Vicente Valenciana Cemex Dry 454 380UAE RAK RAK White Independent Dry 450 380
Canada Woodstock Federal White Independent Dry 500 300
Italy Rezzato Italcementi Italcementi Semi-dry 250 285
India Rajashree Nagar Grasim White Grasim Dry 400 280
Spain El Alto Cementos Independent Wet 280 276
Portland
France Le Teil Lafarge Lafarge Dry 280 270
Spain Buol Valenciana Cemex Dry 310 250
* Includes 2003 capacity addition
White cement production in Iran
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Historically during the development of the white
cement sector, some wet grey kilns were converted
to white production as the margins were generally
higher and allowed the usage of what was inefficient
capacity. From the late-1980s to the early-1990s this
ceased to be the case. Capacity added since then has
been predominantly efficient dry-process, using
alternative fuels wherever possible, and seeking to
minimise the high milling costs of white cement
production. The individual capacities of dry white
kilns introduced in the last 15 years have been
generally a quantum step higher than existing
capacity. Kiln capacities added have mainly been in
the range of 150,000-500,000tpa.
Capacity additions between 1995 and 2003 are
estimated at 3.5Mta, excluding China (see also Table
5 White cement capacity additions, 1995-2003).
Moreover, further small-scale upgrades, plant
optimisations and other capacity enhancing activities
will have taken place in the period. Nearly 1.8Mta
capacity is estimated to have been added since
2001, quite a dramatic increase compared to the
previous periods.
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Federal, and perhaps arguably, RAK White, are
not directly involved in grey cement, and are
committed to white cement as their main business
activity. This may mean that over the long-term they
may suffer a competitive disadvantage in terms of
lacking synergistic value addition related to logistics,
marketing and overheads, although benefits of focus
may compensate.
The other top-10 producer, Grasim, has recently
become the market leader in grey cement in India
and will benefit from the synergistic benefits noted
above albeit primarily in India only.
Another contrast is that the top-5 cement majors
all have a number of production locations ranging
between four and eight (including grinding stations),
whereas imsa, Federal, RAK White are all single
unit white cement companies.
The top-10 plants are responsible for some 39
per cent of global white cement output (excluding
China) from 36 per cent of capacity (see Table 4
The 10 largest white cement production locations by
estimated output, 2002). Individual plants are
discussed in the section below.
Table 5 White cement capacity additions, 1995-2003
Year Country Plant Company Ownership Add cap
(000tpa)
1995- Iran Saveh Saveh Independent 350
2002
1996 India Rajashree Nagar Grasim White Grasim 250
1997 UAE RAK RAK White Independent 280
1997 Iran Neyriz Neyriz Independent 150
1999 Turkey Mersin imsa Sabanci 5002000 Iran Uremieh Uremieh Independent 180
2001 Brazil Pedro Leopoldo Camargo Correa Independent 110
2001 Canada Woodstock Federal White Independent 300
2001 Egypt Sinai Sinai White Aalborg 410
2002 Saudi Arabia Al-Muzahimiyah Saudi White Independent 210
2002 Kuwait Shuaiba Kuwait Cement Independent 100
2002 Iran Benvid Benvid Independent 180
2002 Bulgaria Devnya Italcementi 50
2002 Malaysia Perak RCI Aalborg 2002003 Denmark Rrdal Aalborg Aalborg 230
TOTAL 3500
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Europe has a long established white cement
production base and has the highest capacity
utilisation of all the regions, ie 82 per cent. It
accounts for 28 per cent of global output, mostly
concentrated in Western Europe. It is in this part of
Europe that capital investment has been focused on
environmental improvements, efficiency and small-
scale capacity improvements. Key producing nations
are Spain, Denmark, Italy and France.
SpainSpain is the second largest white cement producing
nation after China. In 2002, it produced 1.25Mt
across six plants (see Table 6 White cement
factories in Spain).
Of these six plants, only Cemex, Vilanova and
Tudela Veguin are dedicated white cement facilities.Sustained growth has been experienced in the last
decade with production almost doubling from
640,000t in 1992-93. At current production levels,
capacity utilisation rates are now around 90 per cent.
This increase in production is due both to growth in
the internal market (see consumption section) as well
in exports.
Exports have grown from around 120,000t in
1993 (18 per cent of total white production) to390,000t in 2002 (31 per cent of total white
production). Clinker exports only represented about
two per cent of this total in 2002, although in the
mid-1990s they were a more significant part of the
total (1995 around 100,000t of white clinker was
exported). The major areas that white cement was
exported to were North Africa (165,000t mainly to
Algeria:109,000t and Morocco:40,000t), North
America (132,000t), Europe (65,000t mainly
UK:30,000t and Turkey:21,000t) and Israel
(25,000t). In 2002, imports rose to 215,000t, with
the main sources being Turkey (145,000t) and
Greece (39,000t).
Cemex is the leading producer of white cement
in Spain with estimated production in 2002 of
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Figure 3 White cement plants in Europe
I
NDIVIDUAL PLANT REVIEW BY COUNTRY
EUROPE
2
2
2 2
2
4
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around 750,000t from its three plants (all dry-
process) located near Barcelona, Alicante and
Valencia. Cemex through the Valenciana group from
1992 has strongly expanded both domestic and
export sales of white cement.
Cementos Portland at its El Alto plant nearMadrid is the second largest player, producing
around 275,000t of white cement in 2002, very
close to capacity. Virtually all the sales from this
inland plant are supplied to the domestic market.
The Tudela Veguin plant in northern Spain, in the
principality of Asturias, by contrast is able to ship
white cement from two loading facilities at the port
of Gijon. Annual sales are estimated at around
130,000t.
The final white cement plant in Spain is Lafarges
Sagunto plant near Valencia with sales in 2002
approaching 100,000t. Sagunto, located 5km from
Valencia port, has white clinker capacity of
135,000tpa and cement capacity of 150,000tpa. A
small plant, Cementos Rezola, a Ciment Franais
subsidiary was closed in the 1990s.
In terms of production by cement type, cement
of types BL II (42.5R and 52.5N) represent over 70
per cent of the production in 2002. Cements of type
BL I are the second most important (24 per cent of
production) and the masonry cements BL 22,5X
represent about five per cent of production.
PortugalSecil is the only white cement producer in Portugal
from its Pataias Gare plant, located 15km from
Nazare, on the west coast. A semi-dry-process plant
with a Lepol kiln, it has a clinker capacity of
80,000tpa and cement capacity of 110,000tpa. In
2002, production was 98,000t with nearly all sales
made on the domestic market. With domestic
demand increasing, white clinker production maywell be increased after 2004. Two products are made
by Secil, a BR I 42.5 and a BR II 32.5.
Imports of white cement into Portugal were just
under 10,000t in 2002, sourced from Spain and
Turkey.
FranceThere are two white cement plants in France located
very close to each other in the south-east between
Lyon and Avignon, and in good proximity to the
Rhone river. The plants are Cruas, owned by Ciments
Calcia (part of Italcementi /Ciments Franais) and Le
Teil, owned by Lafarge.
Cruas, which became a dedicated dry-process
white cement plant in 1981, after grey production
was discontinued, had cement sales of just under
230,000t in 2002, and is operating close to capacity.
Cruas produces a high quality and pure white
cement, with reflectivity of 93 per cent (top end of
the scale). Quality and consistency are viewed as the
major determinant of continuing competitive
advantage at this location.
Le Teil, after further optimisation in 2003, is
expected to have a cement capacity of 420,000tpa,
plus the ability to supply clinker to the Tavernola
grinding station owned by Lafarge in Italy. Estimated
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Table 6 White cement factories in Spain, 2002
Company Factory Production capacity (tpa)
Clinker Cement
Cementos Portland, SA El Alto Morata de Tajua (Madrid) 280,000 280,000
Cemex Espaa, SA Buol (Valencia) 247,500 310,000
San Vicente del Raspeig (Alicante) 363,000 453,750
Vilanova i la Geltr (Barcelona) 75,000 100,000
Lafarge Asland, SA Sagunto (Valencia) 125,000 100,000
SA Tudela Veguin Tudela Veguin (Princip of Asturias) 125,000 200,000
TOTAL PRODUCTION CAPACITY 1,215,500 1,343,750
Source: Oficemen
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2002 sales directly from Le Teil are estimated at
around 270,000t.Both plants cement production is sold
predominantly in France itself, with total production
in 2002 of 500,000t. Imports to France of white
cement are estimated at around 50,000t in 2002,
and sourced from Denmark, Italy and Belgium.
ItalyThe major white cement producer in Italy is
Italcementi, with a semi-dry kiln and grinding atRezzato, near Brescia, and a grinding plant at
Citavecchia, a port some 70km northwest of Rome.
Rezzato has a white clinker capacity of 200,000tpa
and cement capacity of 250,000tpa, and
Citavecchia, a white cement capacity of 100,000tpa.
Estimated total white cement production in 2002
was 285,000t, of which nearly 90 per cent was sold
in the domestic market. Italcementi produces three
different white cement products a type I
(Italbianco), and two composite type II cements
Roccabianco, with a 80-94 per cent white clinker
constituent and Aquila Bianca, with a 65-79 per cent
white clinker constituent).
Colacem produces white cement at its Ghigiano
plant in Umbria. Estimated production in 2002 was
90,000t, across both type I and type II white cement
categories. Lafarges Tavernola grinding plant
produced around 75,000t in 2002. It is located in the
north Italian Alps and fed with clinker from Le Teil in
France.
Total white cement production in 2002 is
estimated at 450,000t in Italy. Imports are relatively
small about 25,000t in 2002, predominantly from
Turkey, Spain and Denmark.
BelgiumCBRs Harmignies plant, owned by Heidelberg, is the
only white cement plant in the Benelux countries.
Harmignies is a wet-process plant, operational since
1961. Its estimated white cement capacity is around
200,000tpa, although actual production in 2002 is
estimated slightly higher at 235,000t. Historically,
this plant has been a major exporter to mainly
Germany and USA (Lehigh White, in which
HeidelbergCement is the major shareholder), plus
smaller amounts to France and Africa. Exports
represent as much as 70 per cent of total sales.Located near the French border, Harmignies offers
four products CEM I 42.5 and 52.5, CEM II 42.5,
and a waterproof CEM I 42.5. Mean brightness of
these products is in a range of 82-86 per cent.
GermanyWhite cement has been made at Dyckerhoffs
Amoneburg plant near Wiesbaden since the early
1930s. White cement capacity and production isestimated at around 75,000t in 2002.
Germany is a net importer of white cement,
originating predominantly in neighbouring Belgium
and Denmark, with small amounts from Turkey.
Estimated levels of white cement imports are around
200,000t, significantly more than the official statistics
suggest.
DenmarkAalborg Whites facility at Aalborg has the second
largest white cement capacity of all global white
cement locations. The company is part of Aalborg
Portland, which in turn is 100 per cent owned by
FLS Industries. In 2002, the decision was taken to
increase white cement capacity at this site from
620,000tpa to 850,000tpa by converting another
semi-wet kiln from grey to white cement
manufacture. This kiln conversion at the cost of
DKK200m is expected to be operational before the
end of 2003 and will mean that five kilns dedicated
to white will produce at this site. Aalborg is located
on its own deepwater harbour on the River Limfjord.
Long established as the worlds largest exporter
of white cement, Aalborg claims to export to over 70
countries. Since Aalborg White developed new
production facilities in Egypt and Malaysia, there is
likely to have been a refocusing on export markets
supplied from Denmark. It is estimated that around
575,000t of white cement was produced at Aalborg
in 2002, with over 500,000t exported. Main export
markets are USA around 130,000t (Aalborg white is
a minority shareholder in Lehigh White 24.5 per
cent), UK (around 80,000t), Germany (around
50,000t) and most other European countries. Further
afield Aalborg has also been a significant exporter to
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Africa, parts of South America and the Caribbean,
and the Middle East. In total around 80 per cent ofAalborgs sales are in bulk. Aalborg product is CEM I
52.5N only, and meets local standards in all of the
markets that it supplies.
SlovakiaHolcims plant at Rohoznik, near Bratislava, is part of
its network of Central and Eastern European white
cement locations. It has a clinker capacity of
150,000tpa, and cement capacity of 160,000tpa. In2002, Rohoznik produced around 120,000t of white
cement, of which less than 10,000t was consumed in
the domestic market. Around 110,000t was exported
within the region.
RomaniaThe Turda cement plant in Romania is now the
countrys only white cement production facility.
Acquired by Holcim in 1997, this dry-process plant
has a white cement capacity of 100,000tpa. It is
estimated that 2002 production was around 60,000t.
Turda produces only a composite white cement
Type II A42.5b with a maximum limestone
constituent of 15 per cent. It is understood that the
Comarnic works no longer produces white cement.
Late-2003, Holcim announced a 30m investment
programme for its Romanian white operations.
PolandHolcim also owns Wejherowo cement in Poland. This
small wet-process white cement plant has a cement
capacity of around 40,000tpa. However in 2003 the
plant reportedly produced no white cement.
BulgariaThe Italcementi owned Devnya Cement, located
close to the Black Sea port of Varna, commenced
production of white cement in late 2002. The
company reports that there will be an annual
capacity of 50,000t of white cement.
RussiaHolcim lists Shcurovsky cement (part of Alfa group)
as an associate company. This plant is still believed to
be wet-process with a white cement capacity of
around 40,000tpa although a number of years ago
the feasibility of a major upgrade was looked at. Arecent reference was made to production levels
approaching 200,000tpa, but this has not been
substantiated.
OthersFor the purposes of this report both Turkey and
Greece will be looked at in the Mediterranean
section.
Of the countries in Europe that do not have anywhite cement production units, the UK is the most
notable. Production in this country ceased in the
1980s with the closure of Blue Circles Swanscombe
works. Another plant to cease white cement
production in 1997 was Istra Cement, owned by
Heidelberg, in Croatia.
The Mediterranean is the area from North Africa
around the Mediterranean Sea to Greece. In terms of
output it accounts for 14 per cent of the world total.
GreeceThere are two white cement producing locations in
Greece Titans Elefsis plant and Lafarges Volos
plant. Neither of these are dedicated white cement
plants. Elefsis plant has a white cement capacity of
130,000tpa and in 2002, it is estimated that around
110,000t were produced. Volos plant which came
into Lafarge ownership when it acquired Blue Circle
in 2001, has white clinker capacity of 115,000tpa,
and white cement capacity of 90,000tpa. Estimations
show a 60,000t production in 2002.
Exports from Greece are in the order of
80,000tpa, with major markets being Algeria, Israel
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and Morocco. Imports are under 10,000t, and
mainly from Turkey.
TurkeyThe largest white cement production facility in terms
of potential capacity in the world is imsas Mersin
plant. imsa is 90 per cent owned by Sabanci Group.
White cement production was first established at
Mersin in 1990, utilising a new second production
line designed to be interchangeable between grey
and white. This Plant IIs capacity is 1500tpd white
clinker or 2200tpd grey clinker. After sales of white
cement grew strongly throughout the mid-1990s,
both in terms of domestic and export sales, a further
line was added at the end of 1999. This Plant III is
dedicated to white cement production, and fully
automated. White clinker capacity is 500,000tpa.
imsa uses Plant III for the majority of white cement
production, augmented by Plant II. The cost of the
new line was reported to be US$62m and was
supplied by FLSmidth. Total white clinker capacity at
Mersin would be 1Mta and white cement capacity
1.1Mta, assuming full utilisation of both lines. It is
estimated that 2002 white cement production was
around 580,000t, with domestic sales of 180,000t
and export sales of 400,000t. Additionally, some
white clinker is exported (approaching 50,000t).
imsas works is located only 7km from Mersin
port, which has deepwater facilities that can handle
up to 40,000t ships. The low cost structure of the
Mersin works (particularly when compared to much
of the older and high cost white cement capacity
elsewhere) has given imsa scope to market white
cement aggressively in export markets, with a
declared objective of becoming the worlds leading
white cement producer and exporter. Main export
markets in 2002 included Spain (around 140,000t),
Israel (over 50,000t), Syria (around 40,000t), USA
(around 25,000t) and Canada, and North Africa.
Further penetration of export markets is expected in
2003. Imports to Turkey are mainly from Spain (just
over 20,000t in 2002). This was regarded as a
retaliatory market response by Cemex, Spain to
imsa establishing white cement import operations
in Spain.
imsa has also established itself as the leading
producer within the Turkish market where it has a
competitive advantage compared to the other
producers in terms of both cost and quality. The
whiteness of imsa white cement is claimed to be a
minimum of 85 per cent, ahead of other Turkish
producers.
Figure 4 White cement plants in the Mediterranean
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The largest of the other Turkish producers is Set
owned by Italcementi) at Trakya Cimento, close toIstanbul. This is a wet-process plant with 90,000tpa
capacity and estimated sales in 2002 of around 70,000t.
Adana Cimento, with claimed whiteness of product
between 80-84, is a dry-process plant with white
cement capacity of 60,000tpa, and estimated 2002
production of 40,000t. Baticim, at its Batisoke plant, has
produced white cement in the past, but in relatively
small quantities. Total Turkish white cement production
in 2002 is estimated as approaching 700,000t.
LebanonThe only remaining white cement producer in
Lebanon is Socit des Ciments Blancs (in which
Holcim has a controlling interest via its holding in
Socit des Ciments Libanais). It has an estimated
cement capacity of 150,000tpa, and in 2002 it
produced around 80,000t. The plant is located at
Chekka, north of Beirut.
The other white cement plant in Lebanon,
Cimentire du Moyen ceased production of white in
2000 when it was converted by Seament, the
majority owners, to grey cement production. This
70,000tpa capacity plant had been producing close
to 50,000tpa. The main export destination forLebanese white cement is Syria. Around 30,000t was
exported in 2002.
EgyptThere are three white cement production locations in
Egypt. The largest and most recent one is Sinai
White Cement, which only went into production at
the end of 2001. The 410,000tpa plant has been
built adjacent to the Sinai Cement grey plant. Theproject began in 1999, with the main shareholders
being Aalborg White (38 per cent), Danish
Industrialisation Fund (11 per cent), Sinai Cement
(20 per cent) and ASEC (10 per cent). For Aalborg
White the investment gave the opportunity to build
new capacity in the Middle-East to complement its
existing major production base in Denmark, and also
to improve its competitive position, in Middle-East
markets, that had deteriorated in recent years. In
March 2002, Aalborg White acquired a further seven
per cent of shares in Sinai White, giving them, in
conjunction with the Danish Industrialisation Fund,
majority ownership.
Total project cost was reported as being around
US$75m. ASEC was given full turnkey responsibility
for the project, with FLSmidth acting as engineers
and main equipment supplier. Exports began in mid-
2002 from El Arish port on the Mediterranean after a
considerable investment in logistics. In addition, it
has been reported that by the end of 2002, Sinai
White had also secured a 40-45 per cent market
share of the domestic Egyptian market. Total 2002
sales by Sinai White are estimated as approaching
200,000t, and likely to continue increasing steadily in
2003. Exports are also anticipated in the future into
the Red Sea and beyond possibly through Port Suez,
to Eastern Africa, and the Middle-East including the
Gulf, Saudi Arabia, Yemen, and possibly also the
west coast of India.
The other two production locations are owned
by ASEC Helwan. El Menya in Upper Egypt is a dry-
process white cement plant, commissioned in 1990,
with a capacity of 220,000tpa. Additionally, there are
two small wet lines at the Cairo works with a
combined white cement capacity of 90,000tpa. It
Sinai White Cement, Egypt
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had been anticipated that these two lines, dating
back to the early 1960s, would be likely to closewith the onset of Sinai White. Total ASEC Helwan
production in 2002 is estimated around 230,000t.
Including the Cairo works, total white cement
capacity in Egypt is 720,000tpa. A traditional export
market has been Saudi Arabia (around 16,000t in
2002) although exports will now grow substantially
due to Sinai. A small amount of imports in recent
years have come from Turkey (around 5000tpa).
TunisiaFeriana Tuniso-Algerian company (SOTACIB) is the
only white cement producer in Tunisia. In 2001, it
produced 248,000t of white cement and it is
estimated similar production levels were recorded in
2002. The company is a joint-venture between the
Tunisian and Algerian governments. While being
regarded as having poor access to port facilities it
is located 250km from the nearest ports exports to
Algeria and Libya in particular are around 80,000tpa.
MoroccoLafarge Maroc has an 80,000tpa grinding plant for
white cement at Bouskoura, south of Casablanca.
Coastal-based, there may well be potential to supply
clinker from Lafarges Volos plant in Greece.
Estimated 2002 white cement production is 60,000t.Additionally, imports are around 70,000tpa from
Spain, Turkey, and Greece predominantly.
OthersWith the economic situation in Libya improving, and
inward investment looking likely to grow, there is a
strong likelihood that white cement capacity will
come on-stream around the middle of the decade.
There is a white cement plant included within
planned projects this would be ca. 200,000tpa.
White cement capacity in the Middle East has more
than doubled to 2.1Mta over the past decade. The
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Figure 5 White cement plants in the Middle East
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relative output performance of the region is poisedfor growth. The key producing nation is Iran, which
accounts for around three-quarters of output capacity.
IranIran has built a substantial production base for white
cement since the mid-1990s. Overall white cement
production capacity is estimated at over 900,000tpa.
Four of the five plants have gone into production
since 1995, and the Iranian white cement industry is
regarded as highly efficient and with a low cost base,
giving it the opportunity to be highly competitive in
terms of exports within the region, and further
afield. Total production in 2002 is estimated as
approaching 600,000t.
Saveh Cement is the largest producer, with two
500tpd white lines built by FCB in 1995 and 2002.
Saveh is 50 per cent owned by the Iranian
government with the remainder owned by other
public bodies. It has a claimed brightness of over 92
per cent for its white cement a high level of purity
compared to most producers. The plant is located
160km south west of Tehran, and despite being
800km from ports, has established a strong export
base. Capacity is around 350,000tpa and estimated
sales in 2002 were 230,000t.
Neyriz Cement that started operation in 1997
has a white cement capacity of about 150,000tpa. In
2002, it is estimated to have produced just short of
100,000t of white cement, similar to 2000, and
above 78,000t produced in 2001, when sales were
affected by the Indian anti-dumping actions. Overall
exports in 2002 were nearly 30,000t, mostly within
the region. Main sponsors of Neyriz are Fars and
Khuzestan Cement as well as the Iranian Bank
Saderat. Whiteness levels are in excess of 91 per
cent. Neyriz is located in southeastern Iran, 240kmfrom Shiraz.
Uremieh Cement is only 50km from the Turkish
border in northeastern Iran. The plant, which cost
around US$70m, came on-stream in late 2000. With
estimated capacity of 180,000tpa, production levels
were reported to be 120,000t in 2001, and are
estimated to have been 135,000t in 2002. Despite
being 1200km from the nearest port, exports
represented around 30 per cent of 2001 output.
It was reported in early 2002, that another white
cement plant at Benvid White Cement was due for
completion in mid-2002. It is located near to Esfahan
and has a capacity of 500tpd. This would give an
annual capacity of around 180,000t.
Prior to the rapid increase of white cement
capacity in Iran, the only production facility was at
Shemal Cement, which came on-stream in 1980.
This wet-process facility has capacity of around
70,000tpa 2002 production was estimated to be
60,000t, of lower grade pozzolanic white cement,
only suitable for the domestic market.
IraqThe Falluja II plant of the Iraqi Cement State
Enterprise was established in 1978. It has a rated
white cement capacity of 290,000tpa, although
production is estimated to have been no more than
around 20,000t in the late 1990s. It is believed that
the plant was not producing in the lead up to the
most recent Gulf War.
Saudi ArabiaSaudi Arabia, although a large consumer of white
cement, only developed its first white cement
production facility recently, when the Saudi White
Neyriz White Cement, Iran
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Cement Company came on-stream in 2001. With a
700tpd white cement kiln located at Al-Muzahimiyah, its cement production capacity is
around 210,000tpa. In 2002, it produced around
155,000t, nearly all of which was consumed on the
domestic market.
Traditionally, imports to Saudi Arabia have come
from Turkey, Denmark, and UAE. Imports in the
period 1998-2002 averaged nearly 200,000tpa.
KuwaitThe Kuwait Cement Company started producing
white cement in 1979 and in 1999 converted
another mill from grey to white grinding. Estimated
white cement capacity is now 190,000tpa and 2002
production is estimated at around 80,000t. Clinker is
imported.
Jordan
Arab Company For White Cements Khaldiya plant is
located 50km east of Amman. It started production
in 1985, and is a dry process 380tpd kiln. Estimated
cement capacity is around 115,000tpa, and
estimated production in 2002 was around 110,000t,
with around 45,000t exported.
United Arab EmiratesThe Ras Al Khaimah (RAK) Company for White
Cement started production in 1986 and upgraded to
a cement capacity of 450,000tpa in the mid-1990s.
RAK is one of the largest stand-alone white cement
companies. It is located near the port of Mina Saqr,
ideally placed close to the Straits of Hormuz at the
entrance to the Arabian Gulf.
Estimated production in 2002 was close to 400,000t
with exports representing some 75 per cent of the
total.
RAK has over the years developed a strong
export base throughout the Middle-East, and further
afield including USA, Africa and the Indian Sub-
continent. In 2001, RAK had anti-dumping duty
imposed on it by the Indian Government, although it
was lifted after three months. RAK has aggressively
marketed white cement for export, and in some
cases has replaced Aalborg White cement in certain
markets.
Asian markets, excluding China, has a 10 per cent
share in global output figures. Key producers are
India and Thailand, but these are dwarfed when one
takes China into account with an estimated capacity
of 2.6Mta.
PakistanThere are two existing white cement plants in
Pakistan, with a third expected to come on-stream in
2004. Existing capacity is around 85,000tpa, and
2002 production was close to capacity at 81,000t.
Anwarzaib White Cement came into production in
1989 with an Onoda manufactured 50,000tpa kiln.
Cement capacity is also rated at 50,000tpa, and in
2002 production is estimated at 45,000t. The Bholari
plant is situated in Sind-Hyderabad region. The other
existing producer is Maple Leaf Cement Companys
wet process white cement plant at Iskanderabad
there are two small wet kilns dating back to 1967
and 1973 with a combined capacity of 30,000tpa.
2002 production was 36,000t. Production from both
plants is consumed within the domestic market.
Kohat Cement recently announced the intention
to set up a white cement plant with a production
capacity of 300tpd on the same site as its existing
grey cement plant at Kohat-Rawalpindi. Expectation
is that the plant will go into commercial production
in mid-2004.
IndiaThe Indian white cement sector has two modern and
efficient plants both located close to each other in
Rajasthan, in northwestern India. Grasim, the largest
overall India cement producer, established white
cement activities, under the Birla White name in
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1988, in technological association with Onoda. Its
initial capacity was 80,000tpa, and a second line was
added with technology from Nihon Cement in 1986.
The company has an existing clinker capacity of
380,000tpa and cement capacity of 400,000tpa. In
2002, it produced around 280,000t, with just over
10,000t exported, mainly to the Middle-East and
smaller amounts to Sri Lanka and other parts of Asia.
The other main producer is JK White, also a grey
cement producer. JK started in white cement in 1984
with a 130,000tpa plant supplied by FLS. Its clinker
production capacity is now reported to be
300,000tpa after a number of upgrades. In 2002, it
produced around 185,000t, with 8000t exported.
Travancore Cement in Kerala is not believed to
still produce white cement. It has a 1950s small wet-
process plant and used to produce around
30,000tpa. Another plant Nihon Nirmaan near
Jodhpur in Rajasthan commenced production in the
early 1990s but suffered major financial losses and
went into BIFR (similar to US Chapter 11) in 1997.
Despite revival packages being put forward, and
interest shown in taking the plant over by Aalborg
and other Indian producers nothing firm appears to
have materialised. This plant was not believed to be
producing in 2002.
With the location of the two Rajasthan plants,
the western coastline of India from Mumbai
downwards has often been seen as a potential point
for imports. Imports in recent times have come from
Iran and UAE, and in 2001 resulted in a temporary
imposition of anti-dumping import tariffs. In effect,
imports have to date not been hugely significant in
volume terms, although the changing competitive
forces in white cement are likely to lead to major
players such as Aalborg White looking to penetrate
parts of the large Indian market.
BangladeshThere are reported to be two small white cement
plants in Bangladesh both owned by Nitol Group
with a manufacturing capability of 60,000tpa the
second at Jessore was inaugurated in 2002. The
independence and manufacturing extent of these
units has not been established. A 2002 press report
mentioned that Nitol was seeking to obtain white
clinker from Grasim in India, while in January 2003,
this was confirmed when it was announced that
Nitol would manufacture Birla White cement using
clinker and technical support from Grasim.
Another reported initiative was Siam Cement
and Siambangla, a company within the Meghna
Figure 6 White cement plants in Asia
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Group, signing a joint venture agreement to
produce white cement in Dhaka, according to theDaily Star of Bangladesh. This proposed 60,000tpa
would presumably be a grinding operation.
Production of white cement in 2002 is estimated
at 20,000t. Imports into Bangladesh were reported
to be around 25,000t in 2002, some via
HeidelbergCements Scancement import terminal.
Malaysia
The only white cement company in Malaysia, RockChemical Industries (RCI), was acquired by Aalborg
White in May 2000. The decision to acquire 60 per
cent of RCI was based on Aalborgs objective to
establish a regional manufacturing base in Asia. The
plant at Ipoh, 200km north of Kuala Lumpur, had a
capacity of around 50,000tpa this has now been
increased to over 200,000tpa, with a new 500tpd
line, provided by FLSmidth, which came on-stream in
late-2002.
Aalborg White Asia has supplemented this
production facility by other commercial activities
including a joint-venture with Siam Cement of
Thailand to supply white cement to Taiwan, the
purchase from Blue Circle and closure of the
Philippines only white cement plant, Premier, and a
variety of other country specific initiatives within the
region. Estimated production in 2002 was 60,000t,
with the expectation of considerable growth to
2005, now that the new capacity is in place. Much
of this growth will come through increased exports
from Malaysia within the region.
VietnamAccording to an Aalborg White report, current white
production in Vietnam is around 150,000tpa from
two plants. While one of the production plants is
Haiphong, no information has been established
about the other facility. The Vietnamese government
has indicated that white cement would be granted
special investment licenses in terms of foreign direct
investment.
ThailandThere are two white cement production facilities in
Thailand. Siam White Cement is the major producer
of white cement in Thailand. Based near Saraburi at
Khao Wong, the company was established in 1971,and has a clinker production capacity of 156,000tpa,
but only dedicated white cement capacity of
140,000tpa. The joint-venture with Aalborg White is
an opportunity for Siam White to leverage its
presence further in the region. Estimated production
in 2002 was 140,000t. The other producer noted is
Universal White, also in Saraburi, with a 70,000tpa
clinker capacity. Estimated output is 60,000t.
Exports from Thailand increased dramatically in2002, with over 100,000t to the USA.
IndonesiaHeidelbergCements Indocement complex at
Citeurup produces white cement. It has clinker
capacity of 200,000tpa, and in 2001 produced
118,000t. In 2002, it is estimated that production
levels were 130,000t. Domestic sales were just over
100,000t, with the remaining 20,000t plus exported
within the region, and to USA.
South KoreaThere is one white cement producer Union
Cement. A subsidiary of essentially a chemical
company it is not involved in grey cement
manufacture. It has a cement capacity of 170,000tpa
at its Chongju plant commissioned in 1981.
Estimated production in 2002 was 100,000t, with
exports made in the region and also to South
America.
TaiwanUntil recently there was one white cement producer
in Taiwan Taiwan Oil Corporation. Production from
this 20,000tpa plant has gradually dwindled from
13,800t in 2000, to only 1500t in 2001. In 2002,
less than 1000t was produced and it was reported as
likely that the plant would close down. Imports come
predominantly from Indonesia (7000t in 2001) and
small amounts from Japan and South Korea.
JapanThe Japanese white cement industry has been in
long-term decline since the 1980s. A number of
capacity rationalisations took place in the mid-1990s
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Reasons for this significant fall include
apparently a wide increase of cheaper counterfeit
materials masquerading as white cement these are
generally blended materials containing as little as 20-
30 per cent white cement (bought from the
producers) mixed with limestone and other additives
as well as other decorative cements. These
materials are not included in the output estimates of1.5Mt above but their effect on overall market
demand is discussed in the Consumption section of
this report. Output of these materials is estimated to
be around 1.2Mt, which would give an estimate of
output in a wider definition of white cement as
around 2.7Mt in 2002.
The effect of this reduction in white cement
output has been for some white cement producers
to exit the sector and to switch to production ofother products. Research indicates that there are still
around 110 white cement production locations
across China with a potential output capacity of over
2.5Mta. These are mainly small- and
medium-size units, although there are
some larger-scale factories such as
Guangxi Hengxian Special Cements
that has an output of around
250,000tpa. A feature of many of
these units is that they are not
dedicated to solely white cement
production.
In terms of the question of what
constitutes white cement the Chinese
market has the most question marks.
A number of definitions are reported
to apply.
between Onoda, Chichibu, and Nihon. Clinker
capacity of white cement is reported as 307,000tpa
by the Japan Cement Association, although white
cement production in 2002 was only less than
80,000t. The only remaining producer is regarded as
being the Kitakyushu plant. No imports to Japan
were recognised and exports are of the order of
6000tpa, mainly to Hong Kong.
ChinaChina is the largest white cement producing nation
in the world estimates of its total output in recent
years have fluctuated considerably between 1.5 and
3Mt. As part of this report, research in the Chinese
market was commissioned by International Cement
Review. Some of the key findings in terms of output
are as follows:Output of a close definition of white cement
has actually fallen from a high of 2.6Mt in 1995 to
estimated levels of around 1.5Mt in 2002.
Table 7a Whiteness of Chinesecement
Class Whiteness
value
Special class 86
First class 84
Second class 80
Third class 75
Table 7b Distribution of outputacross whiteness categories
Class Tonnage Share in
(000tpa) output (%)
Special class 70-80 6
First class 300 20
Second class 1050 70
Third class 60-70 3
Table 7c Product classification for Chinese
white cement
White cement quality Whiteness class Grade
Best quality special class 625525
First quality first class 525
425
second class 525
425
Accepted quality second class 325
third class 425
325
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Table 8 Chinese white cement production capacity
Plant location Province Capacity (000tpa)
Anqing Anhui 100
Chichou Julong Anhui 80
Chongqing Tenghui Chonqing 30
Chongqing Feixue Chonqing 20
Wuping White Fujian 50
Daxinshan Guangdong 50
Guangzhou Huihua Guangdong 30
Shenzhen Dapeng Guangdong 30
Guangxi Heng Guangxi Huang 250
Baoding Deyuan Hebei 80
Shijiazhuang City Hebei 50
Baoding Ziheng Hebei 50
Mudanjiang Duocai Heilongjiang 35
Hebei Xinghua Hubei 80
Hubei Hongqi Hubei 22
Hunan Loudi Hunan 30Nanjing Yinjia Jiangsu 150
Suzhou Guanghua Jiangsu 100
Nanjing Kunyuan Jiangsu 100
Jiangxi Fenyi Jiangxi 50
Yejin White Jiangxi 30
Jiangxi Shanggao Jiangxi 15
Jiangxi Xinfeng Jiangxi 15
Chifeng Danfeng Neimenggu 60
Ningxia Shizuishan Ninxsia 30
Zibuo Yunhe Shandong 90Zhaoyuan Jinhua Shandong 50
Wendeng Dafang Shandong 40
Luoping City Shandong 30
Shanghai White Shanghai City 80
Shanghai Baolong Shanghai City 50
Licheng Zhenhua Shangxi 80
Shanxi Yao Shanxi 30
Guanghan Sichuan 50
Xinjiang Tunhe Xinjiang 50
Kunming Yunnan 30
Yuyao Zhenxiang Zhejiang 50
Changxing Huxing Zhejiang 40
Changxing Xingming Zhejiang 30
Zhejiang Lanxi Zhejiang 15
unspecified-others 400
TOTAL 2652
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Whiteness of white cement is divided into special
class, first class, second class and third class, and thewhiteness of each class should not fall below the
numerical value listed in Table 7a.
Research indicates a distribution of output across
the whiteness categories as shown in Table 7b.
In terms of product classification, the products
are divided into the best quality, first quality and
accepted quality in the following way.
Production of Chinese white cement is reported
as being mainly concentrated in Henan, Guangxi,Jiangsu, Guangdong, Hunan, Shandong provinces -
white cement outputs from these six provinces
represent around 70 per cent of the total production,
with Henan being the most significant province.
Identified white cement producers are shown in
Table 8.
Exports of white cement have risen considerably
from mid-1990s levels of around 50-60,000tpa. In
2002, after Chinas entry into WTO during 2001,
exports were 137,000t at an average price of
US$52/t according to Chinese customs statistics.
Main destinations of exports were East Asia, EAC,
and Hong Kong, Macau and Taiwan. Imports are
negligible at around 1000tpa.
AustraliaThe Cement and Concrete Association of Australia
reports that there is no white cement production in
Australia and that imports are in the range of 12-
15,000tpa. However, it should be noted that an off-
white or cream cement is produced and used in
applications such as roof tiles, mortars, and masonry
products. This off-white cement was developed by
the Australian industry to reduce reliance on
imported white cement.
All of the Australian cement companies produce
off-white cements. Blue Circle Southern Cement,
owned by Boral, has a wet-process kiln at Maldon,
on the outskirts of Sydney. This plant producing off-
white cement only, has a clinker capacity of
180,000tpa and a cement capacity of 200,000tpa. In
2002, it produced around 150,000t of off-white
cement. Adelaide Brighton also produce an off-white
cement at its Angaston works in South Australia.
Sunstate Cement, a joint-venture between Adelaide
Brighton and Boral, grinds an off-white cement at
its works near Brisbane. Cement Australia, the newlyformed entity from the merger of Queensland
Cement (Holcim) and Australian Cement, produces
off-white clinker at its Rockhampton plant in
Queensland.
Latin America has relatively limited white cement
production capabilities when compared with most of
the world. Mexico forms the major exception to this
and is an important international player.
MexicoCemex is the largest producer in Mexico, with three
white cement facilities. The Tepeaca plant (Tolteca)
has an estimated white cement capacity of just
under 200,000tpa, and in 2002 produced close to
that figure. The Monterrey plant has an estimated
capacity of 100,000tpa, similar to its production in
2002, and Ciudad Valles has a capacity of
165,000tpa and an estimated 2002 production of
160,000t. The estimates would suggest that each of
the three Cemex plants has high capacity utilisation.
Total Cemex production is estimated to be 450,000t
from its Mexico facilities.
There are two other established white cement
producers in Mexico. Cementos Portland Blanco de
Mexico, acquired by Lafarge in 1999 the Vito plant
has a capacity of 80,000tpa of white cement and in
2002 it is estimated that the plant produced around
70,000t. The other company is Cruz Azul at Lagunas
near Hidalgo white cement production started in
2000 when a kiln line was converted from grey to
white clinker usage. Estimated production capacity is
120,000tpa and 2002 white cement sales of around
100,000t were achieved. In 2001, Apasco (Holcim)
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LATIN AMERICA
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PROFILE
White cement inColombia
Cementos del Nare SA is part of the Argos
Group, one of the most important
economic groups in Colombia. During the
last six decades it has been leading the production of white cement and lime in thecountry. Cementos del Nare offers several types of white cement such as Type I, Type
IM, Type III, Masonry, Antique, and Colour Cements, all of them with high resistance
and high colour levels of world standards.
In the case of its white cement, the installed
production capacity is 250,000tpa, a quantity
that satisfies the domestic demands as well as
foreign markets, exporting to more than 20
countries.
The company is certified in its production
process under Norm ISO 9001 version 2000 in
the elaboration of white cement and lime. Assessments have been made to guarantee
high standards of resistance and colour consistency of Nare white cement, which abide
to regulations NTC 1362 and ASTM C - 150, depending on the application and the
target market.
The main objective of Cementos del Nare is to promote new
uses of white cement in Colombia:
n white and clear tones of concrete
n precast columns, bracket balusters, sills, wells, large tables,
bar counters, coloured concrete tiles, items for urban
furnishings and practically any construction item
n precast elements in white cement for floors (tiled terraces,
coloured, cobblestones, floor slabs, precast siding panels,
concrete blocks, side plating with slabs)
n mortars and coverings
n white cement based paints
n thin set and grouts
Cementos del Nares white cement has been the protagonist in
great architectural and infrastructure works (see photographs).
Its history and social presence are the best proof that, with
work and hope, the company actively takes part of Colombia's
progress. Quality is a contribution to the construction of a
better future.
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announced that plans had been initiated to
construct a white cement plant at its Apaxcaplant. The level of progress on these plans is
not clear, although it would be unsurprising
for more capacity to come on-stream in
Mexico.
The main export market is USA with
nearly 200,000t being exported in both
2001 and 2002. A high proportion of these
sales are from Cemex to its US minority
interest, Lehigh White (24.5 per cent ofequity).
BrazilThere are two white cement producers in
Brazil. The established Votorantim wet-
process facility at Iraja in Sao Paulo state is
estimated to have a production capacity of
80,000tpa. Estimated 2002 sales were in the
order of 75,000t. A new white cement plant
came on-stream in 2001, at Camargo
Correas Pedro Leopoldo plant where a
production line was converted from grey to
white. Krupp Polysius modified equipment,
including the preheater and silo, as well as
supplying the engineering, the burner and the cooler,
in order to convert the 800tpd grey cement kiln line
to 400tpd of white. Estimated capacity therefore is
around 120,000tpa, although it is unknown how the
plant is performing in terms of output. Small
amounts of imports come from Mexico and the
export trade is yet to be developed significantly.
Cimento Cau at Pedro Leopoldo is a reasonably
significant producer of ground granulated slag
however, and its presence may have depressed
demand for white cement in Brazil.
ColombiaCementos del Nare, part of the Argos Group, is a
reasonably large white cement producer. Its white
cement clinker capacity is 200,000tpa and cement
capacity of 250,000tpa. In 2002, it produced over
180,000t of white cement, including 70,000t for
export. It has four wet-process kilns and four
dedicated mills. Export markets include the USA and
the Caribbean.
Another plant used to produce white cement
Cementos Hercules is situated close to Bogota. It is
not known whether this plant, with a white cement
capacity of around 30,000tpa, is still in operation.
VenezuelaThe Cemex owned Venezolana de Cementos has a
white cement production capacity of an estimated
75,000tpa. Estimated 2002 sales were 70,000t, with
a majority of these materials being exported through
Cemex trading activities.
Dominican RepublicHispano Dominica de Cemento Blanco (HDCB) has a
28,000tpa white cement grinding facility near the
capital Santo Domingo. Its 2002 estimated output
was 15,000t.
CubaThe government-owned Cementos Cubanos
produces white cement at its Siguaney plant that
came on-stream in the mid-1980s when Onoda
Figure 7 White cement plants in Latin America
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carried out kiln conversions. The unit has a installed
capacity of 100,000tpa, but output in recent years
has been in the 20,000-30,000tpa range. The Cuban
government remain keen to bring in an international
partner to this operation with a view to modernising
and refurbishing the plant, as well as developing
export sales.
UruguayCompania Nacional de Cementos produces small
amounts of white at its wet-process plant 100km
from Montevideo. 2002 production is estimated at
around 5000t.
PeruAgregados Calcareos, a quarrying and mining
company, has a 90tpd plant in which it produces
white cement both for the Peruvian market and
neighbouring countries. White cement capacity is
estimated at 25,000tpa, with output below the
10,000t mark in 2002.
BoliviaEmpresa Minera Industrial (EMISA) now part of
the Soboce Group (in which CDC has a 44 per cent
interest) has traditionally produced small amounts
of white cement for the domestic market (around
2000-3000tpa).
In the US, the white cement production base shows
similarities, albeit in a much more extreme manner,
to the grey production facilities in that works are
generally old. Investment in new capacity remains
limited.
INDIVIDUAL PLANT REVIEW BY COUNTRY
NORTH AMERICA
Canada
There is one white cement producer in Canada.
Federal White Cement Ltd began operations in 1979
in Woodstock, Ontario, with the startup of a new
dry preheater 185,000tpa kiln for the sole purpose
of producing white cement (Federal does not
produce grey cement). This was Canadas first white
cement plant, but more importantly, it was radically
larger and more cost efficient than any of the
existing US white cement facilities. American white
cement kilns typically were old, small long dry- or
wet-process kilns that had been converted from grey
cement production. The three white cement plants
that currently operate in the United States are all of
this type. Being more efficient than American
competitors, the structure of the North American
white cement industry changed significantly as a
result.
In 2001, Federal brought on-stream a new kiln
with capacity of 900tpd or about 300,000tpa. Of
further interest, the plants components were
specially designed to allow the kiln to be expanded
to 2000tpd or 660,000tpa at a later stage. Current
milling capacity is 500,000tpa, and prior to the new
kiln coming online, white clinker was bought in,
most notably from Turkey, particularly in 1999. In
2002, it is estimated that Federal produced around
300,000t of white cement.
Canada is the largest exporter of white cement
to the USA. US Customs data for 2001 reported that
213,000t of white cement were imported from
Canada, with similar levels in 2002. In 2001, Canada
imported 14,000t of white cement, making it a net
exporter of 200,000t.
USALehigh White Cement operates two white cement
plants in the United States at York, Pennsylvania,
and Waco in Texas. Each plant has one small, wet-
process kiln in service since the 1960s. Estimated
capacity for the two plants together is 170,000tpa
white clinker and 190,000tpa white cement. In
2002, it is estimated that the two plants together
produced around 185,000t. Waco came into
Heidelbergs ownership in 1980, and York in 1982 as
part of its acquisition of Medusa.
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Lehigh White Cement is a joint venture of
HeidelbergCement (51 per cent), Aalborg White
(24.5 per cent), and Cemex (24.5 per cent). Like
Federal White Cement, Lehigh White Cement
distributes its product throughout North America.
Local production from these two plants is
supplemented by imports into strategically located
import terminals down the East Coast, Texas and in
California. A high proportion of these imports come
from the joint venture partners white cement plants
elsewhere in the world Mexico and Spain in
Cemexs case, historically Denmark in terms of
Aalborg White, and from time to time, Belgium and
Indonesia with Heidelberg.
Texas Industries (TXI) operates the third white
cement facility in the United States. The plant is
located at Crestmore in southern California, and has
two, small 40-year-old dry-process kilns with overall
white cement capacity of around 110,000tpa. In
2002, estimated sales from this plant were around
100,000t. TXI acquired this plant when it purchased
Riverside Cement from Ssangyong, Korea. Previous
owners had included Beazer, Gifford Hill and
Amc