Concreat raises cement prices in phases amid higher costs

CONSUNJI-LED Concreat Holdings Philippines (CHP) has implemented cement price increases in phases starting March 15, with additional adjustments in the coming weeks, to offset rising costs, its top executive said.

“There’s nothing we can do about it. Somebody has to give in,” DMCI Holdings Executive Vice-President and Chief Financial Officer Herbert Consunji, who also serves as president and chief executive officer of CHP, said at a media briefing last week.

He said that, as a rule of thumb, every P2 increase in fuel prices translates to about P1 added to cement costs.

“There was already one [imposed] on Mar. 15, then there’s another this week — another P10. Then in April, another P10, so maybe around P30,” he said.

Mr. Consunji said cement plants need to maintain current production levels, similar to power plants that must continue operating, prompting the company to adjust prices to reflect higher operating costs rather than reduce output.

“Gasoline/fuel gets used up fast because of logistics — logistics, delivery, and trucks. Then, at the same time, mixing the cement adds another big cost. That’s two major expenses right there,” he said.

Mr. Consunji said the planned increase amounts to about P20 on the current P200 price, or roughly a 10% rise.

CHP produces cement under the APO, Rizal, and Island brands, including Ordinary Portland Cement (OPC), which is used in large-scale construction projects.

The company operates through wholly owned subsidiaries APO Cement Corp. and Solid Cement Corp.

DMCI Holdings, Inc. earlier said its capital expenditures (capex) will remain unchanged despite higher oil prices linked to tensions in the Middle East. Mr. Consunji said the company may review operating costs, while funding plans could also be reassessed.

“Everything will be reset. But we’ll never know what’s going to happen,” he said.

DMCI allocated P2.9 billion for Concreat Holdings Philippines this year for plant capacity improvements, operational upgrades, and preventive maintenance.

For 2025, Concreat Holdings Philippines posted a net loss of P1.9 billion, citing higher financing expenses and lower average selling prices, although the company has implemented operational improvements to support recovery. — Alexandria Grace C. Magno