Russia: Eurocement Group expects cement product consumption to grow by 12% in Russia in 2012 and by 8% - 10% in 2013, according to its president Mikhail Skorokhod.

"We expect cement product consumption to reach 64Mt this year, compared to 56Mt in 2011. There will be growth of over 12%. This is very significant growth and all construction complex needs in Russia are covered by high quality cement from Russian manufacturers," he said. The forecast for the rise in cement consumption in 2013 is 8%-10%, to around 70Mt, this highest output in the post-Soviet period, according to Skorokhod. The production capacity of cement plants in Russia has grown by around 20Mt/yr since 2009.

Skorokhod estimated that the rise in cement prices over the 'past few years' was comparable to the rise in the cost of natural monopoly services and tariffs, from 7% to 15% per year. He predicted that the price of cement would also fall by this range as new capacity comes on line.

Eurocement announced its plans to invest US$388m in a 1.3Mt/yr plant Sverdlovsk plant on 3 December 2012. The Russian construction materials group has 16 cement plants in Russia, Ukraine and Uzbekistan with a combined production capacity of 39.2Mt/yr of cement.