Seeking Cement Industry Recovery through Iraqi and Foreign Investments

Cement bags

Cement bags

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The cement industry is one of the oldest, most developed industries in Iraq and has the raw materials, technical expertise, and established local markets necessary for success.

Building materials merchant Mohammed Hazem, 65, said: “Demand for Iraqi cement is increasing among most citizens and state offices. Citizens trust Iraqi cement.”

Ali Salim Omar, Director General of the Public Building Materials Company of the Ministry of Industry and Mines, confirmed that “Iraqi cement is among the highest quality types in the region.” He noted that “demand for it is rising continuously.”

“The Ministry of Irrigation and Water Resources relied on powdered Iraqi cement for the Hammam Al-Alil factory in filling the Mosul Dam after cement imported from Turkey and Iran for this purpose proved a failure,” Omar said.

There are 17 cement factories located throughout Iraq. They are managed by three companies: the Iraqi Public Company for Cement in Baghdad, with 4 factories; the Northern Public Company for Cement, with 6 factories; and the Southern Public Company for Cement, with 7 factories.

Company director Omar went on to say that “during the 1980s, Iraq was exporting to Turkey, the Gulf states, Singapore, and Yemen, but it turned into an importer from Lebanon, Saudi Arabia, Syria, India, and Iran in the amount of over a half-billion dollars.”

The Ministry of Industry and Mines official noted that “the energy available at present in terms of electricity and fuel, together with security stabilization, can bring production to 4.6 million tons annually. With resumption of rehabilitation programs on hold for 20 years, it could reach 14m tons annually.”

Studies show that Iraq will need 25-30 million tons of cement annually during the next 10 years to meet domestic market demand, particularly with the increase in population growth, resolution of the housing crisis, and rehabilitation and construction projects. The Iraqi government has thus turned towards investment, especially after its adoption of free economic policies.

The minister noted that “announcements went out for 14 cement factories open for investment, rehabilitation, and development in a manner ensuring the rights of the state and investors. Last October, the Iraqi parliament passed the Iraqi Investment Law No. 13 of 2006, which includes organizational, rights, and legislative provisions for Iraqi and non-Iraqi investors as well as for the establishment and employment stage.”

Company director Omar believes that “investment is the best solution for developing and rehabilitating Iraqi cement factories and increasing production in accordance with conditions and regulations safeguarding the rights of the state and shareholders.” He called for using “all available ports for import and export of Iraqi goods.”

“At a Dubai conference, an investment contract for the Kirkuk and Al-Qaim factories was signed with Iraqi companies, in cooperation with global companies, for a period of 20 years, incumbent upon 20-30 percent of factory production going to the state,” Omar added.

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  • READER COMMENTS

    arash

    2014-6-30

    Please send me a list of Iraq's cement manufacturing factories, along with their addresses and contact numbers. Thank you and I appreciate it.

  • شريف الرملي

    2011-4-28

    A rare chance for those who want to manufacture cement or expand its production, to make it available for sale immediately. We can deliver you a complete production line and a new cement grinder with a daily production capacity of 3000 tons per day, i.e. more than one million tons annually. The machinery is made in Germany and all the equipment is in boxes and ready for delivery to any place. The surprise is that they are in an Arab country. The price is only 12 million euros delivered, excluding the transportation and installation fees. Of course, we can agree with the seller to offer more options as to repayment. However, the clinker must be available for manufacturing. For more information, please contact us, using the information below. The technical details and pictures will be provided only to serious people and after sending a bank certificate that shows financial solvency. Looking forward to your reply, Sherif ElRamly, TargeTraders Co. International Trade Agency cell: +2 010143 0687 [email protected] Egypt

  • علیرضا

    2010-12-7

    Hi. Please provide me with some information regarding the Kubaisa cement factory near Baghdad.

  • 2010-10-9

    In my humble opinion, there is no industry in Iraq to be developed. We should be honest with ourselves; I do not consider that the factories that assemble imported parts, for example, are factories producing Iraqi goods; and this is what is mostly happening in Iraq. I think that factories that can be considered purely Iraqi, depending on Iraqi raw materials, are not big or don't have prolific production. They can't meet the needs and demands of the Iraqi market, which has become almost entirely dependent on imported goods and those manufactured outside Iraq, in various countries such as China, the European Union, Iran, Syria, Egypt, Turkey and some other countries. So, such plants should be given more attention; they should be developed and their production lines should be increased in order to reach the actual needs of the Iraqi market in domestic products. These products should be made according to quality standards under the supervision of industrial control, in order to become competitive with the imported foreign products. If they conform to the standard specifications and are not very expensive, then they certainly will be demanded by Iraqis; which will make the Iraqi industry thrive and grow. This can happen only if the factories are rehabilitated and developed on the one hand, and the technical standards of the products and their prices are taken into consideration on the other hand.

  • 2008-5-4

    God protect Ali Saleem Omar from all harm and shield him from the evil, amen, and God give him long life to serve Iraq and the people of Iraq. He is an asset and a good example of an honest, decent and caring Iraqi who puts the interest of the country before everything.