Hike in Algeria’s cement import bill

Cement imports into Algeria rocketed by 86 per cent in terms of value during the first nine months of 2012, rising from US$102.1m to US$190.4m, said the National Centre of Informatics and Statistics (CNIS). The increase – from 1.104Mt to 2.076Mt – can be attributed to the high demand for cement, particularly during the dry season (March to August).

The supply deficit is estimated at more than 2.5Mta, according to cement group Gica. This has caused a price spike in the market with a 50kg bag reaching ALD1200, nearly four times the price of government-backed cement companies.

Current domestic output is over 18Mta, of which government-owned cement producers account for around 11.5Mta. Gica aims to produce 20Mta by 2016, increasing this to 29Mta by 2018.  To bridge the present supply-demand gap, Gica started importing cement in June.

Recently, the government launched tenders for the construction of 12 cement plants in joint ventures with foreign firms.