Saudi cement sales drop by 19% to 22.6Mt in first five months of 2017

Saudi Arabia: Cement sales have fallen by 19% year-on-year to 22.6Mt/yr in the first five months of 2017. Clinker production decreased by 11.3%, according to a market report by Al Rajhi Capital. Northern Cement and Najran Cement recorded the highest declines in the period at 50% and 43% respectively. The report does not expect demand to pick up in the remainder of 2017. Overall it forecasts a 14% fall in sales volumes to around 47Mt in the year. Saudi Cement, Yamama Cement, Yanbu Cement and Najran Cement hold 50% of the total inventory in the sector at 4.9Mt, 4Mt, 3Mt and 2.8Mt respectively.