According to CW Research’s Cement and Clinker Price Assessments for Mediterranean Basin and Persian Gulf, FOB prices for cement and clinker recorded a slight decrease in both regions in December.
During the last month of 2018, in the Mediterranean Basin region, trade prices for both prompt deliveries of bulk ordinary Portland cement and clinker slipped mildly when compared to November, with cement dispatches reaching between USD 39 and USD 41 per ton.
"The end of the year comes with the usual price discounts in cementitious commodities in order to clear unsold stock. In the Med Basin, some key players are investing in CO2 reduction as a key resolution for 2019”, notes Ana Almeida, CW Group’s analyst.
Such is the case of Portuguese cement producers, who plan to curb CO2 emissions by using waste co-processing. The effort to reduce carbon dioxide emissions has been particularly noticeable in the last 13 years, as manufacturers have been using waste as an alternative fuel or as a replacement for clinker in the production process. As a consequence, Portuguese cement makers’ reliance on petcoke imports has been decreasing.
Saudi Arabia to export white cement
In December, 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 slipped slightly on a monthly basis, with cement dispatches reaching between USD 34 and USD 36 per ton.
Ana Almeida observes: “In the Persian Gulf-Arabian Sea region, the end of the year has brought seasonal price reductions as a tool to dispose of surpluses. Cement and clinker exporters remain hopeful that 2019 will bring about a better shipping year in the region.”
Meanwhile, Northern Cement wants to turn Saudi Arabia into a white cement exporter to markets such as Jordan, Iraq, India, and Australia. The installation of a new white cement production line is aimed at covering between 30 to 40 percent of the domestic market, whose needs are currently being met through imports.
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