Skip to main content

Saudi Arabia’s cement industry on the road to recovery

World Cement,

Saudi Arabia’s cement sector is facing the road to recovery as a result of high public spending and improved economic conditions. Al-Jouf Cement’s 180 000 t plant was recently brought onstream, contributing to the nation’s total production growth, which has increased by 13.9% to 32.2 million t. 96.2% of this was represented by the domestic market, with foreign markets accounting for 3.5%.

The cement industry in Saudi Arabia has struggled of late, with demand slowing and prices weakening. Net profits of the eight listed companies have also dropped 16% y-o-y. NCB, the largest bank in Saudi Arabia, said, “thus, the overall net profit of the eight listed companies dropped by 2.6% to SR 2821 million in the first nine months of 2010 over SR 2897 million in the same period of last year. Investors responded in a subdued fashion to listed cement companies, causing a 2% drop in their stock prices so far this year. As the construction sector recovers, the demand for cement will start to pick up in a paced fashion.”

Saudi Arabia’s 2010 budget aims to maintain an expansionary fiscal policy, which would support the demand for cement. Plans are also in place to outlay US$ 400 billion on infrastructure over the next five years. Furthermore, a combination of licences for new projects and expansions of existing plants is forecast to push the nation’s production capacity to 54 million t by the end of this year.

Read the article online at:

You might also like


Optimisation 2020

Optimisation 2020 provides a unique online forum for cement industry professionals to hear first-hand from experts through a series of exclusive presentations from cement producers and industry experts.

Find out more and register for the series »



World Cement Spotlight with Rockwell Automation

World Cement Editor, David Bizley, sat down with Michael Tay, Advanced Analytics Product Manager at Rockwell Automation to discuss his recent article in World Cement.

Entitled ‘Smooth Sailing’, this article explains how machine learning can help save energy, reduce downtime and predict equipment failures, thus enabling the smooth running of cement plant operations.

Watch the interview now »


High-level control in cement production

Dirk Schmidt and Eugen Geibel, KIMA Process Control, discuss how the methods of High-Level Control (HLC) have been used in the cement industry in the early 2000s and control ever more complex closed-loop-controlled processes where standard controllers fail.


Embed article link: (copy the HTML code below):