JEDDAH, 16 May 2005 — The Ministry of Commerce is considering prohibiting the export of Saudi cement, specifically to countries in the Gulf. The move will be part of the ministry’s attempt to deal with a problem which first surfaced in the Saudi market about a month and a half ago. The problem, which originated with a shortage of cement in the Western region, has caused the demand to increase in both the southern and western regions. In addition, a number of cement distributors prefer to sell their products in areas where prices have risen. Dr. Saud Islam, the general manager of Yanbu Cement Company stated in an interview that his company had not increased the prices of cement during the shortage and that its prices were fixed for all customers. A number of cement salesmen in Jeddah allege that the increase in the price of cement is the result of a monopoly by a small group. Sources told Arab News that some of the Kingdom’s cement companies are importing cement to make up for the shortage in the local market.
