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Al Jouf receives cement export license

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World Cement,

Saudi Cement company, Al Jouf Cement, has been issues a license to export cement by the Ministry of Commerce and Investment. The license will be valid from the date of issue.

The Saudi cement sector has been struggling with decreased demand in the country with many cement producers reporting significant falls in profits in the last quarter of 2016.

Earlier this month, Najran Cement announced that it had received an export license in a bid to reduce its stockpiles, which had built up to some 3 million t, according to financial news site, Argaam.

Despite the issue of licenses, Saudi cement exports face fees that add SAR 85 and SAR 133 per tonne, reducing their competitiveness on the international market.

In 2016, Al Jouf reported a 5.59% fall in net profits on the back of a 4.9% fall in sales – although the company did report higher sales volumes, unlike many of its peers.

The increase in sales volumes was offset however by a fall in the average sales price and an increase in fuel prices.

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Cement shipping news