The decrease of the public investment in the prior year resulted in a contraction of the local cement market, the summed turnover of the three leaders in Romania (Holcim, Lafarge and Carpatcement) reaching 522 million EUR, 12% lower than the 586 million EUR level achieved in 2012. Nevertheless, early this year, the representatives of the cement industry association in Romania (CIROM) said that the reduction of the local cement sector dropped by 5%-8% in 2013 compared to the previous 12 months, in terms of quantity the cement market sales totalling under 7 million tonnes per year. Regarding the related economic sectors, the managers in the additives for concrete sector indicated an annual increase of 7%, while the value of the entire sector of additives for concrete and construction chemical products reached 920 million EUR in 2013. During the same period, the romanian market of precast concrete dropped by 5%, while the pavers and vibropressed curbs segment stood at 66 million EUR.For 2014, the managers of the three major cement producers in Romania estimate a stabilization of the sales, especially considering the favourable results reported for the first quarter of the current year. Thus, the cement industry won't probably reach more than 600 million EUR this year, respectively the average level in the last three years.
"We expect a recovery in the residential sector in 2014 due to the investments in small and medium projects. Moreover, we believe that the market can recover by increasing the absorption of EU funds, which would not only help the construction industry, but also the economy as a whole, because grants are available to all the economic sectors. In particular, we hope to accelerate the absorption of EU funds for infrastructure projects, which would lead to higher cement consume", said François Petry, CEO of Holcim Romania, the local cement market leader, with a turnover of 202 million EUR achieved in 2013 (-5%). Regarding the businesses of the two major competitors, Carpatcement reported to the romanian finance ministry a decrease by almost 10% of sales, to 165 million EURs, while Lafarge's turnover in Romania dropped by 24%, to 155 million EUR.
