The price of bulk cement in the UAE was fixed at a maximum of 280 UAE dirhams (US$76.2) a tonne and the price of a bag at 15 dirhams (US$4.08), following an agreement reached by the panel created to supervise the cement prices in the country on June 30, 2004. The panel, comprising representatives of the UAE Ministry of Economy and Commerce, the Contractors’ Association and cement manufacturers, will implement the new prices on July 1, 2004. The three sides also agreed that cement manufacturers should import cement to meet the current needs of the local market and that the ministry should control the quality of the imported quantities.
The Contractors’ Association and local cement manufacturers signed on June 6, 2004 an initial agreement to lower the cement prices. The agreement provided for a decrease in the prices to between 11 dirhams (US$2.99) and 17 dirhams (US$4.62) a bag from some 25 dirhams (US$6.8) a bag.