01 December 2001

UAE's cement manufacturers have increased prices of Ordinary Portland cement (OPC) for the second time in four months, a report said.

Industry sources, quoted by the Khaleej Times, said the price increase of Dh12 ($3.3) per tonne became effective from October 20 following an agreement reached by manufacturers Ñ hit by a slump fuelled by excess capacities.

The newspaper said prices were now pegged at Dh150 ($41) per tonne for OPC in Dubai and Dh160 in Abu Dhabi. Retail price has risen from Dh7.50 to Dh8.50 per 50 kg bag.

In June this year, the report said a the informal 'cartel' of Cement Manufacturers Association raised prices by 15 per cent.

After the June increase, ex-factory prices had been pegged at Dh138 for OPC in Dubai and Dh148 in Abu Dhabi.

Local cement manufacturers have been struggling to stay afloat over the past several months even as prices plummeted by more than 50 per cent, the report said.

From Dh238 for ex-factory bagged OPC in 1998-99, prices dropped by more than half to below Dh100 per tonne last year. Retail prices were hovering around Dh6.50, down from Dh12 in 1998.

With seven full-fledged factories (three in Ras Al Khaimah, one each in Dubai, Al Ain, Sharjah and Fujairah) in addition to the three grinding mills in Jebel Ali, Umm Al Quwain and Ajman, UAE has emerged as the second largest cement producer in the Gulf after Saudi Arabia, accounting for a combined production capacity for over 11 million tonnes per year.

• $150m Marina Towers launched
• $1bn more for airport project
• $3.18m expansion for Bahrain ministry
• Bid to pull plug on fake goods
• Big 5 gets bigger with $1.6m orders
• Cement-makers raise prices again
• Diary of Events
• Dutch firm takes Palm Island role
• Jasaf wins warehouse deal
• Material shortage delays maintenance
• Philips to light up sports arenas
• Pilkington to launch self-cleaning glass
• Contracts
• New Projects
• Update
• Seef Tower to open next year
• Steel portal offers Burj Al Arab stay
• Tarmac Quarry buys two Turbotracs
• YTong will set up $27m factory

Tags

Regional News The Fairmont Dubai Bathrooms, Fittings & Water Heaters Insulation Dumptrucks Kuwait Transport & Materials Handling Construction in Makkah & Madinah Oman Environment Protection & Waste Disposal Scaffolding & Formwork Saudi Review Dubai Investments Building Contract Furnishing

Gulf Construction is the undisputed leading trade journal for the building and construction industries of Saudi Arabia and the other Gulf states. The magazine provides editorial coverage on a wide range of topics which are of interest to industry professionals. In addition, regular features highlight technological developments within specific industry fields. Launched 40 years ago, the magazine has established an enviable reputation as an authoritative, respected journal with unmatched coverage of the Gulf region. Gulf Construction is essential reading for anyone with a serious interest in the region’s building and construction industry.