ONE of Fiji’s major cement manufacturer Pacific Cement Limited (PCL) will temporarily cease production for the next two to three months because of a mill breakdown that occurred two weeks ago.
The company is looking at importing cement in anticipation of a potential shortage.
The mill has been riddled with downtimes attributed to breakdowns over recent years affecting production and profitability, and had resulted too in importation of cement to cater to local market demand.
Fijian Holdings Limited (FHL) – the parent company of PCL announced the temporary halt in production last Friday following the latest mill breakdown on March 12.
FHL Group CEO Jaoji Koroi said the management of their subsidiary company had swiftly taken action to airfreight the damaged mill part to Australia for machining and repairs.
“While every effort is being made to expedite the process, the mill is expected to remain out of operations for two to three months,” Mr Koroi said in a market announcement to the South Pacific Stock Exchange (SPX).
“In the interim, key stakeholders have been informed by PCL of the issue and the anticipated timeline for resuming operations.”
Mr Koroi said existing cement stock was being carefully managed and rationed by PCL.
To mitigate any potential shortage during the temporary shutdown period, he said PCL would be importing cement to meet the essential needs of key customers.
“PCL apologises for this unexpected disruption and assures all its valued customers and stakeholders that every effort is being made to restore normal operations as quickly and efficiently as possible.”
During one of PCL’s mill breakdown in 2017, the company had had to import 25,000 tonnes of cement from Vietnam to ease the increase in market demand.
In the FHL Group 2024 annual report, Mr Koroi said they were focused on remediation works at Pacific Cement, which began operation in 1962 and now had aged production equipment.
He said they had explored options to optimise cement production processes, ensuring its continued competitiveness.
He added the company had also committed to invest in a newer plant with more environmentally friendly product.
