UAE is third largest Arab cement producer
The UAE is the third largest Arab producer of cement and production in the region could hit 300Mta in the coming years, it was reported on Sunday.
Cement plants in the emirates currently produce as much as 31Mt every year and expansion plans could see capacity increase to 42Mta, according to the Emirates 24/7 website.
Figures from the Arab Industry Union revealed that the UAE currently accounts for seventeen per cent of the 180Mt of cement produced in the Arab region every year.
The leading producer is Egypt, with a yearly capacity of around 75Mta. Second in the rankings is Saudi Arabia, which currently pumps around 45Mta, but is expected to increase annual capacity to 60Mta over the next few years.
The report estimates that expansion in the sector could see cement production in the Arab world top nearly 300Mta in the coming years, the report added.
However, Gulf cement companies have seen profits fall by over 12 per cent in the first half of this year as a result of the cancellation of hundreds of projects, it was reported in September.
Figures from the Bahrain-based investment bank Gulf Finance House (GFH) found that cement companies in the region saw profits slump by 12.4 per cent during the first six months of 2010, according to a report by the Abu Dhabi-based The National newspaper.
Average debt among the companies also fell 8.9 per cent and the downturn has also forced staff to take unpaid leave or transfers, the report added.
Published under Cement News
