Cement companies submitted requests to the Competition Protection Authority and the Prevention of Monopolistic Practices to extend the decision to cut production.

Sources told Enterprise that the production quota system, which expires on July 23, aims to support cement prices amid producers suffering from long-running low demand and oversupply.

It is worth noting that the Competition Protection and Prevention of Monopolistic Practices Authority introduced the production quota system for cement companies in July 2021 for a period of one year at the request of 23 local companies, with the aim of ending the oversupply crisis that cast heavy shadows on the industry for several years, and the decision stipulated a reduction in production by more than from 10%. The decision was extended for another year, in July 2022, in response to the companies’ request at the time.