Cemex Latvia forecasts lower sales

Cemex Latvia forecasts lower sales
Published: 18 September 2009

Cemex Latvia said it could see a 10 per cent fall in sales next year as the local construction sector continues to experience a downturn, Maris Gruznins,  Cemex Commercial Director in Latvia, told BNS.

He said that 2010 would continue to be a very complicated year for the construction sector and Cemex expected to see its sales fall 10 per cent next.

Gruznins explained that the construction sector had experienced a severe downturn this year and it had also affected cement sales. Cemex has partly compensated the local market decline this year by increasing its exports, which constituted more than 30 percent of total sales, the company’s largest export partners being Russia and the Baltic states, Gruznins said.

"Of our total exports, 65 percent go to Russia and 35 percent to EU countries," the commercial director said.

He also said that Cemex had signed several large export contracts with Scandinavian countries for the next year. The company will also continue to develop its sales divisions in Russia and Estonia.

"We are sure that we will achieve good results in 2010," Gruznins said, adding that next year the company’s new cement terminal in the southwestern Latvian city of Liepaja would start operating at full capacity.

According to the information provided by the company, last year Cemex sold 30 percent less cement in Latvia than in 2007.