Company weighs alternative fuel to reduce prices
AMMAN (Petra) — The Jordan Cement Factories Company (JCFC) on Sunday decided to inject an additional 2,000 tonnes of cement daily into the local market as of this week in response to a growing demand and complaints about shortages.
JCFC General Manager Samer Biraqdar said he will arrange for 13, 000 tonnes of cement to be sold to the local market, up from 11,000 tonnes at present in a bid to meet consumer demands noting that the present 11,000 tonnes are 10 per cent higher than the average daily supplies of last year.
The company's decision came immediately following complaints by the Contractors Association and cement dealers who alleged that the shortage was behind the emergence of a black market in cement.
Association Vice President Dirar Sarayreh charged at a press conference on Sunday that the JCFC and the concerned authorities are both responsible for the cement shortage in the local market.
“A tonne of cement is selling for JD70 to JD75 on the black market whereas the official company price is JD60 to JD65 a tonne,” Sarayreh said.
He also charged that the company has been selling cement to Syria at less than JD30 per tonne. According to Sarayreh, the JD5 per tonne increase in the price of cement over the past six months has led to a rise in the cost of the construction industry as the price of tiles, bricks and cement pipes has dramatically increased by 10 per cent.
Responding to Sarayreh's complaints, the company's general manager said, “the recent rise in the price of cement came as a result of the increase in the price of fuel.
He said the JCFC is currently studying the use of alternative and less costly fuel that would bring down the price of cement for the consumer's benefit.
Promising the association and consumers to take their proposals into account and reduce the cement prices, Birqadar revealed the company plans to apply a new system for the distribution of cement as of July but he gave no details.
© Jordan Times 2003
