Cement and clinker trade prices decline in November

According to CW Research's Cement and Clinker Price Assessments for Med Basin and Persian Gulf, FOB prices for cement and clinker slipped in both regions in November.

Over the month, in the Mediterranean Basin region, trade prices for both prompt deliveries of bulk ordinary Portland cement and clinker contracted when compared to October, with cement dispatches reaching between USD 39 and USD 41 per ton.

"The North African markets are showing strong production levels as part of the plans of the last years. However, as a consequence, some key markets are suffering from oversupply due to high competitionÔÇØ, assesses Ana Almeida, CW Group's analyst.

In Egypt, cement companies are facing overcapacity, following large investments in capacity in the last years. However, producers have not been able to operate their plants at full capacity due to the strong competition and weakening exports.

 

Pakistani manufacturers targeting new markets

In November, in the Persian Gulf and Arabian Sea region, FOB prices for bulk ordinary Portland cement and for prompt deliveries of bulk ordinary grade clinker also declined on a monthly basis, with cement dispatches reaching between USD 34 and USD 36 per ton.

Ana Almeida, analyst with CW Group, observes: "A few major players are focusing on targeting new markets in the coming year in order to keep up with their production quotas."

In Pakistan, cement manufacturers intend to strengthen their export revenue in the coming years. The plan is to focus on key global markets whose production is insufficient to meet domestic demand, such as Eastern Africa, thus making them privileged candidates for importing Pakistani cement.

 

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