(MENAFN - Arab News) The volume of cement production in the Kingdom is predicted to touch 56 million tons in 2013 where demand is set for 60 million tons compared to production level of 48 million tons in 2011, according to an industry expert.
Najran Cement Company CEO Ahmed Zigail said: Cement production witnessed a remarkable development where it rose from 23.8 million tons in 2005 to 43 million tons in 2010 then jumped to 48 million tons in 2011.
He said the Kingdom, which has embarked on a mega infrastructure plan worth 400 billion, needs to double cement production capacities to meet its construction projects.
Further, the Kingdom is geared to build 1.65 million new housing units by 2015, that is roughly 275,000 units annually, to meet the growing demand on housing, which will push demand on cement during the next five years, he said.
Investment in cement industry means investment for community where construction sector represents 9 percent of non-oil GDP in the Kingdom, which is considered main driver for growth of cement sector, he said.
Cement sector is poised to remain key business activities mostly benefiting from economic boom witnessed by the Kingdom in light of high growth rates related to mega developmental and construction plans adopted by the Saudi government, he pointed out.