SHELL Pilipinas Corp. said it expects achieving double-digit sales volume growth of at least 10% in its bitumen business for the year.
“We are trying to respond to the increase in demand because of the forthcoming election next year,” Allan C. Canedo, Shell Pilipinas’ country general manager for construction and road sector, told reporters on Monday.
For 2024, Mr. Canedo said that the company is targeting to sell bitumen products with a volume of 40 to 45 kilotons (KT) from 36 KT in 2023.
Bitumen is a by-product of fuel refinery that is used as a raw material to produce asphalt.
Shell Pilipinas’ bitumen products are designed to meet the requirements of the road, roofing, and airport sectors, as well as specialty and industrial applications.
According to Mr. Canedo, citing import data from the Bureau of Customs, Shell Pilipinas accounted for 41% of the bitumen products imported into the Philippines in the first quarter.
In 2023, the company ended up at around 33%.
The company imports bitumen products primarily from Singapore and also considers potential supplies from Taiwan, Thailand, and South Korea.
Shell Pilipinas operates two receiving terminals for bitumen located in Cagayan de Oro and Batangas.
Mr. Canedo said that the company is hoping to remain to be the leading market supplier.
“We are the price leader in the market… We have competitive advantage [due to] the location of our [facility],” he said. — Sheldeen Joy Talavera
