Tehran, Iran, Jan. 17
By Milad Fashtami - Trend:
Iran's cement producing units have all stopped producing clinker for 30 days as of January 14.
Abdolreza Sheykhan, an official with Iran's Cement Producers Association, said that the country currently has 17 million metric tons of clinker in store, Iran's Fars News Agency reported on Jan. 17.
"We have stopped producing clinker in order to turn the current amount to cement," he said, adding that the country's need is only 10 million metric tons until the end of the current Iranian calendar year (March 20).
According to the official, Iranian oil ministry will pay $7 per metric ton of cement to production units to compensate for their loss as part of its energy saving program.
"Iran's current cement output is around 6.5 million metric tons," Sheykhan said.
"The country's need, however, is around 4.5-5 million metric tons," he noted.
Iran exported nearly 9.25 million metric tons of cement in the first eight months of the current year, which started on (March 21, 2014).
The figure shows 8.5 percent decrease compared to the same period previous year.
Sheykhan said earlier that the insecurity in Iraq and reduction in the number of destination markets for Iran's cement are the major reasons behind the fall in exports.
"Azerbaijan was one of the major importers of Iran's cement, but the country has now reached self-sufficiency and reduced its imports from Iran," he said.
The official further named Russia and African countries as new markets for Iran's cement exports, adding that by taking the mentioned markets, Iran can increase its cement and clinker exports by 1.5 million metric tons.
Iran totally exported 13.4 million metric tons of cement and clinker in the first eight months of the current year.
The figure is 6.6 percent more than same period previous year.
The reason is mainly due to the rise in production and export of clinker.
Iran's cement output amounted to 69.68 million metric tons in the twelve-month time span which ended on March 20, 2014.
Some 71.904 million metric tons of clinker was also produced in the mentioned period.
Iran exported 18.812 million metric tons of cement and clinker in the mentioned 12-month period, which shows 37.8 percent increase compared to its preceding year.
Cement accounted for 14.348 million metric tons of the mentioned amount.
Some 55.622 million metric tons of cement was also consumed domestically in the mentioned period.
Iran with total production of 65 million metric tons ranked as the world's third largest cement producer in 2012.
Former Industry, Mine and Trade Minister Mehdi Ghazanfari said in August 2012 that the country's cement production capacity will reach 110 million metric tons by 2015.