Holcim leads in Iran

Holcim leads in Iran
Published: 25 February 2005

Holcim is quietly building up a useful portfolio of cement assets in Iran, while other majors have yet to make any impact on this emerging nation and one which consumed a high 33Mt of cement last year. Holcim’s first investment was in the elderly 1Mta Ardebil cement works in the north of the country which it supplied with clinker from its Russian works prior to its recent renovation. Since then, Holcim is known to have made investments in four new projects now under construction namely: Faraz Firouzkooh 1Mta capacity; Golestan 1Mta capacity; Neizar Ghom 1Mta capacity and Kavir Kasham 0.6Mta capacity. To aid its endevours in Iran, Holcim is likely to announce a joint venture with the Iranian Cement Investment Development Corporation CIDCO shortly, CemNet understands, giving it an extra leverage in the local cement sector. With Iran’s cement industry likely to rise to 70Mt capacity by 2010, and consumption over 50Mt, Holcim’s early start could give it a significant advantage over rivals in coming years. Export trading opportunities are another possibility.