The European lime outlook
OCTOBER 2014
ILA, GENERAL ASSEMBLY, VANCOUVER
MS. ELENI DESPOTOU
Overview of the presentation
• EuLA: who are we?
• EU lime markets
• Quicklime production
• EU lime industry challenges
• Conclusions
Who we are:
The European Lime Association, created in 1990, is the voice of the
European lime sector.
• EuLA provides sector-base representation for the lime industry at European level,
including technical, scientific and administrative support to its members on noncommercial issues. This includes:
• Addressing the current complex legislative framework;
• Speaking with one voice on scientific and technical dossiers;
• Managing horizontal sectorial issues of common concern including sustainable
development, Corporate Social Responsibility, Health & Safety, Environmental
Protection, Energy, Communications and end-of-use product legislation;
• Promoting Best Practices.
EuLA Members
Country
National association
Austria
Fachverband der Sten-und keramischen industrie
Belgium
FEDIEX
Bulgaria
Plena Bulgaria OOD
Czech Republic
Czech Lime Association
Denmark
Faxe kalk
Estonia
Nordkalk
Finland
Finish Lime association c/o Nordkalk Corporation
France
Union des Producteurs de Chaux
Germany
Bundesverband der Deutschen Kalkindustrie
Greece
Hellenic Lime Association
Hungary
Carmeuse Hungaria Kft
Ireland
Clogrennane Lime Ltd
Italy
CAGEMA
Norway
Franzefoss Bruk A/S
Poland
The Polish Lime Association
Portugal
Lucical/ Calcidrata
Slovak Republic
Carmeuse Slovakia
Spain
ANCADE
Sweden
Swedish Lime Association c/o SMA Svenske Mineral AB
Switzerland
Kalkfabrik Netstal AG
United Kingdom
British Lime Association
What EuLA represents
Structure
General assembly
Board
Bureau
Technical &
Environment Committee
Lime Application
Committee
“Task Forces”
“Task Forces”
Standardisation
committee
EU Lime Markets
EU lime industry challenges
• Limited growth or no growth
• Stringent legislation (climate change, environment, energy)
• EU policy environment
• Neighbourhood political environment
• High energy costs and cost competitiveness
Result
• Shrinking of the industry
Lime sector – Total CO2 emissions
35,000,000
30,000,000
25,000,000
20,000,000
15,000,000
10,000,000
5,000,000
0
2007
Source: CITL
2008
2009
2010
2011
2012
Quicklime – Process & Combustion CO2
25,000,000
20,000,000
15,000,000
10,000,000
5,000,000
0
2010
Total Process CO2 emissions (tons)
Source: EuLA (database)
2011
2012
Total Combustion CO2 emissions without biomass (tons)
Manufacture of lime - Average share of
CO2 emissions
Manufacture of lime - fuel mix
EU legislation
• EU wordlwide pionner on climate change related legislation
• New climate and energy package 2030
- 43% GHG emissions reductions for industry (binding)
- 27% RES contribution (binding at EU level)
- 30% Energy efficiency (indicative)
VS
- 20% target for industry contribution to the EU GDP. (aspirational)
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Source: European Commission report on “Energy prices and costs in Europe”, SWD(2014)20, January 2014
Energy and costs competitiveness
• As of 2011 the EU dominates the export market for energy-intensive goods,
accounting for more than two-thirds of export value, which makes it the largest
export region for energy intensive goods.
• One can expect that regional price disparities increase the risk of reduced production
levels and investment in higher priced countries and bring changes in global trade
patterns, in particular affecting industries that have a high share of energy costs and
are exposed to international competition because their production is easy and
relatively cheap to transport.
• This is supported by analysis undertaken by the IEA in the 2013 World Energy Outlook,
which shows that persistently high energy price disparities can lead to important
differences in economic structure over time and have far-reaching effects on
investment, production and trade patterns.
CONCLUSIONS
• Stagnante market due to stagnante economy
• Limited new Investment
• Limited perspective to reverse the trend in a short term
• New mandate for the EU institutions in place…
THANK YOU!
www.eula.eu