Cement Central Meets Cement Needs in Dubai
on: September 26, 2008, 7:01 am
Release Author: KJE Trading Group
Release Summary: Cement Central announced today that in an aggressive
move to combat the ever increasing cost of cement to Dubai, it
has partnered with its current suppliers to offer cement starting
as low as US$60MT, a major offset from the current price of US$90MT
which seems to have become the norm.
Release Body: Cement Central announced today
that in an aggressive move to combat the ever increasing cost
of cement to Dubai, it has partnered with its current suppliers
to offer cement starting as low as US$60MT, a major offset from
the current price of US$90MT which seems to have become the norm.
the Middle East to Russia, the cement industry is witnessing global
robust growth amid a massive international construction boom.
Cement & concrete companies are facing bigger challenges and
higher demand by the day with companies continuing to invest in
increasing capacity and sustainable technology.
With countries like Egypt & India suspending their cement
exports the increasing demand is outpacing the supply from the
UAE to Qatar to East Africa. In a region where $1.7 trillion worth
of real estate is being constructed or being planned, price trends
in the cement industry take on heightened significance.
bad news for local property developers and contractors is that
the price of cement in Dubai is constantly increasing according
to figures published by Emirates Industrial Bank. This year alone,
bills for bulk cement shot up by around 20 per cent - reaching
more than Dh330 per tonne earlier this month, say cement buyers.
While cement factories enjoy profitable times - some say they
are taking advantage of high demand - the trend is putting strain
on the construction industry.
Perez said “Even government projects are being
affected” and quoted, Ebrahim Al Shehhi, director, UAE Ministry
of Public Works as saying "As a ministry we are tendering
two or three times for a project. Contractors are not coming forward
because they don't know what the price of steel, cement and electrical
cable will be the next day."
number of mega projects in infrastructure, tourism and real estate
are currently in various stages -- from designing, tendering to
construction -- and the same trend is likely to continue in the
coming years and it will create regular demand for cement in the
country," said Carlos Perez, Managing Director
of Cement Central. The massive scope of these projects
and the fast pace of expansion is giving rise to high demand for
various building and construction materials, especially cement.
As local cement producers are unable to keep up with demand, more
and more cement is being imported from other countries. This is
where companies like Cement Central can aid with
cement importing needs.
imports have soared during the past three years as a result of
the unprecedented construction activities here that accompanied
the overall economic boom in the UAE and the region. The sharp
increase in oil prices is a major reason for this boom.
Cement Central client was quoted as saying “the
shortage in cement had already caused an increase in operating
costs, which had forced most companies to increase prices of concrete
by an extra Dh40 per cubic metre and it was difficult to increase
prices where contracts with clients exist, and that in such situations,
ready-mix companies are taking on all the losses.” Being
aware of the crisis facing contractors and builders in Dubai,
Cement Central and its suppliers felt the need
to step in and offer cement at competitive prices that wouldn’t
break their budgets.
though we distribute globally, our immediate focus is on emerging
Middle Eastern and European markets” says Carlos
Perez. We currently have a 60 million MT allocation geared
towards helping the ever growing expansion in Dubai. Cement
Central provides up to date pricing and procedures on
its website www.CementCentral.com
and welcomes broker inquiries. Our supplier’s contract will
reflect their firm intent and ability to do business. We deal
directly with large allocation holders and as a result, we pass
along our competitive advantage and savings to you! Our clients
and suppliers span the globe from the Americas to Europe and Asia
and our extensive product and marketing knowledge make us the
Details: Carlos Perez
U.K. +44 20-3286-7252