Andrea Perez-Sobers
Senior Reporter
andrea.perez-sobers@guardian.co.tt
A Trinidad Cement Ltd (TCL) executive said yesterday that the Claxton Bay-headquartered cement producer is not scared of competition, if the industry opens up to other cement competitors.
This follows TCL’s price increases on February 19 of 6.63 per cent for Premium Plus and 7.69 per cent for its Eco Cement.
Minister of Trade and Industry Paula Gopee-Scoon announced three days after the decision that the quota and registration system for cement had been immediately suspended.
She added: “Cement remains on the import negative list and will continue to be subject to a licensing regime. This regime will be non-automatic and applications for a licence to import cement must be submitted to the Minister of Trade and Industry.
She also indicated that imported cement would, in the interim, continue to be subject to a 20 per cent Common External Tariff (CET) rate of duty.
Rock Hard Distributors Ltd imported cement for the T&T market but left in 2021 amid what it said were “challenges” with Government policy.
Speaking exclusively to Guardian media, at the launch of Plasta Masta a mortar mix product, at Cara Hotel, in Claxton Bay, yesterday, TCL’s general manager, Guillermo Rojo said the cement company remains open to competition as CEMEX, which is a Mexican-based company, is used to operating in a competitive market.
“We compete in Guyana, so it is not a problem for the company. We are ready,” a smiling Rojo said.
Delving deeper into the matter, sales distributor segment manager, Reshma Gooljar-Singh, said when a competitor enters the market, CEMEX TCL will have to compete and strategise ways to remain relevant in the market.
“I cannot say we will lower our price, but I am saying that we have to do what we have to do, as an organisation to compete. The cement company is already working assiduously on developing our product portfolio, we are digitalising our services. The company is also presenting valuable options to our distributors in leading the digital charge. CEMEX TCL will have to do what we must do to compete,” Gooljar-Singh explained.
About the increases and whether the cement company has seen a dip in revenue, the TCL’s general manager said it has not affected operations.
“We understand the increase we pass to the customer is not even what our cost increase is, as we have made a lot of valuable investments. So, we pass to the customer seven per cent, which honestly has not affected the demand,” Rojo said.
Plasta Masta
enters market
Rojo at the launch said Plasta Masta, a mortar mix, has been developed in collaboration with Micro Milling Ltd.
“The concept embodies some of TCL’s key strategic priorities including health, safety, innovation, sustainability and diversity and inclusion, delivering an all-in-one mortar mix that is safer and cleaner to use, conserves materials, is better for the environment and generally makes construction projects simpler for our customers and other industry stakeholders. In the future people might move from cement to this product,” he highlighted.
Rojo made it clear that the introduction had nothing to do with the increase in cement prices over a month ago, as this was in the making for three years.
Robert de Verteuil, a director of Micro Milling Ltd said that the Plasta Masta is for convenience and is a consistent product across the world.
“Instead of the traditional sand and gravel on site, with cement, mixing up the product on the side of the road, the amount of cement is not controlled, the amount of sand is not controlled, and it can lead to a lot of problems with your applications. You can have hairline cracks, you can have a weaker product. That’s where the Plasta Masta comes in as it applies smoother,” de Verteuil added.
Also speaking at the launch was Gooljar-Singh, who said that the new product was an ideal opportunity to do so as the company recognised trends in the industry that reflected a need for products that make construction projects easier and more convenient.
Singh noted that TCL’s suggested price to its distributors is $38 VAT inclusive per sack.
Packaged in 22.72 kg sacks Plasta Masta will become available at local hardware stores from this Monday.
TCL’s 2023 financial performance
TCL declared audited net income of $170.19 million for its financial year ended December 31, 2023. That was 195 per cent more than the $57.80 million the company earned in its 2022 financial year.
The company’s 2023 revenue of $2.22 billion was 8.16 per cent more than the $2.06 billion it generated in 2022.