UAE cement and steel prices set for further increase

UAE cement and steel prices set for further increase
Published: 07 January 2008

Price escalation clauses could be good for both contractors and developers as cement and steel price increases in the UAE are expected to reach the 20% mark this month, according to some industry experts.

Cement and steel make up 30% of construction costs, which means a loss of millions of dollars for all projects. Rising costs could also force investors to look to other Middle Eastern countries for business opportunities. By the end of this month, steel prices are expected to reach US $816 (AED3000) per tonne and cement could touch $95 per m³.