Asbestos cement products industries in North Africa

uniYed'Nations

ECONOMIC

SOCIAL COUNCIL AND

Di s tr.

RESTRICTED

3 Maroh 1969 Original; MGLISH

w-1

4

3C0N0MIC COMMISSION FOE AFRICA

ASB3STOS CH&T PRODUCTS ■■INDUSTRIES .. .- '■■ : ■ ■..". JTQRTH AFRICA. ■..-, ..'- s :■■.

CHAPTMi ■ I CHAPTER II

CHAPTER III

CHAB-T.SE .IV

7

ANHEX I

TABLE OF

ASB3ST0S MD CHOT PRODUCTS.

INPUT RSQUIHSraTS OF ASBESTOS

SHEETS PRODUCTIOK

ASBESTOS '

..PIEB-PHODUCTIOK-..-

SITUATION OF:.,THS ASBSSTOS.^ -

CEMMT INDUSTRY - CAPACITY, PRODUCTION, TRAB2. AND .CONSUMPTION OF ASBSSTOS C3MMT

PRODUCTS

METHODOLOGY OF1 PROJECTING THEJ SUPPLY AND

'"DMANH'FOR-ASBSSTOS CMSNT PRODUCTS AND .THS.LOCATIOK S

Table 1.

Table S:

Production, demand,-.employment and investments 1960-80

Tails' 4:

Table.5:

of gross .output

of industry ISIC' rio, '339'-

Year 1964

Input structure of indus.try

ISIC no. 339 -'Year 1964 " ' ' '

Projection"'of asbestos cement produc-ts-- Local demand1 ■ ; • .

■Proposed additional;, and new pro-., duction capacities for asbestos cement production ; - ■■ --

Page

' 2'

28

1

AMSX' II-

Biblio;graphical references"

■ 9.

1.4 15'■

-98I

,i ,ij lil.lil ;i iliiiij

.

E/CH.14/XNR/154 v .■■'■■^'i

CHAPTER I

ASBESTOS MD CMWT PRODUCTS

Industry description

1, Asbestos cement products, as their name implies, are produced out

of cement mixed in water with asbestos (approximately 80 per cent cement and 20 per cent asbestos). The two principal asbestos cement products

are: c ■ -7l ■" -' '■'' >-w-^m-'

— asbestos cement sheets (corrugated or flat);. .,,,..,.„. , .,..,.,,,,-,,,

— asbestos cement pipes, _ r.,.r.'. ..,. .,..,.„ ...., ,,. r.._.. , 2, Asbestos cement sheets are used'mainly' in~corrugated form. The sheets are an excellent roofin^material and^are;' considered the best insulator against heat. Too, they are practipally, immune..to the action...

of water. Flat shee^Spa^e^alsoviiised^but, toyta^-lessef^axtent, in wall

panelling. -"■;'■■ '■• '- ■■:-^-^-^:-- "-■■: ■1-!- .'.'-1<--1 ;;;\i.1'"".'/' .'

i *; -■ . '.-■... !

3, To arrive atT^o-^i^e.t^dj^ai^:^^,^^^^^1:.^^^^^^©^!!^ iysVriat ■ a simple task, Thii^-pfbdubii^-^^^^p^repI'ac^'a^'.iiO compete, in price

or in quality^ with the more traditional roofing materials. These are the thatched roof, in traditional building, tb,e corrugated or fla..±.^ajrr-

vanized iron or alumihiu^j?oofin$. sheets--.;in ;tfee monetary economy, and

other kinds of roofing.materials, -such .a^* ;the ;clay-burn^d/;tiles and the

various slates and shingles--s-til-i in-'usjey '"c \

4. The thatched roof,., as well as,;the:.f^lj?&; «nd shinies,, do not pre

sent any serious competition1-to^ a'sBeeto's"'1 cement roofing. The thatched roof is the first str&ctura"r::"arid7" fi&c^ional/'element to' be: replaced from

its subsistence origin by industrial, materials. The tiles and the

shingles brought, oye.rJ;|)y .tha Europeans requi-re^high workmanship and complex!construction increasing- theii* competitive limitation, ,

5. F6r competition on roofing? ' there'are the corrugated or flaV'gal-1'"

vanized iron sheets, the flat or corrugated aluminium sheets, the asbestos cement corrugated sheets and the in situ cast concrete roof.

.S/.CN,14/INH/154

Page 3

,6. From the commercial, point of view, the galvanized iron sheets are the

cheapest. Je?t in. .price are asbestos cement sheets, and the most expen sive, are the, aluminium sheets. .The concrete roof cast in situ cannot usually compete in cost with the otheis,mentioned, but in most cases it

could not; be replaced, due to the required specification either from the structural or functional point of view (mainly in multistorey buildings),

7, From the functional point of view, asbestos cement has all the pro

perties required for roofing (see annex). However, in comparison with the.;Other metal sheetings, asbestos cement is the heaviest per-square

metre and has to bear the highest transportation cost. Too, there is

the hazard of a certain percentage of breakage due to improper handling during the transportation or installation processes. These hazards are unknown in galvanized iron sheets, but although the cheapest and having the largest share of the market, these have a very low resistance to corrosion and must be replaced after comparatively few years,

8, In conclusion, we see that the three dominant roofing elements which

compete on the market each have attractive properties offsetting their handicaps. Good salesmanship, service and organization could do much

io change their market share. This is sometimes more than the price

factor or the technological properties.

9» It would be appropriate to mention here new developments such as the various corrugated plastic and fibre-glass sheets which are beginning to appear on the market. They are not yet competitive either in price or in function, but their- development is challenging. Nevertheless, we shall overlook this factor on the assumption that till'1980 their impact will not yet be felt and that the market be left1to the three well established roofing elements mentioned above.; ■:■■•■ .■/...

Asbestos cement pipe's ■ ' ' ■ '' ; ' ■■■■■■

i, ■,.-'.■ -■ ■ ■ -_ - . ■

10, Asbestos cement pipes are produced in any desirable length up. to six metres and in . diameters up to 500 millimetres. They are used, mainly for water supply, for handling other non-corrosive liquids, for gas supply, and for many other uses.

Page 4

11. Among the many advantages of asbestos' cement pipe, we may stress

'-' - their accurate'shape, a'smooth inner■ ■sjirface, good chemical resistance

'bo'many ..corrosive liquids or soils', their complete immunity to stray ' " 'electric currents or corrosion, and their light weight and easy in,-

; e^allation. ■ They can "be pointed inside- arid outside' forV auxiliary-,protec

tion when needed, ■ ' "" -,..,■:-..,,■_

12. Not all pipe of other materials presents conipetiiibn to the' asbes-

■ tos cement pipesy each type of pipe' having special advantages ancL dis- ' advantages as well as a different price. Each serves its'own" range, but a great- deal- of- development is possible. ' "' ' ' '"■ "' "'

13. The other types of pipes which may compete on partial ranges of the demand, are as follows:

..— Cast iron, pipes, whicji are quite heavy?.; •■,. .- ;.-. " -■;,;■

^- Steel pipes,' which are the: most'cbaipatible;'1 ■ i':t ■ '

— Red clay pipes which are porous and have' a very short life -

; ■ ' are used' mainly1 for' drainage;- " ■

t— Stoneware pipes which stand most of the aggressive chemicals but are expensive;

— Ordinary concrete pipes which are cheap, not too strong or resistant but could l>e. hand-manufactured;

.■ ■-. ■-''■ ■■ ^-..Reinforced concrete pipes, which.;require^.a mor'e elaborate --.v - ... ■ manufacturing process, are strpng and'more resistant than-;.:.

■ . ■- . . the ordinary coneret-e. pipe? more expensive, but.iStill; cheaper

■: ',- . ; ■■ than asbestos cement pipes-, although heavier;...-. ;' _. - ■ .. ,-;

— The plastic pipe which'has appeared oh: the market" only recent ly and does not yet answer all the technological .:and:, economic requirements to be competitive. Nevertheless, tlie impact of plastic technological.possibilities should not be overlooked when projecting the market demands. Any projection for pipe market in 1975-1980 should leave for plastic pipes,a consider able share.

Page 5

The: asbestos fibre ■rawi material , _ ;

14. Asbestos is the only natural mineral that occurs in: a fifaous form.

It .is composed of silicon, ,oxygen, water and"magnesium (sometimes also sodium and iron)/ The two most important types are the chrysotile aspestos-La:id the. crocidalite asbestos. ' ; " " .

i"5; l:n trade and industry, asbestos is classified in seven groups,

according to the.length, of the fibres, (the Canadian classification).

The "longer fibres are used mainly in textiles, whije the medium length

is used-in asbbstos cement products ( Canadian.group, 4? "shingle-stock").

16.' mffer:snt Vpes/lh various lengths, are bl ended together in <>rder

to arr;ive at the desired performance at the cheapest price. The appro- priaW formula is a result of great practical know-how, but It ^.s — usually developed by the suppliers .who may not iiave available all the

""^e.;s'ired': types and-lengths-e ■-.■■■ ■ .. ■".•;.■••..

17, The rr.ixing of cenient with'asbestos is based on the same idea of reinforced concrete. It produces a new material which combines the high compressive strength of cement with the high tensile strength of

asbestos fibres„ ' ■ : -; ' .

18. The U.S.S.E. is the'world1s leading producer of chrysotile asbestos.

It and Canada are the' main producing countries of asbestos in

the world. South Africa and'Rhodesia possess great deposits of asbestos,

°anda short'1 fibre type is also drilled in Swaailand. ■ Asbestos^ deposits

"'have bean'develop ci'd' iri th^"1'Sudan" and" its exploitation may begin shortly.

■1% : known world reserves are said to be adequate for at least 25 to

;:30' years, /but. the'.demand for the asbestos cement" fibre is' increasingly strong-&vA during recent years,''production'nas been sold one year,; ahead.

208 Farther occurrences p£ asbestos, mines, hitherto,unexplored in

ifVicaj are quite promising. JSxploration is U^ely to proceed; intensive

ly" under the::incenti-va.'oi' world; market, pressure." ■ _ _:\ ,. . '. "

Page 6

The process and alternative techniques 'of^production"of asbestos>.'■

-'rooming sheets-w r'-" ■.■■"■■■■■■"■.•■-' ■ ■ '■■■■■'-:■■■■ • •-' y ■ ■■■■■:. ■ ■■■■■ - •''■■■-.

21., ^The/asWstos fibre is usually found together with hard rock and

must be separated by a grinding process. In the raw materials market, asbestos may be purchased in unmilled form or ready milled into separated

fi"&re-;The 'second form|f the read^-milled, although more expensive is Eventually\more economical through the savings on milling equipment and-eiectfic power; ■ Only in the case of local availability>-ot- raw asbestos-millxng equipment might it prove'more economical; In -any

■dase,;:eitherit,rieeds-a.fluffing device or a ■grinding., mill .to reach

$he necessary opening, of the .fibre., t This affects the. proportion of

.aspes'to8 to c.ementj thus .making production: more economical.. >;

2-2. ■ Fibre is: drawn in the required weighed quantity and further opened

by the principle known as hydro-disintegration. ; It is then pumped into mixers where it is.-thoroughly mixed'with the cement and water into a form of slurry, vThere;.are a number, qt,different mixing: methods.

The quantity-and. consistency of .mix is regulated,as. per requirement.

The slurry is fed into a holding tank, from where it replenished the level of raw materials in the cylinder vat of.a so-called "Hatschek"

machine. ..■'.- ..■'■....-,..;.■■■ - ... ■ ...■'■■",

: 2-3;. : A. -thin.layer of-.--the slura?y is picked up .by sieve cylinder? and

transferred to,an endless felt under pressure-of- couch; rolls. The

felt moves forVardj,away .from the Eatschek machine, over.a vacuum box

where most of the.water is removed. The film is ultimately transferred

*to an accumulator, roll where desired thickness of sheets,is built up

.under pressure^ The .felt requires replacement approximately every 125

operating hours and costs approximately US$400.' Hatschek machines are available :'in'di:fferent';si:4es. "The smallest has one cylinder vat, but 'the- larger^ may1 have %reeT or' more'; T&<3 number of. cylinder- yats con

tributes to the time it take^1 if'br-Hhb desired: thickness, to buildup.

The difference might be three times as fast.

24.. ,0n' attainment of required thickness., thev sheet is c^t off from -.

tfew to.pass into the corrugating machine. ,

Cutting may "be done by hand, reducing production speed. However, when - done "by automatic cut-off machinery it is possible to utilize the

full: potential output, ... . . ; .■-. . ,

,25. . Corrugating may "be done manually ("by two men stationed oh the Opposite sides of the take-off conveyor) or "by mechanical devices .;.

whict pipfe; up; the flat sheet off the conveyor and corrugate it aU-' ■ iomaticaiiy. In the choice "between manual or automatic corrugation ,. .

i't'is'not biiiy.?the speed of production-that matters, tut also the . ■

^f1 ^fche finished product which in somecasos may make, it ;,;,:; _\,-L

; to>use' shorter^fi/bred. asbestos - resulting in.some savingy

in the cost of raw .materials^ .■'.-,., ~.'--y\:- ■■-..■._■■■■ .:..'.;■- . _;,: ..-..,. r>:, .-■-^■,-■

26; The corrugation and the setting of the sheets are made in steel

forms which are comparatively expensive. Some factories use asbestos

cement made forms, but the excessive oiling needed caused serious

operational difficulties, The sheets remain in the forms to allow, them

to attain the initial set. This, if done in open atmosphere requires s.ome ,8-10: hours. :; Then the. sheets, can .be, mpyed ifrom the formsi, wliich are cleaned and piled before re-entering the: production -pycle

27V : ^he 'sheets, after beiiig reiiioved from' the forms, must be: allowed to cur:e in accordarice with the normal req.uirement for cement (i;ev under

normal corid'itions - 28 days). Curing is often done by lowering the rSheetS; into, large concrete; water tanks«. The curing process, ,at natural temperature,: ties up. l:arge. amounts of floor space,, working capital and

additional labour in piling and unpiling the. sheets- The, aiternatiye

is ,by steam curing, w]iich might: take as littlie: as.:rthre©: hours.

curing, :-6£v.th>: i>ther hand, requires additiohal equipment jn but ■.'..

tak^e ^ace.,at night (an, advantage only in: small, factories^ -,■;,, '■ , . works -only /.during/the -^day -,siiiCt):*.,:- *>./■'■ ■, ■.:.- .-' f "buying (but one requiring higher investment)'

is; wi.th pleasure autoclaves in which sheets are steam cured at :very,; - temperature. ;, These: not only permit very rapid curing but

*■ *

Page 8

make it possible to sub&tituto ground1 quartz sand fpr aiE'buiad! Half the ■ cemehvt. ■ It, of course, Results' in "'ah important saving in

29« Trimming the edges a second time, after the sheets have reached their final hardness, results in a "better looking product, "tfnis is

necessa^ in a; competitive xntorhal an-d external market. This' caii "be done by expensive aut&ma;'titf trimming machines, but it can also be done.'Satis factorily by' an electric Kand'-'jocl equipped; 'with;;a carborahdum saw; ori'- - ■ a special ■■tTlrniBihg jig.' •"" ■ ■■ "■ . '■ '" "■,'■"/ "' .■ ■'.-' ■■• ■1-i-1 1"'-1-" >

30, To conclude^ we see that alternatives exist in manufacturing^ re— ■ suiting in a cheaper or better product with higher or lower investments:

la unmilled versus milled asbestos fibre; • ;. ... .:-.

2, higher degree of opening of fibre with a more rapid production;

3. slower or faster "Hatsch'ek" machines;

4» manual or mechanical cutting;

5. manual or mechanical corrugating (also longer pr snorter fibre) 5 ' l ' " '. ' " , ' ''""'' 6. s^eel or other forms;

'7V "-steam or atmospherical Curing;

•8. pressure-autoclaves with replacement of part of , - ■- oc. ;■.

•:-:-■- ■,. cement -H^rdugh quarter; ■:"::v-' ■■■" ■ '.-.■"..■ .\ . .:".v..-V!k •<■ ..■•::■-■

■ji"'1 BtfibUeQ.-1 or automatic trimming.: > '■'- ■ ■ ' -■..-. " ■ ■' --■ '. 'i i-. .■?■■ 3 .:,■■ ■. ■ The cnoi'ce be'tween the alternatives will "be dictated "by tne size'of tHe market, the availability of raw materials, the available'funds for" ' capital investment or other aspects of the local'situation.'

The alternative production process, off asbestos cement pipes , ..;

31. Alternative production processes1 differ mainly in th& initial'

forming stage, iifee loosening' system and the curing pfooesfi. < t'n the pipe

formation^ stage there may "be differences depending on t^.e;mixing;, and

^.extracting machinoryO| . .., _ .. . , :...,.,. . ,.. , . : ..,,:

S/CN.14/IHH/154

Page 9

' 32. The loosening of the pipe from the case or mandrel may "be done

byhydraulic pressure or "by a patented electrolytic loosening system, 33. A radical difference is in the curing system. One is the ordinary

water curing where the pipes are kept under water sprays for some

fifteen days and are ready to use twenty-eight days after production.

The other system is steam curing in autoclaves. This not only makes stronger pipe, ready for shipment .'withari.:forty-eighX,.hours: of. productio and thus relieving working capital, "but it enables .the replacement part Qf .the cement "by ground silica and consequent sayings in .^aw/material costs. The autoclaving process contributes to the, chemical-...stability of the product "by significantly reducing the free lime content from the range of 13-18 per cent of the non-autoclaved products. Free lime is the component which is susceptible to leaching and first attacked "by sulphate and acid environments. Thus, although autoclaving

requires additional" initial investment/ the result will give a "better

product more quickly and at lower cost* ■

34. In the process, portland cement is mixed in water with short

asbestos fibres. This slurry is spread over a steel rotating core

inside which a vacuum is created. The slurry sticks to the cylinder 'wheVeit; dries quickly under the air circulation caused by the vacuum,

During the drying process another cylinder gives the slurry:the form '■'.of a"p"i£i;e arid assures-the regularity of the weight.' :-.; . ■"■-;■■ : .[■"'■

35. The crude pipe, on its core, is extracted from the machine and

■ : ■ intrbd'uded into a Hydraulic calender which exerts-pressure'on the

'"'■ :':vp'ipes:!"wHile;;a^ain"'arvacuum'is recreated inside the core.; Thus, 'the

" Sttain-the necessary strength. 'vi:- '■: ": ■['■■■■ - "■■■'■'■ """" - -'■" ■ 36, A hydraulic extractor or an electronic loosening system separates the pipe from the core and places it on an inclined drying table where it remains for twenty-four hours. Then the pipes are placed in contai ners which are immersed in water vessels where they are cured for a

fortnight, gaining the necessary strength. Twenty-eight days are necessary for the pipes to reach the specified strength for use*.

T"

Page 10 , .

37- When silica is available and investment in autoclaves justified, the curing process is done by steam and the pipes may be ',ready for use, as

has been explained above, within forty-reight hours of production.

38. The alternatives in supply of raw asbestos, whether in crude form

or. in a milled one, as well a-a the degree of opening of the fibres are the same as for the asbestos cement sheets.

Worlctmarfcet situation for asbestos. .cement, products .' '• ■ ' .",:. , ■.,! ';

39.' 'Information on world tirade in asbestos cement products is incomplete.

"The available trade figures., given in ■ table 1,""cover mainly-Western European

countries and very few from elsewhere, ■>1 . ■" ■ :

40. The largest importer of the countries shown is the Federal German Republic, with imports near hundred thousand tons in 1963. Second

was the Netherlands with over 80,000 tons. ' 1

41. The largest exporter in 1963 was Belgium-Luxembourg with almost

216,000 tons. It is interesting to note that most, big exporters are

big importers as well. Examples are the Federal Republic of Germany with an export of 50,000 tone, or Italy which imported almost 16,000 tons while its exports reached 32?O0O tons.

42V Hue, to. costly transport, it is often more reasonable to-import from a neighbouring factory abroad than to transport over long- distance in ternally. It is-also an-easily re-ezportajble commodity in the trade transactions between countries.

43* r^ableg, shows.spme.of the trade figures.of Forth:African countries.

:It wi.3,1 be seen_.that;.Italy-.and the ;United Kingdom were, large,.,exporters into the sub-region, while Algeria,..and,- the JJA$ were exporting. ^0 some Mediterranean countries.

Page 11

Table i: Selected importer countries "of in 1963

Country

Belgium-

Luxembourg

France :r '--'• ■ '■:-■

. :.„■■!, :.: ..■.

Federal Republic

of Germany

It;aly!

NetHerlands :

United Kingdom

Denmark

TJorway> '". '

Sweden,

Switzerland Greece

Quailti ty - 'tons ■■■■ '■■■■■■ ■

9,714

18,388

98,203

14,684

81,205

24,357

1,073

13^721: ■

16,945

3,594 4*438

Value

■ '000 US$ ■-

712

1,318

"■"/■

9,477

1,351

7,093

2,324

158

■ Ij626

1,824

428

v 345

Cost, price

• ~- S/tons.. ~-

73.30

71.68

96v5P

92.00

87.35

95.41

147.25 '

us. .50 . .,

107.64

119.09

77*74

Main provenance of , iBported, goods :

Netherlands, Den mark, France,

Belgium, Luxem

bourg, Germany, Algeria, . ...

Bel gi urn., ,,Luxem- bourg, Sweden, Austria

Yugoslavia,Belgiuin-i|

.Luxembourg Belgium, Luxem bourg, Germany

BelgiUnij. Luxem bourg, France, Belgium, Luxem bourg

..Denmark^.&&%<* <

Kingdom,* Belgium Belgium, Luxem bourg, Denmark

Germany lip

1/ SITC number 661.83.

Page 12 i

Table 2: Selected exporter countries of asbestos cement products:

■ ■*- ■'■;■■

■ GoLorfcry- ■■■ ■■-■■■

USA

Belgium-'.". ■;..""■ -:

Luxembourg

■France. ,.■

■ --Germany' '".-. .;>

Italy

Netherlands

United Kingdom

Denmark

Japan .,

-Quantity -■-tons .'

3,719

215,851

39,188

50,239,

32,484

8,197

48,848

.10,050

22,162

- Value- ■-. -

'000 US$ :

21,082

3,242

4,145

3,146

567

4,079

1,192

1,418

..Unit ...price

■■ -43.24' -

97.67

82.73

, -82.^1

96.85

64.17

83.50

118.61 63.98

;>Main, de.si;inati on

" Inaia'i Catiada, Japan. v " ■

Netherlands, Germany,.;U^A, UK

Germany, UK, Vietnam Eep,

Netherlands,, France Yugoslavia

USA, Tunisia? Fed.

Eep. Malaya--

Belgium, Luxem bourg, .Germany

Sudan, Nigeria, -Ghana-: • .., . .* .

Sweden, Norway

Eyukyu, Cambodia, USA

Selection according to availability of information and to magnitude,

* #

Page 13

Table 3: Registered trade of asbestos cement products with countries

ft

of the

Exporting asountry

F^ce^ ■;>■

France

ita^-'--^' "■■■■■■■.■

I tal'y ;; ■■'!' "■'" ■' ■ '-

■■Italy ■--'■■ "■ ■

Italy ■ -■■ " ' '■

Belgium— ■'■'■ '■ '- L;uxembourg

■United. Kingdom.

UAE

Algeria :

'■ rV<::.:^: -■-:■ .■ . '■' .■.-

North African

1 ■■■-■ ■ . ■ : ■;,' ■

Importing Country

■kg^ria---.- -■Tunisia' ■";

■ Lxbya /■

"u-ae" ■■■; '■"'"-

'■Sudan''■

■Tunisia

; ■' ■■ ■: ' ■' ".'

, .Sudan . ■ -■

Greece Prance

sub-region in 1963

Quantity tons

^\ -\y,m ' "'"

"■-. ■'■ -" 2,093 "i ■;'

■ ■;.A.lj23r--. -.

'"■■ ■■■■• :6i-2 ■

■ ■ ••■■:■-■■■■ -448 ■ ■-

... ■■'. 6,.O1O . 2,688

i

Value Unit Price

'000 USS 1 -'--i-^er-^ori5.-'

: 113

■ 176 y

133

"■■ ' ■ 59 ■" ■ ■

•■;'53'-' - ' -5Q9 ■ ' ■ ■

--J-1P

■:;':' ■:ibV.ii':;'-':

"v :-" 167*52'■■■

"■ ■"-. \9'6;4iy:

'■•'■ ■ 122.TJ ' ;

; *" li6t'.9i'*

\j£f t £\J " ■ ■

:..-, : -.,62,4P.;:.

. 16.4' . - . ■. 61-. 01 ■

2,140 . ,171 79,90

■"■ ".■;■-■ ■. '"

^{„.,, .. r. ■.}

ri|g'fr»a™^-^>'^ifi*naaift«,»qa>ia5iB^

E/CN.14/1NR/154; ,;.■

Page 14 \ '. ■■

INPUT RSQ0I33IMTS OF ASBESTOS CSMMT HOOPING SHEETS PRODUCTION

General note . /. : . " 'i;:* ;" ■ . '.

44V" It. is ■"somewhat" difficult to get ;the exact'figures on input requires mentp'from the past performance of existing factories,.'due'to the fact,- -■"

that ,_ many of the factories produce, under the same, .rtfof and management,:

asbestos cement pipes; .as well as asbestos cement sheets,; These differ---,:";

in.process, cost and price. The qLlffsrences in proportions between two products in The various factories result in different figures

input requirements. This is :the reason why most of the input had ■ .to,- be ; . based on estimates for. projected factories. The performance of-e:xi;s'-6ltig factories (which? as .hooted, are-mostly" mixed) are giiren" as a:'guide'' t&" u-"

pos.sib3.e upper or lower limits. ' '■' i ■ ■ ; ■"■' '-r*;' inputs7for,.curr.en.t,.production- ■■■ -^;- :- - '" ■ -^•■--•■;'-- ■-'■-■ -• -'-■•

45. Asbestos fibrg_ (chrysotile 4-5-6 group fibre) in quantities between 10-13 per'cent of weight of finished product* Cost, of course, includes coiofc price at port of entry witii addition of customs and the freight

to the location of the asbestos cement sheet factory,,

46= 2$m£.l (normal quality, slow-setting with a low hydration temperature) 70 per cent of weight of finished product. Cost includes the ex-fa.ctory price and the transportation to the asbestos cement factory*

47* Jj^£JL^J^£d^enJ;s such as ground dried asbestos cement scrap, quarry- dust, cement piant? plus wastes or pulverized lava; the quantities depend on the quality of the material and its availability, could fluctuate

by weight between 7-15 per cent of weight of product. The cost usually^

consists of the transport cost only, while sometimes it also includes

the purchase price*, -

48° I2±££s non-saline free of acids desirable^ saturated with limestone

minerals. Direct consumption some 20 per cent of weight of product,

but factory consumption of aboirt 2-3 m0 per tdn*

E/CN.

Page 15

49.; .:BeT>l a cement • of. fel ts and cylinder screens ranges between $1.85 -

^♦©O-per^on^of asbestos cement product. ... ■ , .■■ .,■-.:,■.■■" \.•■'.„■.*,■■

50. FujbI'1 In case curing Kiln is provided for; estimated at two litres'

per ton of product. " ...

51.. Electric. power. Inputs depend on the type of machinery and the;.;,■:

degree rof mechanization., The requirements may range from. 20 HWh per,

t&n;,^/T^B§;.^^ per; * ifce■'

Sim^WS fac^qry in Morb'c-co ( see table 4) that with:;the increase4:;put-J./

put, a slight unit saving in consumption of power is poss£"bie> ,-■■---

4; inputs per ton production of asbestos cement products in the: "Dimatit" .factory in Morocco .■■■■■"., ' -?}'■''■ ...

Annual in::*t©n Inputs

Cement Elec%r

production S1".; '■■"-:■ ■■- "

per ton '■: . - tons ■'■

19,

P-

3.

688

697

4-

1962 ■' ' ' -;1963 - -1964 ; ; ; 1^:/]/. 1966

25,077 24,322 25,375

0.672 0.674 °-638 ?f

.0"':' ' 71.0 66.2 78.2 '2.6' ' -3.2 ■ 3.12-".' .:'4-4

Sour-ce; ■"La.Sopiet^ nord-africaine :de I'Amiante^Cimeni; "Da.matit", 27, '■' " ''V''" ^ 1967. ' :'- .'" ; "■" " : • '■■■-■. . . ■'. ""■ ■ -. ■ "'■ '"]''" '."

Managemenii.and labour■; . .■■.-, ■■.■■,-■•.■■■:■■;.:■.■.■.■.■■■;.■.■ :-:.\.\ .. ■.'■..■\r.._:]-,-yl.-/■.-:■■ :.C-:f':.:-^.: :'''■

according to -the size -pf plant a.hd:to,^he: production,,,.

estimated:. ., a small: corrugated, asbestos., cement factory,! ;with a caps ci,"fcy of some .1,700 .tons per .annum... proposed in

Central .African Republic, has 'been planned to engage.26 persons (three

management/and 23-worlsiers). This would produce 65 tons -per... annum per. /

person engaged; or ,f:3;.;^pns On 't&e"~Iargerr si&e>,' .

a 15,000 tons/year factory proposed in Kenya has been planned to engage

* *

Page 16

102 persons of which 71 a-^e labourers thus producing 147 tons per annum per person engaged or :21Q/?paQlfi&G^eT-mj-yt&$ "Simatit11, factory->in Morocco,-.

producing sheets as well as pipe,■■ jJn;-1955-' employed::some 35"^ persons - with an. pu^p^at .,of njore^tftan J2 tons ..per person per year.'. Another factory, : SICOAR, in Tunisia has "been planned to produce 8,000 tons of pipes and sheets with 190 persons, that means 42 and 72 tons per person per year

respectively "■ ' ' ';" ■'"" "■■ ' ', ; "■■■ ' ." ,: " .-.■■'■■:■---■■ ',,/C< ,,.■ if... * ".

53? ; Skill ed.l.^'ourers. are ,3§-*35 .per cent of the labour,, force. ■■.She. larger, the plant,' the., loviez* "their shara*. Somi-skillsd: ..between 21 and,39. per. cent,

with the same:i.g;r.o.yth ti-e^id as tho skilled* . ; , , . . . .., • -; ..," j.,; ■ ;.;, . ■ ;■ :.

54. Unskilled., labourers between 25 p©r cent..in the smallest;factories (1,700 tons ,per;.annum). ;and 51. per cent in tne larger ones (15,000 tons per annum), The" larger the plant., the largea?:theiryshare. :'■ ■ •■'.'. ■■,::i 55 •_ The^training. of:i the superyiaory^staff should _s tart, some nine months.,,.

before ..the plant begins to operate and continue for another three months

56, The1 skilled labour has'.c'to bogin iir.Bining in another factory some r

months before plcint bpginn to operate and continue in the plant for another nine month's-1,. ". ■■'■*. > . : ■. ■ ■ ■■■... - .-/

Capital requirements* ' ■ " "■ '

57-" 'Fi-3:ed-'e-apj:jbal--itivgs'timen-t-- ■■ -.- •- ■ ■ ■ ■■ •— —

Land, "building "and ' equipment was ' in "tW ' base ' df a smal.1 .factory' (1,700 tons per annum)j $174s000 or some $100 per ton* For a larger

factory, to produce 15,?000 tons-per: annum, it was estimated to; be -'tStt§

or only- '%€2■'pea?. tciSo : fFor,.a still larger, factory (Dimatit) with -a capacity

of 35yOOO tons -but-.■tfi.-tbf-a- mixed/p^-oduction: of sfasets and pipes^' the- "".■■ , ■■

fixed .iMtve&tments«..wore.4?l?953?O00; or^$57. par ton capacity^ present .pro-* ■■- '

duction "beings Lower 'than- -.t^e.in-'s tailed :capacity):o ,0f -totar fixed 'capitaly' the land andbux&ding account for: some 20-35'pe-- cent. The rest -consists"

of in.vre:s.£menV:in- iaabhinery,- ±*fes '■transportation •a"n&-installa''tl'on. - ■■■■'■ '

4

Page 1?

58* If we increase the capacity of the small factory with another shift we could reduce, the ..fixed .investment to nearly $60 per ton. On the other hand, the large-scale factories with 153OOO tons per annum are planned on a th^ee-shift basis^. ;::This>:.how:e.y.er.,.. is not. easily, feasible, and planning should "be on a two-shift basis. This means a higher invest ment per ton but^also more sophisticated equipment, resulting in a much- .

"better product.

Working capital

■59v- r^or&ing- .capital is estimated to'be $63 per , ton per,-annum ;;fpr;.,^b.e

small pliant: but only $21 ;fco $27 .per^&qn for the larger, one. J* ^Sjhpuld be noted that in the calculation for the small plant, a raw material stock of eight months has been considered". The estimators for a large enter prise in Kenya provided for only two months stone. This leads us to conclude that a higher figure might also be considered in the case of larger enterprises. In estimating working capital needs, we can hardly

"take;;'examples from' one country and-apply then* directly to. another^ '■

dependent as they are on the credit habits and supply conditions 'pre vailing,. - , , .- .-, ... .;■■: ■ '-.■...■-;■.. r_--.,r T .'*.:.-

■;■-■.'■■ ..o';

Page 18

.- . . .. - - ■. . . . ■ •.■■/CHAPTER III;, - ... • , . '

INPUT ESQUIRS3MT FOE ASBESTOS' CSMMT PIPE' PRODUCTION

J Material inputs for: current production ■ ■'" '■ '■■'■ ■ '' '' "■ ■-

60. Asbestos fibre, chrysotile four group fibre and blue fibre, some 15 per cent of weight of finished product, Cost of fibre includes all

charges until it is stored in the asbestos cement pipes factory.

61. Cement, cost as above specified, in quantity of 75 per cent by

'weight of'' finished product",'■ If E&li'cs ingredient of; the specified qua

lity is provided, the. cement quantity can 'be reduced to 50 per cent'.

62. Silica ingredient up to 35 per cent by weight of finished pro duct. Chemical'and physical required properties: 99.7 per cent, 95,1 per cent of SiO and 85 per cent passing through 200 mesh screen, etc,

63,. -Water, between 1,1 -,3*6 m per ton,, depending .on the ;process and .the capacity., ■• ,. ■ . -.•..: ■■ ■. ; ..-,:. : ■<■•■•■.

64. Power, 70-80 kWh per ton.

Management and labour ,

65. In the smallest enterprise (700 tons per annum in one shift) a

managerial force of three persons and a labour force of 15 is enough.

Doubling tie output by creating two shifts will double the labour force and might add one to the managerial, staff. The output per per son engaged in such a factory could be of some 40 tons per annum. In larger enterprises, a hundred persons might produce 150 tons per annum per person. In still larger enterprises* with more than 25- 30,000 tons per annum, almost the same labour forces might reach an output of 200 tons per person engaged per annum.

Fixed capital investment

66. The smallest pipe manufacturing enterprise, with a capacity of 700 tons, would require a fixed investment of some $500,000. Doubling or

3/CN..14/INE/154 Page. 19,- - " -,-

capacity, "by utiliaing two or three shift operation, would not require substantial additional investment. , ,

5 g^yeS tharinvestment required fQ2? two factories of asbestos

"^© ^iWst-^is-/tEe---sniall.est productipn. unit, based on a

production of. 1.,400 tons:per anhuts;"'" p?he otner factory, which was planned to produce 37,500 tons a year in three shifts, has been

adjusted, to,a two^-shift basis (-producing 25,000 tons) for comparison.

66; .Prom the ta.bl.e we see that, with/a sevenfold investment, .we, can get an output-18. >timss higher-. The fixed .investment varies between

$358 periifon fpr the small .plant and $78 per ton. in the.larger unit.

Buildings, are; 52. per. cent of ,th.e; fixed investment in. the small,.uni^ but

only 32 per cent of the total investment. , . , , ;.

69.. In the larger unit, buildings are only some: 13.per cent,of. the . ..total investment but some 18 per cent of the fixed investment. The

rest is equipment, which in this case is much more sophisticated", having,

for instance, autoclaves, for steam curing', etc.

Table 5: Investment and investment per ton in two different sizes' of asbestos cement pipes factories

Smallest feasible production,., Large capacity factory

unit l/l,400 tons per annum over 25,000 tons per annum

■ ■ ■'■'"■ {2 shifts) ■ ■■-•" :^ (2.'shifts>

' ' '■ ." "'."■.■*■ ■■■'.'■■;

Investments in buildings Investment in

^equipment ■ ...

Total fixed in vestment

Working capital . Total investment

Total Investment

investmerit ■. ' per ton

260,400

„ 241,000:

501,400 161,600

663,600

Sources: For the smallest

Etats africains

186

.- - , ..: 1X2;..

. . ,^-358 '■'■■■ \ ■■■

1 ■ "47r 115

factory: "Possibilites et malgache asspcies".

Total '"

investment '■

1

1

2

356,000 ,606,000 . ,962,000 -

700,000 ,662,000 ,

Investment

■per ton

. i ■ ■ ...

14 .... 64

:,78 : 28 ao6

d(industrialisation des

Page 20

■'"''■'■*' Production Kv (adjusted for comparison from one shift pro duction to two. shifts), -.' '..-;■■■■■" ' ■ .r. -■ ■

.."..■■ ■.'■-. For -the-large capacity* i± proposal- f Or the establishment of asbestos cement pressure pipe and asbestos cement-

■ : sheet1 project .for Kenya.'" Birla Brothers Private Limited, , , (Adjusted ..for comparison from three-shifts production: to

• -■ ■' .. two shifts).. • -. . .■ , . .■ ■ ■.

70» Working capital, $28 per ton in the large-scale unit and $158

.per ton.in the small factory, is based'on a two-month supply of local raw materials in the large plant and for twelve months in the smaller,*

■ This seems quite insufficient for large units in North !Afrxc'a, where 4-6 months is more reasonable,. This would raise the $28 per tori to

&35 per ton- -■■■'■■■

Rates, of depreciation •,

71. The depreciation rate in the asbestos cement industry does not divert from the ordinary accepted rates in the manufacturing industries

of five per cent of the buildings (2) and 10 per cent for the machinery

and equipment. The employed vehicles have a higher rate of 20 per cent

to 33 per cent, ' .

Variation in plant size and capacity utilization ~ '■

72* In the prevailing conditions two working shifts at-their full ■- capacity could.be considered as a maximum^ 'Theoretically, and in specially good conditions of management, machinery and skilled labour, a three shift system could be possible, but it involves so'many problems apart from the maintenance facilities, that in some cases it may require extra reserves .of. machinery,, ' ■"', " ;-.'"'-

73* The variation between one shift and two does not require any:

additional substantial equipment except for larger storage space as

well as better curing facilities, . . .

74- The variation in plant size and in capacity utilization, of course, have a bearing on.production costso < : ■

E/CN.14/IHR/154

75» There is not enough detailed information available on the changed

'inpu''&-'ari'dlt\iiii!izati'(^n'"6^ materials ;for" units of different sizes'," In ''" '"■ this^fiel'd. "of niat'e'r'i'als'j advantage"wo'uld m'aittly W'Hhrbugh tti'nimaliaation

of- :wasteV"';' ■'"■■ '"■ u ■;-1"'1'1' ;■ :-- ■ •' ■''''■ ■•■"■"■ ■ ■-. ■•■•'■■ ■> ■"■-■ ■ ■

76. Table 6 gives material and. potf&r consumption figures of one factory

-..i..» • :f'i>tibd"fci"-i;)" during'th'e'las't five ye"arso ""A relation Can '¥>'& se'Sn Cl'early

' ■ ■■'■be'tween""bu'tp'u-t 'arid "'the "per unit'1'1 itiput« 'Still,'we- cannot take these

'"■ ■'"■■■■' figures 'as1 ;a .rule because 'of tlte lack of "'a breakdoT-m between'JthV' various

r^j ■■■■■;g"u-j;- if-'^e1 m'ay assume1 "that tii'e "lrela'tibn';t)'e;twe:eh"; the' 'Various1 products

'is" ■;dio'ii?e'"Lbr--res's ""cbhstaht'j'' "we1 ge't with an i'zicit$ase"bf ■sb:me':'t0 peV bent

'in'-'p^bdubtion'utlli^atlbn" ~s.- decrea'se' ;of-'"10 per' tcent;'in1bement'l"bbnsumption, '-{2&' ■p'er' 'b'e'h't^in'^ow'er^and'"over' 60 'per-oent Iti 'water.' '" -:''J'- '*■' ':J'-- " ■ ■ ■

-unit .-f-or ■-differ;ent,./leve,lg'-pf ■-;o

(Dimatit0 Morocco

' v¥:ear':ry'^rodu'ct:Lon '■ ■ "

,■; .out^u/b^p.nsi-,,-;- . ..,

18,216 (1966) 19,216 (1962) 24,322 (1964) 25,077 (1963) 25,375.(1965)

- 1962-1966)

''" "' ■' C'emerit1'

707

697 674

672 638

'Power' :/

. ■ kWh/t.OK,..,

07

71 68 66

..•-,:■■:■.■ *,.-.-.) ■ . ..

- ■' Water"'■'

, ■ - r'M3/ton-j,v.,.. ■ - ■

■; --.I'^V ■- 3.38

. 3.15

3.12 . 2,64 78O If we take projection figures of various planned factories, we notice that the variation in capacity and. utilisation does not affect labour costs as much for asbestos cement sheets as it does for asbestos cement pipea

79». The chare of labour cost in asbestos cement sheets varies between 12a5 and 15 ?er cent and is not substantially different in. the large or small enterprise. This is .true.to .the extent that there are no . . substantial changes in the process,, Higher capacity, in the cases that Were' examined; shows a r.ise of 2-3 per oent" of labour share .in the cost but a doubling in the annual output per labourer,,

r:p'/ iWhW.y'igTiiTsF5a^g^Mi»'M»a«'ife»*aB>sai Iisfr;rti 7,r-:*'*"t-'ai

- *

Page 2/.

80. On -the other hand, with pipe, where mechanization has greater possibilities with larger scale, the cost of labour drops from 2.5 per cent ,to almost 10 per cent. The tonnage output per person,engaged may reach 4 to 5 times that of the smallest unit. . ,".

.81.; The variation in capital costs per ton which accompany variations in plant size,, is quite .substantial. In a small-scale, sheet factory, .the,, fixed..capital'investment per ton per annum was US$103. . In. a small-

scale pipe factory it even reached US$364 par ton" per annum..

,82. ..On the other hand, a.largeTs.cale pipe.sheet factory required, a .fixed capital investment of only, US$60 per ton and a large-scale pipe

.factory of only US$80 per ton* A mixed (sheet and pipe) factory -on

a large-scale in Morocco required only US$57 per ton capacity, but at

the present capacity utilization of only 70 per cent (25,000 of 35*000 tons per annum) -the "fixed Capital, investment' rises to. US$80 per ton

per annum.

83. As to the working capital, the difference is also quite, substantial, ranging from some US$30 per ton in the larger establishments to nearly US$100 in the small onesD : -"

B/CN.14/I1JE/154

CHAPTER IV

THE -PSBSBUT :S"iT0ATION' 'OF'THS' ASBESTOS' CEMTT INDUSTRY '

■ TBADB MD CONSUMPTION OF 'ASBESTOS' CMOTT-THOUD"CTS

Algeria ■■..,..". .."'.. . ■ ■ . ■ ■■■-•■

84. The present capacity of the country1s asbestos cement industries is

■33,000 tons per annum (30,000'in Eterhit-Algeria, and 3,000 in Zabana at

85. The output of these two factories was some 20,000tons in .1964 and over 21 ,.0,Q0; in.~L$£% ...„»&■ detailed.-proUuetibn- of each of the-factories, "their

utilization and employment is given in tables 7a and 7"bf ; The value

p.f.;tfei^;prMuctlon:: has. ."been-, astimated' accbrdinrg-to the "FOB-p'rice^of ' "■

exports in,1963. . . \

86; Ta'ftLe 8 shows the evolution of the production since i960. It^should ,"be noted that, in .I960 and 1961 production reached 37 thousand tons and

■"tms'higher'than "thepresent total capacity. Consumption in 1961 .reached an extraordinary figure of 40.5 thousand tons, which is more than twice the present output,

87," ¥hire; imports' have' been decreasing/since the pre-independence. days-, exports grew'"from.. 2,10;'3";fons in 1961 to" 3,168 in 1963,- :; . .;

88. As can be noted from table 7^ ."the outpu,t per person;..employed inr ■. •■

"Zabana'% which' is'a public owned enterprise, is 4-5 times lower than _:tfe.e..,oui.p.u.t^of..^t.ernit- which is private owned and &ss ten" times' the "

fo'r'-mer's t

89-..^ ; The total-employment in" this branch was some 730 persons, dirsctly 1.

employed. Domestic demand, which in 1961 reached the highest figure'

-i-n-the MaghrQb"'Of 40"f5 thousand'tons,, decreased sharply, in 196,3 to... ..

^

E/CN.14/INR/154

Page 24

a/ The average 1963 FOB value of US$86 per ton.

Source: .L.es materiauz de oonstr.uction (Xia, statistique de production);-.-

■■■'-.' ; '" Ministers de l'industri'e et de 1' energie, 'Algerie.

7"b:, Asijestos cement,. .employment, and productivity in .Algeria,. 1964

^Plant '■' ■ ■ Place ' ■; Bmploymenf ' Ton per person employed

;•;-. v ■- ■ ■■•■ " ■;:■■ ' " -19641 ^ ; "; "1^965 PrivaW'" ^c-:cialist Eternit :' 'iigi^ers .: 450 " ''405 ^ '37" "" ' ' "46 Zabana1'' ' Oran ' '' 280 ' ' ' 320 9.3" """. 8.2

730 725 " "'" 27 .'" V :-. 'Zl

■.Sources X'es'materiaux de cohstrnctibh (La statistiqug' de production) Minister©.- de'l-'inHustrie. et-Mde' l^energi^', Algerie. <•"->■ '' ' Table &: '■■■BV2lution__of^isl[e^^

*-*■''. ■"■ : "■■:" " ' ' "' "■ '""■■ " ' ■" '" ' ' "tons

Product . i960- 196I ■ I.962 1963 :,-19.64 ,,=«.. 19.65 Asbestos cement 37., 357 .., 36,1.67., l;O-r564 ; 1.4;?5§1;. 19,?-71-3 ■. - 21^31.3

Index; , ; ' -: . ,:,,-■ . v^00\: % '"■-.^S.- ■" - . ' 28 • l- ■ ' -39 ■ : "■■ -53'; ■ 57

S our c &i I.eEmaterira'ux de' construction' (La ,'statistique de pro duo ti on)

Ministere de 1'Industrie .©t de i'energie^ Al-gerle,'•■ '■■■■'■ '-

Table 7a: .. Jisbe&tos and 1965

Enterprise,. , '. .,

Eternit Zabana

Total Algeria yaluje-,;0.f pro&uc-'. 4

tion .a/ US$

cement

Capacity

30,000 3,000 33,000

production

'■'!

and utilization in Algeria;

.. . . Production, in-tons

' ' 1964 "1965

17,093

2,620 19,713

18,608 2,705 21,313

. 1, $33,000

- ■ . .

1964

...-Degree..of utilisation

"' 19'6*4" / '-, ,1965 56.97$

87,33$ ; { ; 59.43$ :':-

■ '.' ■ ■■,-'■

62.02$

[ 91;,5O$.

•, ■■-

m

|

i[

i

■

f *

90.■-.'rOne'factory., .DIMATIT, has operated in Casablanca since 1956., Its ; installed capacity is 35,000 tons per annum and utilization is some TO

per cent.. All of the inputs, except for asbestos fibre, are purchased

locally; (wages, 42 per ■ cent; materials of local origin,;;40 per cent and, the imported asbestos fibre 1§ per cent). . . ;

91v Some 50 to 60 „per cent of the production during the early sixties

was exported. Sixty ,per cent of the export, by weight, was.in corrugated sJieetSj mainly to African countries. The main export markets for asbestos cement from Morocco* are Senegal, Ghana, Ivory Coast, Nigeria and -France*

92, /.In i.966, ..exportvdeclined to 30 per cent of production,, probably -:a

main treason ;for ^the.fall of production to l8,i0G0 ..tons.; per,, annum* .;; :■;;

9Si v it i^^ibtable that 'no significant quantities of asbestos cement pro

ducts ■w#r.e exported i,to. theVseigbbouri^^ c.Vl ,

190; In ,19.6.5 ; exports rof asbestos .cement,pipe to Tunisia: were ..some;i9.10

9'4. 'The highest production figure, 25?400 tons, was 'registered inT965

and paralleled the highest export figure, 15^000 tons. The highest local consumption, 16,000 tons, was registered in 1963 but then, dropped

to 10,310 "tons in'l;965r" ' 1. ...'.'.'. ,.-"...-... '.■.■.■■■...■. -, ■ '

rSg» oP^Pductipn ;6f pipe :gr©x more than 10 per cent between, .1965. =*Q_ :i966.

$h.e produc^ipn ,0^ sheets fell;Vby,^almost 5Q pe.f. cent -during the same ^period, fi?ein;gL another, reas<>n for,; the, fall in production by weight (from 25,000 tons in 19,65 to 18,000 tons in 1966). . . , ^ .-..,..,,.

,5tJ>» ...;1?he- grass output of the only factory in MorpCiCp,. Dimatitj is given; ;

i,n t#ble■■•1: M,,: together with the production value, .as estimated -iby- the export price of each year* , This export, price is-; influenced .by: the

between the quantities of asbestos cement pipe> the,price of which is

substahtiaily higher (by 30-40 per: cent), ;and .the quantity of asbestos,

cement sheets. ■ '.■"'.- • ■ v ■ ■. ■. , ■■..■■■■.■ •. : ■ ■■- . -

9^., Value ad:ded. The intermediary inputs are^ given as 58,'J»e*'■ oeaii;. >f the

ex-factory;'cost. If we assume that taxes, depreciation and overheads

(which /were not1 included in the rest of 42 per cent given as salaries'

and wages) to be some 10 per cent on top of the ex-factory cost,;we.

S/CN.14/INR/154

?age 26 ■: \ .;,

get £or the inputs:, '££>-* ;X*2-P "■ * 53 ^a? cent,,,..which leaves 47.: per. cent for the- value; aclded,,-. ■ ; y ■ /'.■ -V/VW ■■*.:.. . ■ .■-. '.■:■■ . . ';, ... ;..■, ' ■

98. ! Manpower.' TKe::353 employed in; 1965 ha^eremained constant foav 1966^ although' production0 declined. Sixty were -technicians, and mana-^

gerial staff (43 of them foreign expatriates)^ while the x-eat, -ai'bout;

290 irere workers, -Ks^&.pf ..^ii© .y.^rA?;u^" sUliXIs ^ as> w,ellas the ,unskill@d.

^Tunisia ..■",."■.;. , ■ ■

99,...,Tunisia vha^, pnly.^ecently/,^ cerment

in an 8,000 tons per annum capacity unit, SICOAC (6,000 tons pipes and 2,000 tons sheet), Kb prbd.uction data are as yet available. '

100. Consumption, which peaked in 1964 with 13,000 tons, has "been whoily imported. The major part of imports (60 per cent) came from

Italy, a quarter of the import was from Prance and the rest from

Algeria (1,800 tons or some 13.5 per cent) and Europe.

Libya ■_ ■ . _

101. There ia np production, of asbestos ^cement in Libya., Asbestos

cement.consumption, which tripled from 3^72,3. tons in 1964 to X2,99§ ..', in 1965, was imported mainly from Lebanon (some 67 per 'Cen.t), .from . ■ Iiialy (some 11 per cent), from Yugoslavia (9 per cent) and the rest,

in smaller quantities, from Japan, Czechoslovakia, the' United,States and Belgium. Ho imports were registered from any African country*.

Sudan " • . ■. " j :■: ■..■!;_>.- "■ : ,; r .• ■ ' ■.

102. v Budan has not been producing .any. asbestos; ^cement, prp-d^pts*

Recently? s.ome. asbestos layers, have,..been,.manufactured*..but it is ■< . ..

st4jL-l..Xar; from ;industrial-.uttXiiZati,on.,, ... . ■,,■ ^.., ,. ,.;;.;, . , : . ;■,;.,,

103. ■ Tlie' country's- demand -has" -had to- be's'atisfied by imports. :As ^--

figures' siabw, in table 1,: consumpti:oh fluctua-ted between' 6V000 and ;; "' 9,000 tons (disregarding the 1964 figure of 18,000 tons which bust be ■■

..^ualitisd .^s well as the 1-965 figure, of less tjian JL,.OQO tons .which , is also, not r^p

E/CH.14/IHE/154

Page. 27 ■■

104*: According to the 1960^-1962 figures, the majority of: asbestos cement

products were pipes. These reached 84-70 per cent of imports, while the rest was asbestos cement sheets* This correlates with the tendencies

of the ten-year plan, setting priorities for agricultural irrigation schemes.

105* The main exporters, of asbestos cement" products to Sudan were Yugoslavia, Italy, Czechoslovakia and, the United.Kingdom. The T2AB has had a share of some 10 per cent in pipe in 3.960 and of. more than 60 per cent in sheets in 1962. During the recent years, the UK's. share

has grown substantially (to some 90 per cent in 1963 and 76 per cent in 1964). The UAB's share in imports which decreased in. 1964 to 5 per cent

regained its traditional 10 per cent in 1965*

United Arab Republic ' ;

106. The UAE has production, capacity of 40,000 tons of asbsstos; pement pipe and of 10,000 tons for sheets and accessories. Projects have been

developed to expand the present '.manufacturing units to 59»000 tons/year-

107. The UAE has become a Ia3?ge exportei1 of asbestos cement products, ex-

potting' almost'18,000; tohfe in 1963i'. The>main export markets"■- were Greece,

Ghana and Kuwait, ' - ' ■■:.■.=-

Page 28 ■ ■- ■ * .*

■' ' '■ METH&DOLO&Y OF PRCtfkftlNtl TEST'SUPPLY MD fO'R- ASBESTOS"" G^M33^0? PEOiuCTS':JiKi 'THE"LOCATION

108, . ;Xn the- annex of, the construction pap&r,' the-■ expected deraanti,for tire -various^ "buiiding ■■el-ements' .i's..Bt'atedii-t1S'il.;o-v- --;'. ■■':*'<: ->/■!' '-*' iV:;''

■'IO9.::":'Th"6se figures can be .converted into the "basic' components and the

"respective "building materials, ,

110. Examples, in Algeria in 197Q according, to table 5 A?- the total , .■-■. -.-;■ ■ ■■■: ' ~ '■" ■■■■■'■ ■ ■ ' ■- -1" . ' ■ 2 ' -

expected roofing demand, amounts to ,.l,090;,000 m. .,.■... From the .^ame table we find that asbestos cement corrugated roofing is expected to take 20 per cent of this demand, equal to 218,000 m >2 Assuming thai;; .aj square metre of corrugated roofing of asbestos cement sheets has a net weight

of;i4#4"kg> we &et a"demand,of 3,139 tons.

:-Xn 'the same.:: way.j we assume-tha-t flat sheets- for walling will pre

sent a demand of 1,350,. tons, and find from .tabl,.e, 5..A the expected, tonnage of pipe, I6?65p tons. _ The jf!inal Remand fpr-, asbestos cement, products will thus be 21,139 tons for that year. , , ., .,*_.-. ,■■,'.-■:V 112, In using this demand figure, one must bear in mind that other alternative materials are competing for this same market. These may satisfy part of projected demand, if asbestos cement Of the right , quantity or quality is not available.

113* As mentioned, meeting the possible demand- depends also on successful marketing and on governmental policies and priorities.

114. Our projection of demand is based on the presently known techno logies and may be relied upon for the next decade. However, we must be more careful in our projects for the more distant years, because

Page 29

.in;::th,e ^plastic fi.e34). areOlikely to -emerge

distort the structure, of the projected market distri

bution expressed in. table .4 of the construction;.pa_per 'annex. :

115. In estimating output,in the local production, we must assume more than 8O-j8.5jP.qe cent ..utilisation; of-installed capacity,;which in itself is a commendable performance,... ■■ .■ ■<■_ ■-■.■■'■■'

116. ||e; may assume that some 15-20 per oent of production; will-be direct ed to exports (Morocco was exporting 30. per. cent of its-production in .

^965). .But this, of course, is intended only for ihe.big producers whose

capacity is-higher than domestic demand (e.g. Algeria and Morocco), 117. Countries which do not,have such capacity and whose cement,produc tion 'does" not, cover .their ■ full domesti c demands _ (i. e. ^un.is.4a?: :Libya

■andSudah) will have to rely partially at least,..on imports.., '' ■..

cement produois factories

oij':projected domestic demand and. on' expected ■ export possi-"bilities, has..to :be.ln"iih'e--neigh- .

■bourhood, of the/biggest urban centre, or in a location-which has "easy

access to such centresn ■■-."■ -- ' . •■ ' ■ ■ -■:■ ■'. "■''■■"■ ' '■

(u) ■ ■ ■Q..smxi\r<&&^f&'r :aB' possible, in .the;.neighbourhood' of'.: „.'

._ i . - -.. a.cemQnt factory.« In case-..''the .c,ountry.,-does' not ^prb-r!', ■ r/ . duce cement? it would bo; "best .to have :tite ^factory.

near a mar^ime port, (.aUso; desirable for ,the^ asbestos fibre)? ' . ' ■■■-.■■ •;.■■.. . ."■' ■'.-:"" "

.(>).: Asbes:tbs'fibr:s? .where1 this. l£ not locally extracted and

i.1.;- ■': 3is-B.to.be imported,, the best location to minimia^ the ■/.

.. . ; , tr,anG;portat:ion cos-ts-? ■;--(: -:.\ :- . . , .-■:■" ;:-.'.•:'■ ■■'■." '■.'■■'.*

.(c) .^ater, normal drinkable water; . .. .■ , : ' ■,..,. ; ..■ . "'■'"■■:.

■■('id)! Quartz, supply possibilities^ ■;""'■■. - ■■■' "■■ '.,.. " ."■,:..■■

Page 30

•■'■ 120. <■ Favourable' transport facilities, rwtii oh are most important'in heavy -■:+;i£r6diibts: as '-itill 'as 'bulky raw''Materials'%$ Therefore, the most suitable

i'on is thWbns Which has the following conditions:'

■?'■■ -v:l'"""1''''':;.''f;ir,".-'* ^-'Maritime! ipoft1"facilities; '.'" '**' ■'•:/■"' '" ' ' ' " :- r ■ ■ . ■ ■ ■-:■ .■'■■> —: Eailway connections With possible siding;

' , - Surface road connections. " ■'

■ ■'121»- 'As most of1 th-e, productioh processes require electric power, supply

^ must;' be' o-b '

Manpower,highl.Y skilled management and technical manpower, \which

in many cases is expatriate, needs suitable living conditions.

123. There has to be a reserve from which skilled labour, : as we^.1 as 1 "unskilled can be recruited. In,all the cases, training has to,be provid

ed during the "running in" period.

■ we are looking for a location which

.will.be in the neighbourhood of: .-•■■:■ ' . .'■'■.- :i

-..'.-,.,. j-- (a;) ah;':highly: popul-ated'urban ^rea; '"

■; ',-,-■;. .;■■?.[! (^'■maritime portf '■' ' ■ '" '"' ' ■ ' ' ' (c) rail head or railway line;

(d) main national roads. - ■ ■• ;.. ■■ ■ . ■ .:. . ' '< -' 125*i;.- Ijo,ca[|:ions.which would answer these four conditions will most pro

bably have, at the same times ■ ■ " ■ : ■ ■ .■■ ,

(&i) '--raw aaterial-supply facilities; "

.: ■■.'■ (,-b"l): a !iar!ge! potential market?'

(c) power supply; . . ' ■

, ,(.d) accojnmodations. for expatriate personnel1;1 • ■ . .... (e);',. manpower, reserves* , . ■_.. ,_ ■-.■ .;-.:■

126. Proposed locations for future; factories of asbestos cement products

ares \ •■.,■■.'-■'■ ■•;: .■■-.■.■.".■" ,.■'■'■ " 1

Algeria s Algiers, Oran; third choice Bonn;

Morocco ; Tangier, Casablanca; third choice Agadir;

Tunisia g Tunis, second choice Sfax or Gubes

Libya : Horns (a possible small factory in Benghazi)

Sudan : Khartoum

CcuntrysAlgeria Industry*ISIG"no.339 SITGno-661^83; :.■":'"■-■-■■;■.--OTEZI TableIsProduction,demand,employmentandinvestments1960-1980

AnnexI j-« 3.. ■3.p 4. 5. 5. 8? --.-;.™.,-.

.-■■"■-'■-'-"'..-;'■ Capacity Grossoutput a.value b.quantity "Valueadded Exports a.value b.quantity Imports a.value b•quantity

■■■.Units'

lOOOt''

.$1000 lOOOt 11000 $1000 ';lOOOt #1000 lOOOt Domesticdemand

(=2+5-4)

a}valueI.$1000 b.quantity''lOOOt .Employment total,of .which Fixedcapital formation /■■ Gr.oss11000

- $1000:

■..'i960-,

- 33 ""■' 3183 ' :'

37.4

1496 ■■'■

—"•..' —, —;"■ 180

■196*,:

-33

3081 ■.-■■'■■

36.2

1448 '"' '

182"'■■ 2.1 727"" 6.4' 3626;.,J 180

■-■■'■- 1962.. 33,■ 902 10.6 —."'■ — — 180

.■.■"~-.-■■

,1963;..

■"■33 1243 14'.6- 277-,- 3-2 133 1099 180

,1964 :* 33

I677 "19-7

' '788

"294- 3.4

: 133

1.2 "1516 730 180

1965. ■■-33J 1813 21.3 852: 312 ■3.6- 133 .1.2

■ 1634

725 180

I966 ■"-33 ■.—. :329

3.£

-133r 180

r,,I97O,1971-7! ■■"=■3333-50 ■2051■■./'-'.

■"964 .-•--

-398... \.4.6,■ .161■. »..1.5 1814-'■': 786 1802080 ;—..1020

^-^. 51975''1976-80" ■;;■50-80 -:-366o .:-43■: a7-2o...- ,606. -214 ■v.-:2.o;■..-.-,

851 .;' ':'\;_

2603400. —1800

198O".

.. 80 "■

-6128 .2880 779 321 5670

/

AnnexIPage2 Country:Mp-rocooIndustry?ISICno.339

SITC no

66

183

Table 15 Production, demand, employment and investments I96O-I98O

Units

1961 1962 1963 1964 1965 1966 1970 1971-75 1975 1976-80 1980

1.CapacitytlOOO

2,Grossoutput.

5,,.value"b,quantity

3,Valueadded$1000

4,Exports

a,value■b.quantity

5.Imports

-a.value"b.quantity-tlOOO

6.Domesticdemand

(=2+5-4)

a.value$1000b,quantitytlOOO

7,Employmenttotal,ofwhich.Teohnioians&Management

8.Fixedcapitalformation $1000tlOOO$1000tlOQO£1000

gross.net tt.000$1000

35 35 35 35 35 35 35

1373 "1579 1352 1723- 1668 1744 1249 20,0 23.0 19.7 25.1 24.3 25*4 18.2 645. .742 635 810 . . 784 820 • 587

526.1 743.6 949.3 813.7 ■ 1052.3 1122.4.. 427.9 7.5 10.6 12,9 11*6- 15.0. 16.0 6.1

2111.2, 1121.1 11.1

868 846 414 930 627 ■ — — 12.7 12.7 6.-9 13.7 -9.4 9-4 12.1

35360

180 180 180 180 180 180 180 35 35+15 50 50+30 80

2334 34

1097980.2

14

1071'

1461

21

600

114

1801860900 3707

54

17421052

15

³²¹

3

2976

41

860

180

260

33201800 5286

77 2484

1403203213

4204

60

1100250

420

Country:Libya IndustTys:ISICno.339 SI0?Cno.661-83 TableI:ffroduotion.demand,employmentandinvestmentsI96O-I98O-

AnnexI Pagel\ Units19621963I964-19YO1971-75-19751976^80- $1000 tlOOO Iiooo

1.Capacity.."fclOQQ 2.Qross.output■'--■ a.value b,quantity 3."Valueadded 4«Exports a.value11000 b,quantitytlOOO 5-Imports a«value b.quantity 6,Domesticdemand

(=2+5-4)

$1000 tlOOO a*value b.quantity 7.Employment>to« talofwhich 8.Fixedcapital formation

$1000 tlOOO

3.4 .3-4

359 359

3.6

420 3.7 420 3.7

1466 13.0 1466 13.0

1700 15 1700 15

0-6 680 2030 18 2710

24

150

1700 .15 2030 18 3730 300 gross net11000 600800

AnnexIPage4 -..CountrysTunisia'■■.Indus.tryt-TSIC.no.339-

SITC

.no,

'661-83

Table

Is.

Production, demand, employment'■ and invest-roents1960-1980

Units- - i960 - 1961 1962 -1963 1964 1965- 19^7 1968 1969- IQ/70 1971-75 19-75 1976-80 1980

1.CapacitytlOQO

2..Grossoutput

"-'a.Value"b.quantity

3."Valueadded

4.Exports

a.,valueb.quantity

5.Imports

a.valueb.quantity

6.Domesticdemand

(-2+5-4)

'a.value$1000b.quantitytlOOO

7«Employment,totalofwhich

8.Fixedcapitalformation $1000tiooc

tiooo

tioco$1000tlOOO

Gross ) Net )

■-■•Siooa 7.0

5*9

416

822 569 816

889

1375

8,5 -8.4

150 8-15

15 15-25

•

25

55

8

160

8006565

806

103=

15

^250-

'abb

172

25

375 ^

13.1 365

10.09estimate •9^.0 -39 _

64 ■■■■"■

6

1072

14

1402■_■■

848 ' "'

a.

2441 '■

..,26..--. 2103

224■

.4

2485

.37

420

2251200

Gouirbr;£sSudan IndustrytISICno.339 SITCno.661-83 --^^:Production*-demand, Units"

i960- 1961 '1

and,investments19&KL98Q

■AnnexI Page5

"1962 19^4 19^5 1970 1971-75 ; 1975 1976-80

1.Capacity.:■" 2.Grossjoutput a,value$1000 b,quantitytlOOO 3.Value-added$1000 4.Exports a.value "b.quantity 5-Imports a.value\-_$1000 "bvquantity*■:tlOOO 6.Domesticdemand.

(=2+5-4) ;

a,value■$1000 Tc:.quantity:tl000 7.Employment,to-tal; ofwhich■■,-..- managerial-and:: technicalstaff Skilledlabourers Unskilled 8.Fixed•capital formation gross net

1280i 12.;

600 '■ 622 641 ■: :: 631 397 I63O 118 1600

6.36.4;.5.9.;9,3:18.O1,015

.6.3, ■■ 6.4 i:\ 5.9 : 9,3 15

200 60 80 60

600 $1000

860 8 2140 20 200 60 80 60

:70

25

2140 20 1000 900

330 100 130 100 670 600

2140 20 1000 1500 3640 34 330 100 130 100 120

- Page

Country: Algeria . :

Table 2 :' Pistributfon. of gross Output of industry. ISIC

Gross output, supplied tos

Final destination, total

Consumptions a, private .■„: ■ b., public.

Fixed capital formation Exports1

Intermediate destination, total Ind. 0 Agriculture ? etc. ■ ..

39 Miscellaneous industries 4 Construction ■

Total gross output

Value;

.339 -Year '1964.

1,000

464I /

80 90

294:, . 1,213"

90 20 1,103

Countrys Morocco ' ' i . : !,.,..

Table 2-: Distribution of gross output of industry ISIC S~o. 339 - tear

Gross output : .

supplied to: :

Final destination, total ■ Consumptions a« private

,bo public Fixed capital .formation.

Exports

Intermediate destination, total IndE 0 '.Agriculture, eto.

39 ''Miscellaneous industries 4 ^Construction • :;

Total ■■gross output. ■ - -, ■ «■

Value 1,000 US$

1,222 \ 'r ' 80 ! :".

90,: ; \; ■

1,052 ; '

62 30 524