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Kenya experiencing cement shortage

Kenya experiencing cement shortage

NAIROBI – Kenya is experiencing a cement shortage following a surge in demand at a time when the factories were shutting down for maintenance, the east African country’s producers said yesterday.

The three manufacturers – Bamburi Cement, East African Portland Cement and Athi River Mining – said the situation would normalise by mid-November. “Who could tell in January …(that) the second half would be very strong?” said Bamburi managing director Michel Puchercos.”If we had known September, October would have been so good, we would have built stocks at that time because we had capacity,” he told a news conference.Demand in the first half of 2006 was quiet due to a drought followed by a three-month rainy season, but rose 10 per cent in the third quarter, just as factories were closing down kilns for routine repairs.The three companies have the capacity to put out about 2,4 million tonnes per annum, while consumption in Kenya is only 1,6 million tonnes, Puchercos said on behalf of the East African Cement Producers Association.The retail price on a 50-kg bag of cement has increased by about 100 shillings (US$1,39) to 650 shillings.The producers said they would import clinker, a key component in cement manufacture, from producers in India and Thailand to meet the shortfall in clinker production.Clinker is produced by baking limestone in a kiln.The producers denied local media reports they were exporting to southern Sudan and South Africa.Southern Sudan is rebuilding after a long civil war, while South Africa is preparing to host the soccer World Cup in 2010.Nampa-Reuters”Who could tell in January …(that) the second half would be very strong?” said Bamburi managing director Michel Puchercos.”If we had known September, October would have been so good, we would have built stocks at that time because we had capacity,” he told a news conference.Demand in the first half of 2006 was quiet due to a drought followed by a three-month rainy season, but rose 10 per cent in the third quarter, just as factories were closing down kilns for routine repairs.The three companies have the capacity to put out about 2,4 million tonnes per annum, while consumption in Kenya is only 1,6 million tonnes, Puchercos said on behalf of the East African Cement Producers Association.The retail price on a 50-kg bag of cement has increased by about 100 shillings (US$1,39) to 650 shillings.The producers said they would import clinker, a key component in cement manufacture, from producers in India and Thailand to meet the shortfall in clinker production.Clinker is produced by baking limestone in a kiln.The producers denied local media reports they were exporting to southern Sudan and South Africa.Southern Sudan is rebuilding after a long civil war, while South Africa is preparing to host the soccer World Cup in 2010.Nampa-Reuters

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