Kuwaiti Cement Companies ask for price increase

Three Kuwaiti cement companies have asked the Kuwaiti Ministry of Trade and Industry for an increase in the cement price agreed between the two sides, it was reported on January 6, 2005.  During a meeting on January 5, 2005, representatives of Kuwait Cement Company, Kuwait Portland Cement and Hilal Cement verbally asked the ministry for an increase in the agreed cement price on the grounds of increased prices of building materials in the global markets, higher costs of raw materials and increased insurance costs. The ministry is reported to have asked the three companies to submit an official request for the price increase, stating also in a written form the reasons behind their request. 

The Ministry of Trade and Industry provides the Kuwaiti nationals with cement at 0.75 Kuwaiti fils ($2.6/1.9 euro) per bag, which is the price agreed with the three cement companies. At present the market price of the material is 1.1 dinars ($3.76/2.84 euro) a bag, or 1.15 dinars ($3.94/2.97 euro) a bag, including the transportation fees. The difference in the prices is covered by the ministry.