Ministry blocks cement price increase

Ministry blocks cement price increase
Published: 30 May 2006

The UAE Ministry of Economy has overturned a decision by cement factories to increase prices by Dh10 per tonne from June 1. "The ministry has moved swiftly to overturn the recent decision by cement factories to increase prices by Dh10 per tonne. We have contacted representatives of these companies and made it clear that no unnecessary hike in prices will be allowed," a top ministry official said.

He there should be no unified prices for cement, as this would cause instability in the local market and compromise consumer interests. "Any move to increase prices should be left to market fundamentals as well as to market policies of individual companies," he said. He said the ministry’s move was in line with the Cabinet’s decision to prevent commercial groupings or alliances aimed at increasing prices of any given commodity.