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A n n u a l R e p o r t 2 0 1 3
Annual Report 2013
In Trinidad and Tobago, domestic demand surged in 2013
after the supply challenges in 2012 due to the 92-day strike
at TCL. Local demand was driven by increased homeowner
projects and Government infrastructure spending, a trend
that is expected to continue in 2014. TCL’s export increased
by a modest 9% as some of its traditional customers had to
be serviced from the Group’s Jamaica and Barbados plants
and CEMEX due to the increased demand in its domestic
market, coupled with some production equipment
challenges at various times during the year.
In Barbados, domestic sales decreased by 15%as prolonged
economic challenges from the global financial crisis in 2008
continued. According to the Governor of the Central Bank,
the economy contracted by 0.2% in 2013 and there was
a 12% fall in construction. By contrast, ACCL’s export
potential improved significantly in 2013, but after a period
of healthy cement silo stocks during the first one-third of
the year, exports were constrained by several production
challenges during the remainder of the year as equipment
maintenance was negatively impacted by the company’s
still tight cash position.
In the premixed concrete sector, the Readymix (W.I.) Limited
Group (RML) sold 127k cubic metres of concrete in 2013,
representing a 14% increase over the 2012 volume. The
parent company in Trinidad accounted for 94% of the
RML Group’s volume. RML remained the market leader in
this highly competitive industry in Trinidad, which similarly
experienced the construction surge in 2013 and is poised
to further capitalise on the anticipated increase in activity
in 2014.
The Packaging Group recorded a 15% increase in sack
volume sales for a total 31 million sacks. This favourable
result bears a direct correlation to the industrial action
of March to May 2012 when fewer sacks were needed
by TCL.
4.0 GROUP OPERATIONS
Clinker Production (‘000 MT)
0
100
200
300
400
500
600
700
800
Cement Production (‘000 MT)
Cement / Clinker Operations
There was significant improvement in both clinker and
cement production for the Group compared to 2012.
Clinker production of 1.5 million tonnes in 2013 was an
improvement of 15%, while cement production recorded
an 18% increase to 1.9 million tonnes. All three (3) plants
recorded improved production of both clinker and cement
as illustrated above. The need to honour all debt servicing
requirements and abide with the covenant limiting capital
expenditure to US$15 million resulted in some major
planned works at all three (3) sites being deferred. This
has had an adverse impact on plant uptime and efficiency.
The drive to conscientiously conserve energy continued
in 2013, achieving improved Specific Heat Consumption
Rates at TCL and Specific Power Consumption Rates at
CCCL.
Concrete Operations
Operating in an extremely competitive industry, RML
continued its market leadership largely through its
reputation for quality and after-sales service. During the
year, the company continued to maintain high availability
of its batching plants in Trinidad & Tobago. A new state-of-
the-art wash plant was commissioned in the first quarter
of 2013 and performed well during the year.
Packaging Operations
During 2013, Management suspended the production of
slings and jumbo bags in an effort to reduce inventory
levels, which had increased significantly due to poor
sales in the prior year. Sling production was suspended
in June and production was resumed in the latter part of
November 2013.
0
200
400
600
800
1000
The drive to conscientiously conserve energy continued in 2013, achieving improved Specific Heat
Consumption Rates at TCL and Specific Power Consumption Rates at CCCL.
Group CEO’s Report &
Management Discussion 2013 (continued)
