Cheap imports force 13% slide in cement prices

Cheap imports force 13% slide in cement prices
Published: 15 June 2009

Cement prices in the UAE have dropped by around 13 per cent or Dh40/t since April, according to industry officials. However, they expect prices to go higher post-Ramadan.

Imported cement in the UAE is currently being sold at between Dh260 and Dh280 compared to about Dh300 during mid-April and around Dh330 in March.

A senior official of a Ras Al Khaimah-based cement factory yesterday told Emirates Business that due to low import prices many cement factories were selling cement at much lower prices and even matching the new price cap set by the UAE Ministry of Economy.

In April, the UAE Ministry of Economy had asked cement companies to bring down the prices to Dh280 per tonne and Dh14 per bag. Many cement companies then had reduced the prices but not to the extent of the MoE request.

"Imported cement is selling really cheap. It has come down by almost 20 per cent since the beginning of the year. But today even factories in the UAE are selling at Dh275 to Dh285 ex-factory price," said the official.

Source: Emirates Business