F O C U S India cuts carbon black import duty Further reductions in import duties featured in the latest Annual Budget drawn up the Indian Minister of Finance. The import duties on carbon black, linear alkyl benzene, phthalic anhydride, phenol and acetone have been reduced from 15% to 12.5%. The import duties on most polymers have been reduced from 10% to 5%. Chemical Weekly, 7 Mar 2006, 51 (29), 113
India’s dyestuff industry The Indian dyestuff industry consists of about 900 small-scale and 50 large-scale business units, with a total production capacity of about 80,000 tonnes/y. The provinces of Gujarat and Maharashtra together account for nearly 90% of India’s total dyestuff production. But Indian producers are suffering the effects of high energy costs, poor infrastructure, inadequate export incentives and the rising value of the Indian rupee against the US dollar. The textiles industry accounts for about 80% of total Indian dyestuffs production and the Indian textiles industry received a major boost as a result of the abolition of trade quotas, but the domestic dyestuffs industry has failed to take advantage of this opportunity to increase sales to its textile industry customers. Meanwhile, Chinese suppliers have rapidly expanded their penetration of the Indian market. The landed price of Chinese dyes and dye intermediates is typically 30-60% lower than that of Indian suppliers. China now accounts for about 24% of global dyestuffs production (versus India’s share of 6%) and China accounts for 35% of global dyestuffs exports (in terms of value, compared against India’s 4.5%). Until now, Chinese producers have enjoyed the advantage of soft loans and Government subsidies, so that the cost of capital for a typical Chinese producer is around 6.3%, whereas for a typical Indian producer it is around 14-15%. One of the major impacts of World Trade Organisation (WTO) rules will be to restrict financial subsidies, so that Chinese dyestuff prices will be likely to rise in future. Chemical Weekly, 14 Feb 2006, 51 (26), 181-183 & Purchase, Feb 2006, 29 (2), 181-182
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PIGMENTS
Pigment/filler suppliers to Japan’s papermakers As in the rest of the world, the Japanese papermaking industry has switched away from acidic towards alkaline systems over the past 10-20 years. Most of the country’s new paper mills now employ a ground calcium carbonate (GCC) undercoat plus a topcoat of kaolin and GCC. Precipitated calcium carbonate (PCC) has become increasingly popular for filler applications in the paper industry. Japanese papermakers currently consume: more than 1 M tonnes/y of kaolin; 850,000 tonnes/y of GCC and 700,000 tonnes/y of PCC. Japan’s GCC requirements are mainly met by Fimatec, Imerys and Bihoku Funka Kogyo. The PCC filler market is dominated by Shiraishi Kogyo Kaisha, Fimatec and Okutama Kogyo. Kaolin is mainly imported from Georgia (US) via traders, notably Shiraishi Kogyo Kaisha, Hissan Trading and Itochu. Industrial Minerals, Apr 2006, (463), 47-49
2005 was a good year for Japan’s carbon black industry There are strong indications that 2005 will turn out to have been a very good year for the Japanese carbon black industry. The production of creosote oil, a key feedstock for carbon black manufacture, was in excess of 900,000 tonnes – compared against 882,400 tonnes in 2004. On the carbon black demand side, Japan’s automotive tyre production increased by 4%. Japan Chemical Week, 26 Jan 2006, 47 (2352), 7
Japan’s TiO2 output rises to 260,000 tonnes According to the Titanium Dioxide Industry Association of Japan, the country’s TiO2 pigment production increased by 2% in 2005 to reach 259,588 tonnes. Of this total, rutiletype TiO2 accounted for 216,080 tonnes (up 4%), while anatase-type TiO2 accounted for 43,508 tonnes (down 7%). Domestic shipments by Japanese manufacturers increased by 1% to 168,282 tonnes. Within this total, shipments to the paints sector increased by 3% to 76,597 tonnes;
shipments to the inks sector increased by 1%; shipments to the plastics sector increased by 1%; shipments to the paper and board sector decreased by 2%. Exports of TiO2 pigment from Japan were 83,339 tonnes – 5% lower than in 2004. Japan Chemical Week, 16 Feb 2006, 47 (2355), 10
Kaolin in Tanzania Tanzania offers several rich sources of industrial minerals, many of which have not yet been developed. Sedimentary and residual kaolin clays occur at Pugu and Chimala, where reserves are estimated at about 12 M tonnes and 44 M tonnes respectively. Industrial Minerals, Apr 2006, (463), 95-96
Thailand’s paint demand to increase by 6% per annum Paint consumption in Thailand was 415,000 tonnes in 2005 and the market is forecast to expand at around 6% per annum, reaching 557,300 tonnes by 2010. This reflects improvements in living standards and public sector investment in construction works and infrastructure. Industrial Minerals, Feb 2006, (461), 23
PLANTS Argentina: Colorobbia – kaolin, titanium & zirconium minerals The Colorobbia group has declared its interest in exploiting mineral deposits in Salta province in northwest Argentina. The group is particularly interested in kaolin, feldspar, zircon and titanium minerals. Via its subsidiary Eurit, Colorobbia already mines kaolin and calcium carbonate in various locations around the world. Via its subsidiary Industrie Bitossi, Colorobbia is one of the world’s leading producers of ground and micronised zircon, suitable for the ceramics industry. The group also supplies speciality titanium chemicals, including Titanbit for the leather tanning sector. BNAmericas Mining News, 5 Apr 2006, (Business News Americas Ltda, Website: http://www.Bnamericas.com)
APRIL 2006