Blue Circle Industries
Encyclopedia
Blue Circle Industries was a British public company manufacturing cement
Cement
In the most general sense of the word, a cement is a binder, a substance that sets and hardens independently, and can bind other materials together. The word "cement" traces to the Romans, who used the term opus caementicium to describe masonry resembling modern concrete that was made from crushed...

. It was founded in 1900, and was bought out by the French
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...

 company Lafarge
Lafarge
Lafarge is a French industrial company specialising in four major products: cement, construction aggregates, concrete and gypsum wallboard. In 2010 the company was the world's second-largest cement manufacturer by mass shipped behind Holcim.-History:...

 in 2001.

History

The company was founded in 1900 as Associated Portland Cement Manufacturers Ltd by the amalgamation of 24 cement companies, owning a total of 35 cement plants, all but two of which were located on Thames
River Thames
The River Thames flows through southern England. It is the longest river entirely in England and the second longest in the United Kingdom. While it is best known because its lower reaches flow through central London, the river flows alongside several other towns and cities, including Oxford,...

 and Medway
River Medway
The River Medway, which is almost entirely in Kent, England, flows for from just inside the West Sussex border to the point where it enters the Thames Estuary....

 estuaries near London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...

, England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

. These included the two cement plants (Robin's and Swanscombe) that first manufactured Portland cement
Portland cement
Portland cement is the most common type of cement in general use around the world because it is a basic ingredient of concrete, mortar, stucco and most non-specialty grout...

 in the 1840s. The initial prospectus of the merger (in a time before anti-trust laws
Antitrust
The United States antitrust law is a body of laws that prohibits anti-competitive behavior and unfair business practices. Antitrust laws are intended to encourage competition in the marketplace. These competition laws make illegal certain practices deemed to hurt businesses or consumers or both,...

) was to unify the entire British cement industry, eliminating competition, and excluding imports. The attempt to achieve this failed, because a number of small companies, many of them outside the London area, refused to discuss the proposition, four major players in the initial discussions dropped out, and a further three committed companies dropped out at the last minute. Nonetheless, the company held 70% of the British cement manufacturing capacity (1.25 million tons per annum out of a total 1.8 million tons). The company had acquired, at considerable cost, patents related to the use of rotary kiln
Rotary kiln
A Rotary kiln is a pyroprocessing device used to raise materials to a high temperature in a continuous process. Materials produced using rotary kilns include:* Cement* Lime* Refractories* Metakaolin* Titanium dioxide* Alumina* Vermiculite...

s (see cement kiln
Cement kiln
Cement kilns are used for the pyroprocessing stage of manufacture of Portland and other types of hydraulic cement, in which calcium carbonate reacts with silica-bearing minerals to form a mixture of calcium silicates...

). Armed with these, and its critical mass, the company expected to sweep all competition away.

However, the cement kiln patents proved valueless, since rotary kilns were already in place or being installed by their competitors. In the ensuing decade, the majority of the rotary kilns installed in Britain were installed by the competition, including several newly-launched companies. Because of the disastrous circumstances of the company launch, it was short of cash and could ill afford investment. By 1910 its capacity remained 1.25 million tons per annum, although competing capacity had risen to 1.8 million tons. Although a few favored plants had been uprated, the majority of the original 35 had been shut down. In 1911, a second attempt was made to unify the industry. 33 companies, including all the original drop-outs, were merged to form the British Portland Cement Manufacturers Ltd. This time, a substantial number of plants outside the London area were involved. Again, a small but significant number of companies refused to join. The combined APCM and BPCM companies now controlled 80% of national capacity, in 58 plants. This pattern became a template for subsequent history: declining capacity share was periodically boosted by acquisition of competitors, and the company continued to maintain 60-70% of British capacity until its demise.

Overseas expansion

In 1912 Blue Circle's overseas activities began. The Tolteca plant near Mexico city
Mexico City
Mexico City is the Federal District , capital of Mexico and seat of the federal powers of the Mexican Union. It is a federal entity within Mexico which is not part of any one of the 31 Mexican states but belongs to the federation as a whole...

 had been established by the American Louisville Cement Company. The Americans, rattled by Mexican political instability in 1912, wanted to sell out. A Blue Circle director traveling in Mexico
Mexico
The United Mexican States , commonly known as Mexico , is a federal constitutional republic in North America. It is bordered on the north by the United States; on the south and west by the Pacific Ocean; on the southeast by Guatemala, Belize, and the Caribbean Sea; and on the east by the Gulf of...

 wrote them a check, and on returning to London, announced to the Board that they were now operating in Mexico. Similar deals were made for plants in Vancouver Island
Vancouver Island
Vancouver Island is a large island in British Columbia, Canada. It is one of several North American locations named after George Vancouver, the British Royal Navy officer who explored the Pacific Northwest coast of North America between 1791 and 1794...

, Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 and the Orange Free State
Orange Free State
The Orange Free State was an independent Boer republic in southern Africa during the second half of the 19th century, and later a British colony and a province of the Union of South Africa. It is the historical precursor to the present-day Free State province...

, South Africa
South Africa
The Republic of South Africa is a country in southern Africa. Located at the southern tip of Africa, it is divided into nine provinces, with of coastline on the Atlantic and Indian oceans...

 in the same year. In later years, its geographical spread became the savior of the company. The cement industry, although extremely capital-intensive, is subject to exaggerated economic cycles
Business cycle
The term business cycle refers to economy-wide fluctuations in production or economic activity over several months or years...

. Geographical spread allowed financing of investment in areas experiencing down-turns using revenue from more buoyant areas. At various times, the company owned or part-owned manufacturing capacity in Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...

, New Zealand
New Zealand
New Zealand is an island country in the south-western Pacific Ocean comprising two main landmasses and numerous smaller islands. The country is situated some east of Australia across the Tasman Sea, and roughly south of the Pacific island nations of New Caledonia, Fiji, and Tonga...

, Malaysia, Indonesia
Indonesia
Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...

, the Philippines
Philippines
The Philippines , officially known as the Republic of the Philippines , is a country in Southeast Asia in the western Pacific Ocean. To its north across the Luzon Strait lies Taiwan. West across the South China Sea sits Vietnam...

, India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

, Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...

, Zimbabwe
Zimbabwe
Zimbabwe is a landlocked country located in the southern part of the African continent, between the Zambezi and Limpopo rivers. It is bordered by South Africa to the south, Botswana to the southwest, Zambia and a tip of Namibia to the northwest and Mozambique to the east. Zimbabwe has three...

, Kenya
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...

, Tanzania
Tanzania
The United Republic of Tanzania is a country in East Africa bordered by Kenya and Uganda to the north, Rwanda, Burundi, and the Democratic Republic of the Congo to the west, and Zambia, Malawi, and Mozambique to the south. The country's eastern borders lie on the Indian Ocean.Tanzania is a state...

, Egypt
Egypt
Egypt , officially the Arab Republic of Egypt, Arabic: , is a country mainly in North Africa, with the Sinai Peninsula forming a land bridge in Southwest Asia. Egypt is thus a transcontinental country, and a major power in Africa, the Mediterranean Basin, the Middle East and the Muslim world...

, Ireland
Ireland
Ireland is an island to the northwest of continental Europe. It is the third-largest island in Europe and the twentieth-largest island on Earth...

, Spain
Spain
Spain , officially the Kingdom of Spain languages]] under the European Charter for Regional or Minority Languages. In each of these, Spain's official name is as follows:;;;;;;), is a country and member state of the European Union located in southwestern Europe on the Iberian Peninsula...

, Denmark
Denmark
Denmark is a Scandinavian country in Northern Europe. The countries of Denmark and Greenland, as well as the Faroe Islands, constitute the Kingdom of Denmark . It is the southernmost of the Nordic countries, southwest of Sweden and south of Norway, and bordered to the south by Germany. Denmark...

, Sweden
Sweden
Sweden , officially the Kingdom of Sweden , is a Nordic country on the Scandinavian Peninsula in Northern Europe. Sweden borders with Norway and Finland and is connected to Denmark by a bridge-tunnel across the Öresund....

 (Hällekis
Hällekis
Hällekis is a locality situated in Götene Municipality, Västra Götaland County, Sweden. It had 718 inhabitants in 2005.-Location:The village is situated on the coast of Lake Väner and in the Kinnekulle peninsula with a ridge and large nature reserve...

), Greece
Greece
Greece , officially the Hellenic Republic , and historically Hellas or the Republic of Greece in English, is a country in southeastern Europe....

, USA, Chile
Chile
Chile ,officially the Republic of Chile , is a country in South America occupying a long, narrow coastal strip between the Andes mountains to the east and the Pacific Ocean to the west. It borders Peru to the north, Bolivia to the northeast, Argentina to the east, and the Drake Passage in the far...

 and Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...

. During the 1970s Blue Circle became, briefly, the largest cement manufacturer in the world.

In the 1920s the company's main brand name - Blue Circle - began to be used informally for the company itself. But it was not until 1978 that the UK company name was officially changed from APCM Ltd to Blue Circle Industries PLC.

The company gradually built up a competence in the technical aspects of low-cost cement manufacture, and installed many new plants during the period 1950-1970, using its own specifications. It also sold manufacturing and plant-installation turnkey consultancy.

The company faltered following the 1970s energy crisis
1970s energy crisis
The 1970s energy crisis was a period in which the major industrial countries of the world, particularly the United States, faced substantial shortages, both perceived and real, of petroleum...

. The company's UK capacity reached its peak of 13 million tonnes per annum in 1973, and ultimately fell to half that level. Simultaneous world-wide contraction of markets lead to severe retrenchment. In the 1980s, major overseas investments were sold out, notably the by-then very large Mexican operation. The Mexican plants became incorporated in the Cemex
Cemex
CEMEX is the world's largest building materials supplier and third largest cement producer. Founded in Mexico in 1906, the company is based in Monterrey, Mexico...

 group, which is now (2006) the world's third largest cement manufacturer. This was followed by several failed attempts at diversification, which failed to enhance investor confidence. In the late 1990s, the company again attempted to expand its cement operations geographically, this time in cut-throat competition with other large companies.

Company taken over

In 2001, the company, now shrunk to sixth largest worldwide, was bought by the French company Lafarge
Lafarge
Lafarge is a French industrial company specialising in four major products: cement, construction aggregates, concrete and gypsum wallboard. In 2010 the company was the world's second-largest cement manufacturer by mass shipped behind Holcim.-History:...

. Lafarge thus became the world's largest cement manufacturer. "Blue Circle" currently (2008) remains Lafarge's cement brand name in the UK.

UK cement plants

The following UK cement plants used to be owned by Blue Circle.
  • Aberthaw Works - East Aberthaw
    East Aberthaw
    The East Aberthaw Conservation Area was designated in 1973 by the former Glamorgan County Council in recognition of the special architectural and historic interest of the village.- Locations of Special Interest :...

    , Barry, Wales
    Wales
    Wales is a country that is part of the United Kingdom and the island of Great Britain, bordered by England to its east and the Atlantic Ocean and Irish Sea to its west. It has a population of three million, and a total area of 20,779 km²...

  • Barnstone - Langer Nottinghamshire
    Nottinghamshire
    Nottinghamshire is a county in the East Midlands of England, bordering South Yorkshire to the north-west, Lincolnshire to the east, Leicestershire to the south, and Derbyshire to the west...

     - ( Kilns closed )
  • Cauldon Works - Ashbourne, Derbyshire
    Ashbourne, Derbyshire
    Ashbourne is a small market town in the Derbyshire Dales, England. It has a population of 10,302.The town advertises itself as 'The Gateway to Dovedale'.- Local customs :...

  • Houghton Regis
    Houghton Regis
    Houghton Regis is a town and civil parish sandwiched between the major towns of Luton to the east and Dunstable to the west. The parish includes the ancient hamlets of Bidwell, Thorn and Sewell...

     - Bedfordshire
    Bedfordshire
    Bedfordshire is a ceremonial county of historic origin in England that forms part of the East of England region.It borders Cambridgeshire to the north-east, Northamptonshire to the north, Buckinghamshire to the west and Hertfordshire to the south-east....

     - (1923–1976) Houghton Regis cement factory
  • Cookstown works - Cookstown
    Cookstown
    Cookstown may refer to either of the following:*Cookstown, County Tyrone, Northern Ireland*Cookstown, Ontario, Canada*Cookstown, New Jersey, United States...

    , County Tyrone
    County Tyrone
    Historically Tyrone stretched as far north as Lough Foyle, and comprised part of modern day County Londonderry east of the River Foyle. The majority of County Londonderry was carved out of Tyrone between 1610-1620 when that land went to the Guilds of London to set up profit making schemes based on...

  • Dunbar Works - East Lothian
    East Lothian
    East Lothian is one of the 32 council areas of Scotland, and a lieutenancy Area. It borders the City of Edinburgh, Scottish Borders and Midlothian. Its administrative centre is Haddington, although its largest town is Musselburgh....

    , Scotland
    Scotland
    Scotland is a country that is part of the United Kingdom. Occupying the northern third of the island of Great Britain, it shares a border with England to the south and is bounded by the North Sea to the east, the Atlantic Ocean to the north and west, and the North Channel and Irish Sea to the...

     - Only cement factory in Scotland
  • Hope Valley Cement works - Hope Valley, Derbyshire
    Hope Valley, Derbyshire
    The Hope Valley is a rural area centred on the village of Hope, Derbyshire in the Peak District in the northern Midlands of England.The name also applies to the Post Town which includes the surrounding villages.-The Valley:...

  • Harbury Works - Bishop's Itchington, Warwickshire
  • Martin Earls
  • Masons Works - Claydon, Suffolk
    Claydon, Suffolk
    Claydon is a small village just north of Ipswich in Suffolk, England. The meaning of the name is 'clay-on-the-hill', though it is not much of a hill....

  • Northfleet - Kent
    Kent
    Kent is a county in southeast England, and is one of the home counties. It borders East Sussex, Surrey and Greater London and has a defined boundary with Essex in the middle of the Thames Estuary. The ceremonial county boundaries of Kent include the shire county of Kent and the unitary borough of...

     (Currently being Demolished)
  • Plymstock
  • Shipton On Cherwell (closed 1986, partly demolished/abandoned) - Oxfordshire
    Oxfordshire
    Oxfordshire is a county in the South East region of England, bordering on Warwickshire and Northamptonshire , Buckinghamshire , Berkshire , Wiltshire and Gloucestershire ....

  • Shoreham (ceased operations 1991)
  • Swanscome
  • Westbury Works - Westbury
    Westbury, Wiltshire
    Westbury is a town and civil parish in the west of the English county of Wiltshire, most famous for the Westbury White Horse.-Name:The most likely origin of the West- in Westbury is simply that the town is near the western edge of the county of Wiltshire, the bounds of which have been much the same...

    , Wiltshire
    Wiltshire
    Wiltshire is a ceremonial county in South West England. It is landlocked and borders the counties of Dorset, Somerset, Hampshire, Gloucestershire, Oxfordshire and Berkshire. It contains the unitary authority of Swindon and covers...

  • Eastgate Works - Eastgate
    Eastgate, County Durham
    Eastgate is a village in County Durham, England. It is situated in Weardale, a few miles west of Stanhope.Eastgate originally marked the eastern border of the private hunting park of the Prince Bishops of Durham. This was second in extent only to the royal hunting park of the New Forest in Hampshire...

    , Weardale
    Weardale
    Weardale is a dale, or valley, of the east side of the Pennines in County Durham, in England. Large parts of Weardale fall within the North Pennines Area of Outstanding Natural Beauty - the second largest AONB in England and Wales. The upper valley is surrounded by high fells and heather grouse...

    , County Durham
    County Durham
    County Durham is a ceremonial county and unitary district in north east England. The county town is Durham. The largest settlement in the ceremonial county is the town of Darlington...

    Closed 2003, Demolished 2005
  • Portland Cement Works-Magheramourne, Co Antrim

External links

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