PPC volumes fall due to ‘subdued building activity’
PPC says cement volumes were down 2%-3% and average cement prices only increased 1%-2% in Southern Africa
SA largest cement producer, PPC, said an “uncharacteristically weak” December, along with “subdued construction activity” were behind a fall in cement sales for the nine months to end-December.
The group, which also makes aggregates, readymix cement, lime and limestone, and fly ash said cement volumes were down 2%-3% and average cement prices only increased 1%-2% in Southern Africa.
PPC’s drop off in volumes followed the latest FNB/BER civil confidence index rising by one point to 18 in the fourth quarter of 2018 and remaining below 20 for the sixth consecutive quarter. The civil confidence index reflects the state of business conditions in the civil engineering industry.