Energy shortage behind Egypt cement price spike

Energy shortages are behind the recent spike in Egyptian cement prices as reduced gas supplies lowers output, a statement by Egypt’s cabinet has said.

Daily News Egypt reported that interim Prime Minister Ibrahim Mehleb, who heads the cabinet, met with Minister of Foreign Trade, Industry and Investment Mounir Fakhry Abdel Nour, Minister of Energy and Electricity Mohamed Shaker, Minister of Petroleum Sherif Ismail and Minister of Environmental Affairs Leila Iskander on Sunday.

Medhat Stephanos, the head of the cement industry at the FDI, also attended the meeting. He said that in  January that the Egyptian Natural Gas Holding Company had reduced gas supplies to cement facilities by 50 per cent, which resulted cement production reducing by the same percentage.

According to the statement, the attendees discussed ways of addressing the energy challenges, saying that there is a need to “diversify energy sources” and “expand the usage of new and renewable energy."