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Positive sales in Central Europe but prices lower

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World Cement,

Central Europe provided positive news for Buzzi Unicem in 2016, with sales volumes growing in Germany, Luxembourg and the Netherlands, although lower average prices offset some of the gains.

In Germany cement deliveries increased by 3.4% in 2016, as the construction sector in Europe’s largest economy grew well. The residential sector was particularly strong, supported by high demand due to high net migration.

Despite this, “basically weak average prices” more than offset the rise in sales volumes, resulting in a marginal decline of 0.2% in revenues to €572 million. Without the fall in prices, revenues would have increased by 0.6%, the company said.

In Luxemburg and the Netherlands, solid export and domestic demand saw sales volumes grow 8.2% in 2016, although again average selling prices were slightly down. Net sales revenues were 3.9% higher at €176 million.

Through its Dyckerhoff subsidiary, Buzzi is the second-largest cement producer in Germany with around 13% of the market. The company operates seven cement plants in the country, including two grinding plants, with an installed capacity of 7.2 million t, as well as 121 concrete batching plants.

The company also operates one cement plant in Luzembourg with capacity of 1.4 million tpy, as well as a network of 13 concrete batching plants and one aggregates quarry in the Netherlands.

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European cement news Construction news