Brighter future for Iran’s cement industry

Brighter future for Iran’s cement industry
Published: 18 April 2005

Given the growing for cement in Iraq and Afghanistan following the ongoing reconstruction efforts in the war-torn countries, Minister of Industries and Mines Eshaq Jahangiri on expressed optimism about the future of cement industry in the next two years, stressing that the establishment next year of the much-publicised cement exchange would help improve the key industry to a great extent.

He hoped that the establishment of such an exchange would balance market supply and demand, stressing that the bourse could be in operation sometime next year in cooperation with Iran Cement Association.

"I’m quite optimistic about the future of cement industry given the major developments in the sector and favourable supply situation that has been forecast for next year," he said, adding that his ministry hopes restrictions on cement export will also be eased.

The minister called on relevant authorities to try to reach agreements with Iraq and Afghanistan on future cooperation. ³We must think now of cement exports in future," he said.

Iran’s cement industry is striving to increase its production capacity by utilising modern technologies. The private sector is taking a bigger share in the important sector¹s development programs.

Some 38 factories nationwide produced 26.7Mtof cement during March-December 2004, registering an eight-per cent increase against the figure for the corresponding period the previous year.

Cement exports reached 1.2Mt in the same period, recording a 190 per cent growth.

Cement production has reached 31.5Mt. Production capacity would reportedly hit 33Mt by March 2006.