Spain: consumption decreases 2.3% in 1H16

Spain: consumption decreases 2.3% in 1H16
Published: 12 July 2016

Tagged Under: Consumption Spain 

Cement sales in Spain slipped by 0.9 per cent to 1,048,116t while for 1H16 they fell 2.3 per cent to 5,525,720t. The continued fall in demand is attributed to the lack of construction in the infrastructure sector with the key housing sector unable to offset the decrease.

"The virtual paralysis of public works has been a setback in our forecasts for the end of the year," says Jaime Ruiz de Haro, Oficemen president, adding that "at the end of 2015 we envisioned a scenario with slight growth of construction and zero growth in the public works, and we expected an annual cement consumption growth around seven per cent. Unfortunately, there are many bids and budgeted projects that are not being carried out."

Cement consumption for full-year 2016 is expected to hover around the 11.15Mt mark, a level not seen since the 1960s. "To date, we believe that the year will close again with a drop of about three per cent," added Mr Ruiz de Haro. However, he also believes that "the fall will not be sharper thanks to the positive trend in cement consumption for housing."