Cement sales in Poland are expected to increase by 2-3 per cent YoY to between 11.2Mt and 11.3Mt for 2004, Andrzej Tekiel, chairman of the country’s cement and lime producers association SPCiW, said.
The cement sales in Poland have been falling month-on-month since May 1, 2004, after the country increased its value added tax (VAT) on building materials to 22 per cent from 7.0 per cent. However, the combined sales for the first ten months of 2004 are higher than those during the same period of 2003, Tekiel added.
Cement sales in Poland rose by 40 per cent YoY for the first four months of 2004. They increased by 6.2 per cent YoY 9.82Mt for January to October 2004.
Cement sales are expected to decrease in the last two months of 2004 as November and December are traditionally weak sales months.
The cement sales in Poland are expected to rise significantly in 2005 as the effect of the VAT increase would be consumed and the domestic construction industry will continue its recovery.
The country expects an increased inflow of funds from the European Union and a rise in spending on road construction in 2005.