12-13 Oct, 2009 - Abu Dhabi, U A E
Millennium Hotel, Abu Dhabi
Millennium Hotel, Abu Dhabi
Cement production in Iran has shown an upward trend toward self-sufficiency after the victory of Islamic Revolution in 1979 and its production has increased by eight-fold in the past 30 years, reaching 64 million tons by March 20 2009.
Self-Sufficiency
Iran has become self-sufficient in design, construction, installation and execution of cement production units.
Experts pinpointed that among the advantages of Iran’s cement production are the quality and fair price, presence of export markets, sufficient deposit and high-quality fuel. This industry is considered more lucrative due to low price of cement production as compared with other export markets.
Given the surplus cement production since January, removal of the existing rift between supply and demand, as well as sufficient storage of cement in the country, a market monitoring workgroup agreed with maintaining the determined price ceiling for the domestic market and eliminating the export duties of cement.
The government had set the price of each ton of type-I grey cement for export at one million rials in order to prevent shortage of cement in the domestic market due to excessive export of this type of cement.
Export Liberalization
Market analysts predict that after agreement of government with liberalization of cement exports on condition of regulating the market and controlling the prices, Iran will become the world's fourth cement producer within next three years. With liberalization of cement exports this year, a total of 400,000-500,000 tons of cement were exported.
Deputy Head of Majlis Industry and Mine Commission, Ahmad Mahdavi Abhari, told Iran Daily that given the cement factories that have become operational until now, Iran's cement production reached to more than 50 million tons so that the cement produced in Iran is more than the domestic need and that is why the government has liberated export of cement.
"Once several cement producing factories become operational next summer, the cement production will considerably grow," he said.
Mahdavi Abhari pointed out that permits for production of 119 million tons of cement have so far been issued. He assessed the current price of cement in the domestic market as fair, adding that the volume of cement export depends on the output of the cement factories.
"Since cement production is increasing in the country, the cement prices will decline," Mahdavi Abhari said.
Source: www.Iran-daily.com, 8 February 2009
To learn more on Iran’s cement market, hear from Mr. Arash Habibi Azad, Planning Manager of Fars and Khuzestan Cement Co as he presents his paper on;
Iran’s Cement Market & Prospects for Central Asia
Speaking Slot: 13 October 2009, 10.50am
