Projects for development of cement factories production lines [Archives:2004/729/Business & Economy]

April 15 2004

The Yemeni state establishment for industry and marketing of cement is in the process of implementing investment projects to expand production lines in the government factories of cement for the purpose of meeting the escalating local demand at a rate of 5.6% compared to the last year situation.
The developing projects include the expansion of production of Amran cement factory by building a new production line with a capacity amounting to one million tons per year. It is expected that the expansion project would be finished at the end of this year and funded by the factory's budget.
The development plan also includes the expansion of the production capacity of Bajil cement factory by 600 thousand tons a year with contribution of Chinese and Egyptian companies. After the new expansion the factory's production capacity would increase from 200 thousand to 800 thousand tons per year. The state establishment for cement industry and marketing is also preparing a study for developing the production capacity f al-Barah cement factory in the governorate of Taiz. Geological studies on the area indicate that there is a possibility for increasing the factory's production by large quantities. In addition there is a plan for accomplishing the Batees cement factory in the governorate of Abyan with a production capacity of around 500 thousand tones per year.
The Batees cement factory production would cover demands of the governorates of Shabwa, Aden, Lahj and Abyan, and there are studies confirming the possibility of raising this factory's production.
There is also a new investment project in the cement industry in the city of Mukalla aimed at covering the eastern region's needs I the governorates of Hadramout, Mahra, areas of Shabwa and the governorate of Abyan. The new factory's annual production capacity amounts to around one million.
Implementation of the plan is aimed at covering and making up for the deficit occurring in consuming cement along with the existence of strategic investment projects under construction. The plan also aims at lowering the volume of cement imports from abroad.
The three government factories; Amran, Bajil and Barah, had last year produced 1.541.352 tons, at an increase amounted to 271.352 tons compared to the total production of 2002. But demand for cement has in this year doubled by 25%.