Suez Cement production scaled back 30% due to energy shortages

Egypt-based Suez Cement said that it scaled back production by as much as 30 per cent last year due to a lack of fuel supplies.

 "A lack of fuel supplies has cut our annual production of 12Mt by between 20-30 per cent since the start of the year," Mohamed Shanan, director of business development of Suez Cement, told Reuters.

In terms of fuel price hikes, Mr Shanan told reporters at a recent energy conference that: "Any increase in (fuel) prices must be matched by an increase in cement prices." He said fuel costs had doubled in the past three year while cement prices have grown by just 30 per cent.

However, Egypt's Consumer Protection Agency (CPA), have argued that recent price hikes are unjustified and the Shura Council housing committee (upper house of parliament) has suggested that it imposes fixed pricing levels for cement companies.