Uzbekistan selling over 80% of cement through commodity exchange(Exclusive)

Business Materials 2 November 2018 14:18 (UTC +04:00)

Baku, Azerbaijan, Nov. 2

By Fikret Dolukhanov – Trend:

In January-September 2018, cement production in Uzbekistan decreased by 4.7 percent and amounted to 5,634,800 tons against 5,912,900 tons in 2017, Uzbekistan’s O’zqurilishmateriallari JSC (Uzbuildmaterials) told Trend.

In the reporting period, the sale of cement through the Uzbek Commodity Exchange amounted to 4,526,900 tons, which accounts for 80.34 percent of the total volume of production.

The main reason for the declining cement production is the significantly increasing prices of natural gas and electricity in 2018 for manufacturers.

The tariffs for gas and electricity have increased by at least 60 percent during 2018 for the enterprises of the construction industry, including cement producers.

According to the O’zqurilishmateriallari, there was an increase in the production of lime – 25,200 tons (a growth by 102 percent), ceramic tiles – 4,038,500 square meters (93.5 percent), dry mixes – 66,400 tons (18.8 percent), construction gypsum – 64,800 tons (13 percent) and finishing materials – 37 million pieces (6.7 percent).

At the same time, the production of construction glass decreased to 9.3 million square meters (a decrease by 4.5 percent) and the production of slate fell to 141,800 tons (6.8 percent).

Manufacture of 34,000 pieces of ceramic sanitary ware has also been established.

Exports of products amounted to $40 million.

According to the localization program, products worth 106.9 billion soums were manufactured during the reporting period, which is 2.4 times more than the same period in 2017.

In line with an investment program of O’zqurilishmateriallari, eight projects are planned to be implemented with a total investment of $19.6 million. Investments worth $42.3 million have been made in the reporting period.

It was earlier reported that an event was held in Uzbekistan's Angren city to lay the foundation for an enterprise for the production of cement, established in collaboration with Swedish entrepreneurs.

The commissioning of the enterprise, ABA GTS Group Ltd, will create opportunities for the production of 1,200 tons of products per day. The permanent employment of 400 people will be provided. It is planned to complete the construction of the complex by November next year.

(8236.87 UZS = 1 USD on Nov. 2)


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