CCC suspends its new Kiln 5 clinker manufacturing operations

Caribbean Cement Company Limited has advised that it has suspended its new Kiln 5 clinker manufacturing operations for a 40 day period in light of the high inventories that it is carrying of both clinker and cement.

The company`s recently completed US$177m expansion and modernization program increased its cement manufacturing capacity to 1.8m tonnes per annum. However, despite an extensive program of export activities, the current

depressed domestic market and the presence of dumped imported product have resulted in lower than expected plant utilisation and a build up in inventories. A company spokesman has indicated that the suspension of the kiln operations will in no way impact supplies to the local market, as current inventories provide more than four month`s cover. The suspension of this part of the operations will significantly reduce its energy costs over the period and improve the company`s cash flows. Employees who work in that area of the plant will be proceeding on leave over the period.