Egypt's cement sector faces decline in natural gas supply

In a filing sent to the Egyptian Exchange, Suez Cement reported that Egypt's cement sector is facing a decline in natural gas supply below normal levels. Nevertheless, it said this has not affected the deliveries at its plants because of the group's strategic inventory of clinker.

The Ministry of Trade and Industry announced on 20 January 2013 said that it would hike prices of heavy  fuel oil (HFO), for the cement and ceramics industries by 50 per cent to US$225/t from US$150/t.

This comes after a threatened increase in the price of HFO in late December 2012 of 130% that the government exempted cement producers from. At the same time, government has planned to raise the price of natural gas to US$6/mmBtu from US$4/mmBtu.