The Manufacture of Cement, Lime and Related Materials in South Africa 2017

LONDON, July 17, 2017 /PRNewswire/ -- The Manufacture of Cement, Lime and Related Materials: This report focuses on the domestic and regional manufacture of cement, lime and related materials, including ground calcium carbonate (GCC) and precipitated calcium carbonate (PCC). The sector reported sales of an estimated R34.7bn in 2015 and employed more than 17,000 people.


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Demand for Limestone:
While 20.4 million tonnes of limestone was produced in South Africa in 2015, the demand for raw limestone was around 19.4 million tonnes. South Africa's cement industry uses 75% of the limestone mined annually, 9% is used by the metallurgical industry and 5% goes to agriculture. The remaining 11% of demand is used in numerous diverse industries with the manufacture of fine GCC and PCC for use in paper, paints, and plastics accounting for 1.4% of total limestone production.



Difficult Conditions:
Demand in the cement industry is lagging behind supply and the sector is characterised by intense competition with consequently pressured profit margins. By contrast, competition is relatively low among producers of GCC and PCC, and profits are healthy. However, both the cement and limestone industries are feeling the consequences of the depressed economic environment and players are waiting on improved macroeconomic conditions to drive volume growth.



Report Coverage:
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