Rahmi Aydemir / Aydemirler A.Ş. – Business Development Manager
The belief and thought that Turkish industry needed to be reformed became inevitable. Our industry, which went beyond the limits in a period of 20 years in the 1980s, is no longer able to compete with the world, apart from a few sectors. However, the existing sectors will need new initiatives and changes to consolidate their place in the new world order.
Today there are more than 20 cement producers in our country. Nowadays, Turkish cement sector industry takes place among the top 5 in the world in terms of price, performance and capacity; but today it is now oppressed by the recession in the domestic market, the price increase in energy items,
and Saudi Arabia’s participation in the game, which abolished the ban on exports a few years ago. Of course, it is useful to take into account the slowdown in the global economy and the attitude in foreign policy. But here we are talking about the Turkish industry and there is a train to catch. We are not too late to build the infrastructure that can export high technology and high added value from the country of assembly, especially when the raw material abundance, labor force participation rate and geopolitical position are very advantageous for our industry.
What will the Future of Cement Industry be like?
It is obvious that the sector takes place currently among the locomotives of the country’s economy and this fact will not change in the near future! If we want to maintain our position in the world and to take place in the new order, it is necessary, in these continuous processes, to invest in carbon neutral technologies and maintenance planning.
Let’s take a look at the future of the cement industry with a number of dissertations and research results:
- Over the next 20 years, CO2 emissions will be the most important factor in the operation and design of a cement plant. This demand will not only come from international organizations related to climate change, also customers, government and community will be wanting the cement factories to be green.
- In order to compete with cost and reduce emissions, the operational efficiency of all plant equipment is expected to/will be at least 95% in a period less than 10 years. This means that all areas will become fully mechanized and the level of maintenance must be perfect.
- Equipment Standardization will become an absolute necessity. In almost 10 years, large cement companies will standardize all facilities up to the size of possibly 4 facilities (4, 6, 8 and 10 ktons clinker). And this will allow them to reduce their costs and the levels of spare parts inventory.
- The facilities will be divided into three main sections: Cement Production, Control of CO2 Emissions and Electricity Generation from Renewable Energy.
- The efforts for the next 10 years will focus on reducing electricity consumption and waste heat recovery. In 2030, 80% of the factories will have a system for waste heat recovery. By 2040, all cement plants will be able to use the electricity to be generated from renewable sources, possibly from wind power.
- Cement personnel will have to become and will be expected to be more specialized and experienced. The facilities will have the increasing need for specialists in instrumentation control, maintenance planning, process, renewable energy and energy saving.
- Acquisition and improving talent will be a major challenge and responsibility, at the same time, for those who are responsible for Human Resources.
- Research and Development Centers – In order for all these changes to be implemented successfully, cement companies will need to have a strong research system. Extending the scope of collaborations with universities included in the current education model and the R&D centers to be established within the factories will provide advantages in the competition race.
- It is obvious that all these changes will create high costs and this will force cement companies to look for other sources of finance. Investment partnership is currently a preferred model, but in the near future, it may be an option to operate cement factories with a franchise program. In this way, it is anticipated that cement companies will release resources and have a win-win.
- The use of alternative fuels and carbon-neutral technologies will become widespread.
Until 1970s, we watched all the developments within World industry through the European and American side. All the exciting initiatives from steam locomotive, a method by Taylor, to T model by Henry Ford emerged within a century or less.
In 1973, the petroleum crisis weakening the western world was shaking every economic party from governments to giants firms and even society. Japanese economy was on the verge of collapsing, which dramatically influences the industry of the country. Yet, there is always some one to take advantage of crisis, and so was it. The name Taiichi Ohno may sound unfamiliar, but today, almost everyone is familiar withToyota! Toyota Production System which is included in the textbooks today, became the savior of the Japanese economy and the protagonist of the industry. A country defeated in the World War II, managed to attract the attention of the entire world with its industry in a short time like 30 years.